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HomeMy WebLinkAboutStaff Report 288-10BUDGET FY 2011 TO: HONORABLE CITY COUNCIL , FROM: CITY MANAGER DEPARTMENT: ADMINISTRATIVE SERVICES DATE: JUNE 21, 2010 CMR: 288:10 SUBJECT: APPROVAL OF AN ORDINANCE ADOPTING THE FISCAL YEAR 2011 BUDGET, INCLUDING THE FISCAL YEAR 2011 CAPITAL IMPROVEMENT PROGRAM, AND CHANGES TO THE MUNICIPAL FEE SCHEDULE AND ADOPTION OF 4 RESOLUTIONS: (l)Amending Utility Rate Schedules for a Storm Drain Rate Increase; (2) Amending Utility Rate Schedules for Fiber Optic Rate Increases; (3) Amending the 2009-20 I 0 Compensation Plan for the Management and Professional Personnel and Council Appointees; and (4) Encouraging all Palo Alto Council Members to Voluntarily Accept a 10% Reduction in their Salaries for Fiscal Year 20 II EXECUTIVE SUMMARY The documents attached outline the amendments to the City's Operating and Capital Fiscal Year 2011 Proposed Budgets, and Utility Rate changes. RECOMMENDATION Staff recommends that the City Council approve the following: I. The Budget Adoption Ordinance (Attachment I), which includes: a. The City Manager's Fiscal Year 2011 Proposed Budget (Exhibit A -previously distributed in the May 3 Council packet) b. All changes detailed in the Amendments to the City Manager's Fiscal Year 2011 Proposed Budget (Exhibit B) c. Revised pages to the Table of Organization (Exhibit C) d. Fiscal Year 2011 Proposed Municipal Fee Schedule (Exhibit D - previously distributed in the June 14 Council packet) e. Amendments to the Fiscal Year 20 II Proposed Municipal Fee Schedule (Exhibit E) 2. Resolution Amending Utility Rate Schedules for a Storm Drain Rate increase (Attachment 2) 3. Resolution Amending Utility Rate Schedules for Fiber Optic Rate increases (Attachment 3) CMR:288:1O Page 1 of 15 4. Resolution Amending the 2009-2010 Compensation Plan for the Management and Professional Personnel and Council Appointees to Add a New Classification, Update the Salary of One Classification and Change the Titles of Eighteen Classifications (Attachment 4) 5. Resolution encouraging all Palo Alto Council Members to Voluntarily Accept a 10% reduction in their Salaries for Fiscal Year 2011 Due to the Financial Challenges Facing the City (Attachment 5) BACKGROUND The City Manager's Fiscal Year 2011 Proposed Operating Budget and the Fiscal Year 2011 Proposed Capital Budget was submitted to City Council on May 3, 2010. Given the difficult fiscal environment, the City Manager presented and early "preview" budget on April 12, 2010 (CMR:208:10). During the month of May, the Finance Committee held hearings and reviewed the Proposed Budget, including the General Fund, Enterprise Funds, Internal Service Funds, Capital Improvement Programs, and the Municipal Fee Schedule. A total of seven public hearings were held on May 6, 11, 18, 25, 27, June 14 and 15, during which the Committee reviewed and discussed the City's operating and capital expenditures for the next year. As a result of the hearings, the Finance Committee and staff have recommended changes to the Fiscal Year 2011 Proposed Budget as discussed below and detailed in Exhibit B. DISCUSSION This staff report focuses primarily on the financial changes recommended by the Finance Committee during the public hearing process and the fiscal related adjustments suggested by staff following submission of the original proposed budget. Certain key non-financial changes are also highlighted in this report. All other non-financial recommended changes to the proposed budget are described in Appendix 4, which was distributed to the Finance Committee on June 14, and will be incorporated into the Fiscal Year 2011 Adopted Budget document. Additionally, the Finance Committee directed staff to report back during Fiscal Year 2011 on the following issues: • Status of discussions with the Friends of the Children's Theatre and whether those discussions resulted in a continuing level of support equivalent to $35,000 • Proposed Refuse rate increase options to meet statutory obligations for landfill closure/post-closure costs and ensure the long-term fiscal stability of the Refuse Fund • Plan of how parking enforcement may be addressed at Arastradero Park in lieu of enacting parking fees • Recommendation for a tiered approach to leaf blower noise abatement violations with the goal of reducing the number of violations Adjustments to Date in the General Fund This section summarizes actions made by the Finance Committee to date. Detail for each adjustment and follow-up information is provided later in the memo. A page is referenced where additional information is available later in the memo. CMR:288:10 Page 2 of 15 At the direction of the Finance Committee, the City Manager produced a range of options, that exceeded the $7.3 million budget gap, to provide the Finance Committee and Council with alternatives to balance the budget. The table below provides a financial summary of the budget gap and proposed solutions as initially presented to the Finance Committee and City Council. Proposed General Fund Budget Summary ($ millions) J?roj()¢teq'~udget Gap (revised) < ....•..... . .•........ •••••••••• ($7:3) Total Proposed Cuts ($5.6 salary, $2.9 non-salary) $8.5 New Revenue and Revenue Increases $0.9 ·TbtatPtbposedB1.1dgetBalancihgSollltioils ...... . ... $9:4 .. Total Proposed Bahmce for Alterriativt)s •••• . ... .. $2.1 Projections on May 3 showed that approximately 56.5 full-time equivalent (FTE) positions would be eliminated with all the proposals. In addition, 18.54 temporary positions would be eliminated. The total of FTE and temporary positions that were proposed to be eliminated was 75.04, representing a total of 119 individual positions of which 70 were currently filled. A breakdown ofthe reductions by fund and citywide as originally proposed is shown below. The proposed FY 2011 General Fund position reductions would follow other staff reductions made over the past decade. In FY 2004, the City eliminated 29.9 PTE, in FY 2006 25.45 FTE, and in FY 2010 21.3 0 FTE. The previous staff reductions were absorbed by the remaining staff with little or no service level reductions in most areas. General Fund The General Fund FY 2011 Proposed Budget includes the following changes totaling $1,624,000 outlined in the tables below. The first table reflects recommended and approved changes by the Finance Committee. The second table reflects changes recommended by staff and approved by CMR:288:1O Page 3 of 15 the Finance Committee to correct or update the Proposed Budget. The changes now provide a total of$7.8 million (originally $9.4 million) in budget solutions to cover the $7.3 million budget gap, there~ore provi~ing $483,000 more than needed to clo~e the b~d,£!:!.~.~ a~ w2.!hich is reflected as a surplus 111 the revIsed General Fund summary (AppendIx 1). f1h~~~ It~'i_~ non shaded lines reduce from the budget solutions. Table 1 lReinst'ate Human Services Resource Allocation Process I agent, CMR:288:1O COMMUNITY SERVICES COMMUNITY SERVICES COMMUNITY SERVICES COMMUNITY SERVICES Page 4 of 15 Removed Park entry fees proposed for Foothills, Baylands and Arastradero Parks Total of Finance Committee Adjustments Table 2 Date Staff Adjustments to Proposed Budget 6-May Labor negotiations contract services (inadvertently omitted) ll-May 100 $2,184 FY 2011 ($000) 68 COMMUNITY SERVICES DEPARTMENT Department HUMAN RESOURCES DEPARTMENT • •. ..' ..•.....• ,' ....• " •....• . ,.,......... . ..' '.".', ....' •. : '. I· . COMMUNITY • " •... R .... e.s.to. res sal'.in.' ... gS t?fuU,year i)1steadof~iIW mO,qth. s. f'wFTEs.· '. '.·~E~V~CES . . .' . ... ...• .. ' .•.. eilmmated,.. ' .. ". ..... .•..... '." . .1~273 ... ····DEPARTMENt '. ....... . Res!oreStanfordreimbiir~em¢iitrev'enueto'refleci cbIT~ctioir I .. ' "-35 •. .•..... A TTOWY 18-May Restore Temporary salaries for summer law clerk to reflect correction '.' I~formationTecIn)OlogYDivision'lease agree~~nt90st . . ' ". '.. savini<s($293ksavings over :hears). . ...• : .••.... . 2S-May '. 15 .' . • . .... .... .... Decr~ilseFiber~piicallocatioli~~a~g~st()r"flect correeliott. 1 •.••. .• ~66 . 14-June Severance Pay -Laid off employees (Per labor agreement) 49 IS-June . "., Energy Conservation Savings for sustainabilityefforts . Total of Sta.ff Adjustments -560 ATTORNEY ADMINI~TRATIVE . SERVICES . . DEpARTMENT . ADMINISTRATIVE SERVICES ." DEPAR.TMENT HUMAN RESOURCES ., .. The current status ofthe surplus included within the General Fund, based upon those adjustments by the Finance Committee and proposed by staff which are summarized in the preceding Tables 1 and 2, is restated in Table 3 below. As a result of all changes that have been acted upon by the Finance Committee, the General Fund surplus currently amounts to $483,000. Table 3 Date Draft Ad.iustments to Budget FY 2011 Balance ($000 $2,107 May 6 Beginning Balance -2,184 Table 1 Summary Finance Committee Adjustments CMR.288.10 Page 5 of 15 Table 2 Summary 560 Staff Adjustments June 15 Current Balance for Alternatives $483 • The FY 2012 deficit is currently estimated at $1.1 to $1.5 million in the Long Range Financial Forecast. The Fiscal Year 20 II Proposed Budget includes onc-timc rcvenue increases and expenditure rcductions totaling $553,000. When added to the projectcd FY 2012 deficit, the preliminary estimate of the FY 2012 budget shortfall is $1.7 to $2.1 million. The Finance Committee made several changes to the City Manager's Proposed Budget and utilized the "parking lot" system, where items needing further information were parked for discussion at a later date or for deeision at the budget wrap up meeting held on June 14, 20 I 0. In order to add items to the parking lot, two members of the Committee must have been in agreement. The following table (Table 4) summarizes the parking lot items for which decisions were needed from the Finance Committee at its budget wrap up meeting on June 14. Decisions by the Finance Committee at its budget wrap up meeting are noted in the "status" column. All parking lot items were approved as proposed or with modifications notcd in the status column except the proposal to reduce the City Attorney's staff by one legal secretary. This proposal was not approved by the Finance Committee since it ended in a 2-2 vote. Table 4 Finally, regarding position changes, the Finance Committee has reinstated 14.25 FTE and eliminated 2.0 FTE from the alternative options for a net reinstatement of 12.25 FTE in the General Fund. The additions include a Senior Auditor in the City Auditor's Office at a cost of $156,000, which will be funded from the Utilities Enterprise Fnnds. The position is intended to focus on the Enterprise Food and their operations. As a result of the changes in the tables above (including the parking lot items) the following table reflects reinstated, additions and eliminated positions for all departments. In addition, 2 positions were proposed for the Enterprise Fund, but later withdrawn by the Department. CMR:288:10 Page 6 of 15 Table 5 Position Changes to City Manager's Proposed Budget Reinstated (14.25 FTE) Program Assistant I (0.75) Code Enforcement Officer Police Sergeant Police Agent Police Officers (4) - 2 Traffic Team, 2 Investigations Tree Trimming/Line Clearers (4) Library Associate Library Assistant (0.50) Engineering Tech Additions (l FTE) Sr. Auditor (Funded by Enterprise Funds) Elimination (l FTE) Supr. Proiect Engineer Traffic Control Maintainer New Positions Withdrawn by Staff (2 FTE) Customer Service Specialist (Enterprise Funds) Customer Service Representative (Enterprise Funds) Layoff notices were distributed to all affected employees after submission of the proposed budget to City Council and the Finance Committee for consideration. Some employees receiving layoff notices were able to transfer into vacant positions that were held vacant due to the impending layoffs. Additionally, employees retired which created vacancies that could be filled by employees receiving layoffs in some cases. Also the Finance Committee recommended restoration of some positions as summarized in Table 5 above which further reduced the number of employees that may be laid off. As of today, there are 5 employees that will be laid off, down from the 70 initially included in the proposed budget. A breakdown of the reductions by fund and citywide as currently proposed is shown below. CMR:288:IO Page 7 of 15 Finance Committee-Recommended Changes to the City Manager's Proposed Budget The Finance Committee recommends the following changes bascd on new information following submittal of the original proposed budget: General Fund City Auditor's Office • Increase staffing by 1.0 FTE Senior Auditor for Utilities Internal Audits, funded by the Enterprise Funds. City Council • Decrease $17,000 from Travel and Meeting and Other General Expenses. • Decrease $2,160 from Salaries, resulting from three Council Members voluntary 10% pay reduction (This estimate could increase depending on additional volunteer reductions). Community Services Department • Restore funding of $61,000 for 0.75 Full Time Employees to provide full staffing at the Art Center and support the Art Commission • Restore funding of $27,000 for the Summer Concert Series • Restore funding of $50,000 to HSRAP to maintain full funding for the program • Suspend Children's Theatre show produetion participation fee of $50.00-$300.00 for residents and fee plus up to 50% for non-residents, pending in-lieu funding agreement with Friends of the Palo Alto Children's Theatre (by September 30, 2010). In the event that an agreement is not reached by September 30, 20 I 0, the suspended participation fee will be made effective. The new revenue associated with this fee remains within the FY 2011 Proposed Operating Budget. • Removed $100,000 in revenue related to the eliminated proposed municipal fee for vehiele entry at Foothills, Bayland and Arastradero parks Library Department • Restore flmding of $75,000 for 0.50 FTE Library Assistant, and 2.33 Hourly FTE, and supplies for the opening of the College Terrace Library in November 20 I 0 • Restore funding of $106,672 for 1.0 FTE Library Associate and 0.39 FTE hourly clerk to provide funding necessary to keep the libraries open on Monday. Per the option adopted by the Finance Committee, the Library department will open Main, Mitchell Park, and Children's libraries at 12 pm instead of 10 am on Monday and close College Terrace Library on Monday. Police Department • Restore funding for School Crossing Guards in the amount of$345,000 • Reinstate funding for Traffic Team in the amount of $721,104 for 1.0 FTE Poliee Sergeant, 1.0 FTE Police Agent, and 2 FTE Police Offieer ( Eliminates 1.0 FTE Police Officer) • Reinstate $75,000 in traffic citation revenue CMR:288:10 Page 8 of 15 • Restore 2 FTE Police Officer in the Investigations Division for $331,735 Public Works Department • Restore funding of $390,104 for 4.0 FTE Tree Trimmer/Line Clearers and decrease related contract services of $73 ,900 for tree trimming • Restore $10,000 for planting material for trees • Eliminate 1.0 FTE Supervising Project Engineer of $161 ,525 (Alternative Option) • Eliminate 1.0 FTE Traffic Control Maintenance II of $89,421 (Alternative Option) Non-Departmental • Restore operating transfer of $298,970 from General Fund to Capital Fund for CIP sidewalk repair and replacement to reflect 50%-50% cost sharing with residents Capital Projects Fund -Infrastructure/CIP • Implement 50%-50% cost sharing with residents for CIP sidewalk repair and replacement The City will continue to be responsible for the general liability and would contract for the work to be performed. The property owner will be billed for 50% of the replacement costs plus administrative costs o Restore transfer of $298,970 from General Fund to Capital Fund for CIP sidewalk repair and replacement to reflect 50%-50% cost sharing with residents o Increase revenue of $298,970 from residents for 50% of costs for CIP sidewalk repair and replacement o Restore 0.9 FTE Engineering Tech III of $97,940 in salaries and benefits (0.1 FTE allocated to Refuse Fund) o Restore contract services expense for sidewalk repair of $500,000 Enterprise Funds • Per the Finance Committee's direction, 1.0 FTE Senior Auditor has been added to the proposed budget. This position will be dedicated to issues related to the Utilities Department. Funding for this position will be shared by the Electric, Fiber Optics, Gas, Water, and Wastewater Collection Funds. No other changes were made. Electric Fund • Increase utilities administration charges by $68,011 for addition of 1.0 FTE Senior Auditor in the City Auditor's Office Fiber Optics Fund • Increase utilities administration charges by $4,379 for addition of 1.0 FTE Senior Auditor in the City Auditor's Office Gas Fund • Increase utilities administration charges by $34,254 for addition of 1.0 FTE Senior Auditor in the City Auditor's Office CMR:288:1O Page 9 of 15 Wastewater Collection Fund • Increase utilities administration charges by $18,520 for addition of 1.0 PTE Senior Auditor in the City Auditor's Office Water Fund • Increase utilities administration charges by $30,951 for addition of 1.0 FTE Senior Auditor in the City Auditor's Office Refuse Fund • Restore 0.1 PTE Engineering Teeh III of $10,883 in salaries and benefits (0.9 PTE allocated to CIP sidewalk repair and replaeement) Staff-Recommended Changes to the City Manager's Proposed Budget Staff recommends the following changes based on new information following submittal of the original proposed budget and the Finance Committee recommendation to the City Council. General Fund Administrative Services Department • Decrease $66,119 from Allocated Charges as a correction to Fiber Optic charges intended for the Information Technology Fund. City Attorney's Office • Increase revenue by $35,000 for Stanford fees. • Restore funding of $15,160 for Temporary 0.23 PTE resulting from SAP error. Human Resources Department • Provide funding for an existing contract in the amount of $68,000 with the City's labor negotiation consultant. This funding was inadvertently omitted. Planning and Community Environment Department • Increase revenue by $200,000 for various Building Division fees. • Restore funding of $122, 136 for 1.0 FTE Code Enforcement Officer. Various Departments • Added expense in the amount of $43,000 for one month severance pay laid off per labor agreement Non-Departmental • Anticipated $51,000 savings from cancelled City lease at 300 Hamilton due to staff relocation • Anticipated savings of $67,000 from energy conservation efforts Enterprise Funds CMR:288:1O Page 10 ofl5 • Changes to the proposed budget include the removal of 1.0 FTE Customer Service Representative of $94,348, and 1.0 FTE Customer Service Specialist of $103,768. The cost of these positions had been distributed among the Electric, Gas, Water, and Wastewater Collection Funds. In lieu of these two permanent positions, $134,657 has been shifted to temporary salaries. No other changes were made. Electric Fund • The change to the Calaveras Reserve has been updated to reflect a draw of $4,108,000 in accordance with the annual stranded cost calculation. The projected FY 2011 ending balance of the Calaveras, Reserve is $56,984,000. Correspondingly, the change to the Electric Supply Rate Stabilization Reserve (RSR) has been updated to reflect a draw of $2,881,000. The ending EI~ctric Supply RSR is projected to be $32,156,000, which is within the revised guideline range of$32,016,000 to $64,031,000. • Decrease salaries and benefits expense by $23,587 for removal of request to add 0.25 FTE Customer Service Representative • Decrease salaries and benefits expense by $25,942 for removal of request to add 0.25 FTE Customer Service Specialist • Increase temporary salaries and related medical stipend by $10,658 for customer service and support Gas Fund • Decrease salaries and benefits expense by $23,587 for removal of request to add 0.25 FTE Customer Service Representative • Decrease salaries and benefits expense by $25,942 for removal of request to add 0.25 FTE Customer Service Specialist • Increase temporary salaries and related medical stipend by $46,787 for customer service and support • The projected FY 2011 beginning balance of the Gas Supply RSR has been updated to $7,901,000 Fiber Optics Fund • Decrease temporary salaries and related medical stipend by $4,575 and redistribute to other Utilities Funds for customer service and support Water Fund • The draw on the Water Fund reserves for CIP projects included in the Proposed Operating Budget did not match the total proposed CIP program expenditures for the Water Fund in error. The draw on the Water Fund reserves should be increased $67,000 to correct the amount of the draw included in the proposed operating budget document (See page 154 in the Proposed Operating Budget and page 33 in the Proposed Capital Budget). The change in the Water Fund draw on reserves will change the draw from $8,781,000 to $8,848,000 and will result in an additional draw on the Water Fund Reserve of $67,000. • Decrease salaries and benefits expense by $23,587 for removal of request to add 0.25 FTE Customer Service Representative CMR:288:10 Page 11 of15 • Deerease salaries and benefits expense by $25,942 for removal of request to add 0.25 FTE Customer Service Specialist • Inerease temporary salaries and related medieal stipend by $26,435 for customer service and support • The projected FY 2011 beginning balance of the Water Rate Stabili71ltion Reserve has been updated to $14,191,000 Wastewater Collection Fund • Decrease salaries and benefits expense by $23,587 for removal of request to add 0.25 FTE Customer Service Representative • Decrease salaries and benefits expense by $25,942 for removal of request to add 0.25 FTE Customer Service Specialist • Increase temporary salaries aud related medical stipend by $50,836 for customer service and support Internal Service Funds Information Technology Fund • Increase draw on Technology Fund Reserves by $84,000 to conect and mateh the total proposed CIP program expenditures. • Increase $66,119 from Allocated Charges as a conection to Fiber Optic charges enoneously charged to Administrative Services Department. Printing aud Mailing Fund • Reinstate 0.48 FTE Temporary Hourly Print Shop Assistaut, reclass 1.0 FIE Mailing Services Specialist position to Offset Equipment Operator, and decrease non-salary expense by $35,400 to net a zero budget impact. . Vehicle Replacement and Maintenance Fund • CIP VR-IIOOO Scheduled Vehicle aud Equipment Replacements of$3,193,500 has been removed. An evaluation of the vehicle fleet will be made during FY 2011, and this CIP will be adjusted and reinstated accordingly. • Finauce Committee recommended to not approve staff's recommended "at places" addition ofCIP VR-11002 RPID Reader at MSC aud Civic Center of $50,000 General Benefits and Insurauce Fund • Due to various Finance Committee aud staff FIE changes expense and departmental charges of $387,079 was added to this fund Retiree Health Benefit Fund • Due to various Finance Committee and staff FIE changes expense and departmental charges of $91,298 was added to this fund Debt Service Fund Library Bonds Fund CMR:288:1O Page 12 of IS • In June 2010, the City sold $55,300,000 of 2010 General Obligation Library Bonds to construct a new, energy efficient, environmentally friendly Mitchell Park Library and Community Center, to renovate and expand the Main Library, and renovate the Downtown Library. Annual deht service for FY 2011 is $1,472,000 and will be paid by an ad valorem property tax levy assessed against property owners. The property tax assessment will result in $3,491,539 in property tax revenue to fund debt service payments. Capital Projects Fund -Infrastructure/CIP • Add new CIP Project CC-l1 000 Cubberley Gym Activity Room for $65,000 Compensation Plans One new classification, one salary update, and eighteen title changes are proposed in the Management and Professional Personnel and Council Appointees Compensation Plan. These changes are reflected in the resolution in Attachment 4. Table of Organization Amended pages to the Fiscal Year 2011 Table of Organization are included with this report (Exhibit C). The table has been revised to reflect the staffing changes presented in this report. Changes reflected in the Table of Organization will be incorporated into the relevant department . organization charts and the revised organization charts will be published in the adopted budget; Contracts Greater Than $85,000 On June 15,2010, the Finance Committee approved the Fiscal Year 2011 contract scopes of professional services agreements greater than $85,000 (CMR 258: 1 0). Municipal Fee Schedule On June 15, 2010, the Finanee Committee approved the Fiscal Year 20 11 Proposed Municipal Fce Schedule (CMR 262:10) with amendments (Exhibit E). Staff made greater efforts to maximize recovery of costs through various fees this year. Staff will continue discussions with Council to identify areas and programs for integration of full cost recovery in future ycars. , Finance Cemmittee recommended two changes to the City Manager's Proposed Municipal Fee Schedule, The two recommendations are: • Suspend Children's Theatre show production participation fee of $50.00-$300.00 for residents and fee plus up to 50% for non-residents, pending in-lieu funding agreement with Friends of the Palo Alto Children'S Theatre (by September 30, 2010). In the event that an agreement is not reached by September 30,2010, the suspended participation fee will be made effective. The new revenue associated with this fee remains within the FY 2011 Proposed Operating Budget. • Remove Vehicle Entry Fee/Pass proposed at $5,00 per entry and $40,00 per annual pass from all open spaces and parks. The new revenue projected at $100,000 was removed from the FY 201 1 Proposed Operating Budget. CMR:288:10 Page 13 uf 15 RESOURCE IMPACT The Fiscal Y car 20 II Proposed Budget as submitted to the Finance Committee resulted in an increase to the General Fund Budget Stabilization Reserve (BSR) of $2.1 million. The changes recommended from the Finance Committee hearings and staff recommendations resulted in a net $0.5 million increase to the BSR in Fiscal Year 20 II (Appendix I). The projected ending balance for the BSR in Fiscal Year 2011 is $24.4 million. The projected BSR of $24.4 million equals 17.53% of the Proposed Operating Budget. Per the adopted reserve policy, a reserve range of 15 to 20% of the General Fund operating expenditures, with' a target of 18.5%,"shall be maintained. The projected FY 2011 ending BSR balance of 17.53 % of General Fund operating expenditures falls within the 15-20% range of the adopted reserve policy. However, the projected BSR falls 0.97% below the target BSR of 18.5%. As a result of the changes to the capital budget, the projected ending balance in the Infrastructure Reserve (IR) for Fiscal Year 2011 is $2.5 million. Additional changes to the Enterprise Funds result in an approximately $0.2 million net decrease in reserve balances in Fiscal Year 2011 from the proposed document (Appendix 2). POLICY IMPLICATIONS These recommendations are consistent with existing City policies. ENVIRONMENTAL REVIEW Adoption of the budget does not represent a proj ect under the California Enviroumental Quality Act (CEQA). ATTACHMENTS Attachment I: Exhibit A: Exhibit B: Exhibit C: Exhibit D: Exhibit E: Attachment 2: Attachment 3: Attachment 4: CMR:2BB:1O Budget Adoption Ordinance with the following Exhibits: City Manager's Fiscal Year 2011 Proposed Budget Amendments to the City Manager's Fiscal Year 2011 Proposed Budget Revised Pages in the Fiscal Year 2011 Table of Organization Fiscal Year 20 II Proposed Municipal Fee Schedule Amendments to the Fiscal Year 2011 Proposed Municipal Fee Schedule Resolution of the Council ofthe City of Palo Alto Amending Utility Rate Schedule D-I of the City of Palo Alto Utilities Rates and Charges Pertaining to Storm Drain Rates Resolution of the Council of the City of Palo Alto Amending Utility Rate Schedules EDF-I and EDF-2 of the City of Palo Alto Utilities Rates and Charges Pertaining to Fiber Optic Rates Resolution of the Council of the City of Palo Alto Amending the 2009- 20 I 0 Compensation Plan for the Management and Professional Personnel and Council Appointees Adopted by Resolution No. 9001 to Add a New Classification, Update Salary of One Classification and Change the Titles of Eighteen Classifications Page 14 ofll Exhibit A: Attachment 5: Appendix I: Appendix 2: Appendix 3: Appendix 4: Appendix 5: Appendix 6: Appendix 7: Appendix 8: Related Staff Reports: PREPARED BY: Fiscal Year 2011 Compensation Plan Changes for Management and Professional Personnel Resolution encouraging all Palo Alto Council Members to Voluntarily Accept a 10% reduction in their Salaries for Fiscal Year 2011 Due to the Financial Challenges Facing the City Fiscal Year 2011 General Fund Summary and Reserve Balances Fiscal Year 2011 Enterprise Fnnd Summary and Reserve Balances Fiscal Years 2011-2015 Capital Improvement Fund Summaries and Amended Projects Fiscal Year 2011 Internal Service Funds Summary Fiscal Year 2011 Debt Service Funds Summary June 14, 2010 Memorandum to finance Committee detailing changes to Fiscal Year 2011 City Manager's Proposed Budget to date Memorandums distributed "at-places" during the Finance Committee budget hearings Budget Hearing Presentation Slides distributed during the Finance Committee budget hearings CMR: 182:10 CMR:262:IO CMR: 235:10 CMR: 258:10 CMR: 237:10 DEPARTMENT HEAD APPROVAL: ------~~--~--~~--------- Director of Administrative Services CITY MANAGER APPROVAL: CMR:288:10 Page 15 of 15 Attachment 1 ORDINANCE: NO. ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO ADOPTING THE BUDGET FOR FISCAL YEAR 2011 SECTION 1. The Council of the City of Palo Alto finds and determines as follows; A. Pursuant to the provlslons of Section 6(g) of Article IV of the Charter of the City of Palo Alto and Chapter 2.28 of the Palo Alto Municipal Code, the City Manager has prepared and submitted to the City Council, by letter of transmittal, a budget proposal for Fiscal Year 2011; and B. Pursuant to the provisions of Section 12 of Article III of the Charter, the Council did, on June 21 and 28, 2010, hold public hearings on the budget after publication of notice in accordance with Section 2.28.070 of the Palo Alto MUnicipal Code; and C. In accordance with the provisions of Chapter 8 of Division 1, of Title 7, commencing with Section 66016 of the Government Code, as applicable, the Council did on June 21 and 28, 2010, hold a public hearings on the proposed amendments to the Municipal Fee Schedule, after publication of notice and after availability of the data supporting the amendments was made available to the public at least 10 days prior to the hearing. SECTION 2. Pursuant to Chapter 2.28 of the Palo Alto Municipal Code, the following documents, collectively referred to as "the budget" are hereby approved and adopted for Fiscal Year 2011: (a) The budget document (Exhibit "An) containing the proposed operating and capital budgets submitted on May 3, 2010, by the City Manager for Fiscal Year 2011, entitled "City of Palo Alto -City Manager's Fiscal Year 2011 Proposed Budget" covering General Government Funds, Enterprise Funds and Internal Service Funds, a copy of which is on file in Department of Administrative Services, to which copy reference is hereby made concerning the full particulars thereof, and by such reference is made a part hereof; and (b) The Amendments to the City Manager's Fiscal Year 2011 Proposed Budget, attached hereto as Exhibit "B," and made a part hereof; and 1 (d) Changes and revised pages in the Table of Organization, attached hereto as Exhibit "C," and made a part hereo and (e) The document entitled "Fiscal Year 2011 Proposed Municipal Fee Schedule," attached hereto as Exhibit "0," and made a part hereof; and (e) Amendments to the "Fiscal Year 2011 Proposed Municipal Fee Schedule," attached hereto as Exhibit "E," and made a part hereof; and SECTION 3. The sums set forth in the budget for the various departments of the City, as herein amended, are hereby appropriated to the uses and purposes set forth therein. SECTION 4. All expenditures made on behalf of the City, directly or through any agency, except those required by state law, shall be made in accordance with the authorization contained in this ordinance and the budget as herein a~ended. SECTION 5. Appropriations for the cal Year 2010 that are encumbered by approved purchase orders and contracts for which goods or services have not been received or contract completed, and/or for ~Ihich all payments have not been made, by the last day of the Fiscal Year 2010 shall be carried forward and added to the fund or department appropriations for Fiscal Year 2011. SECTION 6. The City Manager authorized and directed to make changes in the department and fund totals and summary pages of the budget necessary to reflect the amendments enumerated and aggregated in the budget as shown in Exhibit B and the Fiscal Year 2010 appropriations carried forward as provided in Section 5. SECTION 7. As specified in Section 2.04.320 of the Palo Alto Municipal Code, a majority vote of the City Council is required to adopt this ordinance. SECTION 8. As specified in Section 2.28.l40(b) of the Palo Alto Municipal Code, the Council of the City of Palo Alto hereby delegates the authority to invest the City's funds to the Director of Administrative Services, as Treasurer, in accordance with the City's Investment Policy for fiscal Year 2011. SECTION 9. The Council of the City of Palo Alto adopts the Municipal fee Schedule as set forth in Exhibits "D" and "E". All new and increased fees shall go into effect immediately; provided that pursuant to Government Code Section 66017, all Planning Department fees rel·ating to a "development project" as defined in 2 Government Code Section 66000 shall become effective sixty (60) days from the date of adoption. SECTION 10. The Council of the City of Palo Alto hereby finds that this is not a project under the California Environmental Quality Act and, therefore, no environmental impact assessment is necessary. SECTION 11. Except as specified in Section 9, as provided in Section 2.04.330 (a) (3) of the Palo Al to Municipal Code, this ordinance shall become effective upon adoption. INTRODUCED AND PASSED: AYES: NOES: ABSTENTIONS: ABSENT: City Clerk APPROVED AS TO FORM: City Attorney 3 Mayor APPROVED: City Manager Director Services of Administrative FY 2011 Budget Adoption CMR City of Palo Alto Table of Contents PAGE ITEM DESCRIPTION EXHIBITS TO ATTACHMENT 1 1 Exhibit A - City Manager’s Fiscal Year 2011 Proposed Budget 2 Exhibit B - Amendments to the City Manager’s Fiscal Year 2011 Proposed Budget 10 Exhibit C - Revised Pages in the Fiscal Year 2011 Table of Organization 30 Exhibit D - FY 2011 Proposed Muni Fee Schedule 31 Exhibit E - Amendments to the Fiscal Year 2011 Proposed Municipal Fee Schedule ATTACHMENT 2 39 Resolution of the Council of the City of Palo Alto Amending Utility Rate Sched- ule D-1 of the City of Palo Alto Utilities Rates and Charges Pertaining to Storm Drain Rates ATTACHMENT 3 45 Resolution of the Council of the City of Palo Alto Amending Utility Rate Schedules EDF-1 and EDF-2 of the City of Palo Alto Utilities Rates and Charges Pertaining to Fiber Optic Rates ATTACHMENT 4 55 Resolution of the Council of the City of Palo Alto Amending the 2009-2010 Com- pensation Plan for the Management and Professional Personnel and Council Appointees Adopted by Resolution No. 9001 to Add a New Classification, Up- date Salary of One Classification and Change the Titles of Eighteen Classifica- tions Exhibit A - Fiscal Year 2011 Compensation Plan for Management and Professional Personnel ATTACHMENT 5 59 Resolution of the Council of the City of Palo Alto Encouraging All Palo Alto Council Members to Voluntariliy Accept a 10% Reduction in their Salaries for Fiscal Year 2011 Due to the Financial Challenges Facing the City i City of Palo Alto FY 2011 Budget Adoption CMR Table of Contents PAGE ITEM DESCRIPTION APPENDIX 1 63 Fiscal Year 2011 General Fund Summary and Reserve Balances APPENDIX 2 69 Fiscal Year 2011 Enterprise Fund Summary and Reserve Balances APPENDIX 3 75 Fiscal Years 2011-2015 Capital Improvement Fund Summaries and Amended Projects APPENDIX 4 93 Fiscal Year 2011 Internal Service Funds Summary APPENDIX 5 97 Fiscal Year 2011 Debt Service Funds Summary APPENDIX 6 101 June 14 Memorandum to Finance Committee detailing changes to Fiscal Year 2011 City Manager’s Proposed Budget to date APPENDIX 7 153 Memorandums distributed "at-places" during Finance Committee budget hearings APPENDIX 8 265 Budget Hearing Presentation Slides distributed during the Finance Committee budget hearings ii FY 2011 City Manager’s Proposed Operating and Capital Budgets These documents were originally distributed in Council Packet. Printed copies are available upon request for $20 per book. 650-329-2260 Books may be viewed at any City of Palo Alto Library - or - at the City’s website: www.cityofpaloalto.org/depts/asd/budget.asp Exhibit A 1 FY 2011 Category Amount Description (51,000)$ IT lease savings by moving from 300 Hamilton (67,000) Energy conservation savings Non-salary 298,970 Restore transfer from General Fund to Capital Fund for CIP sidewalk repair and replacement to reflect 50%-50% cost sharing with residents 180,970 (180,970)$ Revenue 35,000$ Restore Stanford revenue to reflect correction Source Changes 35,000 Salary and Benefits 15,160 Restore temporary salary for Summer Law Clerk to reflect correction 15,160 19,840$ Salary (2,160)$ Decrease City Council salary by 10% (3 members volunteered) Non-salary (17,000) Decrease Travel & Meeting General Expenses (19,160) 19,160$ Salary 4,276$ One-month severance pay for staff laid off (per SEIU contact) 4,276 (4,276)$ Salary and Benefits (66,119)$ Decrease Fiber Optic allocated charges to reflect correction (66,119) 66,119$ Net Changes To (From) Reserves Net Changes To (From) Reserves Use Changes Net Changes To (From) Reserves ADMINISTRATIVE SERVICES DEPARTMENT CITY ATTORNEY Use Changes CITY MANAGER Use Changes Net Changes To (From) Reserves Use Changes CITY COUNCIL Net Changes To (From) Reserves Use Changes GENERAL FUND NON-DEPARTMENTAL Exhibit B CITY OF PALO ALTO AMENDMENTS TO THE CITY MANAGER'S 2011 PROPOSED BUDGET General Fund 2010 - Page 1 of 82 FY 2011 Category Amount Description Exhibit B CITY OF PALO ALTO AMENDMENTS TO THE CITY MANAGER'S 2011 PROPOSED BUDGET Grant/Donation 35,000$ Grant from the Friends of the Children's Theatre to support participants in the Children's Theatre production ( in lieu of the participant's fee) Vehicle Entry Fee (100,000) Remove proposed vehicle entry fee at the Foothills, Arastradero and Bayland Park Source Changes (65,000) Salary and Benefits 61,114 Restore 0.75 FTE Program Assistant 1 for the Art Center operations and support of the Arts Commission Salary and Benefits (273,362) Restore savings to full year instead of nine months for FTEs eliminated in CSD Salary and Benefits 24,721 One-month severance pay for staff laid off (per SEIU contact) Non Salary 50,000 Restore HSRAP funding to its original appropriation amount Non Salary 27,000 Restore summer concert series (110,527) 45,527$ 68,000$ Contract with labor negotiator 68,000 (68,000)$ LIBRARY Salary and Benefits 73,893$ Restore 1.59 FTE hourly to open College Terrace after renovation Salary and Benefits 106,702 Restore 1.0 FTE Library Associate and .39 FTE hourly for the opening of Main, Mitchell Park and Children's Library on Monday (Option 1) 5,938 One-month severance pay for staff laid off (per SEIU contact) Non Salary 2,000 Restore office supplies for College Terrace opening after renovation 188,533 (188,533)$ PLANNING & COMMUNITY ENVIRONMENT Revenue 200,000$ Increase Building Division Permit revenue due to Municipal Fee Schedule changes Source Changes 200,000 Salary and Benefits 122,136 Restore 1.0 FTE Code Enforcement Officer 122,136 77,864$ 75,000$ Restore traffic violation revenue resulting from partial reinstatement of Traffic Team Source Changes 75,000 Salary and Benefits 721,104 Restore Traffic Team, 4 FTE Salary and Benefits 331,735 Restore Investigation positions, 2 FTE Non-salary 345,000 Restore funding for School Crossing Guards 1,397,839 Use Changes COMMUNITY SERVICES POLICE Use Changes Net Changes To (From) Reserves Use Changes HUMAN RESOURCES Net Changes To (From) Reserves Use Changes Net Changes To (From) Reserves Net Changes To (From) Reserves Use Changes General Fund 2010 - Page 2 of 83 FY 2011 Category Amount Description Exhibit B CITY OF PALO ALTO AMENDMENTS TO THE CITY MANAGER'S 2011 PROPOSED BUDGET (1,322,839)$ Salary and Benefits 390,104$ Restore 4.0 FTE Tree Trimmer/Line Clearers Salary and Benefits 7,831 One-month severance pay for staff laid off (per SEIU contact) Non-salary (73,900) Decrease contract services for tree trimming Non-salary 10,000 Increase planting material for trees Salary and Benefits (161,525) Eliminate 1.0 FTE Supervising Project Engineer Salary and Benefits (88,553) Eliminate 1.0 FTE Traffic Control Maintenance II 83,957 (83,957)$ Revenue 298,970$ Revenue from residents for 50% of costs for CIP sidewalk repair and replacement Revenue 298,970 Restore transfer from General Fund to Capital Fund for CIP sidewalk repair and replacement to reflect 50%-50% cost sharing with residents Source Changes 597,940 Salary and Benefits 97,940 Restore 0.9 FTE Engineering Tech III for CIP sidewalk repair and replacement; cost to be shared 50%-50% with residents (Project AS-10000) Non-salary 500,000 Restore contract services for sidewalk repair; cost to be shared 50%-50% with residents (Project PO-89003) Non-salary 65,000 New CIP Project added to the Proposed Budget FY 2011 (CC-11000 - Cubberley Gym Activity Room). Use Changes 662,940 (65,000)$ Capital Fund Reserve Net Changes To (From) Reserves Net Changes To (From) Reserves PUBLIC WORKS Use Changes Net Changes To (From) Reserves GENERAL FUND CIP General Fund 2010 - Page 3 of 84 FY 2011 Category Amount Description ENTERPRISE FUNDS ELECTRIC FUND Salary and Benefits $ (23,587) Removal of request to add 0.25 FTE Customer Service Representative Salary and Benefits (25,942) Removal of request to add 0.25 FTE Customer Service Specialist Salary and Benefits 10,658 Increase temporary salaries and related medical stipend for customer service and support Allocated Charges 68,011 Utilites Administration charges for addition of 1.0 FTE Senior Auditor Use Changes 29,140 Net Changes To (From) Reserves $ (29,140) Fund Balancing Entries $ 4,488,356 Change in Fund Balance- Supply (4,492,000) Change in Fund Balance- Calaveras (25,496) Change in Fund Balance- Distribution Total Electric Fund $ (29,140) FIBER OPTICS FUND 7 Allocated Charges $ 4,379 Utilites Administration charges for addition of 1.0 FTE Senior Auditor Salary and Benefits (4,575) Decrease temporary salaries and related medical stipend; redistribute to other Utilities Funds for customer service and support Use Changes (196) Net Changes To (From) Reserves $ 196 Fund Balancing Entries 196 Change in Fund Balance Total Fiber Optics Fund $ 196 CITY OF PALO ALTO AMENDMENTS TO THE CITY MANAGER'S 2011 PROPOSED BUDGET Exhibit B Enterprise Funds 2010 - Page 1 of 85 FY 2011 Category Amount Description CITY OF PALO ALTO AMENDMENTS TO THE CITY MANAGER'S 2011 PROPOSED BUDGET Exhibit B GAS FUND 7 Salary and Benefits $ (23,587) Removal of request to add 0.25 FTE Customer Service Representative Salary and Benefits (25,942) Removal of request to add 0.25 FTE Customer Service Specialist Salary and Benefits 46,787 Increase temporary salaries and related medical stipend for customer service and support Allocated Charges 34,254 Utilites Administration charges for addition of 1.0 FTE Senior Auditor Use Changes 31,512 Net Changes To (From) Reserves $ (31,512) Fund Balancing Entries $ (2,793) Change in Fund Balance- Supply (28,719) Change in Fund Balance- Distribution Total Gas Fund $ (31,512) WATER FUND 7 Salary and Benefits $ (23,587) Removal of request to add 0.25 FTE Customer Service Representative Salary and Benefits (25,942) Removal of request to add 0.25 FTE Customer Service Specialist Salary and Benefits 26,435 Increase temporary salaries and related medical stipend for customer service and support Allocated Charges 30,951 Utilites Administration charges for addition of 1.0 FTE Senior Auditor Non-salary 67,000 To correct proposed amount for CIP projects Use Changes 74,857 Net Changes To (From) Reserves $ (74,857) Fund Balancing Entries $ (74,857) Change in Fund Balance Total Water Fund $ (74,857) Enterprise Funds 2010 - Page 2 of 86 FY 2011 Category Amount Description CITY OF PALO ALTO AMENDMENTS TO THE CITY MANAGER'S 2011 PROPOSED BUDGET Exhibit B WASTEWATER COLLECTION FUND Salary and Benefits $ (23,587) Removal of request to add 0.25 FTE Customer Service Representative Salary and Benefits (25,942) Removal of request to add 0.25 FTE Customer Service Specialist Salary and Benefits 50,836 Increase temporary salaries and related medical stipend for customer service and support Allocated Charges 18,520 Utilites Administration charges for addition of 1.0 FTE Senior Auditor Use Changes 19,827 Net Changes To (From) Reserves $ (19,827) Fund Balancing Entries $ (19,827) Change in Fund Balance Total Wastewater Collection Fund $ (19,827) UTILITIES ADMINISTRATION FUND Revenue $ 156,115 Reimbursements from Utilities Funds for addition of 1.0 FTE Senior Auditor Revenue Changes 156,115 Salary and Benefits 156,115 Add 1.0 Senior Auditor in City Auditor's Office Use Changes 156,115 Net Changes To (From) Reserves $ - Fund Balancing Entries 0 Change in Fund Balance Total Utilities Administration Fund $ - REFUSE FUND $ 10,883 Restore 0.1 FTE Engineering Tech III (0.9 FTE allocated to CIP sidewalk repair and replacement) Use Changes 10,883 Net Changes To (From) Reserves $ (10,883) Fund Balancing Entries (10,883) Change in Fund Balance Total Refuse Fund $ (10,883) Enterprise Funds 2010 - Page 3 of 87 FY 2011 Category Description Source Changes (3,491,539)$ Property tax assessment for 2010 GO Library Bonds 1,472,000 Interest debt service payment Use Changes 1,472,000 2,019,539$ Use Changes Non-salary (3,193,500) Remove CIP VR-11000 Scheduled Vehicle and Equipment Replacements; An evaluation of the vehicle fleet will be made during FY 2011, and this CIP will be adjusted and reinstated accordingly. 3,193,500$ Non-salary 84,000 Increase Capital Improvement Project to balance with FY 2011 Proposed Capital Budget to reflect correction Non-salary 66,119 Increase Fiber Optic allocated charges to reflect correction Use Changes 150,119 (150,119)$ Salary & Benefit 35,400 Reinstate 0.48 Temporary FTE Print Shop Assistant and Reclass Mailing Services Specislaist position to Offset Equipment Operator Salary & Benefit 5,996 One-month severance pay for staff laid off (per SEIU contract) Non-salary (35,400) Reduce Rent-Office Machine and Furniture expense Use Changes 5,996 (5,996)$ Source Changes 387,079$ Department charges Salary & Benefit 387,079 Change in employee benefits Use Changes 387,079 -$ Net Changes To (From) Reserves Net Changes To (From) Reserves GENERAL BENEFITS & INSURANCE F Net Changes To (From) Reserves Amount Exhibit B CITY OF PALO ALTO AMENDMENTS TO THE CITY MANAGER'S 2011 PROPOSED BUDGET PRINTING & MAILING DEBT SERVICE FUNDS LIBRARY BONDS Net Changes To (From) Reserves INTERNAL SERVICE INFORMATION TECHNOLOGY Net Changes To (From) Reserves VEHICLE REPLACEMENT FUND Special Revenue Funds 2010 - Page 4 of 8 8 FY 2011 Category DescriptionAmount Exhibit B CITY OF PALO ALTO AMENDMENTS TO THE CITY MANAGER'S 2011 PROPOSED BUDGET Source Changes 91,298$ Department charges Salary & Benefit 91,298 Change in employee benefits Use Changes 91,298 -$ Net Changes To (From) Reserves RETIREE HEALTH BENEFIT FUND Special Revenue Funds 2010 - Page 5 of 8 9 Summary of Position Changes FTE GENERAL FUND FY 2010 ADOPTED BUDGET 622.51 FY 2010 BAO Position Adjustments Tree Maintenance Person (PWD)(2.00) Tree Maintenance Specialist (PWD) 2.00 FY 2010 ADJUSTED TOTAL 622.51 FY 2011 New Positions Administrator (CMO)0.50 FY 2011 Total New Positions 0.50 FY 2011 Reclassified Positions Transportation Manager (PCE)(1.00) Chief Transportation Official (PCE) 1.00 FY 2011 Total Reclassified Positions 0.00 FY 2011 Reallocated Positions Business Analyst (ASD)(0.10) Contracts Administrator (ASD)(0.60) Senior Business Analyst (ASD)(0.20) Senior Engineer (PWD)(0.10) Senior Financial Analyst (ASD)(1.10) Warehouse Supervisor (ASD)(0.50) Assistant to City Manager (CMO)(0.45) Planner (PCE)(0.30) Senior Deputy City Attorney (ATT)(1.00) FY 2011 Total Reallocated Positions (4.35) FY 2011 Eliminated Positions Accounting Specialist (ASD)(1.00) Administrative Associate III (ASD)(0.96) Administrative Associate II (CMO)(1.00) Administrative Associate I (CSD)(2.00) Building Serviceperson (CSD)(2.00) Coordinator Child Care (CSD)(1.00) Coordinator Recreation Programs (CSD)(0.50) Cubberley Center & Human Services Division Manager (CSD)(1.00) Golf Course Equipment Mechanic (CSD)(1.00) Golf Course Maintenance Person (CSD)(4.00) Park Maintenance Person (CSD)(5.00) Parks Crew-Lead (CSD)(1.00) City of Palo Alto Operating Budget FY 2011 10 EXHIBIT C Summary of Position Changes FTE Prod Arts/Science Program (CSD)(1.00) Program Assistant I (CSD)(0.25) Sprinkler System Repairer (CSD)(1.00) Administrative Assistant (FIR)(1.00) Hazardous Material Specialist EMT (FIR)(0.95) Senior Librarian (LIB)(1.00) Administrative Associate I (PCE)(1.00) Building Inspector Specialist (PCE)(1.00) Building/Planning Technician (PCE)(1.00) Senior Planner (PCE)(1.00) Code Enforcement Officer (POL)(0.50) Crime Analyst (POL)(1.00) Police Officer (POL)(1.00) Police Records Specialist II (POL)(1.00) Program Coordinator (POL)(1.00) Building Serviceperson (PWD)(3.00) Supervising Project Engineer (PWD)(1.00) Traffic Control Maintainer II (1.00) FY 2011 Total Eliminated Positions (39.16) FY 2011 TOTAL PROPOSED GENERAL FUND POSITIONS 579.50 ENTERPRISE FUNDS FY 2010 ADOPTED BUDGET 356.24 FY 2010 Position Adjustments Cathodic Protection Technician/Assistant (UTL)1.00 Gas System Technician II (UTL 1.00 Utility Field Service Representative (UTL)(1.00) Water System Operator II (UTL)(1.00) FY 2010 ADJUSTED TOTAL 356.24 FY 2011 New Positions Manager Communications (UTL)1.00 Senior Business Analyst (UTL)1.00 Utility Installer/Repairer (UTL)2.00 Senior Performance Auditor (AUD)1.00 Utilities Compliance Manager (UTL)1.00 FY 2011 Total New Positions 6.00 FY 2011 Reclassified Positions Assoc Resource Planner (UTL)(1.00) Resource Planner (UTL)1.00 Electric Project Engineer (UTL) 1.00 Gas Systems Technician (UTL) 1.00 City of Palo Alto Operating Budget FY 2011 11 EXHIBIT C Summary of Position Changes FTE Heavy Equipment Operator (UTL)(1.00) Meter Shop Lead (UTL)(1.00) Power Engineer (UTL)1.00 Project Engineer (UTL)(1.00) Senior Resources Originator (UTL)(1.00) Senior Resource Planner (UTL) 1.00 Supervising Electric Project Engineer (UTL)(1.00) Supervising Project Engineer (UTL) 1.00 Utilities Engineer Estimator Lead (UTL)(1.00) Water Meter/Cross Connection Technician (UTL) 1.00 FY 2011 Total Reclassified Positions 0.00 FY 2011 Reallocated Positions Assistant to City Manager (CMO)0.45 Offset Equip Op (ASD)0.48 Planner (PCE)0.30 Senior Engineer (PWD)0.30 Senior Financial Analyst (ASD)0.50 Senior Deputy City Attorney (ATT)1.00 Warehouse Supv (ASD)0.50 FY 2011 Total Reallocated Positions 3.53 FY 2011 Eliminated Positions Hazardous Materials Specialist (FIR)(0.05) FY 2011 Total Eliminated Positions (0.05) FY 2011 TOTAL PROPOSED ENTERPRISE FUND POSITIONS 365.72 OTHER FUNDS FY 2010 ADOPTED BUDGET 76.60 FY 2010 BAO Position Adjustments None FY 2010 ADJUSTED TOTAL 76.60 FY 2011 New Positions Administrator (CMO)0.50 Accounting Specialist (ASD) 0.50 FY 2011 Total New Positions 1.00 FY 2011 Reclassified Positions Mailing Services Specialist (ASD)(1.00) Offset Equipment Operator (ASD) 1.00 City of Palo Alto Operating Budget FY 2011 12 EXHIBIT C Summary of Position Changes FTE FY 2011 Total Reclassified Positions 0.00 FY 2011 Reallocated Positions Offset Equipment Operator (ASD)(0.48) Business Analyst (ASD)0.10 Contracts Administrator (ASD) 0.60 Senior Business Analyst (ASD) 0.20 Senior Engineer (PWD)(0.20) Senior Financial Analyst (ASD) 0.60 FY 2011 Total Reallocated Positions 0.82 FY 2011 Eliminated Positions Administrative Associate III (ASD)(0.04) Offset Equipment Operator - Lead (ASD)(1.00) Supervisor Reproduction & Mail (ASD)(1.00) Technologist (ASD)(1.00) Administrative Associate I (PWD)(1.00) Project Manager (PWD)(1.00) FY 2011 Total Eliminated Positions (5.04) FY 2011 TOTAL ADOPTED OTHER FUNDS POSITIONS 73.38 FY 2011 TOTAL PROPOSED CITYWIDE POSITIONS 1018.60 City of Palo Alto Operating Budget FY 2011 13 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change GENERAL FUND City Attorney Assistant City Attorney 1.00 1.00 1.00 1.00 1.00 0.00 City Attorney 1.00 1.00 1.00 1.00 1.00 0.00 Claims Investigator 0.60 0.60 0.60 0.60 0.60 0.00 Deputy City Attorney 0.00 0.00 0.00 0.00 0.00 0.00 Legal Secretary - Confidential 0.00 0.00 0.00 0.00 0.00 0.00 Legal Services Administrator (15)1.00 1.00 1.00 1.00 1.00 0.00 Secretary to City Attorney 1.00 1.00 1.00 1.00 1.00 0.00 Senior Assistant City Attorney 2.00 2.00 2.00 2.00 2.00 0.00 Senior Deputy City Attorney (10)2.00 2.00 2.00 2.00 1.00 (1.00) Senior Legal Secretary 2.00 2.00 2.00 2.00 2.00 0.00 Total City Attorney 10.60 10.60 10.60 10.60 9.60 (1.00) City Auditor Administrative Assistant 1.00 1.00 1.00 1.00 1.00 0.00 City Auditor 1.00 1.00 1.00 1.00 1.00 0.00 Deputy City Auditor 0.00 0.00 0.00 0.00 0.00 0.00 Performance Auditor (16)0.00 0.00 0.00 0.00 0.00 0.00 Senior Performance Auditor (17)2.00 2.00 2.00 2.00 2.00 0.00 Total City Auditor 4.00 4.00 4.00 4.00 4.00 0.00 City Clerk Administrative Associate III 3.00 3.00 3.00 3.00 3.00 0.00 Assistant City Clerk 1.00 1.00 1.00 1.00 1.00 0.00 City Clerk 1.00 1.00 1.00 1.00 1.00 0.00 Deputy City Clerk 1.00 1.00 1.00 1.00 1.00 0.00 Hearing Officer (25)0.75 0.75 0.75 0.75 0.75 0.00 Total City Clerk 6.75 6.75 6.75 6.75 6.75 0.00 City Manager Administrative Assistant 1.00 1.00 1.00 1.00 1.00 0.00 Administrative Associate I 1.50 1.50 1.50 1.50 1.50 0.00 Administrative Associate II (9)1.00 1.00 1.00 1.00 0.00 (1.00) Administrator (1)0.00 0.00 0.00 0.00 0.50 0.50 Assistant City Manager 1.00 1.00 1.00 1.00 1.00 0.00 Assistant to City Manager (7)2.00 2.00 2.00 2.00 1.50 (0.50) City Manager 1.00 1.00 1.00 1.00 1.00 0.00 Communications Manager (18)1.00 1.00 1.00 1.00 1.00 0.00 Deputy City Manager 0.00 0.50 0.50 0.50 0.50 0.00 Executive Assistant to the City Manager 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Communications 1.00 0.00 0.00 0.00 0.00 0.00 Senior Administrator 1.00 0.00 0.00 0.00 0.00 0.00 Total City Manager 11.50 10.00 10.00 10.00 9.00 (1.00) City of Palo Alto Operating Budget FY 2011 14 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Administrative Services Department Accountant (28)3.00 2.00 2.00 2.00 2.00 0.00 Accounting Specialist (9)11.00 8.00 8.00 8.00 7.00 (1.00) Accounting Specialist - Lead 5.00 5.00 5.00 5.00 5.00 0.00 Administrative Assistant 0.93 0.93 0.93 0.93 0.93 0.00 Administrative Associate III (9)0.96 0.96 0.96 0.96 0.00 (0.96) Assistant Director, Administrative Services 0.60 0.60 0.60 0.60 0.60 0.00 Assistant Storekeeper 0.00 0.00 0.00 0.00 0.00 0.00 Business Analyst (11)0.10 0.10 0.10 0.10 0.00 (0.10) Buyer 1.95 1.95 1.95 1.95 1.95 0.00 Contracts Administrator (3)2.00 2.00 2.00 2.00 1.40 (0.60) Deputy Director, Administrative Services 0.80 0.80 0.80 0.80 0.80 0.00 Director, Administrative Services 0.50 0.50 0.50 0.50 0.50 0.00 Graphic Designer 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Accounting 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Budget 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Purchasing/Contract Administrator 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Real Property 1.00 1.00 1.00 1.00 1.00 0.00 Payroll Analyst 2.00 2.00 2.00 2.00 2.00 0.00 Real Property Analyst 0.00 0.00 0.00 0.00 0.00 0.00 Real Property Agent 0.00 0.00 0.00 0.00 0.00 0.00 Senior Accountant 4.00 3.00 3.00 3.00 3.00 0.00 Senior Business Analyst (12)0.20 0.20 0.20 0.20 0.00 (0.20) Senior Financial Analyst (4), (5)7.91 6.91 6.91 6.91 5.81 (1.10) Senior Buyer 0.00 0.00 0.00 0.00 0.00 0.00 Staff Secretary 0.00 0.00 0.00 0.00 0.00 0.00 Storekeeper 1.00 0.00 0.00 0.00 0.00 0.00 Storekeeper - Lead 1.00 1.00 1.00 1.00 1.00 0.00 Warehouse Supervisor (6)1.00 1.00 1.00 1.00 0.50 (0.50) Total Administrative Services 48.95 41.95 41.95 41.95 37.49 (4.46) Community Services Department Administrative Assistant 1.00 1.00 1.00 1.00 1.00 0.00 Administrative Associate I (9)2.50 2.00 2.00 2.00 0.00 (2.00) Administrative Associate III 0.00 0.75 0.75 0.75 0.75 0.00 Administrator Special Events 0.00 0.00 0.00 0.00 0.00 0.00 Arts and Culture Division Manager 1.00 1.00 1.00 1.00 1.00 0.00 Building Serviceperson (9)4.00 4.00 4.00 4.00 2.00 (2.00) Building Serviceperson - Lead 2.00 2.00 2.00 2.00 2.00 0.00 Community Services Senior Program Manager (21)1.00 1.00 1.00 1.00 1.00 0.00 Community Services Superintendent (20)1.00 1.00 1.00 1.00 1.00 0.00 Coordinator, Child Care (9)1.00 1.00 1.00 1.00 0.00 (1.00) Coordinator, Recreation Programs (9)5.00 5.00 5.00 5.00 4.50 (0.50) Cubberley Center and Human Svc Div Mgr (9)1.00 1.00 1.00 1.00 0.00 (1.00) Director, Community Services 1.00 1.00 1.00 1.00 1.00 0.00 City of Palo Alto Operating Budget FY 2011 15 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Division Manager, Golf & Parks 0.00 0.00 0.00 0.00 0.00 0.00 Division Manager, Recreation & Golf 1.00 1.00 1.00 1.00 1.00 0.00 Division Manager, Rec and Youth Sciences 0.00 0.00 0.00 0.00 0.00 0.00 Golf Course Equipment Mechanic (9)1.00 1.00 1.00 1.00 0.00 (1.00) Golf Course Maintenance Person (9)5.00 4.00 4.00 4.00 0.00 (4.00) Inspector, Field Services 2.00 2.00 2.00 2.00 2.00 0.00 Jr. Museum & Zoo Lead Educator 0.00 2.25 2.25 2.25 2.25 0.00 Jr. Museum & Zoo Lead Instructor 0.00 0.00 0.00 0.00 0.00 0.00 Management Assistant 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Arts 2.00 2.00 2.00 2.00 2.00 0.00 Open Space and Parks Division Manager 1.00 1.00 1.00 1.00 1.00 0.00 Park Maintenance Lead 1.00 1.00 1.00 1.00 1.00 0.00 Park Maintenance Person (9)11.00 11.00 11.00 11.00 6.00 (5.00) Park Ranger 5.00 5.00 5.00 5.00 5.00 0.00 Parks and Open Space Assistant 0.00 0.00 0.00 0.00 0.00 0.00 Parks Crew - Lead (9)3.00 3.00 3.00 3.00 2.00 (1.00) Producer Arts/Science Programs (9)12.50 13.00 13.00 13.00 12.00 (1.00) Program Assistant I (9)12.00 7.75 7.75 7.75 7.50 (0.25) Program Assistant II 3.00 3.00 3.00 3.00 3.00 0.00 Senior Management Analyst (19)1.00 1.00 1.00 1.00 1.00 0.00 Senior Ranger 1.00 0.00 0.00 0.00 0.00 0.00 Sprinkler System Repairer (9)5.00 5.00 5.00 5.00 4.00 (1.00) Superintendent, Parks 1.00 1.00 1.00 1.00 1.00 0.00 Supervisor, Open Space 1.00 2.00 2.00 2.00 2.00 0.00 Supervisor, Parks 1.00 1.00 1.00 1.00 1.00 0.00 Supervisor, Recreation Program (14)4.00 4.00 4.00 4.00 4.00 0.00 Theater Specialist 1.00 1.00 1.00 1.00 1.00 0.00 Volunteer Coordinator 0.50 0.50 0.50 0.50 0.50 0.00 Total Community Services 96.50 94.25 94.25 94.25 74.50 (19.75) Fire Administrative Assistant (9)1.00 1.00 1.00 1.00 0.00 (1.00) Administrative Associate II 4.00 4.00 4.00 4.00 4.00 0.00 Battalion Chief 3.00 3.00 3.00 3.00 3.00 0.00 Deputy Fire Chief/Fire Marshal 0.84 0.84 0.84 0.84 0.84 0.00 Deputy Fire Chief (22)2.00 2.00 2.00 2.00 2.00 0.00 Deputy Fire Chief OPS/Support 0.00 0.00 0.00 0.00 0.00 0.00 EMS Chief 1.00 0.00 0.00 0.00 0.00 0.00 EMS Coordinator 1.00 1.00 1.00 1.00 1.00 0.00 EMT Basic 3.00 0.00 0.00 0.00 0.00 0.00 Fire Apparatus Operator 30.00 30.00 30.00 30.00 30.00 0.00 Fire Captain 27.00 27.00 27.00 27.00 27.00 0.00 Fire Chief 1.00 1.00 1.00 1.00 1.00 0.00 Fire Fighter 45.00 45.00 45.00 45.00 45.00 0.00 Fire Inspector 3.00 3.00 3.00 3.00 3.00 0.00 City of Palo Alto Operating Budget FY 2011 16 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Hazardous Materials Fire Apparatus Operator 0.00 0.00 0.00 0.00 0.00 0.00 Hazardous Materials Fire Captain 0.00 0.00 0.00 0.00 0.00 0.00 Hazardous Materials Fire Fighter 0.00 0.00 0.00 0.00 0.00 0.00 Hazardous Materials Inspector 1.90 1.90 1.90 1.90 1.90 0.00 Hazardous Materials Specialist (9)0.95 0.95 0.95 0.95 0.00 (0.95) OES Coordinator 1.00 1.00 1.00 1.00 1.00 0.00 Paramedic Captain 0.00 0.00 0.00 0.00 0.00 0.00 Paramedic Fire Fighter 0.00 0.00 0.00 0.00 0.00 0.00 Paramedic Inspector 0.00 0.00 0.00 0.00 0.00 0.00 Paramedic Operator 0.00 0.00 0.00 0.00 0.00 0.00 Training Captain 1.00 1.00 1.00 1.00 1.00 0.00 Total Fire 126.69 122.69 122.69 122.69 120.74 (1.95) Human Resources Department Administrative Assistant 1.00 1.00 1.00 1.00 1.00 0.00 Assistant Director Human Resources 1.00 1.00 1.00 1.00 1.00 0.00 Director, Human Resources 1.00 1.00 1.00 1.00 1.00 0.00 Human Resources Assistant - Conf 4.00 5.00 5.00 5.00 5.00 0.00 Human Resources Representative 2.00 2.00 2.00 2.00 2.00 0.00 Manager, Employee Relations 1.00 0.00 0.00 0.00 0.00 0.00 Manager, Human Resources & Development 0.00 0.00 0.00 0.00 0.00 0.00 Manager, Risk and Benefits 0.00 0.00 0.00 0.00 0.00 0.00 Senior Human Resources Administrator (26)5.00 5.00 5.00 5.00 5.00 0.00 Senior Management Analyst (19)1.00 1.00 1.00 1.00 1.00 0.00 Total Human Resources 16.00 16.00 16.00 16.00 16.00 0.00 Library Department Administrative Assistant 1.00 1.00 1.00 1.00 1.00 0.00 Assistant Director, Library Services 1.00 1.00 1.00 1.00 1.00 0.00 Business Analyst 0.00 1.00 1.00 1.00 1.00 0.00 Coordinator, Library Circulation 0.00 0.00 0.00 0.00 0.00 0.00 Coordinator, Library Programs 3.00 1.00 1.00 1.00 1.00 0.00 Director, Libraries 1.00 1.00 1.00 1.00 1.00 0.00 Division Head, Library Services 1.00 1.00 1.00 1.00 1.00 0.00 Librarian 5.00 5.00 5.00 5.00 5.00 0.00 Library Assistant 5.50 5.50 5.50 5.50 5.50 0.00 Library Associate 4.00 4.00 4.00 4.00 4.00 0.00 Library Services Manager (23)4.00 4.00 4.00 4.00 4.00 0.00 Library Specialist 8.00 8.00 8.00 8.00 8.00 0.00 Manager, Main Library Services 0.00 0.00 0.00 0.00 0.00 0.00 Management Assistant 1.00 1.00 1.00 1.00 1.00 0.00 Senior Librarian (9)9.25 8.75 8.75 8.75 7.75 (1.00) Total Library Department 43.75 42.25 42.25 42.25 41.25 (1.00) City of Palo Alto Operating Budget FY 2011 17 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Planning and Community Environment Department Administrative Assistant 1.00 1.00 1.00 1.00 1.00 0.00 Administrative Associate I (9)2.00 2.00 2.00 2.00 1.00 (1.00) Administrative Associate II 4.80 3.80 3.80 3.80 3.80 0.00 Administrative Associate III 1.00 1.00 1.00 1.00 1.00 0.00 Administrator, Planning & Comm Envir 1.00 1.00 1.00 1.00 1.00 0.00 Arborist 1.00 1.00 1.00 1.00 1.00 0.00 Assistant Building Official 1.00 1.00 1.00 1.00 1.00 0.00 Assistant Director, Planning & Comm Envir 1.00 0.00 0.00 0.00 0.00 0.00 Assistant Engineer 0.00 0.00 0.00 0.00 0.00 0.00 Assistant to City Manager (7)0.00 0.00 0.00 0.00 0.05 0.05 Associate Engineer 1.00 1.00 1.00 1.00 1.00 0.00 Building Inspector 4.00 4.00 4.00 4.00 4.00 0.00 Building Inspector Specialist (9)3.00 2.00 2.00 2.00 1.00 (1.00) Building/Planning Technician (9)3.00 3.00 3.00 3.00 2.00 (1.00) Chief Building Official 1.00 1.00 1.00 1.00 1.00 0.00 Chief Planning and Transportation Official 1.00 1.00 1.00 1.00 1.00 0.00 Chief Transportation Officer 0.00 0.00 0.00 0.00 0.00 0.00 Chief Transportation Official (2)0.00 0.00 0.00 0.00 1.00 1.00 City Traffic Engineer 0.00 0.00 0.00 0.00 0.00 0.00 Code Enforcement Officer 2.00 2.00 2.00 2.00 2.00 0.00 Coordinator, Transp Sys Mgmt 0.50 0.50 0.50 0.50 0.50 0.00 Deputy City Manager 0.00 0.50 0.50 0.50 0.50 0.00 Director, Planning and Comm Envir 1.00 1.00 1.00 1.00 1.00 0.00 Engineer 1.00 1.00 1.00 1.00 1.00 0.00 Engineering Technician II 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Economic Resources 0.00 0.00 0.00 0.00 0.00 0.00 Manager, Economic Devlpmt & Redevlpmt 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Planning 2.00 2.00 2.00 2.00 2.00 0.00 Managing Arborist 0.00 0.00 0.00 0.00 0.00 0.00 Permit Specialist 1.00 0.00 0.00 0.00 0.00 0.00 Planner (8)6.00 6.05 6.05 6.05 5.75 (0.30) Plan Checking Engineer 3.00 2.00 2.00 2.00 2.00 0.00 Project Engineer 1.00 1.00 1.00 1.00 1.00 0.00 Senior Planner (9)6.00 6.00 6.00 6.00 5.00 (1.00) Supervisor, Building Inspection 1.00 1.00 1.00 1.00 1.00 0.00 Transportation Manager (2)1.00 1.00 1.00 1.00 0.00 (1.00) Transportation Project Manager 0.00 0.00 0.00 0.00 0.00 0.00 Total Planning and Community Environment 53.30 48.85 48.85 48.85 44.60 (4.25) Police Department Administrative Assistant 1.00 1.00 1.00 1.00 1.00 0.00 Administrative Associate II 3.00 3.00 3.00 3.00 3.00 0.00 Animal Attendant 0.00 0.00 0.00 0.00 0.00 0.00 Animal Control Officer 4.50 4.50 4.50 4.50 4.50 0.00 City of Palo Alto Operating Budget FY 2011 18 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Animal Services Specialist 1.00 1.00 1.00 1.00 1.00 0.00 Animal Services Specialist II 1.00 1.00 1.00 1.00 1.00 0.00 Assistant Chief of Police 1.00 1.00 1.00 1.00 1.00 0.00 Business Analyst 1.00 1.00 1.00 1.00 1.00 0.00 Chief Communications Technician 0.00 0.00 0.00 0.00 0.00 0.00 Code Enforcement Officer (9)1.50 1.50 1.50 1.50 1.00 (0.50) Communication Technician 1.00 1.00 1.00 1.00 1.00 0.00 Community Service Officer 9.00 9.00 9.00 9.00 9.00 0.00 Community Service Officer - Lead 0.00 0.00 0.00 0.00 0.00 0.00 Court Liaison Officer 1.00 1.00 1.00 1.00 1.00 0.00 Crime Analyst (9)1.00 2.00 2.00 2.00 1.00 (1.00) Deputy Director Technical Services (24)1.00 1.00 1.00 1.00 1.00 0.00 Parking Enforcement Officer 0.00 0.00 0.00 0.00 0.00 0.00 Parking Enforcement Officer - Lead 0.00 0.00 0.00 0.00 0.00 0.00 Police Agent (9)19.00 19.00 19.00 19.00 19.00 0.00 Police Captain 2.00 2.00 2.00 2.00 2.00 0.00 Police Chief 1.00 1.00 1.00 1.00 1.00 0.00 Police Lieutenant 5.00 5.00 5.00 5.00 5.00 0.00 Police Officer (9)51.00 50.00 50.00 50.00 49.00 (1.00) Police Officer Training 0.00 0.00 0.00 0.00 0.00 0.00 Police Records Specialist I 0.00 0.00 0.00 0.00 0.00 0.00 Police Records Specialist II (9)9.00 7.00 7.00 7.00 6.00 (1.00) Police Records Specialist - Lead 1.00 1.00 1.00 1.00 1.00 0.00 Police Sergeant 14.00 14.00 14.00 14.00 14.00 0.00 Police Trainee 0.00 0.00 0.00 0.00 0.00 0.00 Program Assistant I 1.00 0.00 0.00 0.00 0.00 0.00 Program Assistant II 1.00 1.00 1.00 1.00 1.00 0.00 Program Coordinator (9)0.00 1.00 1.00 1.00 0.00 (1.00) Property and Evidence Technician 2.00 2.00 2.00 2.00 2.00 0.00 Public Safety Dispatcher I 2.00 2.00 2.00 2.00 2.00 0.00 Public Safety Dispatcher II 14.00 14.00 14.00 14.00 14.00 0.00 Public Safety Dispatcher - Lead 5.00 5.00 5.00 5.00 5.00 0.00 Safety Officer 0.00 0.00 0.00 0.00 0.00 0.00 Senior Management Analyst (19)1.00 1.00 1.00 1.00 1.00 0.00 Superintendent, Animal Services 1.00 1.00 1.00 1.00 1.00 0.00 Supervisor, Animal Services 1.00 1.00 1.00 1.00 1.00 0.00 Supervisor, Police Services 3.00 3.00 3.00 3.00 3.00 0.00 Veterinarian 1.00 1.00 1.00 1.00 1.00 0.00 Veterinarian Technician 2.00 2.00 2.00 2.00 2.00 0.00 Volunteer Coordinator 1.00 0.50 0.50 0.50 0.50 0.00 Total Police 164.00 161.50 161.50 161.50 157.00 (4.50) Public Works Department Accounting Specialist 0.00 0.04 0.04 0.04 0.04 0.00 Administrative Assistant 1.00 1.00 1.00 1.00 1.00 0.00 City of Palo Alto Operating Budget FY 2011 19 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Administrative Associate I 3.50 1.70 1.70 1.70 1.70 0.00 Administrative Associate II 2.00 1.80 1.80 1.80 1.80 0.00 Administrative Associate III 1.00 0.00 0.00 0.00 0.00 0.00 Assistant Director Public Works 1.10 1.10 1.10 1.10 1.10 0.00 Associate Engineer 0.10 0.10 0.10 0.10 0.10 0.00 Building Serviceperson (9)4.00 4.00 4.00 4.00 1.00 (3.00) Building Serviceperson - Lead 2.00 2.00 2.00 2.00 2.00 0.00 Coordinator, Public Works Projects 0.00 0.00 0.00 0.00 0.00 0.00 Deputy Director, Public Works Operations 0.00 0.00 0.00 0.00 0.00 0.00 Director, Public Works/City Engineer 1.00 1.00 1.00 1.00 1.00 0.00 Electrician 1.00 1.00 1.00 1.00 1.00 0.00 Engineer 1.20 0.30 0.30 0.30 0.30 0.00 Engineering Technician III 4.20 3.30 3.30 3.30 3.30 0.00 Equipment Operator 3.46 3.46 3.46 3.46 3.46 0.00 Equipment Parts Technician 0.00 0.00 0.00 0.00 0.00 0.00 Facilities Assistant 0.00 0.00 0.00 0.00 0.00 0.00 Facilities Carpenter 1.00 1.00 1.00 1.00 1.00 0.00 Facilities Electrician 0.00 0.00 0.00 0.00 0.00 0.00 Facilities Maintenance - Lead 2.00 2.00 2.00 2.00 2.00 0.00 Facilities Mechanic 6.00 6.00 6.00 6.00 6.00 0.00 Facilities Painter 2.00 2.00 2.00 2.00 2.00 0.00 Heavy Equipment Operator 1.90 1.90 1.90 1.90 1.90 0.00 Heavy Equipment Operator - Lead 0.85 0.85 0.85 0.85 0.85 0.00 Inspector, Field Services 1.00 1.00 1.00 1.00 1.00 0.00 Instrument Electrician 0.00 0.00 0.00 0.00 0.00 0.00 Management Analyst (27)1.00 0.00 0.00 0.00 0.00 0.00 Manager, Facilities Maintenance 0.80 0.80 0.80 0.80 0.80 0.00 Manager, Maintenance Operations 0.12 0.12 0.12 0.12 0.12 0.00 Managing Arborist 1.00 1.00 1.00 1.00 1.00 0.00 Project Engineer 0.20 0.20 0.20 0.20 0.20 0.00 Project Manager 1.75 1.75 1.75 1.75 1.75 0.00 Senior Accountant 0.00 0.02 0.02 0.02 0.02 0.00 Senior Engineer (13)0.30 0.30 0.30 0.30 0.20 (0.10) Senior Financial Analyst 0.00 0.16 0.16 0.16 0.16 0.00 Senior Management Analyst (19)0.90 0.90 0.90 0.90 0.90 0.00 Senior Project Manager 1.00 1.00 1.00 1.00 1.00 0.00 Staff Accountant 0.00 0.02 0.02 0.02 0.02 0.00 Superintendent, Public Works Operations 0.60 0.60 0.60 0.60 0.60 0.00 Supervising Project Engineer (9)1.00 1.00 1.00 1.00 0.00 (1.00) Supervisor, Building Services 0.00 0.00 0.00 0.00 0.00 0.00 Supervisor, Facilities Management 1.95 1.95 1.95 1.95 1.95 0.00 Supervisor, Inspec/Surveying, Public Works 0.80 0.80 0.80 0.80 0.80 0.00 Surveying Assistant 0.78 0.78 0.78 0.78 0.78 0.00 Surveyor, Public Works 0.78 0.78 0.78 0.78 0.78 0.00 Traffic Control Maintainer - Lead 1.00 1.00 1.00 1.00 1.00 0.00 City of Palo Alto Operating Budget FY 2011 20 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Traffic Control Maintenance I 1.94 1.94 1.94 1.94 1.94 0.00 Traffic Control Maintenance II (9)3.00 3.00 3.00 3.00 2.00 (1.00) Tree Maintenance Assistant 0.00 0.00 0.00 0.00 0.00 0.00 Tree Maintenance Person 2.00 2.00 0.00 0.00 0.00 0.00 Tree Maintenance Specialist 0.00 0.00 2.00 2.00 2.00 0.00 Tree Trimmer/Line Clearer 7.00 7.00 7.00 7.00 7.00 0.00 Tree Trimmer/Line Clearer Assistant 0.00 0.00 0.00 0.00 0.00 0.00 Tree Trimmer/Line Clearer - Lead 1.00 1.00 1.00 1.00 1.00 0.00 Total Public Works 69.23 63.67 63.67 63.67 58.57 (5.10) GENERAL FUND AUTHORIZED POSITIONS 651.27 622.51 622.51 622.51 579.50 (43.01) Footnotes: 1 Add 0.50 FTE Administrator 2 Drop 1.0 FTE Transportation Manager and add 1.0 FTE Chief Transportation Official 3 Reallocate 0.60 FTE Contracts Administrator to Other Funds - Capital 4 Reallocate 0.50 FTE Senior Financial Analyst to Utilities 5 Reallocate 0.60 FTE Senior Financial Analyst to Other Funds - Capital 6 Reallocate 0.50 FTE Warehouse Supervisor to Utilities 7 8 Reallocate 0.30 FTE Planner to Utilities 9 Elimination of various positions due to budget constraints 10 Reallocate 1.0 FTE Senior Deputy City Attorney to Utilities 11 Transfer 0.10 FTE Business Analyst to Technology Fund 12 Transfer 0.20 FTE Senior Business Analyst to Technology Fund 13 Transfer 0.10 FTE Senior Engineer to Public Works - Enterprise Fund 14 15 Title change from Legal Administrator to Legal Services Administrator 16 Title change from Auditor to Performance Auditor 17 Title change from Senior Auditor to Senior Performance Auditor 18 Title change from Public Communication Manager to Communications Manager 19 Title change from Senior Administrator to Senior Management Analyst 20 21 22 Title change from Deputy Fire Chief EMT to Deputy Fire Chief 23 Title change from Supervisor, Librarian to Library Services Manager 24 25 Title change from Parking Examiner to Hearing Officer 26 27 Title change from Administrator, Public Works to Management Analyst Reallocate 0.05 FTE Assistant to City Manager to Planning and Community Environment, 0.10 FTE to Public Works - Enterprise and 0.35 FTE to Utilities Reclassification of 2.0 FTE Supervisor, Recreation Programs to Senior Supervisor, Recreation Programs Title change from Coordinator, Police Technical Services to Deputy Director Technical Services Division Title change from Superintendent, Golf Course to Community Services Superintendent Title change from Supervisor, Junior Museum to Community Services Senior Program Title change from Administrator, Human Resources to Senior Human Resources Administrator City of Palo Alto Operating Budget FY 2011 21 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change 28 Title change from Staff Accountant to Accountant ENTERPRISE FUNDS Public Works Department Refuse, Storm Drainage and Wastewater Treatment Accountant (25)0.00 0.23 0.23 0.23 0.23 0.00 Accounting Specialist 0.00 0.46 0.46 0.46 0.46 0.00 Administrator, Refuse 1.00 1.00 1.00 1.00 1.00 0.00 Assistant Director, Public Works 0.75 0.75 0.75 0.75 0.75 0.00 Assistant to City Manager (13)0.00 0.00 0.00 0.00 0.10 0.10 Administrative Associate II 3.00 3.20 3.20 3.20 3.20 0.00 Asst Manager, Water Quality Control Plant 1.00 1.00 1.00 1.00 1.00 0.00 Associate Engineer 3.30 3.30 3.30 3.30 3.30 0.00 Associate Planner 1.00 1.00 1.00 1.00 1.00 0.00 Business Analyst 1.13 1.13 1.13 1.13 1.13 0.00 Buyer 1.00 1.00 1.00 1.00 1.00 0.00 Chemist 3.00 3.00 3.00 3.00 3.00 0.00 Coordinator Environmental Protection 0.00 0.00 0.00 0.00 0.00 0.00 Coordinator Recycling 0.00 0.00 0.00 0.00 0.00 0.00 Coordinator Zero Waste 2.00 2.00 2.00 2.00 2.00 0.00 Deputy Fire Chief/Fire Marshal 0.08 0.08 0.08 0.08 0.08 0.00 Electrician 3.00 3.00 3.00 3.00 3.00 0.00 Electrician - Lead 2.00 2.00 2.00 2.00 2.00 0.00 Engineer 1.10 1.00 1.00 1.00 1.00 0.00 Engineering Technician I 1.00 0.00 0.00 0.00 0.00 0.00 Engineering Technician III 1.50 1.40 1.40 1.40 1.40 0.00 Environmental Specialist 2.00 2.00 2.00 2.00 2.00 0.00 Equipment Operator 0.54 0.54 0.54 0.54 0.54 0.00 Executive Assistant 2.00 2.00 2.00 2.00 2.00 0.00 Hazardous Materials Inspector 0.04 0.04 0.04 0.04 0.04 0.00 Hazardous Materials Specialist (19)0.02 0.02 0.02 0.02 0.00 (0.02) Heavy Equipment Operator 5.90 5.90 5.90 5.90 5.90 0.00 Heavy Equipment Operator - Lead 3.15 3.15 3.15 3.15 3.15 0.00 Industrial Waste Assistant Inspector 0.00 1.00 1.00 1.00 1.00 0.00 Industrial Waste Inspector 1.00 1.00 1.00 1.00 1.00 0.00 Industrial Waste Investigator 2.00 2.00 2.00 2.00 2.00 0.00 Laboratory Tech, Water Quality Control Plant 2.50 2.50 2.50 2.50 2.50 0.00 Landfill Technician 1.00 1.00 1.00 1.00 1.00 0.00 Maintenance Mechanic 7.00 7.00 7.00 7.00 7.00 0.00 Manager, Environmental Compliance 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Environmental Control Program 3.00 3.00 3.00 3.00 3.00 0.00 Manager, Laboratory Services 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Maintenance Operations 1.38 1.38 1.38 1.38 1.38 0.00 Manager, Solid Waste 1.00 1.00 1.00 1.00 1.00 0.00 City of Palo Alto Operating Budget FY 2011 22 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Manager, Water Quality Control Plant 1.00 1.00 1.00 1.00 1.00 0.00 Program Assistant I 2.00 2.00 2.00 2.00 2.00 0.00 Program Assistant II 1.00 1.00 1.00 1.00 1.00 0.00 Program Analyst 0.00 0.00 0.00 0.00 0.00 0.00 Project Engineer 2.00 2.00 2.00 2.00 2.00 0.00 Refuse Disposal Attendant 4.00 4.00 4.00 4.00 4.00 0.00 Senior Accountant 0.00 0.23 0.23 0.23 0.23 0.00 Senior Chemist 1.00 1.00 1.00 1.00 1.00 0.00 Senior Engineer (20)2.45 2.45 2.45 2.45 2.75 0.30 Senior Financial Analyst 0.00 0.16 0.16 0.16 0.16 0.00 Senior Industrial Waste Inspector 0.00 0.00 0.00 0.00 0.00 0.00 Senior Management Analyst (21)0.10 0.10 0.10 0.10 0.10 0.00 Senior Mechanic, Water Quality Control 1.00 1.00 1.00 1.00 1.00 0.00 Senior Operator, Water Quality Control 6.00 6.00 6.00 6.00 6.00 0.00 Senior Technologist 0.13 0.13 0.13 0.13 0.13 0.00 Storekeeper 1.00 1.00 1.00 1.00 1.00 0.00 Street Maintenance Assistant 2.00 2.00 2.00 2.00 2.00 0.00 Street Sweeper Operator 7.00 7.00 7.00 7.00 7.00 0.00 Street Sweeper Operator - Lead 0.00 0.00 0.00 0.00 0.00 0.00 Superintendent, Public Works Operations 0.20 0.20 0.20 0.20 0.20 0.00 Supervisor, Public Works 1.00 1.00 1.00 1.00 1.00 0.00 Supervisor, Water Quality Control Operations 5.00 5.00 5.00 5.00 5.00 0.00 Surveying Assistant 0.11 0.11 0.11 0.11 0.11 0.00 Surveyor, Public Works 0.11 0.11 0.11 0.11 0.11 0.00 Technologist 0.00 0.00 0.00 0.00 0.00 0.00 Traffic Control Maintenance I 0.06 0.06 0.06 0.06 0.06 0.00 Truck Driver 0.00 0.00 0.00 0.00 0.00 0.00 Water Quality Control Plant Operator I 0.00 0.00 0.00 0.00 0.00 0.00 Water Quality Control Plant Operator II 16.00 16.00 16.00 16.00 16.00 0.00 Water Quality Control Plant Operator Trainee 0.00 0.00 0.00 0.00 0.00 0.00 Total Public Works - Enterprise 113.55 114.63 114.63 114.63 115.01 0.38 Utilities Department Administration, Electric, Gas, Wastewater Collection and Water Account Representatives 3.00 3.00 3.00 3.00 3.00 0.00 Accountant (25)0.00 0.75 0.75 0.75 0.75 0.00 Accounting Specialist 1.00 2.50 2.50 2.50 2.50 0.00 Administrative Assistant 1.00 1.00 1.00 1.00 1.00 0.00 Administrative Associate I 2.00 2.00 2.00 2.00 2.00 0.00 Administrative Associate II 7.00 7.00 7.00 7.00 7.00 0.00 Assistant Power Engineer 0.00 0.00 0.00 0.00 0.00 0.00 Assistant Resource Planner 0.00 0.00 0.00 0.00 0.00 0.00 Associate Power Engineer 0.00 0.00 0.00 0.00 0.00 0.00 Associate Resource Planner (7)1.00 1.00 1.00 1.00 0.00 (1.00) Assistant Director Customer Support Services 1.00 1.00 1.00 1.00 1.00 0.00 City of Palo Alto Operating Budget FY 2011 23 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Assistant Director Utilities/Admin Svc 0.00 0.00 0.00 0.00 0.00 0.00 Assistant Director Utilities/Engineering 1.00 1.00 1.00 1.00 1.00 0.00 Assistant Director Utilities/Operations 1.00 1.00 1.00 1.00 1.00 0.00 Assistant Director Utilities/Res Mgmt 1.00 1.00 1.00 1.00 1.00 0.00 Assistant to City Manager (13)0.00 0.00 0.00 0.00 0.35 0.35 Business Analyst 2.87 2.87 2.87 2.87 2.87 0.00 Cathodic Technician 1.00 1.00 1.00 1.00 1.00 0.00 Cathodic Protection Technician/Assistant 0.00 0.00 1.00 0.00 1.00 0.00 Cement Finisher 1.00 1.00 1.00 1.00 1.00 0.00 Chief Electric Underground Inspector 0.00 0.00 0.00 0.00 0.00 0.00 Chief Inspector Water, Gas, Wastewater 0.00 0.00 0.00 0.00 0.00 0.00 Communications Manager (4)0.00 0.00 0.00 0.00 1.00 1.00 Contracts Administrator 1.00 1.00 1.00 1.00 1.00 0.00 Coordinator, Utility Safety & Security 1.00 1.00 1.00 1.00 1.00 0.00 Coordinator, Utility Projects 4.00 4.00 4.00 4.00 4.00 0.00 Customer Service Representative (2)5.00 5.00 5.00 5.00 5.00 0.00 Customer Service Specialist (3)2.00 2.00 2.00 2.00 2.00 0.00 Customer Service Specialist - Lead 1.00 2.00 2.00 2.00 2.00 0.00 Deputy Director, Administrative Services 0.20 0.20 0.20 0.20 0.20 0.00 Deputy Fire Chief/Fire Marshal 0.08 0.08 0.08 0.08 0.08 0.00 Director, Administrative Services 0.15 0.15 0.15 0.15 0.15 0.00 Director, Utilities 1.00 1.00 1.00 1.00 1.00 0.00 Electric Project Engineer (10)1.00 1.00 1.00 1.00 2.00 1.00 Electric Underground Inspector 2.00 2.00 2.00 2.00 2.00 0.00 Electric Underground Inspector Lead 1.00 1.00 1.00 1.00 1.00 0.00 Electrical Assistant I 5.00 5.00 5.00 5.00 5.00 0.00 Electrician 14.00 14.00 14.00 14.00 14.00 0.00 Electrician - Apprentice 0.00 0.00 0.00 0.00 0.00 0.00 Electrician - Lead 6.00 6.00 6.00 6.00 6.00 0.00 Engineer 4.00 4.00 4.00 4.00 4.00 0.00 Engineering Manager, Electric 1.00 1.00 1.00 1.00 1.00 0.00 Engineering Mgr, Water, Gas, Wastewater 1.00 1.00 1.00 1.00 1.00 0.00 Engineering Technician III 3.00 3.00 3.00 3.00 3.00 0.00 Equipment Operator 2.00 1.00 1.00 1.00 1.00 0.00 Equipment Operator - Lead 0.00 0.00 0.00 0.00 0.00 0.00 Field Service Person Water, Gas, Wastewater 0.00 0.00 0.00 0.00 0.00 0.00 Gas System Technician (9)2.00 0.00 1.00 1.00 2.00 1.00 Gas System Technician II 0.00 0.00 1.00 0.00 1.00 0.00 Hazardous Materials Inspector 0.06 0.06 0.06 0.06 0.06 0.00 Hazardous Materials Specialist (19)0.03 0.03 0.03 0.03 0.00 (0.03) Heavy Equipment Operator (8)10.00 10.00 10.00 10.00 9.00 (1.00) Inspector, Field Services 4.00 4.00 4.00 4.00 4.00 0.00 Lineperson/Cable Splicer 11.00 11.00 11.00 11.00 11.00 0.00 Lineperson/Cable Splicer - Apprentice 0.00 0.00 0.00 0.00 0.00 0.00 Lineperson/Cable Splicer - Lead 4.00 4.00 4.00 4.00 4.00 0.00 City of Palo Alto Operating Budget FY 2011 24 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Lineperson/Cable Splicer - Lead Trainee 0.00 0.00 0.00 0.00 0.00 0.00 Lineperson/Cable Splicer - Trainee 0.00 0.00 0.00 0.00 0.00 0.00 Maintenance Mechanic 1.00 1.00 1.00 1.00 1.00 0.00 Maintenance Mechanic - Welding 1.00 1.00 1.00 1.00 1.00 0.00 Manager Utilities Telecommunication 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Electric Operations 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Energy Risk 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Field and Customer Service 1.00 0.00 0.00 0.00 0.00 0.00 Mgr, Customer Svc and Meter Reading 0.00 1.00 1.00 1.00 1.00 0.00 Manager, Utilities Marketing Services 1.00 1.00 1.00 1.00 1.00 0.00 Mgr, Util Operations Water, Gas, Wastewater 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Utilities Rates 0.00 0.00 0.00 0.00 0.00 0.00 Marketing Engineer 1.00 1.00 1.00 1.00 1.00 0.00 Meter Reader 6.00 6.00 6.00 6.00 6.00 0.00 Meter Reader - Lead 1.00 1.00 1.00 1.00 1.00 0.00 Meter Shops Lead (9)0.00 1.00 1.00 1.00 0.00 (1.00) Offset Equipment Operator (14)0.00 0.00 0.00 0.00 0.48 0.48 Planner (15)0.00 0.00 0.00 0.00 0.30 0.30 Power Engineer (12)2.00 2.00 2.00 2.00 3.00 1.00 Program Assistant I 3.00 3.00 3.00 3.00 3.00 0.00 Project Engineer (10)6.00 6.00 6.00 6.00 5.00 (1.00) Project Manager 0.75 0.75 0.75 0.75 0.75 0.00 Resource Planner (7)4.00 4.00 4.00 4.00 5.00 1.00 Restoration Lead 0.00 1.00 1.00 1.00 1.00 0.00 Senior Accountant 0.00 0.75 0.75 0.75 0.75 0.00 Senior Business Analyst (5)1.00 1.00 1.00 1.00 2.00 1.00 Senior Deputy City Attorney (17)0.00 0.00 0.00 0.00 1.00 1.00 Senior Electrical Engineer (22)4.00 4.00 4.00 4.00 4.00 0.00 Senior Financial Analyst (16)0.00 0.60 0.60 0.60 1.10 0.50 Senior Instrument Electrician 0.00 0.00 0.00 0.00 0.00 0.00 Senior Management Analyst (21)1.00 1.00 1.00 1.00 1.00 0.00 Senior Market Analyst 1.00 1.00 1.00 1.00 1.00 0.00 Senior Mechanic 1.00 1.00 1.00 1.00 1.00 0.00 Senior Performance Auditor (23)0.00 0.00 0.00 0.00 1.00 1.00 Senior Project Engineer 4.00 4.00 4.00 4.00 4.00 0.00 Senior Resource Originator (26)1.00 1.00 1.00 1.00 0.00 (1.00) Senior Resource Planner (26)6.00 6.00 6.00 6.00 7.00 1.00 Senior Technologist 0.87 0.87 0.87 0.87 0.87 0.00 Senior Utilities Field Services Representative 1.00 1.00 1.00 1.00 1.00 0.00 Senior Utility System Technician 0.00 0.00 0.00 0.00 0.00 0.00 Senior Water System Operator 2.00 2.00 2.00 2.00 2.00 0.00 Storekeeper 2.00 2.00 2.00 2.00 2.00 0.00 Supervising Electric Operations & Programs 0.00 0.00 0.00 0.00 0.00 0.00 Supervising Electric Project Engineer (11)2.00 2.00 2.00 2.00 1.00 (1.00) Supervising Project Engineer (11)0.00 0.00 0.00 0.00 1.00 1.00 City of Palo Alto Operating Budget FY 2011 25 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Supervisor, Utility Construction Inspector 0.00 0.00 0.00 0.00 0.00 0.00 Supervisor, Util Meter Readers & Field Service 0.00 0.00 0.00 0.00 0.00 0.00 Supervisor, Water, Gas, Wastewater 5.00 5.00 5.00 5.00 5.00 0.00 Supervisor, Water Transmission 1.00 1.00 1.00 1.00 1.00 0.00 System Operator Scheduler 0.00 0.00 0.00 0.00 0.00 0.00 Technologist 0.00 0.00 0.00 0.00 0.00 0.00 Tree Maintenance Person 1.00 0.00 0.00 1.00 0.00 0.00 Tree Maintenance Specialist 0.00 0.00 1.00 0.00 1.00 0.00 Utilities Accounting Technician 0.00 0.00 0.00 0.00 0.00 0.00 Utilities Compliance Manager (1)0.00 0.00 0.00 0.00 1.00 1.00 Utilities Credit/Collection Specialist 1.00 1.00 1.00 1.00 1.00 0.00 Utilities Engineer Estimator 5.00 5.00 5.00 5.00 5.00 0.00 Utilities Engineer Estimator - Lead (12)1.00 1.00 1.00 1.00 0.00 (1.00) Utilities Field Service Representative 7.00 6.00 5.00 6.00 5.00 0.00 Utilities Installer/Repairer (6)11.00 11.00 11.00 11.00 13.00 2.00 Utilities Installer/Repairer Assistant 1.00 1.00 1.00 1.00 1.00 0.00 Utilities Installer/Repairer - Welding 3.00 3.00 3.00 3.00 3.00 0.00 Utilities Installer/Repairer - Lead 5.00 5.00 5.00 5.00 5.00 0.00 Utilities Installer/Repairer - Lead Welding 2.00 2.00 2.00 2.00 2.00 0.00 Utilities Key Account Representative 3.00 3.00 3.00 3.00 3.00 0.00 Utilities Locator 3.00 3.00 3.00 3.00 3.00 0.00 Utilities Rate Analyst 0.00 0.00 0.00 0.00 0.00 0.00 Utilities Supervisor (24)5.00 5.00 5.00 5.00 5.00 0.00 Utilities System Operator 5.00 5.00 5.00 5.00 5.00 0.00 Utility Compliance Technician 2.00 2.00 2.00 2.00 2.00 0.00 Utility Compliance Technician - Lead 1.00 1.00 1.00 1.00 1.00 0.00 Utility Market Analyst 0.00 0.00 0.00 0.00 0.00 0.00 Utility System Technician 0.00 0.00 0.00 0.00 0.00 0.00 Warehouse Supervisor (18)0.00 0.00 0.00 0.00 0.50 0.50 Water Meter/Cross Connection Technician (8)2.00 2.00 2.00 2.00 3.00 1.00 Water Meter Representative Assistant 0.00 0.00 0.00 0.00 0.00 0.00 Water Meter Repairer 0.00 0.00 0.00 0.00 0.00 0.00 Water System Operator I 0.00 0.00 0.00 0.00 0.00 0.00 Water System Operator II 5.00 5.00 4.00 5.00 4.00 0.00 Total Utilities 238.01 239.61 241.61 241.61 250.71 9.10 TOTAL ENTERPRISE FUNDS POSITIONS 351.56 354.24 356.24 356.24 365.72 9.48 Footnotes: 1 Add 1.0 FTE Utilities Compliance Manager 2 Add 1.0 FTE Customer Service Representative 3 Add 1.0 FTE Customer Service Specialist 4 Add 1.0 FTE Manager Communications 5 Add 1.0 FTE Senior Business Analyst 6 Add 2.0 FTE Utility Installer/Repairer City of Palo Alto Operating Budget FY 2011 26 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change 7 Reclassification of 1.0 FTE Associate Resource Planner to Resource Planner 8 9 Drop 1.0 FTE Meter Shop Lead and add Gas Systems Technician 10 Drop 1.0 FTE Project Engineer and add Electric Project Engineer 11 12 Drop 1.0 FTE Utilities Engineer Estimator Lead and add Power Engineer 13 14 15 16 17 18 19 Elimination of various positions due to budget constraints 20 21 Title change from Senior Administrator to Senior Management Analyst 22 Title change from Senior Electric Project Engineer to Senior Electrical Engineer 23 Add 1.0 FTE Senior Performance Auditor 24 Title change from Supervisor Electric Systems to Utilities Supervisor 25 Title change from Staff Accountant to Accountant 26 Reclass 1.0 FTE Senior Resource Originator to Senior Resource Planner OTHER FUNDS Printing and Mailing Services Buyer 0.05 0.05 0.05 0.05 0.05 0.00 Mailing Services Specialist (11)1.00 1.00 1.00 1.00 0.00 (1.00) Offset Equipment Operator (3), (11)1.00 1.00 1.00 1.00 1.52 0.52 Offset Equipment Operator - Lead (6)1.00 1.00 1.00 1.00 0.00 (1.00) Supervisor Reproduction and Mailing (6)1.00 1.00 1.00 1.00 0.00 (1.00) Total Printing and Mailing Services 4.05 4.05 4.05 4.05 1.57 (2.48) Technology Administrative Assistant 0.07 0.07 0.07 0.07 0.07 0.00 Administrative Associate II 1.00 1.00 1.00 1.00 1.00 0.00 Administrative Associate III (6)0.04 0.04 0.04 0.04 0.00 (0.04) Administrator (1)0.00 0.00 0.00 0.00 0.50 0.50 Assistant Director, Administrative Services 0.40 0.40 0.40 0.40 0.40 0.00 Transfer 0.10 FTE Assistant to City Manager from City Manager Office - General Fund to Public Works - Enterprise and 0.35 FTE to Utilities Transfer 0.20 FTE Senior Engineer from Other Funds - Capital and 0.10 from Public Works - General Fund to Public Works - Enterprise Drop 1.0 FTE Heavy Equipment Operator and add Water Meter/Cross Connection Technician Drop 1.0 FTE Supervising Electric Project Engineer and add Supervising Project Engineer Transfer 0.50 FTE Warehouse Supervisor from Administrative Services - General Fund to Utilities Transfer 0.48 FTE Offset Equipment Operator from Print & Mailing Services - Other Fund to Utilities Transfer 0.30 FTE Planner from Planning and Community Environment - General Fund to Utilities Transfer 0.50 FTE Senior Financial Analyst from Administrative Services - General Fund to Utilities Transfer 1.0 FTE Senior Deputy City Attorney from City Attorney's Office - General Fund to Utilities City of Palo Alto Operating Budget FY 2011 27 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Business Analyst (7)0.90 0.90 0.90 0.90 1.00 0.10 Chief Information Officer 1.00 1.00 1.00 1.00 1.00 0.00 Desktop Technician 5.00 5.00 5.00 5.00 5.00 0.00 Director, Administrative Services 0.35 0.35 0.35 0.35 0.35 0.00 Manager, Information Technology 3.00 3.00 3.00 3.00 3.00 0.00 Senior Business Analyst (8)1.80 1.80 1.80 1.80 2.00 0.20 Senior Technologist 13.00 13.00 13.00 13.00 13.00 0.00 Senior Financial Analyst 0.09 0.09 0.09 0.09 0.09 0.00 Technologist (6)4.00 4.00 4.00 4.00 3.00 (1.00) Total Technology 30.65 30.65 30.65 30.65 30.41 (0.24) Equipment Management Administrative Associate III 1.00 1.00 1.00 1.00 1.00 0.00 Assistant Fleet Manager 1.00 1.00 1.00 1.00 1.00 0.00 Equipment Maintenance Service Person 2.00 2.00 2.00 2.00 2.00 0.00 Fleet Manager 1.00 1.00 1.00 1.00 1.00 0.00 Fleet Services Coordinator 2.00 2.00 2.00 2.00 2.00 0.00 Mobile Service Technician 1.00 1.00 1.00 1.00 1.00 0.00 Motor Equipment Mechanic I 0.00 0.00 0.00 0.00 0.00 0.00 Motor Equipment Mechanic II 7.00 7.00 7.00 7.00 7.00 0.00 Motor Equipment Mechanic - Lead 0.00 0.00 0.00 0.00 0.00 0.00 Project Engineer 0.10 0.00 0.00 0.00 0.00 0.00 Senior Engineer 0.10 0.00 0.00 0.00 0.00 0.00 Senior Financial Analyst 0.00 0.08 0.08 0.08 0.08 0.00 Senior Fleet Services Coordinator 1.00 1.00 1.00 1.00 1.00 0.00 Total Equipment Management 16.20 16.08 16.08 16.08 16.08 0.00 Special Revenue Accounting Specialist (2)0.00 0.00 0.00 0.00 0.50 0.50 Administrative Associate II 0.20 0.20 0.20 0.20 0.20 0.00 CDBG Coordinator 0.00 0.00 0.00 0.00 0.00 0.00 Planner 1.00 0.95 0.95 0.95 0.95 0.00 Total Special Revenue 1.20 1.15 1.15 1.15 1.65 0.50 Capital Administrative Associate I (6)0.00 1.80 1.80 1.80 0.80 (1.00) Administrative Associate III 0.00 1.00 1.00 1.00 1.00 0.00 Assistant Director, Public Works 0.15 0.15 0.15 0.15 0.15 0.00 Associate Engineer 0.60 0.60 0.60 0.60 0.60 0.00 Cement Finisher 3.00 3.00 3.00 3.00 3.00 0.00 Cement Finisher - Lead 1.00 1.00 1.00 1.00 1.00 0.00 Contracts Administrator (4)0.00 0.00 0.00 0.00 0.60 0.60 Engineer 2.70 2.70 2.70 2.70 2.70 0.00 Engineering Technician III 2.30 2.30 2.30 2.30 2.30 0.00 City of Palo Alto Operating Budget FY 2011 28 EXHIBIT C Table of Organization FY 2009 Actual FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Heavy Equipment Operator 0.20 0.20 0.20 0.20 0.20 0.00 Management Analyst (10)0.00 1.00 1.00 1.00 1.00 0.00 Manager, Facilities Maintenance 0.20 0.20 0.20 0.20 0.20 0.00 Manager, Maintenance Operations 0.50 0.50 0.50 0.50 0.50 0.00 Landscape Architect Park Planner 1.00 1.00 1.00 1.00 1.00 0.00 Program Assistant I 1.00 1.00 1.00 1.00 1.00 0.00 Project Engineer 3.70 3.80 3.80 3.80 3.80 0.00 Project Manager (6)1.50 1.50 1.50 1.50 0.50 (1.00) Senior Engineer (9)2.15 2.25 2.25 2.25 2.05 (0.20) Senior Financial Analyst (5)0.00 0.00 0.00 0.00 0.60 0.60 Superintendent, Public Works Operations 0.20 0.20 0.20 0.20 0.20 0.00 Supervisor, Facilities Management 0.05 0.05 0.05 0.05 0.05 0.00 Supervisor, Inspection/Surv Public Works 0.20 0.20 0.20 0.20 0.20 0.00 Surveying Assistant 0.11 0.11 0.11 0.11 0.11 0.00 Surveyor, Public Works 0.11 0.11 0.11 0.11 0.11 0.00 Total Capital 20.67 24.67 24.67 24.67 23.67 (1.00) TOTAL OTHER FUNDS POSITIONS 72.77 76.60 76.60 76.60 73.38 (3.22) Footnotes: 1 Add 0.50 FTE Administrator 2 Add 0.50 FTE Accounting Specialist 3 Transfer 0.48 FTE Offset Equipment Operator to Utilities 4 5 6 Elimination of various positions due to budget constraints 7 8 9 Transfer 0.20 FTE Senior Engineer to Public Works - Enterprise 10 Title change from Administrator, Public Works to Management Analyst 11 Reclass 1.0 FTE Mailing Services Specialist to Offset Equipment Operator TOTAL CITYWIDE POSITIONS 1,075.60 1,053.35 1,055.35 1,055.35 1,018.60 (36.75) Authorization is given to create no more than 7.0 FTE temporary overstrength positions. Overstrength positions are justified by business needs and provide a vacancy to allow for cross training of a critical classification. These interim positions facilitate organizational transitions and succession planning in the cases of long-term disability, retirement, and critical vacancies. This action responds to the City Auditor's recommendation number four in the Audit of Workers Compensation (Issued 04-09-05). Transfer 0.10 FTE Business Analyst from Administrative Services - General Fund to Technology Fund Transfer 0.20 FTE Senior Business Analyst from Administrative Services - General Fund to Technology Fund Transfer 0.60 FTE Contracts Administrator from Administrative Services - General Fund to Capital Transfer 0.60 FTE Senior Financial Analyst from Administrative Services - General Fund to Capital City of Palo Alto Operating Budget FY 2011 29 EXHIBIT C FY 2011 Proposed Municipal Fee Schedule These documents were originally distributed in Council Packet. Printed copies are available upon request for $3 per book. 650-329-2260 Books may be viewed at any City of Palo Alto Library. - or - at the City’s website: www.cityofpaloalto.org/depts/asd/budget.asp Exhibit D 30 Patron Facility Use Fee for Community Theatre Children's Theatre Adults Children's Theatre Children Special Workshops and Presentations (including Children’s Theatre workshop fees) FEE Non-Resident Fee FEE Non-Resident Fee Junior Museum Science Outreach Program $1,000.00- $50,000.00 per program Fee plus 15% $1,000.00- $50,000.00 per program Fee plus up to 50% Junior Museum Science Outreach Unit $50.00 - $1,000.00 per unit Fee plus 15% (if more than 51% of participants are non-residents) $50.00 - $1,000.00 per unit Fee plus up to 50% (if majority of participants are non- residents) Junior Museum and Zoo Group Admission (for organized groups of 15 or more 15 to 25, larger groups shall be subdivided with additional group admission fee) $50.00 - $100.00 Fee plus 15% $50.00 - $100.00 Fee plus up to 50% Junior Museum & Zoo birthday parties $275.00-$500.00 Fee plus 15% $275.00-$500.00 Fee plus up to 50% Children's Theatre birthday parties none none $275.00-$500.00 Fee plus up to 50% Children's Theatre show production participation fee (SUSPENDED ****) none none $50.00-$300.00 Fee plus up to 50% Administrative fee per registration, additional Children's Theatre Enrichment $50.00- $250.00/day $100.00- $500.00/day $50.00- $250.00/day $100.00-$500.00/day Project LOOK! Tours Palo Alto & Ravenswood School Districts, $2.00/student $55.00/group Palo Alto & Ravenswood School Districts, $3.00/student $75.00/group Instructional Classes and camps (see notes*&**) $2.00-$800.00 Fee plus up to 50% $5.00-$800.00 Fee plus up to 50% Drop-in Activities (see notes** & ***) Workshop Supplies Cancellation Charge Locker Rental Up to 100% of fees paid Up to 100% of fees paid $1.00 - $25.00 $1.00-$17.50 $1.00 - $25.00 Arts and Sciences Activities $.50-$50.00$.50-$50.00 Permits Permit to perform in Arts and Sciences sponsored concert series. (Interested parties must apply and be selected by Program Coordinator.) Registrations $5.00-$10.00 $1.00-$1,000.00 $5.00-$2,000.00 Visual and Performing Arts COMMUNITY SERVICES DEPARTMENT Arts and Sciences 2010 FEE 2011 FEE $1.00-$5.00 Admissions $2.00 $3.00-$10.00 $10.00-$20.00 Performing Arts $3.00-$35.00 $1.00 $15.00 - $20.00 per season City of Palo Alto 2011 Proposed Municipal Fee Schedule 4-1 EXHIBIT E 31 COMMUNITY SERVICES DEPARTMENT Arts and Sciences 2010 FEE 2011 FEE Notes **** Pending in-lieu funding agreement with Friends of Palo Alto Children's Theatre. * Art Center Foundation members are eligible for a 20% discount on one (1) Studio class per Foundation membership year ($100.00 and above) to be reimbursed to the City from the Art Center Foundation. ** Effective December 27, 2005, a 25%, 50%, or 75% * A 25% or 50% fee discount through the Fee Reduction Program is may be provided for low-income youth, seniors, and/or disabled adult residents. Income eligibility is determined using the Community Development Block Grant (CDBG) Low-Income Guidelines. The Low-Income Guidelines are established at 80% of the Santa Clara County median income level. The income level for disabled residents is established as 100% of the Santa Clara County Median Income. Each family or individual accepted into the program can access a maximum annual subsidy of $300 for an individual or $300 times each individual family member for a family. (Example: A family of 4 would have a total of $1,200 usable subsidy. 4 Family Members X $300 = $1,200) Each youth, senior, and/or disabled adult accepted into the program may recieve an annual subsidy up to $300. Discount percentage will be based on income level. Discount may not be applied in conjunction with any other discount program. *** For every 10 hours of time purchased in a Visual Arts Studio drop-in program, one hour is given free. The Director of Community Services is authorized to offer promotional fee discounts of up to 25% for purposes of promotion and marketing of programs. Such discounts are intended to maximize revenue and/or participation. City of Palo Alto 2011 Proposed Municipal Fee Schedule 4-2 EXHIBIT E 32 Golf Course-Special Fees * League Reservation Fee Tournament Reservation Fee Back 9 Holes (9-hole rate applies only 1.5 hours after daylight) Daily Fee Senior (non-resident 60 and over) Senior (resident 60 and over) Student (21 and under 18-21) Junior (17 and under) NCGA Jr. Fee (Northern California Golf Association Jr.) Must also be a member of NCGA after 3:00 p.m. (Sept. 1 through Oct. 31) after 1:30 p.m. (Nov. 1 through March 31) after 12:30 p.m. (April 1 through Aug. 31) after 3:00 p.m. (Sept. 1 through Oct. 31) 6:00 p.m. to dark (Nov. 1 through March 31) 3:00 p.m. to dark (April 1 through Aug. 31) 6:00 p.m. to dark Back 9 Holes (rate applies only 1.5 hours after Daylight) Daily Fee Student (21 and under 18-21) Junior (17 and under) NCGA Jr. Fee (Northern California Golf Association Jr.) Must also be a member of NCGA after 4:00 p.m. (Sept. 1 through Oct. 31) after 1:30 p.m. (Nov. 1 through March 31) after 12:30 p.m. (April 1 through Aug. 31) after 3:00 p.m. (Sept. 1 through Oct. 31) 6:00 p.m. to dark (Nov. 1 through March 31) 3:00 p.m. to dark (April 1 through Aug. 31) 6:00 p.m. to dark Resident: $46.00 - $51.00 Non-Res: $48.00 - $53.00 $48.00 - $53.00 Super Twilight $29.00 - $32.00 $29.00 - $32.00 Twilight $32.00 - $35.00 $33.00 - $37.00 Super Twilight $24.00 - $27.00 Twilight $28.00 - $31.00 $28.00 - $31.00 $24.00 - $27.00 $10.00 WEEKEND/PRIME TIME RATES (Daily fees unless otherwise noted): New Years Day, Martin Luther King Jr. Day, President’s Day, Memorial Day, Independence Day, Labor Day, Veteran's Day, Thanksgiving and the day after Thanksgiving, Christmas $26.00 - $29.00 $26.00 - $29.00 $23.00 - $25.00 $26.00 - $29.00 $32.00 - $35.00 $23.00 - $25.00 $37.00 - $39.00 $32.00 - $35.00 Resident: $36.00 - $40.00 Non-Res: $38.00 - $42.00 $26.00 - $29.00 $27.00 - $30.00 $27.00 - $30.00 January 1- December 31, 2010 January 1- December 31, 2011 $250.00-$450.00 per team $250.00 - $450.00 per team $1.00 - $5.00 per player$1.00 - $5.00 per player Green Fee - Admissions WEEKDAYS – (Daily fees unless otherwise noted) COMMUNITY SERVICES DEPARTMENT Golf Services 2010 FEE 2011 FEE $26.00 - $30.00$25.00 - $28.00 $18.00 - $22.00 $10.00 $16.00 - $20.00 City of Palo Alto 2011 Proposed Municipal Fee Schedule 5-1 EXHIBIT E 33 Dance parties* Group rate* Individual entry rate* Special Events* Card replacement fee Resident Admission Daily Non-Resident Admission Daily Resident Admission Daily Non-Resident Admission Daily Youth (17 and under)$2.00-$5.00 $3.00-$6.00 $3.00-$6.00 $4.00-$7.00 Adult (18 and over)$3.00-$5.00 $4.00-$7.00 $4.00-$6.00 $5.00-$8.00 Senior (60 and over) and Senior Lap $2.00-$4.00 $2.00-$4.00 $3.00-$5.00 $3.00-$5.00 Lap Swimming $3.00-$5.00 $3.00-$5.00 $4.00-$6.00 $4.00-$6.00 Youth (17 and under) $20.00-$27.00 Not Applicable Adult (18 and over)$30.00-$40.00 Not Applicable Senior (60 and over)$20.00-$30.00 Not Applicable Non-Resident Non-Resident Fee Fee Youth (17 and under)$2.50 - $5.00 per admission $2.50 - $6.00 per admission Adult (18 and over) $3.00 - $6.00 per admission $3.00 - $7.00 per admission Senior (60 and over)$2.00 - $4.00 per admission $2.00 - $5.00 per admission Youth (17 and under)$10.00-$500.00 $10.00-$500.00 Adult (18 and over) $10.00-$500.00 $10.00-$500.00 Senior (60 and over)$10.00-$500.00 $10.00-$500.00 Youth (17 and under) $10.00-$500.00 $10.00-$500.00 Adult (18 and over) $10.00-$750.00 $10.00-$750.00 Senior (60 and over)$10.00-$750.00 $10.00-$750.00 Family $10.00-$750.00 $10.00-$750.00 Resident Admission Daily Non-Resident Admission Daily Resident Admission Daily Non-Resident Admission Daily Youth (17 and under)$2.00-$5.00 $3.00-$6.00 Adult (18 and over) $3.00-$5.00 $4.00-$7.00 Senior (60 and over) and Senior Lap $2.00-$4.00 $2.00-$4.00 Lap Swimming (18 and over)$3.00-$5.00 $3.00-$5.00 $25.00-$35.00 $18.00-$25.00 Facility Admissions COMMUNITY SERVICES DEPARTMENT Recreation Activities 2010 FEE $5.00-$25.00 2011 FEE Resident Coupon Book-10 tickets (available to Palo Alto Residents only)* January 1 - December 31, 2010 January 1 - December 31, 2011 $.50-$10.00 General Recreation $.50-$10.00 $15.00-$75.00 $15.00-$25.00 See "Swimming Pools" fee above $15.00-$75.00 $5.00-$25.00 $.50-$20.00 $1.00-$5.00 Swimming $1.00-$5.00 $.50-$20.00 Swimming Pools – PAUSD Pool Facilities (Ages 2 and under -- Free) Fee Fee Recreation Activities (Junior Museum related-activity items previously listed below relating to Science program were moved to Arts & Sciences activity fees due to department restructure.) Lap Swim Pass* Rinconada Pool Only Swimming Pools – Rinconada Complex and PAUSD pools when operated by the City – Ages 2 & under -- Free Membership Card / Swim Pass* Rinconada Pool Only Fee replaced by "Membership Card" above Fee replaced by "Membership Card" above Recreation Swim Pass* Rinconada Pool Only City of Palo Alto 2011 Proposed Municipal Fee Schedule 6-1 EXHIBIT E 34 Open Space and Parks Special Use Permit Individual entry rate* Special Events (asterisk removed) Playground Inspection Fee Field Inspector Hourly Fee Vehicle Entry Fee ** Annual Resident Vehicle Entry Pass ** Organic Garden Plots* Senior rate Garden Plot Clean-up/Security Deposit Fee Non-Resident Fee Fee Non-Resident Fee Cancellation Charge Drop-in Activities* Excursion Fee*$2.00-$700.00 $2.00-$750.00 $2.00-$700.00 $2.00-$750.00 Instructional Classes* and Camps*$2.00-$800.00 Fee plus up to 50% $2.00-$800.00 Fee plus up to 50% Interpretive Tours (asterisk removed)$30.00-$100.00/hour $30.00-$120.00/hour $30.00-$100.00/hour $30.00-$120.00/hour Birthday Parties at Foothills Park $106.00-$318.00 Not Available $106.00-$318.00 Not Available ** Fee does not apply to vehicles with valid disabled placard or license plate, vehicles of registered volunteers, City service vehicles, and vehicles of City staff when performing city business. Registrations none $5.00 $40.00 Community Garden $100.00 per garden plot $.36/square foot/year $.40/square foot/year 25% discount 25% discount $.50-$100.00 $.50-$100.00 $150.00/inspection $150.00/inspection $77.00/hour $77.00/hour none $5.00-$25.00 $5.00-$25.00 $300.00-$2,000.00 $300.00-$2,000.00 * Effective December 27, 2005, a 25%, 50%, or 75% * A 25% or 50% fee discount through the Fee Reduction Program is may be provided for low-income youth (17 and under), senior (60 and over), and/or disabled adult residents. Income eligibility is determined using the Community Development Block Grant (CDBG) Low-Income Guidelines. The Low-Income Guidelines are established at 80% of the Santa Clara County median income level. The income level for disabled residents is established as 100% of the Santa Clara County Median Income. Each family or individual accepted into the program can access a maximum annual subsidy of $300 for an individual or $300 times each individual family member for a family. (Example: A family of 4 would have a total of $1,200 usable subsidy. 4 Family Members X $300 = $1,200) Each youth (17 and under), senior (60 and over), and/or disabled adult accepted into the program may recieve an annual subsidy up to $300. Discount percentage will be based on income level. Discount may not be applied in conjunction with any other discount program. Open Space Activities Up to 100% of fees paidUp to 100% of fees paid $.50-$100.00$.50-$100.00 $100.00 per garden plot COMMUNITY SERVICES DEPARTMENT Open Space and Parks 2010 FEE 2011 FEE Facility Admissions General Recreation City of Palo Alto 2011 Proposed Municipal Fee Schedule 7-1 EXHIBIT E 35 PLANNING & COMMUNITY ENVIRONMENT DEPARTMENT Planning 2010 FEE 2011 FEE Commercial and Manufacturing Fence Residential Regular Planned Community Zone Change Minor Change to Planned Community Zone City Council appeals on Architectural Review Board decisions Planning & Transportation Commission Hearing on preliminary parcel map 750 Duplication in fee found under City Clerk page 2-1. Variance   $959.00 plus Other Application Fees on page 17-7. Appeals - Requests for Planning & Transportation Commission and City Council Hearings $1,339.00 plus Legal Fees and Other Application Fees on pages 17-6 and 17-7. Initial deposit of $6,552.00 plus Legal Fees and Other Application Fees on pages 17-6 and 17-7. 100 percent of processing costs will be recovered plus Environmental Impact and any other entitlements necessary to complete the project, whether indicated as 100 percent cost recovery in this schedule or not. Initial deposit of $5,460.00 plus Legal Fees and Other Application Fees on pages 17-6 and 17-7. 100 percent of processing costs will be recovered plus Environmental Impact Assessment and any other entitlements necessary to complete the project, whether indicated as 100 percent cost recovery in this schedule or not. $1,275.00 plus Legal Fees and Other Application Fees on pages 17-6 and 17-7. Initial deposit of $6,240.00 plus Legal Fees and Other Application Fees on pages 17-6 and 17-7. 100 percent of processing costs will be recovered plus Environmental Impact and any other entitlements necessary to complete the project, whether indicated as 100 percent cost recovery in this schedule or not. Initial deposit of $5,200.00 plus Legal Fees and Other Application Fees on pages 17-6 and 17-7. 100 percent of processing costs will be recovered plus Environmental Impact Assessment and any other entitlements necessary to complete the project, whether indicated as 100 percent cost recovery in this schedule or not. $750.00 (Conditional Use Permit/Variances that went through a staff process) $4,751.00 plus Legal Fees and Other Application Fees on pages 17-6 and 17-7 plus Environmental Impact Assessment. Zone Change $1,103.00 plus Other Application Fees on page 17-7. $2,252.00 plus Other Application Fees on page 17-7. $1,958.00 plus Other Application Fees on page 17-7. $4,131.00 plus Legal Fees and Other Application Fees on pages 17-6 and 17-7 plus Environmental Impact Assessment. City of Palo Alto 2011 Proposed Municipal Fee Schedule 17-10 EXHIBIT E 36 Bicycle Locker Rental Refundable Key Deposit Rental Fee Bicycle Training (or other training TBD) California Avenue Parking District All Lots Transferable Permit Lot U (JPB/Caltrain Parking Lot) Lot X (Sheraton Parking Lot) One-Day Parking Permits-California Avenue One-Day Parking Permits-University Avenue Replacement Permit University Avenue Parking District All Lots Transferable Permit 800 High Street Parking Garage Parking Permit Transferable Permit Construction/Maintenance Vehicles Emergency Repair Vehicles Wide Load/Heavy Load Permits Per Vehicle Each Occurrence To site outside City To site within City Valet Parking Permit Application Permit Application Renewal (annual) Short-term Application Fee On-street Parking Space Rental Valet Parking Sign and Curb Markings Traffic Signal Maintenance $535.00 $15.00/day $10.00 $135.00/quarter, $420.00/year $135.00/quarter $43.00/quarter Delete $81.00/year $250.00 $70.00/space per week $900.00 $66.00/space per week $900.00 $250.00 $81.00/year $25.00 $6.00 $15.00-$50.00 per class $25.00 $15.00-$50.00 per class PLANNING & COMMUNITY ENVIRONMENT DEPARTMENT Transportation 2010 FEE 2011 FEE $135.00/quarter Parking Permits – Business Districts $70.00/space per week $43.00/quarter, $123.00/year $26.00/quarter, $75.00/year $6.00/day $26.00/quarter, $75.00/year $6.00/day $43.00/quarter, $123.00/year Parking Permits – Commercial/Construction $65.00/quarter, $250/year $65.00/quarter, $250/year $65.00/quarter $65.00/quarter $10.00 $135.00/quarter, $420.00/year $6.00 $20.00 Building Moving/Relocating Permit (moved from Building Fees section) $110.00 plus cash deposit or bond $110.00 plus cash deposit or bond $560.00 plus cash deposit or bond $169.00/year $500/month $535.00 $43.00/quarter $26.00/quarter $15.00/day $165.00/year $66.00/space per week $560.00 plus cash deposit or bond $16.00 City of Palo Alto 2011 Municipal Fee Schedule 18-1 EXHIBIT E 37 This page is intentionally left blank. 38 ATTACHMENT 2 39 This page is intentionally left blank. 40 41 42 43 This page is intentionally left blank. 44 ATTACHMENT 3 45 This page is intentionally left blank. 46 ATTACHMENT A Not Yet Approved Resolution No. -- Resolution of the Council of the City of Palo Alto Amending Utilities Rate Schedules EDF-l and EDF-2 Which Approves a 2.6% Fiber Opti'c Rate Increase and Other Changes The Council of the City of Palo Alto does hereby RESOLVE as follows: SECTION 1. Pursuant to Section 12.20.010 of the Palo Alto Municipal Code, Utility Rate Schedule EDF-l (Dark Fiber Licensing Services) is hereby amended to read in accordance with sheets EDF-l-l, EDF-I-2, and EDF-I-3 attached hereto and incorporated herein. The foregoing Utility Rate Schedule, as amended, shall become effective July 1,2010 SECTION 2. Pursuant to Section 12.20.010 of the Palo Alto Municipal Code, Utility Rate Schedule EDF-2 (Dark Fiber Connection Fees) is hereby amended to read in accordance with sheet EDF-2-1 and EDF-2-2, attached hereto and incorporated herein. The foregoing Utility Rate Schedule, as amended, shall become effective July 1, 2010 SECTION 3. The Council finds that the revenue derived from the authorized adoption enumerated herein shall be used only for the purpose set forth in Article VII, Section 2, of the Charter of the City of Palo Alto. II II II II II II II II II II II II 1 100512jb 0073371 47 Not Yet Approved SECTION 4. The Council finds that the adoption of this resolution does not constitute a project under the California Environmental Quality Act, California Public Resources Code section 21080, subdivision (b )(8). INTRODUCED AND PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: City Clerk APPROVED AS TO FORM: Sr. Assistant City Attorney 100512jb 0073371 2 Mayor APPROVED: City Manager Director of Utilities Director of Administrative Services 48 ATTACHMENT B DARK FIBER LICENSING SERVICES UTILITY RATE SCHEDULE EDF-1 lA. APPLICABILITY: This rate schedule applies to customer accounts established prior to September 18,2006, unless the customer elects to apply the EDF-3 rate to the entire customer account. This rate applies to Fiber Optic services from the City of Palo Alto Utilities (CPAU) pertaining to the City's network (Backbone and associated connections). B. TERRITORY: Within the incorporated limits of the City of Palo Alto and land owned or leased by the City. C. FEES: 1. DARK FIBER BACKBONE LICENSE FEES: The values or ranges for each of these price components are shown below: (1) Fiber Price........ ........ .......... ...... .................... ............. ........ $~307.04/FM1month (2) Quantity discount............................................................... $0 to $59.84IFMlmonth (3) Buffer tube discount ................................................. , ............... $0 to $59.84IFMlmonth (4) Route length discount........................................................... ... $0 to $77.80IFMlmonth (5) Ring topology discount. .............................................................. $0 to $23.94IFMlmonth (6) Length of term discount............................................................ $0 to $46.80/FMImonth (7) Per Project Minimum lA .. mlUal Backbone License Fee ................................................. $~64.39/month Project Minimum Backbone Fees apply to any project proposal signed after September 18,2006 in which the project connects with the Backbone. Description for Discounts: Quantity discount: based on an array of discounts for quantities of fiber licensed on a specific path. Buffer tube discount: discount for numbers of full buffer tubes licensed on a specific path. Route length discount: based on the route length licensed on a specific project. Ring topology discount: The ring topology discount for customers contracting for complete rings. Term discount: based on an array of discounts for contracts greater than one and less than ten years. 2. DARK FIBER LATERAL CONNECTION FEES: Customer responsibilities and fees for drop and custom cable construction are described in the CPAU Rules and Regulations, Rate Schedule EDF-2, project proposals and other associated documents. In all cases, the Licensee shall pay an annual Drop/Custom Cable Management Fee based on the follow per foot fees: (1) Drop Cable Management Fees (for the first 12-Fibers) ................................. $0.02-$0.06/ftlmonth (2) Custom Cable Management Fees (for the first 12-Fibers)............................. $0.;W30/ftlmonth (3) Fees for additional Drop or Custom Cable fibers (each additional set of 12-Fibers) $0.06/ftlmonth (4) Per Project CITY OF PALO ALTO UTILITIES Issued by the City Council I Supersedes Sheet No.EDF-1-1 dated 7-01-20()[Jfl. CITY OF PALO ALTO UTI LlTI ES Effecti ve 07-01-20G91O Sheet No. EDF-l-l 49 DARK FIBER LICENSING SERVICES UTILITY RATE SCHEDULE EDF-1 Minimum Drop or Custom Cable Management Fees ......................................................................... . $229.462-W/month I4ejeet-Minimum Drop Cable Management Fees apply to any project proposal signed after September 18, 2006. CITY OF PALO ALTO UTILITIES Issued by the City Council Supersedes Sheet No.EDF-1-2 dated 7-01-2008Jl. CITY OF PALO ALTO UTILITIES Effecti ve 07 -01-200010 Sheet No. EDF-1-2 50 DARK FIBER LICENSING SERVICES UTILITY RATE SCHEDULE EDF-l 3. EARLY TERMINATION FEES: If the Licensee chooses to terminate for convenience the License Agreement or the term of any project under the License Agreement, then the Licensee shall pay the applicable termination payment as specified in this schedule or in the License Agreement, as provided below. Unless otherwise provided in the License Agreement, the Licensee shall pay a termination fee in one of the following amounts, whichever is less: • Annual fee of the contract year that the Licensee chooses to terminates in full without term discounts, or • Remaining fees of the project term as indicated in the License Agreement. D. SPECIAL NOTES: 1. All fees must be paid to the City according to the specifics in in accordance with the terms of the Dark Fiber License Agreement, the customer's project proposals and all the applicable Utilities Rates, Rules, and Regulations. 2. 2. All fees and minimum charges are subject to consumer Consumer priee-Price ~Index (CPI) adjustments, to be applied annually, except as defined by Section D.3 of this Rate Schedule. Discounts will not be modified by changes to CPI. 3. The CPT adjustment will be based on the Consumer Price Index i()r All Urban Consumers (CPI-U) for the San Francisco-Oakland-San Jose MSA, published bv the U.S. Department of Labor. Bureau of Labor Statistics. The adjustment is calculated by dividing the most recent calendar year DecemberAnmtal CPI by the prior 'tear calendar DecemberAnmtal CPI in the year rates last changedat the City's discretion but not more frequently than an annual basis. In the event that the change between December cprs indicates an adjustment of less than 1 % is required, a change to rate schedules may not be made for the upcoming year. Future rate changes will take the last year of change as the new base year for purposes of calculation. CITY OF PALO ALTO UTILITIES Issued by the City Council Supersedes Sheet No.EOF-1-3 dated 7-01-2()()[J200f CITY OF PALO ALTO UTILITIES {End} Effecti ve 07 -0 1-2GG920 10 Sheet No. EDF-1-3 51 , 1 DARK FIBER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE EDF-2 A. APPLICABILITY: This schedule applies to all connections, expansions, and upgrades to the City's Dark Fiber network (Backbone). B. TERRITORY: All territory within the incorporated limits of the City and land owned or leased by the City. C. FEES: 1. ADVANCE ENGINEERING FEES: Advance engineering (AER) fees must be paid to start the engineering process and are non-refundable. The fees will be credited against the estimated project cost prior to the collection of the project construction fees. (1) Commercial/Industrial AER minimum fee ................................................................... .. (2) Special conditions (requiring expert assessment) .......................................................... . $7-h).33.00 By Estimate 2. ESTIMA TED SERVICE CONNECTION AND RECONFIGURA TION FEES All estimated service connection and reconfiguration fees must be paid prior to the scheduling of any construction or reconnections to the City's Dark Fiber network. (1) Service connection (Interconnection) fee .................................................... . By Estimate By Estimate (2) Reconfiguration Fees ................................................................................... . Labor rates are subject to change as stated in the Utility Rate Schedule C-l. D. NOTES: 1. The Customer is responsible for the installation and maintenance of all ducts and pathways from the facility to the property line in compliance with City of Palo Alto Utilities Rules and Regulations and contract agreements. ~ The City shall not be held liable for delays or interruptions in service, but will make reasonable efforts to provide timely continuous service. L 3. /\11 fees are subject to consumer price index (CPT) adjustments, to be applied at the City's discretion, but not more frequently than an annual basis. All fees are subject to Consumer Price Index (CPT) adjustments, to be applied annually. The CPI adjustment will be based on the Consumer Price Index for All Urban Consumers (CPI-U) for the San Francisco-Oakland-San Jose MSA, published by the U.S. Department of Labor, Bureau of Labor Statistics. The adjustment is calculated by dividing the most recent calendar year December CPI by the December CPI in the year rates last changed. In the event that the change between December cprs indicates an adjustment of less than 1 % is required, a change to rate schedules may not be made for the uDcoming year. Future rate changes will take the last year of change as the new base year for purposes of calculation.The CPI adjustment will be based on the Consumer Price Index for All Urban Consumers (CPI U) for the San Francisco Oakland San Jose MSA, published by the U.S. Department of Labor, Bureau of Labor Statistics. The CITY OF PALO ALTO UTILITIES Issued by the City Council Supersedes sheet No. EDF-2-1 dated 7-01-2(}{)g.-200 CITY OF PALO ALTO UTILITIES Effecti ve 7 -0 1-2QQ9.20 1 0 Sheet No. EDF-2-1 52 • I DARK FIBER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE EDF-2 adjustment is calculated by dividing the most recent calendar year Annual CPl by the prior year calendar Annual CPl. CITY OF PALO ALTO UTILITIES Issued by the City Council Supersedes sheet No. EDF-2-1 dated 7-01-2f)()[J..200 CITY OF PALO ALTO UTILITIES {End} Effecti ve 7-0 1-:2QG920 10 Sheet No. EDF -2-2 53 This page is intentionally left blank. 54 ATTACHMENT 4 55 This page is intentionally left blank. 56 57 58 ATTACHMENT 5 59 This page is intentionally left blank. 60 ** NOT YET APPROVED ** 100616 sh 8261342 1 Resolution No. _____ Resolution of the Council of the City of Palo Alto Encouraging All Palo Alto Council Members to Voluntarily Accept a 10% Reduction in their Salaries for Fiscal Year 2011 Due to the Financial Challenges Facing the City WHEREAS, the City of Palo Alto is facing fiscal challenges caused by declining municipal revenues due to the current adverse economic climate; and WHEREAS, the City Council recognizes that City employees and Palo Alto residents are making sacrifices to address City budget shortfalls; and WHEREAS, over the past year and as part of the proposed budget for Fiscal Year 2011, City departments have made significant budget cuts and some employee groups have had compensation reductions; and WHEREAS, although City Council Member salaries represent a very small portion of the City’s Budget, in light of the reductions to department budgets and employee compensation, the City Council wishes to encourage its members to accept salary reductions. NOW, THEREFORE, the Council of the City of Palo Alto does RESOLVE as follows: SECTION 1. The City Council hereby encourages each Palo Alto Council Member to agree to a ten percent (10%) reduction in his or her salary for Fiscal Year 2011 due to the financial challenges facing the City. SECTION 2. Any Council Member voting in favor of this resolution shall be deemed to have volunteered the ten percent reduction to his or her salary for Fiscal Year 2011. The Director of Administrative Services is hereby authorized to make the salary adjustment in the next available pay period for each Council Member voting in favor of this resolution. // // // // // 61 ** NOT YET APPROVED ** 100616 sh 8261342 2 SECTION 3. The Council finds that this is not a project under the California Environmental Quality Act and, therefore, no environmental impact assessment is necessary. INTRODUCED AND PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: __________________________ ______________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: __________________________ ______________________________ City Attorney City Manager ______________________________ Director of Administrative Services 62 APPENDIX 1 63 This page is intentionally left blank. 64 Operating Budget FY 2011 City of Palo Alto General Fund Summary 23 General Fund Summary FUND SUMMARY ($000) FY 2009 Actuals FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Sales Tax 20,089 19,650 17,313 20,050 18,218 905 Property Tax 25,445 25,752 25,778 26,102 25,907 129 Transient Occupancy Tax 7,111 7,000 6,639 7,300 7,021 382 Utility Users Tax 11,030 11,250 11,417 12,304 11,429 12 Other Taxes and Fines 5,187 5,633 5,584 5,737 5,943 359 Charges for Services 19,451 20,238 18,932 20,596 20,020 1,088 Permits and Licenses 4,627 5,056 4,596 5,131 4,593 (3) Return on Investment 3,360 1,900 1,662 1,900 1,646 (16) Rental Income 13,646 13,655 13,606 13,655 13,716 110 From other agencies 158 92 323 92 106 (217) Charges to Other Funds 11,169 10,643 10,546 10,957 10,622 76 Other Revenue 2,323 1,605 1,739 1,502 1,540 (199) TOTAL REVENUES $123,597 $122,474 $118,136 $125,326 $120,761 $2,626 Operating Transfers-In 17,614 19,664 22,908 18,709 18,684 (4,224) TOTAL SOURCE OF FUNDS $141,211 $142,138 $141,044 $144,035 $139,445 $(1,598) 65 General Fund Summary City of Palo Alto Operating Budget FY 201124 City Attorney 2,474 2,569 2,523 2,614 2,369 (154) City Auditor 817 999 987 1,020 982 (5) City Clerk 1,150 1,512 1,596 1,227 1,093 (503) City Council 279 296 298 271 140 (158) City Manager 1,948 2,395 2,436 2,395 2,158 (278) Administrative Services 6,994 6,761 6,713 6,889 6,293 (420) Community Services 21,149 21,876 21,694 22,272 20,032 (1,662) Fire 23,397 25,166 26,253 26,161 27,007 754 Human Resources 2,700 2,837 2,795 2,898 2,817 22 Library 6,224 6,385 6,370 6,521 6,609 239 Planning and Community Environ- ment 9,889 9,858 9,862 9,745 9,200 (662) Police 28,245 29,998 30,010 31,328 30,579 569 Public Works 12,894 13,484 13,426 13,768 13,084 (342) Non-Departmental 6,835 6,925 6,074 8,230 5,970 (104) TOTAL EXPENSES $124,995 $131,061 $131,037 $135,341 $128,333 $(2,704) Operating Transfers Out 1,166 1,128 4,665 1,122 1,122 (3,543) Transfer to Infrastructure 14,648 9,900 9,900 10,248 9,503 (397) TOTAL USE OF FUNDS $140,808 $142,089 $145,602 $146,711 $138,958 $(6,644) NET SURPLUS (DEFICIT)$403 $49 $(4,558) $(2,676)$487 $5,046 FUND SUMMARY ($000) FY 2009 Actuals FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change 66 General Fund Summary Operating Budget FY 2011 City of Palo Alto 25 EXPENDITURES BY CATEGORY FY 2009 Actuals FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Salaries and Benefits 91,580,716 92,717,073 91,089,564 96,361,039 88,543,283 (2,546,271) Contract Services 10,115,716 9,075,564 9,971,628 9,804,411 10,040,113 68,485 Supplies and Materials 3,013,374 3,546,939 3,303,771 3,479,839 3,241,891 (61,880) General Expense 8,989,894 10,192,501 9,995,598 9,869,501 10,021,637 26,039 Rents and Leases 720,450 740,486 739,206 740,486 735,706 (3,500) Facilities and Equipment Pur- chases 359,772 472,104 399,426 472,104 452,119 52,693 Allocated Charges 10,213,738 14,316,318 15,536,994 14,613,245 15,298,269 (238,725) Operating Transfers Out 1,166,272 1,128,274 4,665,134 1,121,819 1,121,819 (3,543,315) Transfer to Infrastructure 14,647,577 9,900,212 9,900,212 10,248,460 9,503,364 (396,848) TOTAL EXPENDITURES $140,807,509 $142,089,471 $145,601,533 $146,710,904 $138,958,201 $(6,643,322) RESERVES ($000) FY 2009 Actuals FY 2010 Adopted Changes FY 2010 BAO’s Projected 06/30/10 FY 2011 Projected Changes Projected 06/30/11 Reserves Budget Stabilization Reserve (BSR) Activity: BSR 24,747 49 (922) 23,874 487 24,361 Other Reserve Activity: Encumbrance & Reappropriation 5,924 5,924 5,924 Equity Transfer Stabilization 3,636 (3,636) Inventory of Materials & Supplies 3,173 3,173 3,173 Notes Receivable, Prepaid Items, & Interfund Advances 3,303 3,303 3,303 TOTAL RESERVES $40,783 $49 $(4,558) $36,274 $487 $36,761 67 This page is intentionally left blank. 68 APPENDIX 2 69 This page is intentionally left blank. 70 FY 2011 Enterprise Fund Summary City of Palo Alto Operating Budget FY 20116 Draft Revision: 506 User: dwong Timestamp: June 16, 2010 5:18 pm FY 2011 Enterprise Fund Summary FUND SUMMARY ($000) Electric Fund Fiber Optic Fund Gas Fund Wastewater Collection Fund Water Fund Refuse Fund Storm Drainage Fund Wastewater Treatment Fund Total Revenues Net Sales 112,561 3,044 43,993 14,477 28,803 26,137 5,506 20,095 254,616 Interest Income 4,299 268 847 445 1,050 301 159 422 7,791 Other Income 11,719 0 811 1,002 1,463 3,458 68 73 18,594 TOTAL SOURCE OF FUNDS $128,579 $3,312 $45,651 $15,924 $31,316 $29,896 $5,733 $20,590 $281,001 Expenditures Utility Purchases and Charges 74,078 0 24,595 7,499 12,043 14,797 0 0 133,012 Salaries and Benefits 10,453 972 4,638 1,901 5,206 4,376 1,000 9,213 37,759 Contract Services 4,283 165 1,021 208 754 6,547 379 1,884 15,241 Supplies and Materials 815 18 521 231 491 311 99 1,838 4,324 Facilities and Equipment Purchases 84 0 63 1 6 16 12 10 192 General Expense 3,174 19 658 65 359 276 152 404 5,107 Rents and Leases 3,755 15 326 210 2,207 4,308 6 0 10,827 Allocated Charges 7,877 566 3,977 1,971 3,364 3,674 616 4,660 26,705 Debt Service 8,949 0 947 129 2,981 608 950 815 15,379 Subtotal $113,468 $1,755 $36,746 $12,215 $27,411 $34,913 $3,214 $18,824 $248,546 Equity Transfer 11,195 0 5,304 0 0 0 0 0 16,499 Capital Improvement Pro- gram 10,085 400 8,325 4,130 8,848 1,650 1,788 2,500 37,726 Operating Transfers Out 866 8 614 567 442 338 609 9 3,453 TOTAL USE OF FUNDS $135,614 $2,163 $50,989 $16,912 $36,701 $36,901 $5,611 $21,333 $306,224 TO/FROM RESERVES $(7,035) $1,149 $(5,338) $(988) $(5,385) $(7,005) $122 $(743)$(25,223) 71 Enterprise Fund Reserves Operating Budget FY 2011 City of Palo Alto 7 Draft Revision: 506 User: dwong Timestamp: June 16, 2010 5:18 pm Enterprise Fund Reserves RESERVES ($000) FY 2011 Projected Beginning Balance FY 2011 Changes FY 2011 Projected Ending Balance FY 2011 Reserve Guideline Range Electric Fund Emergency Plant Replacement 1,000 0 1,000 1,000 (min.) Distribution Rate Stabilization 9,073 (42)9,031 6,355 - 12,710 Supply Rate Stabilization 36,268 (4,112)32,156 32,016 - 64,031 Calaveras 59,865 (2,881)56,984 0 Public Benefit 2,309 0 2,309 Central Valley O&M 153 0 153 Underground Loan 717 0 717 Subtotal $109,385 $(7,035)$102,350 Gas Fund Emergency Plant Replacement 1,000 0 1,000 1,000 (min.) Distribution Rate Stabilization 6,072 (2,198)3,874 3,230 - 6,461 Supply Rate Stabilization 7,901 (3,140)4,761 6,149 - 12,298 Debt Service Reserve 952 0 952 Subtotal $15,925 $(5,338)$10,587 Wastewater Collection Fund Emergency Plant Replacement 1,000 0 1,000 1,000 (min.) Rate Stabilization 5,554 (988)4,566 2,156 - 4,311 Subtotal $6,554 $(988)$5,566 Water Fund Emergency Plant Replacement 1,000 0 1,000 1,000 (min.) Rate Stabilization 14,191 (1,885)12,306 4,300 -8,600 Bond Proceeds (Restricted)5,874 (3,500)2,374 Debt Service Reserve 780 0 780 Subtotal $21,845 $(5,385)$16,460 Refuse Fund Rate Stabilization (5,244) (6,530)(11,774) 2,614 - 5,228 Landfill Closure and Postclosure Care Liability 11,211 (475)10,736 Landfill Corrective Action Reserve 650 0 650 Subtotal $6,617 $(7,005)$(388) 72 Enterprise Fund Reserves City of Palo Alto Operating Budget FY 20118 Draft Revision: 506 User: dwong Timestamp: June 16, 2010 5:18 pm Storm Drainage Fund Rate Stabilization 300 122 422 Subtotal $300 $122 $422 Wastewater Treatment Fund Emergency Plant Replacement 2,160 (413)1,747 1,747 (max.) Rate Stabilization (14,163) (330)(14,493) 2,990 - 5,980 Bond Proceeds (Restricted)0 0 0 Subtotal $(12,003) $(743)$(12,746) Fiber Optics Fund Emergency Plant Replacement 1,000 0 1,000 1,000 (min.) Rate Stabilization 7,831 1,149 8,980 609 - 1,522 Subtotal $8,831 $1,149 $9,980 TOTAL RESERVES $157,454 $(25,223)$132,231 Emergency Plant Replacement 7,160 (413)6,747 Rate Stabilization 67,783 (17,954)49,829 Bond Proceeds (Restricted)5,874 (3,500)2,374 Debt Service Reserve 1,732 0 1,732 Calaveras 59,865 (2,881)56,984 Public Benefit 2,309 0 2,309 Central Valley O&M 153 0 153 Underground Loan 717 0 717 Shasta Rewind Loan 0 0 0 Conservation Loan 0 0 0 Landfill Corrective Action Reserve 650 0 650 Landfill Closure and Postclosure Care Liability 11,211 (475)10,736 TOTAL RESERVES $157,454 $(25,223)$132,231 RESERVES ($000) FY 2011 Projected Beginning Balance FY 2011 Changes FY 2011 Projected Ending Balance FY 2011 Reserve Guideline Range 73 This page is intentionally left blank. 74 APPENDIX 3 75 This page is intentionally left blank. 76 2011-15 CIP Summary by Fund Capital Budget FY 2011 City of Palo Alto 21 2011-15 CIP Summary by Fund ($000) Fund Category FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total CAPITAL FUND $21,073 $29,838 $12,755 $12,178 $12,736 $88,580 Total Reimbursements (5,475) (19,748) (3,010) (2,839) (2,872)$(33,944) NET CAPITAL FUND $15,598 $10,090 $9,745 $9,339 $9,864 $54,636 VEHICLE REPLACEMENT FUND $20 $3,514 $3,254 $2,874 $3,592 $13,254 Total Reimbursements 0 0 0 0 0 $0 NET VEHICLE REPLACEMENT FUND $20 $3,514 $3,254 $2,874 $3,592 $13,254 TECHNOLOGY FUND $3,517 $2,192 $775 $580 $600 $7,664 Total Reimbursements (1,917) (1,553) (421) (441) (461)$(4,793) NET TECHNOLOGY FUND $1,600 $639 $354 $139 $139 $2,871 ELECTRIC FUND $10,085 $12,615 $12,137 $13,255 $12,810 $60,902 Total Reimbursements (1,340) (3,028) (3,450) (3,785) (3,870)$(15,473) NET ELECTRIC FUND $8,745 $9,587 $8,687 $9,470 $8,940 $45,429 FIBER OPTICS FUND $400 $400 $400 $400 $400 $2,000 Total Reimbursements (200) (200) (200) (200) (200)$(1,000) NET FIBER OPTICS FUND $200 $200 $200 $200 $200 $1,000 GAS FUND $8,325 $7,821 $8,188 $5,387 $5,435 $35,156 Total Reimbursements (700) (710) (720) (730) (713)$(3,573) NET GAS FUND $7,625 $7,111 $7,468 $4,657 $4,722 $31,583 WATER FUND $8,848 $5,479 $5,612 $13,003 $21,106 $54,048 Total Reimbursements (4,259) (767) (776) (785) (795)$(7,380) NET WATER FUND $4,589 $4,712 $4,836 $12,218 $20,312 $46,668 77 2011-15 CIP Summary by Fund City of Palo Alto Capital Budget FY 201122 WASTEWATER COLLECTION FUND $4,130 $4,241 $4,354 $4,516 $4,653 $21,894 Total Reimbursements (730) (740) (750) (761) (771)$(3,752) NET WASTEWATER COLLECTION FUND $3,400 $3,501 $3,604 $3,755 $3,882 $18,142 REFUSE FUND $1,650 $6,100 $0 $0 $0 $7,750 Total Reimbursements (375)0 0 0 0 $(375) NET REFUSE FUND $1,275 $6,100 $0 $0 $0 $7,375 WASTEWATER TREATMENT FUND $2,500 $2,550 $2,600 $2,700 $2,750 $13,100 Total Reimbursements 0 0 0 0 0 $0 NET WASTEWATER TREATMENT FUND $2,500 $2,550 $2,600 $2,700 $2,750 $13,100 STORM DRAINAGE FUND $1,459 $2,171 $2,279 $2,362 $2,475 $10,746 Total Reimbursements 0 0 0 0 0 $0 NET STORM DRAINAGE FUND $1,459 $2,171 $2,279 $2,362 $2,475 $10,746 TOTAL CIP COSTS (ALL FUNDS)$62,007 $76,920 $52,354 $57,255 $66,558 $315,094 Total Reimbursements (14,996) (26,746) (9,327) (9,541) (9,682)$(70,292) NET CIP COSTS $47,011 $50,174 $43,027 $47,714 $56,876 $244,802 ($000) Fund Category FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total 78 CIP General Fund Financial Summary Capital Budget FY 2011 City of Palo Alto 23 CIP General Fund Financial Summary FUND SUMMARY ($000) FY 2009 Actuals FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted- in-Concept Change FY 2011 Proposed Budget FY 2011 Budget Change Revenues Bond Proceeds 0 54,381 54,757 1,400 1,400 (53,357) Other Agencies 74 768 818 55 1,210 392 State of California 2,726 136 136 0 0 (136) Federal Grants 162 150 1,444 0 0 (1,444) Stanford University 54 17 17 0 0 (17) Investment Income 1,009 838 838 770 1,035 197 Other Revenue 65 0 369 0 298 (71) SUBTOTAL REVENUES $4,089 $56,289 $58,379 $2,225 $3,943 $(54,436) Operating Transfers In General Fund 14,648 9,900 9,900 10,248 9,503 (397) Street Improvement Fund 485 750 750 850 750 0 Developers Impact Fee-Park Fund 1,090 0 0 220 220 220 Utility Funds 1,371 86 86 230 153 67 California Avenue Parking District Permits Fund 0 67 67 0 0 (67) Charleston Arastradero Safety Impact Fees Fund 82 82 82 82 82 0 SUBTOTAL OPERATING TRANSFERS IN $17,676 $10,885 $10,885 $11,630 $10,708 $(177) TOTAL SOURCE OF FUNDS $21,765 $67,174 $69,264 $13,855 $14,651 $(54,613) Expenses Salaries and Benefits 2,649 3,479 3,548 3,482 3,365 (183) Capital Project Expenditures 18,836 63,943 59,281 13,960 17,708 (41,573) SUBTOTAL EXPENSES $21,485 $67,421 $62,829 $17,442 $21,073 $(41,756) Operating Transfers Out 2,551 0 4,311 0 0 (4,311) TOTAL USE OF FUNDS $24,036 $67,421 $67,140 $17,442 $21,073 $(46,067) NET TO (FROM) RESERVES $(2,271) $(247)$2,124 $(3,587)$(6,422) $(8,546) INFRASTRUCTURE RESERVE YEAR-END BALANCE $7,016 $5,210 $8,967 $1,623 $2,545 $(6,422) 79 2011-15 Capital Improvement Projects City of Palo Alto Capital Budget FY 201124 2011-15 Capital Improvement Projects ($000) CIP Number Project Title FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total KEY Shaded areas denote new projects TBD To Be Determined Italicized text indicates reimbursement Capital Fund Land and Land Improvements AC-86017 Art in Public Places 25 50 50 50 50 $225 General Fund (25) (50) (50) (50) (50)$(225) NET TOTAL LAND AND LAND IMPROVEMENTS $0 $0 $0 $0 $0 $0 Buildings and Facilities PF-14001 Art Center Roof Replace- ment 200 $200 PF-11001 Council Chamber Carpet Replacement 80 $80 CC-11000 Cubberley Gym Activity Room 65 $65 PF-13002 Cubberley Mechanical and Electrical Upgrades 1,300 $1,300 PF-13001 Lucie Stern Mechanical Sys- tem Upgrade 100 400 $500 PF-15001 Municipal Service Center Roof Replacement Build- ings A,B, and C 550 $550 PF-15000 Rinconada Pool Locker Room 300 $300 PF-93009 Americans with Disabilities Act Compliance 150 150 100 100 100 $600 PF-07000 Art Center Electrical & Mechanical Upgrades 2,600 $2,600 PF-07002 Baylands Interpretive Center Improvement 267 $267 PF-01003 Building Systems Improve- ments 100 100 100 100 100 $500 PF-09000 Children's Theatre Improve- ments 100 500 $600 PE-09003 City Facility Parking Lot Maintenance 100 100 100 $300 80 2011-15 Capital Improvement Projects Capital Budget FY 2011 City of Palo Alto 25 PF-01002 Civic Center Infrastructure Improvements 3,006 $3,006 Enterprise Funds (60)$(60) PF-06004 Cubberley Restroom Upgrades 300 $300 PF-02022 Facility Interior Finishes Replacement 355 105 105 105 105 $775 PF-05003 Foothills Park Interpretive Center Improvements 210 $210 PE-11000 Main Library New Construc- tion and Improvements 1,400 16,900 $18,300 Bonds (1,400) (16,900)$(18,300) PF-05002 Municipal Service Center Improvements 300 341 $641 Enterprise Funds (93) (106)$(199) AC-09002 New Sound System for Lucie Stern Community Theatre 200 $200 General Fund (200)$(200) PF-00006 Roofing Replacement 165 150 150 150 150 $765 PF-06002 Ventura Buildings Improve- ments 90 600 $690 NET TOTAL BUILDINGS AND FACILITIES $7,288 $2,287 $1,955 $1,155 $1,305 $13,990 Parks and Open Space PE-14000 Stanford/Palo Alto Soccer Turf Replacement 500 $500 PG-06003 Benches, Signage, Fencing, Walkways, and Perimeter Landscaping 100 150 150 150 150 $700 PE-06010 City Parks Improvements 330 440 200 200 $1,170 PG-11001 Cogswell Plaza Improve- ments (formerly PE-07004)150 $150 OS-07000 Foothills Park Road Improvements 150 $150 PG-11000 Hopkins Park Improvements (formerly PE-07001)95 $95 PG-11002 Monroe Park Improvements (formerly PE-11003)250 $250 ($000) CIP Number Project Title FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total 81 2011-15 Capital Improvement Projects City of Palo Alto Capital Budget FY 201126 OS-09001 Off-Road Pathway Resurfac- ing and Repair 100 100 100 100 100 $500 OS-00002 Open Space Lakes and Ponds Maintenance 50 60 $110 OS-00001 Open Space Trails and Ame- nities 116 136 150 164 175 $741 PG-09002 Park and Open Space Emer- gency Repairs 75 75 75 75 75 $375 PE-06007 Park Restroom Installation 220 220 $440 Development Impact Fees (220)(220)$(440) PE-08001 Rinconada Park Improve- ments 775 $775 PG-11003 Scott Park Improvements (formerly PE-11004)100 $100 PG-06001 Tennis and Basketball Court Resurfacing 30 30 30 30 30 $150 PE-10002 Ventura Community Center and Park 135 $135 NET TOTAL PARKS AND OPEN SPACE $956 $1,991 $945 $1,279 $730 $5,901 Streets and Sidewalks PE-13011 Charleston/Arastradero Cor- ridor Project 1,000 1,000 2,000 $4,000 PL-11001 Dinah SummerHill Pedes- trian/Bicycle Path 300 $300 PO-11000 Sign Reflectivity Upgrade 100 50 50 50 50 $300 PL-04010 Bicycle Transportation Plan Implementation Project 50 50 50 50 $200 PL-07002 El Camino Real/Stanford Ave Streetscape and Inter- section Improvements 1,663 $1,663 Local Agency Grant (1,210)$(1,210) PE-11011 Highway 101 Pedestrian/ Bicycle Overpass Project (formerly PL-11000) 250 $250 PL-00026 Safe Routes to School 100 100 100 100 $400 Gas Tax Fund (100) (100) (100) (100)$(400) ($000) CIP Number Project Title FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total 82 2011-15 Capital Improvement Projects Capital Budget FY 2011 City of Palo Alto 27 PE-00104 San Antonio Medians 630 $630 PO-89003 Sidewalk Repairs 719 690 660 654 651 $3,374 Others (299) (299) (299) (299) (299)$(1,495) PO-05054 Street Lights Improvements 130 135 140 145 $550 General Fund (130) (135) (140) (145)$(550) PE-86070 Street Maintenance 3,754 3,754 3,754 3,754 3,754 $18,768 Gas Tax Fund (750) (750) (750) (750) (750)$(3,750) PE-06011 Street Median Improve- ments 156 156 156 $468 PO-11001 Thermoplastic Marking and Striping 50 50 50 50 50 $250 PL-05030 Traffic Signal Upgrades 160 165 170 175 $670 General Fund (160) (165) (170) (175)$(670) NET TOTAL STREETS AND SIDEWALKS $5,207 $3,701 $4,670 $4,665 $5,505 $23,748 Miscellaneous AS-10000 Salaries and Benefits - Gen- eral Fund CIP Projects 3,365 3,463 3,564 3,668 3,775 $17,835 General Fund (1,217) (1,254) (1,291) (1,330) (1,353)$(6,445) NET TOTAL MISCELLANEOUS $2,148 $2,209 $2,273 $2,338 $2,421 $11,390 CAPITAL FUND $21,073 $29,838 $12,755 $12,178 $12,736 $88,580 TOTAL REIMBURSEMENTS $(5,475)$(19,748)$(3,010)$(2,839)$(2,872)$(33,944) NET CAPITAL FUND $15,598 $10,090 $9,745 $9,339 $9,864 $54,636 Vehicle Replacement Fund Miscellaneous VR-15000 Scheduled Vehicle and Equipment Replacements 3,592 $3,592 VR-13000 Scheduled Vehicle and Equipment Replacements 3,254 $3,254 VR-14000 Scheduled Vehicle and Equipment REplacements 2,874 $2,874 ($000) CIP Number Project Title FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total 83 2011-15 Capital Improvement Projects City of Palo Alto Capital Budget FY 201128 VR-12000 Scheduled Vehicle and Equipment Replacements 3,514 $3,514 VR-07001 Automated Motor Pool Res- ervation and Vehicle Key Management System 20 $20 NET TOTAL MISCELLANEOUS $20 $3,514 $3,254 $2,874 $3,592 $13,254 NET VEHICLE REPLACEMENT FUND $20 $3,514 $3,254 $2,874 $3,592 $13,254 Technology Fund Technology TE-11005 Implementation of New Utility Rates 100 1,000 $1,100 Enterprise Funds (100)(1,000)$(1,100) TE-11001 Library Computer System Software 350 $350 TE-11002 Police Mobile In-Car Video System Replacement 310 $310 TE-11003 Recurring Credit Card Pay- ment 150 $150 Enterprise Funds (150)$(150) TE-11004 Utility Bill Information Enhancements 750 150 $900 Enterprise Funds (750)(150)$(900) TE-99010 Acquisition of New Comput- ers 75 75 75 75 $300 TE-10000 Collections Software 32 $32 TE-07000 Enterprise Application Infra- structure Upgrade (for- merly CIS/SAP Transition) 75 $75 Enterprise Funds (50)$(50) TE-06001 Library RFID Implementa- tion 400 150 215 $765 TE-05000 Radio Infrastructure Replacement 1,250 100 100 100 100 $1,650 Enterprise Funds (250) (20) (20) (20) (20)$(330) Stanford (200) (16) (16) (16) (16)$(264) ($000) CIP Number Project Title FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total 84 2011-15 Capital Improvement Projects Capital Budget FY 2011 City of Palo Alto 29 TE-00010 Telephone System Replace- ment 100 $100 Enterprise Funds (67)$(67) TE-10001 Utilities Customer Billing System Continuous Improvements 350 367 385 405 425 $1,932 Enterprise Funds (350) (367) (385) (405) (425)$(1,932) NET TOTAL TECHNOLOGY $1,600 $639 $354 $139 $139 $2,871 TECHNOLOGY FUND $3,517 $2,192 $775 $580 $600 $7,664 TOTAL REIMBURSEMENTS $(1,917)$(1,553)$(421)$(441)$(461)$(4,793) NET TECHNOLOGY FUND $1,600 $639 $354 $139 $139 $2,871 Electric Fund Distribution System - Customer Design and Connection Services EL-10008 Advanced Metering Infra- structure (AMI) System 100 $100 Enterprise Funds (67)$(67) EL-89028 Electric Customer Connec- tions 1,900 2,000 2,100 2,200 2,300 $10,500 Others (800) (850) (900) (925) (950)$(4,425) NET TOTAL DISTRIBUTION SYSTEM - CUSTOMER DESIGN AND CONNECTION SERVICES $1,133 $1,150 $1,200 $1,275 $1,350 $6,108 Distribution System - System Improvements EL-13003 Rebuild UG District 16 300 $300 EL-14002 Rebuild UG District 20 500 500 $1,000 EL-11015 Reconductor 60kV Over- head Transmission System 450 700 700 700 $2,550 EL-11014 Smart Grid Technology Installation 500 2,000 3,000 3,000 3,000 $11,500 Enterprise Funds (333)(1,333)(2,000)(2,000)(2,000)$(7,667) EL-11010 UG District 47 - Middlefield, Homer Avenue, Webster Street and Addison Avenue 150 2,000 200 $2,350 Others (700)$(700) ($000) CIP Number Project Title FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total 85 2011-15 Capital Improvement Projects City of Palo Alto Capital Budget FY 201130 EL-14000 Coleridge/Cowper/Tenny- son 4/12 kV Conversion 12 120 400 $532 EL-08000 E. Charleston 4/12 kV Con- version 450 $450 EL-13000 Edgewood / Wildwood 4 kV Tie 300 100 $400 EL-98003 Electric System Improve- ments 2,100 2,200 2,300 2,400 2,450 $11,450 Others (140) (145) (150) (160) (170)$(765) EL-11004 Hewlett Subdivision Rebuild Los Trancos Road 400 $400 EL-09002 Middlefield / Colorado 4/12 kV Conversion 150 250 $400 EL-09000 Middlefield Underground Rebuild 550 $550 EL-11007 Rebuild Greenhouse Condo Area 150 350 $500 EL-12000 Rebuild UG District 12 80 700 300 $1,080 EL-11003 Rebuild UG District 15 80 400 270 $750 EL-09003 Rebuild UG District 17 (Downtown)100 $100 EL-11006 Rebuild UG District 18 350 $350 EL-10006 Rebuild UG District 24 750 $750 EL-13002 Relocate Quarry Road/Hop- kins Substations 60 kV Line (Lane A & B) 100 $100 EL-02010 SCADA System Upgrades 40 300 50 55 60 $505 EL-11000 Seale/Waverley 4/12 kV Conversion 40 400 $440 EL-11002 St. Francis/Oregon/Ama- rillo/Louis 4/12 kV Conver- sion 50 450 $500 EL-89044 Substation Facility Improve- ments 160 165 170 180 185 $860 EL-89038 Substation Protection Improvements 250 250 260 270 280 $1,310 EL-11001 Torreya Court Rebuild 100 $100 ($000) CIP Number Project Title FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total 86 2011-15 Capital Improvement Projects Capital Budget FY 2011 City of Palo Alto 31 EL-08001 UG District 42 - Embar- cadero Rd. (Between Emer- son & Middlefield) 150 2,000 $2,150 Others (750)$(750) EL-11009 UG District 43 - Alma/ Embarcadero 150 2,000 500 $2,650 Others (700)$(700) EL-06002 UG District 45 - Downtown V 350 $350 EL-12001 UG District 46 - Charleston/ El Camino Real 150 1,000 150 $1,300 Others (400)$(400) NET TOTAL DISTRIBUTION SYSTEM - SYSTEM IMPROVEMENTS $6,697 $7,517 $6,562 $7,265 $6,655 $34,695 General Services - Street Lights EL-10009 Street Light System Conver- sion Project 800 800 800 800 800 $4,000 NET TOTAL GENERAL SERVICES - STREET LIGHTS $800 $800 $800 $800 $800 $4,000 General Services - Communications EL-89031 Communications System Improvements 115 120 125 130 135 $625 NET TOTAL GENERAL SERVICES - COMMUNICATIONS $115 $120 $125 $130 $135 $625 ELECTRIC FUND $10,085 $12,615 $12,137 $13,255 $12,810 $60,902 TOTAL REIMBURSEMENTS $(1,340)$(3,028)$(3,450)$(3,785)$(3,870)$(15,473) NET ELECTRIC FUND $8,745 $9,587 $8,687 $9,470 $8,940 $45,429 Fiber Optics Fund Commercial Telecommunications FO-10000 Fiber Optics Customer Con- nections (formerly EL- 06006) 200 200 200 200 200 $1,000 Others (200) (200) (200) (200) (200)$(1,000) FO-10001 Fiber Optics Network Sys- tem Improvements(formerly EL-06005) 200 200 200 200 200 $1,000 ($000) CIP Number Project Title FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total 87 2011-15 Capital Improvement Projects City of Palo Alto Capital Budget FY 201132 NET TOTAL COMMERCIAL TELECOMMUNICATIONS $200 $200 $200 $200 $200 $1,000 FIBER OPTICS FUND $400 $400 $400 $400 $400 $2,000 TOTAL REIMBURSEMENTS $(200)$(200)$(200)$(200)$(200)$(1,000) NET FIBER OPTICS FUND $200 $200 $200 $200 $200 $1,000 Gas Fund Distribution System - Customer Design and Connection Services GS-80017 Gas System Extensions 700 710 720 730 752 $3,612 Others (700) (710) (720) (730) (713)$(3,573) NET TOTAL DISTRIBUTION SYSTEM - CUSTOMER DESIGN AND CONNECTION SERVICES $0 $0 $0 $0 $39 $39 Distribution System - System Improvements GS-10004 Automating Test Stations (Cathodic Protection)100 $100 GS-11002 Gas System Improvements 195 200 206 212 219 $1,032 GS-14001 GMR - Project 24 492 $492 GS-15000 GMR-Project 25 542 $542 GS-03007 Directional Boring Equip- ment 60 64 68 $192 GS-02013 Directional Boring Machine 185 45 250 $480 GS-80019 Gas Meters and Regulators 297 306 315 325 335 $1,578 GS-11001 Gas Station 4 Rebuild 337 $337 GS-09002 GMR - Project 19 5,800 $5,800 GS-10001 GMR - Project 20 5,970 $5,970 GS-11000 GMR - Project 21 457 6,150 $6,607 GS-12001 GMR - Project 22 468 3,200 $3,668 GS-13001 GMR - Project 23 482 3,300 $3,782 GS-03008 Polyethylene Fusion Equip- ment 32 34 36 $102 GS-03009 System Extensions - Unreim- bursed 162 167 172 178 184 $863 ($000) CIP Number Project Title FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total 88 2011-15 Capital Improvement Projects Capital Budget FY 2011 City of Palo Alto 33 NET TOTAL DISTRIBUTION SYSTEM - SYSTEM IMPROVEMENTS $7,625 $7,111 $7,468 $4,657 $4,683 $31,544 GAS FUND $8,325 $7,821 $8,188 $5,387 $5,435 $35,156 TOTAL REIMBURSEMENTS $(700)$(710)$(720)$(730)$(713)$(3,573) NET GAS FUND $7,625 $7,111 $7,468 $4,657 $4,722 $31,583 Water Fund Distribution System - Customer Design and Connection Services WS-80013 Water System Extensions 410 420 430 440 450 $2,150 Others (692) (700) (709) (718) (728)$(3,547) NET TOTAL DISTRIBUTION SYSTEM - CUSTOMER DESIGN AND CONNECTION SERVICES $(282)$(280)$(279)$(278)$(278)$(1,397) Distribution System - System Improvements WS-11001 Vacuum Excavation Equip- ment 275 $275 WS-11003 Water Distribution System Improvements 200 206 212 218 225 $1,061 WS-11004 Water System Supply Improvements 200 206 212 218 225 $1,061 WS-15002 WMR - Project 29 334 $334 WS-08002 Emergency Water Supply Project 3,500 $3,500 Bonds (3,500)$(3,500) WS-02014 W-G-W Utility GIS Data 100 100 100 100 100 $500 Enterprise Funds (67) (67) (67) (67) (67)$(333) WS-80015 Water Meters 209 215 222 229 236 $1,111 WS-07001 Water Recycling Facilities 500 750 750 8,000 16,000 $26,000 WS-80014 Water Service Hydrant Replacement 212 217 222 229 236 $1,116 WS-10001 WMR - Project 24 2,950 $2,950 WS-11000 WMR - Project 25 292 3,060 $3,352 WS-12001 WMR - Project 26 305 3,150 $3,455 WS-13001 WMR - Project 27 314 3,245 $3,559 ($000) CIP Number Project Title FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total 89 2011-15 Capital Improvement Projects City of Palo Alto Capital Budget FY 201134 WS-14001 WMR - Project 28 324 3,300 $3,624 NET TOTAL DISTRIBUTION SYSTEM - SYSTEM IMPROVEMENTS $4,871 $4,992 $5,115 $12,496 $20,590 $48,065 WATER FUND $8,848 $5,479 $5,612 $13,003 $21,106 $54,048 TOTAL REIMBURSEMENTS $(4,259)$(767)$(776)$(785)$(795)$(7,380) NET WATER FUND $4,589 $4,712 $4,836 $12,218 $20,312 $46,668 Wastewater Collection Fund Collection System - Customer Design and Connection Services WC-80020 Sewer System Extensions 330 340 350 361 372 $1,753 Others (730) (740) (750) (761) (771)$(3,752) NET TOTAL COLLECTION SYSTEM - CUSTOMER DESIGN AND CONNECTION SERVICES $(400)$(400)$(400)$(400)$(399)$(1,999) Collection System - System Improvements WC-15002 Wastewater System Improvements 200 206 212 218 225 $1,061 WC-15001 WW Collection Sys. Rehab/ Aug. Project 28 330 $330 WC-99013 Sewer Lateral/Manhole Rehab/Replacement 560 565 570 617 636 $2,948 WC-12001 WW Collection Sys. Rehab/ Aug. Project 25 300 2,912 $3,212 WC-13001 WW Collection Sys. Rehab/ Aug. Project 26 310 3,000 $3,310 WC-10002 WW Collection Sys. Rehab/ Aug. Project 23 2,750 $2,750 WC-11000 WW Collection Sys. Rehab/ Aug. Project 24 290 2,830 $3,120 WC-14001 WW Collection Sys. Rehab/ Aug. Project 27 320 3,090 $3,410 NET TOTAL COLLECTION SYSTEM - SYSTEM IMPROVEMENTS $3,800 $3,901 $4,004 $4,155 $4,281 $20,141 WASTEWATER COLLECTION FUND $4,130 $4,241 $4,354 $4,516 $4,653 $21,894 TOTAL REIMBURSEMENTS $(730)$(740)$(750)$(761)$(771)$(3,752) ($000) CIP Number Project Title FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total 90 2011-15 Capital Improvement Projects Capital Budget FY 2011 City of Palo Alto 35 NET WASTEWATER COLLECTION FUND $3,400 $3,501 $3,604 $3,755 $3,882 $18,142 Refuse Fund Miscellaneous RF-11001 Landfill Closure 600 6,100 $6,700 NET TOTAL MISCELLANEOUS $600 $6,100 $0 $0 $0 $6,700 Collection System - System Improvements RF-10003 Drying Beds, Material Stor- age and Transfer Area 750 $750 Enterprise Funds (375)$(375) RF-10002 Flare Relocation Project 300 $300 NET TOTAL COLLECTION SYSTEM - SYSTEM IMPROVEMENTS $675 $0 $0 $0 $0 $675 REFUSE FUND $1,650 $6,100 $0 $0 $0 $7,750 TOTAL REIMBURSEMENTS $(375)$0 $0 $0 $0 $(375) NET REFUSE FUND $1,275 $6,100 $0 $0 $0 $7,375 Wastewater Treatment Fund Wastewater Treatment - System Improvements WQ-04011 Facility Condition Assess- ment & Retrofit 1,050 1,050 1,050 1,100 1,100 $5,350 WQ-80021 Plant Equipment Replace- ment 1,200 1,400 1,450 1,500 1,550 $7,100 WQ-80022 System Flow Meter 250 100 100 100 100 $650 NET TOTAL WASTEWATER TREATMENT - SYSTEM IMPROVEMENTS $2,500 $2,550 $2,600 $2,700 $2,750 $13,100 NET WASTEWATER TREATMENT FUND $2,500 $2,550 $2,600 $2,700 $2,750 $13,100 Storm Drainage Fund Collection System - System Improvements SD-11101 Channing Avenue/Lincoln Avenue Storm Drain Improvements 895 1,590 1,680 1,430 $5,595 ($000) CIP Number Project Title FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total 91 2011-15 Capital Improvement Projects City of Palo Alto Capital Budget FY 201136 SD-06104 Connect Clara Drive Storm Drains to Matadero Pump Station $ SD-13002 Matadero Creek Storm Water Pump Station and Trunk Lines Improvements 315 1,840 $2,155 SD-10101 Southgate Neighborhood Storm Drain Improvements $ SD-06101 Storm Drain System Replacement and Rehabili- tation 564 581 599 617 635 $2,996 NET TOTAL COLLECTION SYSTEM - SYSTEM IMPROVEMENTS $1,459 $2,171 $2,279 $2,362 $2,475 $10,746 NET STORM DRAINAGE FUND $1,459 $2,171 $2,279 $2,362 $2,475 $10,746 ($000) CIP Number Project Title FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total 92 APPENDIX 4 93 This page is intentionally left blank. 94 FY 2011 Internal Service Funds City of Palo Alto Operating Budget FY 2011254 FY 2011 Internal Service Funds FUND SUMMARY ($000) Vehicle Replacement and Maintenance Fund Technology Fund Printing and Mailing Fund General Benefits and Insurance Fund Retiree Health Benefit Fund Total Revenues Operating Revenue 7,585 10,392 1,137 38,056 9,934 67,104 Interest Income 156 315 0 1,293 0 1,764 Other Revenue 191 1,718 2 290 0 2,201 TOTAL SOURCE OF FUNDS $7,932 $12,425 $1,139 $39,639 $9,934 $71,069 Expenditures Operating Expenditures 4,861 9,638 1,137 39,639 9,934 65,209 Capital Improvement Program 20 3,517 0 0 0 3,537 TOTAL USE OF FUNDS $4,881 $13,155 $1,137 $39,639 $9,934 $68,746 NET TO/FROM UNRESTRICTED ASSETS $3,051 $(730)$2 $0 $0 $2,323 95 Internal Service Funds Unrestricted Assets Operating Budget FY 2011 City of Palo Alto 255 Internal Service Funds Unrestricted Assets FUND SUMMARY ($000) Vehicle Replacement and Maintenance Fund Technology Fund Printing and Mailing Fund General Benefits and Insurance Fund Retiree Health Benefit Fund Total Changes to Unrestricted assets JUNE 30, 2010 UNRESTRICTED ASSETS $332 $6,138 $30 $481 $10 $6,991 FY 2011 Projected Changes 3,051 (730)2 0 0 (2,323) JUNE 30, 2011 UNRESTRICTED ASSETS $3,383 $5,408 $32 $481 $10 $9,314 96 APPENDIX 5 97 This page is intentionally left blank. 98 Debt Service Funds City of Palo Alto Operating Budget FY 2011249 Debt Service Funds FUND SUMMARY ($000) FY 2009 Actuals FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change Revenues Property Tax 0 0 0 0 3,492 3,492 Other - Interest 59 54 54 54 54 0 SUBTOTAL REVENUES $59 $54 $54 $54 $3,546 $3,492 General Fund Operating Transfers Golf Course Corporation 526 529 529 528 528 (1) Public Improvement Corp. (Civic Center)332 333 333 328 328 (4) Parking 2002B COPS Taxable 225 225 225 224 224 (1) University Avenue Permit Fund Transfer 80 80 80 80 80 0 SUBTOTAL OPERATING TRANSFERS IN $1,162 $1,167 $1,167 $1,160 $1,160 $(6) TOTAL SOURCE OF FUNDS $1,222 $1,221 $1,221 $1,214 $4,706 $3,486 Expenses Debt Service: Golf Course Corporation - Principal 335 355 355 370 370 15 Golf Course Corporation - Interest 221 206 206 190 190 (16) Public Improvement Corporation - Principal 365 380 380 390 390 10 Public Improvement Corporation - Interest 59 46 46 31 31 (14) Parking 2002B COPS Taxable - Prin- cipal 100 105 105 110 110 5 Parking 2002B COPS Taxable - Interest 135 129 129 123 123 (6) Library 2010 General Obligation - Interest 0 0 0 0 1,472 1,472 TOTAL USE OF FUNDS $1,215 $1,221 $1,221 $1,214 $2,686 $1,465 NET TO (FROM) RESERVES $7 $0 $0 $0 $2,020 $2,020 99 This page is intentionally left blank. 100 APPENDIX 6 101 This page is intentionally left blank. 102 103 2 Adjustments to Date in the General Fund This section summarizes actions made by the Finance Committee to date. Detail for each adjustment and follow-up information is provided later in the memo. A page is referenced where additional information is available later in the memo. The next section after this one begins on page five and summarizes the actions still needed. General Fund The General Fund FY 2011 Proposed Budget includes the following changes totaling $1,095,000 outlined in the tables below. The first table reflects recommended and approved changes by the Finance Committee. The second table reflects changes recommended by staff and approved by the Finance Committee to correct or update the Proposed Budget. The changes now provide a total of $8.4 million (originally $9.4 million) in budget solutions to cover the $7.3 million budget gap, therefore providing $1,012,000 more than needed to close the budget gap. The shaded lines reflect items adding to the budget solutions non shaded lines reduce from the budget solutions. Table 1 Date Finance Committee Adjustments to Proposed Budget FY 2011 ($000) Department 6-May Reopen College Terrace Library in FY11 75 LIBRARY Reduce City Council general expense budget (This includes travel budget) -17 COUNCIL 11-May Limit park fee increases (Entrance fees reduced, but staff projects same revenue) N/C COMMUNITY SERVICE DEPARTMENT Maintain Art Center support staff 61 COMMUNITY SERVICE DEPARTMENT Reinstate summer concert series 27 COMMUNITY SERVICE DEPARTMENT Reinstate HSRAP funding 50 COMMUNITY SERVICE DEPARTMENT Reinstate 1 FTE Code Enforcement Officer 122 PLANNING 18-May Reinstate school crossing guards 345 POLICE Reinstate traffic team (4 FTE, net rev) 645 POLICE 25-May Children's Theatre new revenue (Show production participation fee $50-$300) -35 COMMUNITY SERVICE DEPARTMENT Restore 4 FTE tree trimmers 316 PUBLIC WORKS Restore trees planting materials 10 PUBLIC WORKS Reduce 1 FTE Supr. Project Engineer -162 PUBLIC WORKS Total of Finance Committee Adjustments $1,437 104 3 Table 2 Date Staff Adjustments to Proposed Budget FY 2011 ($000) Department 6-May Labor negotiations contract services 68 HUMAN RESOURCES DEPARTMENT 11-May Full FTE elimination savings from positions being contracted out (Full year savings instead of 9 months) -273 COMMUNITY SERVICES DEPARTMENT Stanford revenue -35 ATTORNEY Temporary salaries 15 ATTORNEY 18-May IT rent lease agreement cost savings -51 ADMINISTRATIVE SERVICES DEPARTMENT 25-May Correct Fiber Optic allocation expense -66 ADMINISTRATIVE SERVICES DEPARTMENT Total of Staff Adjustments -342 The current status of the “temporary surplus” included within the General Fund, based upon those adjustments by the Finance Committee and proposed by staff which are summarized in the preceding Tables 1 and 2, is restated in Table 3 below. As a result of all changes that have been acted upon by the Finance Committee, the General Fund temporary surplus currently amounts to $1,012,000. Table 3 Date Draft Adjustments to Budget FY 2011 Balance ($000) May 6 Beginning Balance $2,107 Table 1 Summary Finance Committee Adjustments -1,437 Table 2 Summary Staff Adjustments 342 June 14 Current Balance $1,012 The FY 2012 deficit is currently estimated at $1.1 to $1.5 million in the Long Range Financial Forecast. The Fiscal Year 2011 Proposed Budget includes one-time revenue increases and expenditure reductions totaling $553,000. When added to the projected FY 2012 deficit, the preliminary estimate of the FY 2012 budget shortfall is $1.7 to $2.1 million. The Finance Committee has made several changes to the City Manager's Proposed Budget and has been utilizing the “parking lot” system, where items needing further 105 4 information are parked for discussion at a later date or for decision at the budget wrap up meeting on June 14, 2010. In order to add items to the parking lot, two members of the Committee must be in agreement. Discussion of each of the parking lot items is included within the following departmental summaries of recommended changes to the City Manager’s Proposed Budget except for discussion of the Police Investigator positions. Police staff will address questions and provide additional information related to the Police Investigator positions at the budget wrap-up meeting on June 14. The following table (Table 3) summarizes the parking lot items for which decisions are needed from the Finance Committee. Table 4 Date Parking Lot Items Amount ($000) Department 6-May Monday closure of library branches *Staff to review partial closures, staffing, and calculate savings TBD LIBRARY 11-May Reduce City Attorney legal secretary (1FTE). (Attorney's Office to return with additional information on support) -117 ATTORNEY 18-May Add Police Investigators (2 FTEs) 332 POLICE 25-May Sidewalk Replacement - Property owner pays 100% repair costs 598 PUBLIC WORKS Reduce Traffic Control Maintainer -89 PUBLIC WORKS In addition, staff has been asked to provide additional information on the following items, these items are neither part of the changes nor parking lot items for later discussion. Please see the referenced page numbers within this memo for additional detail on the items summarized here:  Provide a Fire Department budget that includes a 4 percent reduction equivalent to the salary reductions for SEIU and Professional and Management employees (see page 13).  Provide a list of Fire Department reductions that could be made if there were no labor contract limitations (see page 13).  Provide a legal opinion on whether the City Council salaries can be reduced by 10 percent or if this decision must be voluntary. The City Attorney has researched the issue of Council Member reduction in pay and concluded that any Council Member may reduce their pay voluntarily by informing the City Manager of the requested reduction. A change to the ordinance making the reduction in pay permanent should only be made effective for future office holders. The approximate annual savings would be $6,500 if all Council members participate in this reduction (see page 8-9 or attachment 5). 106 5  Provide additional information on potentially increasing noise abatement fees which could potentially cover the full cost of the program (see page 10).  Provide additional information on the possibility of implementing a two-tier parking violation system (see page 9).  Provide additional information regarding the provision of security at City- sponsored events (see page 10). The additional information requested by the Finance Committee for each of the matters discussed above is included within the following departmental summaries of recommended changes to the City Manager’s Proposed Budget. Finally, regarding position changes, the Finance Committee has added 9.75 FTE to the General Fund. The additions include a Senior Auditor in the City Auditor’s Office at a cost of $156,000, which will be funded from the Utilities Enterprise Funds. The position is intended to focus on the Enterprise Fund and their operations. As a result of the changes in the tables above (not including the parking lot items) the following table reflects reinstated, additions and eliminated positions for all departments. In addition, 2 positions were proposed for the Enterprise Fund, but later withdrawn by the Department. Table 5 Position Changes to City Manager's Proposed Budget Reinstated (9.75 FTE) Program Assistant I (.75) Code Enforcement Officer Police Sergeant Police Agent Police Officers (2) Tree Trimming/Line Clearers (4) Additions (1 FTE) Sr. Auditor (Funded by Enterprise Funds) Elimination (1 FTE) Supr. Project Engineer Withdrawn (2 FTE) Customer Service Specialist Customer Service Representative Actions Needed This section summarizes the outstanding decision points that need to be addressed by the Finance Committee. The list represents items from the Parking Lot as well as staff recommended adjustments. Additional information on each item can be found at the referenced page number. 107 6 Table 6 Item Council Review/Follow- up Needed Description Amount Page Number for Details Parking Lot Items/Decision Points 1 City Attorney Consider proposal to eliminate one FTE Legal Secretary Finance Committee voted 2-2 on the proposal to reduce one Legal Secretary, which sent the item to the parking lot $117,000 8 or Attachment 5 2 Library Consider options for shortening library hours Finance Committee voted to put in the Parking Lot shortening of Library hours until financial impact could be assessed Options range from $78,384 to $164,548 11-13 or Attachment 3 3 Fire Approval of Department Budget with additional budget reductions Finance Committee voted to not approve the Fire Department budget until additional budget reductions options were provided $821,000 and $647,294 13-14 4 Police Consider Elimination of 2 FTE in Police Investigations Finance Committee voted to put this proposal in the Parking Lot for $332,000 11 5 Public Works General Fund Consider elimination of one FTE Traffic Control Maintainer Finance Committee voted to put the elimination of the Traffic Control Maintainer in the Parking Lot $89,000 16 6 Public Works Capital Approval of sidewalk cost sharing percentage and new CIP project Committee was split as to the resident’s share of sidewalk repair costs - should be 50% or 100% $298,970 (50%) or $597,940 (100%) 20 108 7 Item Council Review/Follow- up Needed Description Amount Page Number for Details Staff Recommended Changes 7 Community Services Approval of additional appropriation for severance pay Employees laid off receive one month of severance pay per SEIU labor agreement $140,000 21 8 Public Works Approval of additional appropriation for severance pay Employees laid off receive one month of severance pay per SEIU labor agreement $21,000 22 9 Printing/Mailing ISF Reinstating temp and reclass .48 FTE, Reclass Mailing Services Specialist to Offset Equipment Operator $0 ($35,400 funding provided from non- salary reductions) 24 10 Table of Org. FSLA Changes Title changes only $0 * 25 11 Water Fund Approval of increased operating transfer to CIP Correction of error in the amount of the draw on the Water Fund reserves for CIP projects $67,000 23 12 IT Tech Fund Approval of increased operating transfer to CIP Correction of error in the amount of the draw on the Technology Fund reserves for CIP projects $84,000 24 * The dollar impact is unknown at this time. Staff will return to Council as necessary with recommended salary changes once determined. Finance Committee-Recommended Changes to the City Manager’s Proposed Budget The items listed below are a summary of Finance Committee motions made and/or action items that result in a financial change or other recommended change to the FY 2011 proposed budget. 109 8 General Fund Finance Committee actions and information requests are summarized below by department. Committee actions are included for reference purposes when reviewing each of the departmental summaries. City Attorney Motions: On May 11, 2010, the Finance Committee recommended tentative approval of Fiscal Year 2011 City Attorney’s Office budget (3-1). Motions: On May 11, 2010, the Finance Committee recommended that the department reduce the proposed budget by one legal secretary. The motion failed 2-2 resulting in placement of this issue in the parking lot for reconsideration during budget wrap-up. In response to the 2-2 vote of the Finance Committee, the City Attorney has prepared additional information related to this matter for the Committee’s consideration. This information is outlined in the attached report from the City Attorney dated June 9, 2010 (Attachment 5). City Auditor Motions: On May 6, 2010, the Finance Committee recommended tentative approval of Fiscal Year 2011 City Auditor’s Office budget (4-0). On May 6, 2010, the Finance Committee recommended tentative approval to add a Senior Auditor position, at $156,115 in salary and benefit, funded by the Enterprise Funds to provide continuous and on-going audits of the Enterprise Fund activities (4-0). City Clerk Motions: On May 6, 2010, the Finance Committee recommended tentative approval of Fiscal Year 2011 City Clerk’s budget (4-0). City Council Motions: On May 6, 2010, the Finance Committee recommended tentative approval of Fiscal Year 2011 City Council’s budget (4-0). Motions: On May 6, 2010, the Finance Committee recommended the reduction of the General Expense category, by $17,000, to $30,000 and a voluntary reduction in salary by 10% or $720.00 per Council member (3-1). The City Attorney has researched the issue of Council Member reduction in pay and concluded that any Council Member may reduce their pay voluntarily by informing the 110 9 City Manager of the requested reduction. A change to the ordinance making the reduction in pay permanent should only be made effective for future office holders. City Manager Motions: On May 6, 2010, the Finance Committee recommended tentative approval of Fiscal Year 2011 City Manager’s budget (4-0). Administrative Services Department Motions: On May 18, 2010, the Finance Committee recommended tentative approval of Fiscal Year 2011 Administrative Services Department budget (4-0) Human Resources  The following is in response to the question from the Finance Committee regarding the 38 percent budgeted expense increase in the FY 2011 Proposed Budget. The 38 percent increase to the Risk Management/Safety/Workers’ Compensation division is not related to overall citywide workers compensation claims. Rather, this increase is a result of FTE reallocation to Workers’ Comp/Safety/Risk Management division. In addition, HR staff workers’ compensation leave usage increased compared to prior years due to a recent injury. Motions: On May 11, 2010, the Finance Committee recommended tentative approval of the Fiscal Year 2011 Human Resources Department Budget, including an at-places item in the amount of $68,000 for the City’s labor negotiator contract (4-0). The motion will result in the following budget changes:  Increase the Human Resources Department budget $68,000 in Fiscal Year 2011 Police Department  The following is in response to a question from the Finance Committee regarding two-tier parking violation system. Councilmember Klein, referencing an article he had read, raised the possibility of citing parking violations as City of Palo Alto Municipal Codes so that the City would receive all the fine revenue. Staff looked into this suggestion and, with the exception a few violations such as no front plate and no registration tabs on vehicle, most parking violations are citied as City of Palo Alto Municipal Code violations. However, by State statute, the county and State collect $9.50 of each of those fine amounts as an assessment for court construction costs. Further research by staff found, what is believed Councilmember Klein was referencing, the more recent practice of issuing citations for Vehicle Code moving violations, such as red light, stop sign, speeding, as a municipal code violations. Several local governments including the county of Alameda, cities of Marysville, Roseville, Riverbank, and Newman have elected to cite several moving violations 111 10 listed in the California Vehicle Code as local municipal code violations, thus retaining all fines associated with each citation. Existing law prohibits a local authority from enacting or enforcing an ordinance that assesses a penalty for a violation of matters covered by the vehicle code that is different than the penalty expressly provided for in that code unless expressly authorized. Senate Bill No. 949 was introduced on February 4, 2010 and the language in this bill further prohibits cities from enacting local ordinance on matters covered by the Vehicle Code unless expressly authorized. It is Staff’s opinion that SB 949 will pass and local jurisdictions will be prohibited from citing California Vehicle Code violations as municipal code violations. Staff will monitor the legislative actions on this bill.  The following is in response to questions from the Finance Committee regarding cost recovery of the Leaf Blower Enforcement Program. The current administrative fine for using a leaf blower in violation of the Palo Alto Municipal Code (PAMC) is $100. In FY 2009, approximately 340 administrative citations were issued, but approximately 200 administrative fines (about 59 percent) were actually paid. This is a low collection rate in comparison to, for example, overtime parking citations which have a collection rate of about 85 percent. Based on the current collection rate, administrative fines would need to be raised to approximately $210 per violation to make the program cost recovery. However, staff is confident that if fines were more than doubled, not only would the collection rate percentage drop, but there would also be fewer municipal code violations as gardeners may be more motivated to avoid hefty fines. Staff recommendation to cut this position would not eliminate the Department’s response to leaf blower municipal code violations. Enforcement going forward will be handled on a complaint basis by patrol officers, and as such, will be prioritized with other calls-for-service, possibly resulting in longer response times then would a centralized leaf blower enforcement officer.  The following is in response to questions from the Finance Committee regarding coverage for security services in CSD’s FY 2011 proposed budget. The FY 2011 CSD proposed budget currently does not contain funding for private security services at the “Moonlight Run” and the “May Fete Parade.” CSD may be able to use Park Rangers to assist with limited traffic and crowd control in order to keep Police overtime costs to a minimum. Motions: On May 18, 2010, the Finance Committee recommended to restore funding for School Crossing Guards in the amount of $345,000 (3-1). The motion will result in the following budget changes:  Increase to the Police Department budget $345,000 in Fiscal Year 2011 112 11 On May 18, 2010, the Finance Committee recommended to restore 4 FTE out of 5 positions in the Traffic Team (3-1). Budget Impact: $646,000. The motion will result in the following budget changes:  Increase to the Police Department Budget $721,104 in Fiscal Year 2011  Reinstate 1 FTE Police Sergeant, 1 FTE Police Agent, and 2 FTE Police Officer  Reinstate $75,000 in traffic citation revenue in Fiscal Year 2011 On May 18, 2010, a motion was put forth to restore the Investigations unit and offset this by a $6 increase to parking violations. The motion was tied and put into the parking lot (2-2). Police staff will address questions and provide additional information related to the Police Investigator positions at the budget wrap-up meeting on June 14. On May 18, 2010, the Finance Committee asked staff to return with information on how much leaf blower citations would need to be increased to realize cost recovery (4-0). On May 18, 2010, the Finance Committee recommended tentative approval of the Fiscal Year 2011 Police Department budget (4-0). Library Motions: On May 6, 2010, the Finance Committee recommended to the City Council to not approve Staff recommendations to keep College Terrace Library closed past the anticipated opening in November 2010 (3-1). Budget Impact: $75,893 On May 6, 2010, the Finance Committee recommended to place the shortening of the Library hours in the Parking Lot to allow time to evaluate the financial impact of partially opening on Mondays (4-0). On May 6, 2010, the Finance Committee moved that Staff returns with a proposal to develop a plan to have the libraries partially open on Mondays and that Staff should work with the Library Advisory Commission to determine a more flexible staffing schedule (4-0). On May 6, 2010, the Finance Committee recommended to the City Council to reduce the funding for book collections by $117,343 (4-0). The above motions will result in the following budget changes: 113 12  Increase the budget for the Library Department $75,000  Decrease the Budget Stabilization Reserve $75,000 On May 6, 2010, the Finance Committee made a motion that Staff returns with a proposal to develop a plan to have libraries open on Mondays. Staff provides three options to the Finance Committee with alternatives to Monday closure of all library branches. Summary of Staff proposals is as follows. (See Attachment 3 for details)  These options assume that recommendation regarding hours approved by FC on May 6 are in effect. o College Terrace reopens in FY 2011 after completion of its renovation o Main and Mitchell Park close at 8pm instead of 9pm on Tuesday and Thursday o All libraries close on Sundays before Monday City holidays OPTION 1 Open Main, Mitchell Park, and Children’s at 12 pm instead of 10 am on Monday; close College Terrace on Monday. Service Impacts: This option would maintain after school support at the three principal libraries. Customers who prefer to visit the library during the morning would be affected by the delayed opening. College Terrace would be open four, instead of five, days per week. Cost Impact: $106,672 (restores 1.0 FTE Library Associate and 0.39 FTE hourly Clerk) OPTION 2 Open Main and Mitchell Park at 12 pm instead of 10 am on Monday; close Children’s and College Terrace on Monday. Service Impacts: This would reduce service to children who use Children’s. Customers who prefer to visit the library during the morning would be affected by the delayed opening. College Terrace would be open four, instead of five, days per week. Cost Impact: $93,063 (restores 1.0 FTE Library Associate and 0.12 FTE hourly Clerk) OPTION 3 Close Main and College Terrace on Monday; close Mitchell Park and Children’s on Friday Service Impacts: This option has the greatest impact on users of all ages and needs. Some libraries are open every day, but the schedule could be confusing for some customers. 114 13 Labor Impacts: Will require discussion with SEIU regarding change to standard work week as this schedule would not provide two days off in a row for all staff. Cost Impact: $20,508 (restores 0.43 FTE hourly Clerk) Planning and Community Environment Motions: On May 11, 2010, the Finance Committee recommended tentative approval of Fiscal Year 2011 Planning and Community Environment Department budget (4-0). On May 3, 2010, the Finance Committee recommended tentative approval of the Community Development Block Grant (CDBG) Funding allocations for Fiscal Year 2011, per CMR 235:10 with a grant total of $731,566 (4-0). Fire Department Motions: On May 18, 2010, the Finance Committee recommended to return the Fire Department Budget to Staff for consideration of the model used in compensation reductions by other City employee groups and to make recommendations for a budget with similar reductions to those in other City departments (3-1). Fire Budget Narrative for June 14, 2010 At the May 18, 2010 Finance Committee (FC) budget hearing, the Fire Department’s FY 2011 proposed budget had net revenue and expenditure increases, excluding one-time adjustments, by $274,969 and $1,841,076, respectively. These amounts included proposed revenue increase of $408,000 and net expenditure reductions of $257,412. As a result of expenditure increases for firefighter salaries and benefits (contractually obligated by the current MOA), the proposed budget for the department resulted in a net expenditure increase of $754,399. The FC directed staff to return with additional budget reductions. Given that negotiations have only recently began with the Firefighters’ union, staff was further directed to identify department reductions of approximately 4 percent which is equivalent to the reductions already implemented for Management and Professional and the Service Employees International Union (SEIU). In addition, the Fire Chief was asked to provide options if contractual minimum staffing requirements did not exist. It’s important to state that any reductions impacting members of the IAFF is subject to negotiations. Should budgeted reductions not materialize through the negotiations process, an additional FY 2011 mid-year revenue increase or further operational reductions may be needed. 115 14 A 4 percent reduction in IAFF compensation concessions equals approximately $821,000 and would need to occur to be equivalent to the reductions already implemented for Management and Professional and the Service Employees International Union (SEIU). With regard to the direction to provide other suggestions if contractual conditions were not a factor, the City would consider the following deployment and utilization options achieve optimum staffing levels, among other ideas that could be identified at a later date:  Cross-staff specialized or dynamic deployment units (e.g., deploy by need/calls for service vs. minimum staffing);  Placing a unit out of service on a day-to-day basis where appropriate and based on demand/need;  Selectively staff stations relative to low peak activity by actual call data from the City’s CAD system; and  Placing unit(s) out of service on a permanent basis and/or close a fire station(s) based on demand/need where appropriate – this option would require a redeployment plan based on service area/district. Since the above options require careful analysis, weighing the complex issues in balancing service versus financial priorities, and considering the variables of each option, staff recommends deferral of specific details or recommendations until the pending Resources, Services, and Utilization study is completed (targeted completion by the end of August, 2010). Lastly, based on FC comments, below are additional reductions, if implemented, will result in savings for FY 2011. Reductions/Impacts that can be completed in FY 2011: A B C D E Description Expenditure Savings Additional Costs (Contracting, Temp. Staff, etc.) Loss of Stanford Reimburse ments Net Savings 1 Eliminate 3 FTE Fire Inspectors $590,991 ($120,000) ($142,710) $328,281 2 Eliminate 1 Deputy Fire Chief $243,895 ($12,200) ($70,204) $161,491 Totals $834,886 ($132,200) ($212,914) $489,772 Proposals that merit consideration for FY 2012 and beyond are as follows:  Special Assessment District to fund Station # 8 staffing  Cost-sharing of Station # 8 staffing from neighboring communities or in exchange for services  Shared or contract administrative functions with other fire agencies (all or partial)  Consolidations / mergers of fire agencies (all or partial)  Shared resources with other fire agencies or joint staffing (all or partial) 116 15 Community Services Department Motions: On May 11, 2010 the Finance Committee moved that CSD staff return to the Finance Committee with options for charging Children’s Theatre participants with affordable fees (4-0).  Finance Committee requested additional data on the Children’s Theatre such as number of unique participants, productions, differential rates, and other relevant data with comparative prior years. On May 11, 2010 the Finance Committee moved to accept Staff’s recommendations on revenue enhancements with the exception of instituting a limitation for one day fees to $5 dollars and annual passes to $40 for open space parks (4-0). On May 11, 2010 the Finance Committee recommended to the City Council that the Art Center keep their current staffing level at one Full Time Employee and reduce the item CS10 from 3 Full Time Employees to 2.25 Full Time Employees (3-1). Budget impact:$61,114 On May 11, 2010 the Finance Committee recommended to the City Council the preservation of the Summer Concert Series & solicit donations at the event (4-0). Budget Impact: $27,000 On May 11, 2010 the Finance Committee recommended to the City Council to eliminate the cuts to HSRAP and maintain full funding for the program (4-0). Budget Impact: $50,000 On May 11, 2010 the Finance Committee recommended to the City Council to approve the remainder of the budget for the Community Services Department (4-0).  In response to the motion by the Finance Committee on May 11, 2010, staff returned to the Finance Committee on May 25, 2010 and provided the information requested by the Finance Committee pertaining to the Children’s Theatre. (See Attachment 1 – May 25, 2010 At Places Memo) On May 25, 2010 the Finance Committee passed a motion that the Finance Committee recommends the City Council adopt the Staff proposal to charge program based variable participants fees for the Children’s Theatre, with a different fee for residents and non- residents (4-0). Budget Impact: $35,000 The above motions will result in the following budget changes: 117 16  Increase in revenue for the Community Service Department $35,000  Increase the budget for the Community Services Department $138,114  Net decrease in the Budget Stabilization Reserve $103,114 Public Works The following information about the Traffic Control Maintenance II position is being provided in response to Finance Committee questions. This position was placed in the parking lot for further consideration.  The Traffic Control Maintenance (TCM) crew is comprised of six full-time employees and one part-time temporary employee. The TCM group maintains the regulatory and guide signage, lane line and legend striping, crosswalk markings, curb markings, and graffiti removal. One FTE is dedicated to new work requests from the Transportation Division of the Planning and Community Environment Department to improve public safety.  In the first five months of 2010 the TCM crew completed 30 work requests from Transportation ranging from painting new red zones, fabricating and installing new signs and poles, moving existing signs, taking traffic counts, changing lane line striping, removing signs and poles, and installing new pedestrian safety bollards. The true work load impact from the Transportation Division includes the time spent on new installations as well as ongoing maintenance needs which continue to grow as new devices are installed. If the currently frozen Traffic Control Maintenance II position is eliminated, then the traffic control section will have to redirect its efforts to the primary responsibility of maintaining the devices that already exist and will not be able to continue to support the new requests from the Transportation Division. Motions: On May 25, 2010, the Finance Committee recommended to restore funding of $390,104 for 4.0 FTE Tree Trimmer/Line Clearers and $10,000 for planting material for trees (4- 0). On May 25, 2010, the Finance Committee was split in deciding between a reduction of the sidewalk repair and replacement program in which residents would be responsible for 100% of costs, and a reduction in which the City and residents would share the costs 50%-50%. On May 25, 2010, the Finance Committee recommended to eliminate 1.0 FTE Supervising Project Engineer of $161,525 (4-0). This recommended reduction was included on the “list of alternative” reductions and not included in the proposed budget. On May 25, 2010, the Finance Committee placed in the parking lot the elimination of 1.0 FTE Traffic Control Maintainer II of $89,421. This recommended reduction was included on the “list of alternative” reductions and not included in the proposed budget. 118 17 On May 25, 2010, the Finance Committee recommended tentative approval of the remainder of the Fiscal Year 2011 Public Works Department budget (4-0). Enterprise Funds  Per the Finance Committee’s direction, 1.0 FTE Senior Auditor has been added to the proposed budget. This position will be dedicated to issues related to the Utilities Department. Funding for this position will be shared by the Electric, Fiber Optics, Gas, Water, and Wastewater Collection Funds. Electric Fund  Increase utilities administration charges by $68,011 for addition of 1.0 FTE Senior Auditor in the City Auditor’s Office Motion: On May 27, 2010, the Finance Committee recommended tentative approval of Fiscal Year 2011 Electric Fund operating and capital budgets (4-0). Fiber Optics Fund  In response to a Finance Committee request for information regarding a transfer from the Fiber Optics Fund to the General Fund, the City Attorney believes that a reasonable, limited transfer of about five percent of annual fiber optics revenue is permitted under current law. It may be surmised that such a transfer could amount to approximately $150,000.  Increase utilities administration charges by $4,379 for addition of 1.0 FTE Senior Auditor in the City Auditor’s Office Motions: On May 25, 2010, the Finance Committee recommended tentative approval of Fiscal Years 2011 Fiber Optics Fund operating and capital budgets (4-0). On May 25, 2010, the Finance Committee recommended approval of a resolution amending various fiber optic rate schedules to effect a fiber optics rate increase of 2.6% based on the change in annual local CPI (4-0). Gas Fund  Increase utilities administration charges by $34,254 for addition of 1.0 FTE Senior Auditor in the City Auditor’s Office Motion: On May 27, 2010, the Finance Committee recommended tentative approval of Fiscal Years 2011 Gas Fund operating and capital budgets (4-0). 119 18 Wastewater Collection Fund  Increase utilities administration charges by $18,520 for addition of 1.0 FTE Senior Auditor in the City Auditor’s Office Motion: On May 27, 2010, the Finance Committee recommended tentative approval of Fiscal Years 2011 Wastewater Fund operating and capital budgets (4-0). Water Fund  Increase utilities administration charges by $30,951 for addition of 1.0 FTE Senior Auditor in the City Auditor’s Office Motion: On May 27, 2010, the Finance Committee recommended tentative approval of Fiscal Years 2011 Water Fund operating and capital budgets (4-0). Refuse Fund Motion: On May 27, 2010, the Finance Committee voted to continue the discussion of Fiscal Year 2011 Refuse Fund operating and capital budgets (4-0). Staff will return with a proposal for a rate increase for the Committee’s consideration.  Options for rate increases are presented for the Finance Committee’s consideration as a separate agenda item (CMR 281:10). It is anticipated that a final decision on rate increases will be proposed early in Fiscal Year 2011, and the budget will be amended at that time. Wastewater Treatment Fund Motion: On May 27, 2010, the Finance Committee recommended tentative approval of Fiscal Year 2011 Wastewater Treatment Fund operating and capital budgets (4-0). Storm Drainage Fund Motions: On April 6, 2010, the Finance Committee recommended approval of a resolution amending storm and surface water drainage rate schedules to effect a storm drainage rate increase of 2.6% based on the change in annual local CPI (4-0). On May 27, 2010, the Finance Committee recommended tentative approval of Fiscal Year 2011 Storm Drainage Fund operating and capital budgets (4-0). Internal Services Funds Vehicle Replacement and Maintenance Fund 120 19 Motions: On May 27, 2010, the Finance Committee recommended to not approve staff’s recommended “at places” addition of CIP VR-11002 RFID Reader at MSC and Civic Center of $50,000 (4-0). On May 27, 2010, the Finance Committee recommended tentative approval of the Fiscal Year 2011 Vehicle Replacement and Maintenance operating and capital budgets (4-0). Technology Fund Motions: On May 18, 2010, the Finance Committee recommended tentative approval of the Fiscal Year 2011 Technology Fund operating and capital budgets (4-0). Printing and Mailing Fund Motions: On May 18, 2010, the Finance Committee recommended tentative approval of the Fiscal Year 2011 Printing and Mailing Fund budget (4-0). General Benefits and Insurance Fund Motions: On May 27, 2010, the Finance Committee recommended tentative approval of the Fiscal Year 2011 General Benefits and Insurance Fund budget (4-0). Retiree Health Benefits Fund Motions: On May 27, 2010, the Finance Committee recommended tentative approval of the Fiscal Year 2011 Retiree Health Benefits Fund (4-0). Infrastructure/Capital Fund CIP Motions: On May 25, 2010, the Finance Committee recommended that the City Council approve the proposed General Fund Capital Improvement Program Budget (4-0).  On May 25, 2010 Staff presented to the Finance Committee additional CIP Project CC-11000 Cubberley Gym Activity Room for $65,000. The Finance Committee approved the addition.  Finance Committee requested a six-month check-in on projects with lower construction bids and list of likely projects by which potential savings can be used to fund these projects  Finance Committee recommended another graphic presentation of funding sources for the projects. Staff responded that additional chart can be included in the adopted budget document. 121 20 The above motion will result in the following budget changes:  Drawdown from the Infrastructure Stabilization Reserve of $65,000 On May 25, 2010, the Finance Committee was split in deciding between a reduction of the sidewalk repair and replacement program in which residents would be responsible for 100% of costs, and a reduction in which the City and residents would share the costs 50%-50%.  Three options were presented for the Finance Committee’s consideration: o The first option would maintain the “status quo” sidewalk program as performed in prior fiscal years. The City performs 100% of the work with no cost shift to residents. The budgetary impact of this option would be $597,740 and would include adding back in to the budget a $500,000 CIP project and one Engineering Tech III position at a cost of $97,740. o The second option would transfer 100% of the responsibility for sidewalk repair and replacement to the homeowner. Under this option, the City would perform 100% of the work and bill the homeowner for the full cost of sidewalk repair and replacement. The budgetary impact of this option would be $0 and would include adding back into the budget a $500,000 CIP project, one Engineering Tech III position at a cost of $97,740 and creation of a revenue estimate in the amount of $597,740 for sidewalk replacement/repair reimbursement revenue. o The third option would transfer 50% of the responsibility for sidewalk repair and replacement to the homeowner. Under this option the City would perform 100% of the work and bill the homeowner for 50% of the full cost of sidewalk repair and replacement. The budgetary impact of this option would be $298,970 and would include adding back into the budget a $500,000 CIP project, one Engineering Tech III position at a cost of $97,740 and creation of a revenue estimate for the sidewalk replacement/repair reimbursement revenue in the amount of 50% of the full project cost or $298,970. Under all three options, the City would retain 100% of the legal liability for sidewalk maintenance and repair. Municipal Fee Schedule The Finance Committee will consider the Municipal Fee Schedule on June 14, 2010. Contracts Greater Than $85,000 The Finance Committee will consider the Contract Scopes of Consultant Services Agreements Greater than $85,000 on June 14, 2010. 122 21 Staff-Recommended Changes to the City Manager’s Proposed Budget The items listed below are a summary of “at places” items that result in a financial change and other proposed changes included within the budget wrap-up memo. General Fund Per the City’s personnel rules and SEIU’s labor agreement, laid off SEIU and management employees receive one month of severance pay at the time of separation from service with the City. After all retirement applications were processed and bumping rights exercised, a total of 19 employees will ultimately be laid off. This total is net of the position changes summarized and discussed below. The total amount of the payoffs to be paid to the 19 laid-off employees is estimated at $365,000. Of this amount, an estimated $204,000 will be paid off to employees separating from service with the City on June 30. An additional $161,000 appropriation is required for the FY 2011 Proposed Budget to account for the estimated payoffs to laid-off employees in the Community Services department and the Public Works department that are separating from service with the City during the first quarter of FY 2011. Infrastructure/CIP  General Fund infrastructure backlog in pages 292 is amended to include Public Safety Building for $60,000,000 (Attachment 2). The change has no cost impact in the FY 2011 budget. With this change, the total infrastructure backlog is $510,000,000. The infrastructure backlog schedule is statistical data maintained by staff to monitor the City’s progress in updating the infrastructure backlog. Community Services Department  Staff is implementing changes in the salary and benefits reduction calculation. The FY 2011 Proposed Budget assumes three month salary and benefits usage for administrative position elimination transition. The attached calculation assumes the department will realize the full-year savings for the identified eliminated positions. The impact of the change is savings to the General Fund of $274,000.  Staff is recommending an additional appropriation of $140,000 be added to salaries for payment of severance pay to laid off employees. Per the City’s personnel rules and SEIU’s labor agreement, laid off employees receive one month of severance pay at the time of separation from service with the City. Public Works  Staff is recommending an additional appropriation of $21,000 be added to salaries for payment of severance pay to laid off employees. Per the City’s personnel rules and SEIU’s labor agreement, laid off employees receive one month of severance pay at the time of separation from service with the City. 123 22 Human Resources  An existing contract in the amount of $68,000 with the City’s labor negotiation consultant was not included in the proposed budget. This item was presented to the Finance Committee on May 11, 2010 at places. Debt Service Library Bonds  In June 2010, the City sold $55,300,000 of 2010 General Obligation Library Bonds to construct a new, energy efficient, environmentally friendly Mitchell Park Library and Community Center, to renovate and expand the Main Library, and renovate the Downtown Library. Annual debt service for FY 2011 is $1,472,000 and will be paid by an ad valorem property tax levy assessed against property owners. The property tax assessment will result in $3,491,539 in property tax revenue to fund debt service payments. Enterprise Funds  Changes to the proposed budget include the removal of 1.0 FTE Customer Service Representative of $94,348, and 1.0 FTE Customer Service Specialist of $103,768. The cost of these positions had been distributed among the Electric, Gas, Water, and Wastewater Collection Funds. In lieu of these two permanent positions, $134,657 has been shifted to temporary salaries. Electric Fund  The change to the Calaveras Reserve has been updated to reflect a draw of $4,108,000 in accordance with the annual stranded cost calculation. The projected FY 2011 ending balance of the Calaveras Reserve is $55,757,000. Correspondingly, the change to the Electric Supply Rate Stabilization Reserve (RSR) has been updated to reflect a draw of $2,881,000. The ending Electric Supply RSR is projected to be $33,387,000, which is within the revised guideline range of $32,016,000 to $64,031,000.  Decrease salaries and benefits expense by $23,587 for removal of request to add 0.25 FTE Customer Service Representative  Decrease salaries and benefits expense by $25,942 for removal of request to add 0.25 FTE Customer Service Specialist  Increase temporary salaries and related medical stipend by $10,658 for customer service and support Gas Fund  Decrease salaries and benefits expense by $23,587 for removal of request to add 0.25 FTE Customer Service Representative  Decrease salaries and benefits expense by $25,942 for removal of request to add 0.25 FTE Customer Service Specialist 124 23  Increase temporary salaries and related medical stipend by $46,787 for customer service and support  The projected FY 2011 beginning balance of the Gas Supply RSR has been updated to $7,901,000 Fiber Optics Fund  Decrease temporary salaries and related medical stipend by $4,575 and redistribute to other Utilities Funds for customer service and support Water Fund  The draw on the Water Fund reserves for CIP projects included in the Proposed Operating Budget did not match the total proposed CIP program expenditures for the Water Fund in error. The draw on the Water Fund reserves should be increased $67,000 to correct the amount of the draw included in the proposed operating budget document (See page 154 in the Proposed Operating Budget and page 33 in the Proposed Capital Budget). The change in the Water Fund draw on reserves will change the draw from $8,781,000 to $8,848,000 and will result in an additional draw on the Water Fund Reserve of $67,000.  Decrease salaries and benefits expense by $23,587 for removal of request to add 0.25 FTE Customer Service Representative  Decrease salaries and benefits expense by $25,942 for removal of request to add 0.25 FTE Customer Service Specialist  Increase temporary salaries and related medical stipend by $26,435 for customer service and support  The projected FY 2011 beginning balance of the Water Rate Stabilization Reserve has been updated to $14,191,000 Wastewater Collection Fund  Decrease salaries and benefits expense by $23,587 for removal of request to add 0.25 FTE Customer Service Representative  Decrease salaries and benefits expense by $25,942 for removal of request to add 0.25 FTE Customer Service Specialist  Increase temporary salaries and related medical stipend by $50,836 for customer service and support Refuse Fund  Options for rate increases are presented for the Finance Committee’s consideration as a separate agenda item (CMR 281:10). It is anticipated that a final decision on rate increases will be proposed early in Fiscal Year 2011, and the budget will be amended at that time. Internal Services Funds Vehicle Replacement and Maintenance Fund 125 24  CIP VR-11000 Scheduled Vehicle and Equipment Replacements of $3,193,500 has been removed. An evaluation of the vehicle fleet will be made during FY 2011, and this CIP will be adjusted and reinstated accordingly. Technology Fund  TE-11005 - Change in the name of the project from “Implementation of New Utility Rates” to “Implementation of Restructure Tiered Rates on Bills”. Changes are also made on the project description and supplementary information on the CIP page of the project. See Attachment 1 for details of the changes. These changes have no financial impact on the Proposed FY 2011 budget. This technology project is managed by the Utilities Department.  The draw on the Technology Fund reserves for CIP projects included in the Proposed Operating Budget did not match the total proposed CIP program expenditures for the Technology Fund in error. The draw on the Technology Fund reserves should be increased $84,000 to correct the amount of the draw included in the proposed operating budget document (See page 254 in the Proposed Operating Budget and page 21 in the Proposed Capital Budget). The change in the Technology Fund draw on reserves will change the draw from $3,433,000 to $3,517,000 and will result in an additional draw on the Technology Fund Reserve of $84,000. Printing and Mailing Fund  Reinstate the temporary hourly Print Shop Assistant position and reclass the Mailing Services Specialist position to Offset Equipment Operator. These changes will allow for proper coverage to meet the required operational demands of departments’ and Council’s operations. There will be no financial impact on the FY 2011 proposed budget. The funding for these changes is provided from non-salary reductions of $35,400 in the FY 2011 proposed budget. Staffing Table of Organization 126 25  The following title changes will be incorporated into the City’s Table of Organization and have no budgetary impact: New Job Title Old Job Title Communications Manager Public Communications Manager Community Service Manager Supervisor Parks Deputy Fire Chief Deputy Fire Chief-EMT Hearing Officer Parking Examiner Legal Services Administrator Legal Administrator Library Services Manager Supervising Librarian Senior Human Resources Administrator Administrator, Human Resources Management Analyst Administrator, Public Works Performance Auditor Auditor Senior Electrical Engineer Senior Electric Project Engineer Senior Management Analyst Senior Administrator Senior Performance Auditor Senior Auditor Accountant Staff Accountant Community Services Senior Program Mgr Supervisor Junior Museum Community Services Superintendent Supervisor Golf Course Utilities Supervisor Supervisor Electric Systems Deputy Director Technical Services Div Coordinator Police Technical Services Senior Resources Planner Senior Resource Originator  Open Space and Parks Division Manager job classification will receive a 3.5 percent salary increase to correct the cost of living adjustment (COLA) increase that was given in FY 2008. The budgetary impact of this increase is $6,700 and will be adjusted in the FY 2011 midyear budget.  The Table of Organization will be corrected to reflect the elimination of 1.0 FTE Administrative Associate I instead of the elimination of 1.0 FTE Administrative Associate III which was originally included in the proposed budget. This change resides within the Capital Fund under the purview of the Public Works department. Related Memos Memos distributed “at-places”: May 6 - Updated Proposed Budget Balancing Recommendations for Fiscal Year 2011 General Fund, pages xvii and xviii of the FY 2011 Proposed Budget document - Revised Department Summary, Inputs, and Resource Level Changes, pages 97 to 100 for the Human Resources Department May 11 - Community Services Department Fiscal Year 2011 Proposed Budget Balancing Strategy 127 26 - Remove the 2 FTE Supervisor Recreation Programs to Senior Supervisor Recreation Programs reclassification. - Community Services Department Change in Salary and Benefits Reduction Calculation - Parks and Recreation Commission Special Meeting Preview Budget Proposal / Reductions FY 2011, April 22, 2010 meeting at Cubberley. - Human Resources Department Fiscal Year 2011 Proposed Budget Balancing Strategy - Planning and Community Environment Department Fiscal Year 2011 Proposed Budget Balancing Strategy - City Attorney’s Office Fiscal Year 2011 Proposed Budget Balancing Strategy - Revised Department Summary, Inputs, and Resource Level Changes, pages 33 to 36, and Organizational Charge, page 30 for the City Attorney’s Office - Change in Technology Fund Allocated Charges schedule May 18 - General Fund Salary and Benefits summary by department - Police Department Fiscal Year 2011 Proposed Budget Balancing Strategy - Fire Department Fiscal Year 2011 Proposed Budget Balancing Strategy - Administrative Services Department Fiscal Year 2011 Proposed Budget Balancing Strategy - Information Technology Internal Service Fund Fiscal Year 2011 Proposed Budget Balancing Strategy - Change in Technology Fund Allocated Charges for all General Fund Departments - Printing and Mailing Internal Service Fund Fiscal Year 2011 Proposed Budget Balancing Strategy May 25 - Summary of staff responses to the questions posed by the Finance Committee during the public budget hearing of the Community Services Department on May 11, 2010 regarding the Children’s Theatre - Amended data on the cost recovery rates of various arts and recreation programs of the Community Services Department - Golf Course Financial Summary for FY 2011 with comparative figures for FY 2009 and FY 2010 - Public Works General Fund Fiscal Year 2011 proposed Budget Balancing Strategy - Review of Other Cities’ Sidewalk Replacement Programs - A Letter from the Planning and Transportation Commission regarding the Capital Improvement Plan (CIP) FY 2011-2015 - Minutes of meeting of the Planning and Transportation Commission (PTC) on November 4, 2009, February 24, 2010 and May 12, 2010 (draft) - CIP Page of Project CC-11000 – Cubberley Gym Activity Room - Utilities Department Fiscal Year 2011 Proposed Budget Department Highlights 128 27 - Annual Calaveras Reserve Stranded Cost Calculation memorandum from the Utilities Department to the Utilities Advisory Commission - Finance Committee Recommendation to Approve Proposed Changes to the Electric Fund’s Calaveras Reserve Guidelines (CMR 275:09) - Revised Enterprise Fund Reserves, pages 155 to 156 of the FY 2011 Proposed Budget document May 27 - CIP Page of Project VR-11002 – Installation of RFID Reader at MSC and Civic Center - Utilities Department Fiscal Year 2011 Proposed Budget Department Highlights June 14 - Wrap-up Memo and Attachments (see below for list of attachments) City Manager’s Reports April 6 - CMR: 182:10, Storm Drainage Fund rate increase May 3 - CMR: 235:10, Proposed Fiscal Year 2011 CDBG Funding Allocations May 25 - CMR: 237:10, Fiber Optic Fund rate increase June 14 - CMR: 262:10, Proposed Amendments to the Fiscal Year 2011 Municipal Fee Schedule - CMR: 258:10, Contract Scopes of Consultant Services Agreements Greater than $85,000 Attachments: Attachment 1: Implementation of Restructured Tiered Rates on Bills (TE-1105) Attachment 2: Infrastructure Future Needs – Backlog Schedule Attachment 3: Library Alternatives to Monday Closure of All Library Branches Attachment 4: Correspondence (including emails) from citizens and/or other interested parties regarding various Fiscal Year 2011 Budget reduction proposals, and notes from Community Outreach meetings Attachment 5: Memorandum from City Attorney’s Office, dated June 9, 2010 129 NEW Description: This is a software modification project for the SAP-I5\J customer Information and billing system, The project will require significant programming to upgrade the SAP billing system and Pitney Bowes bill print software allowing for new rate structures and time differentiated pricing, This will also require a new system module, Energy Data Management, to store time specific data, It "ilia!;" !'l1",lde the lewest possible tl'aASaEtisA fee5Ief-tl;e.Qty'5-er€flit~ca,e p,sEe .. i,,!! Gf Utilities payments. See Supplemental Information for more information, Justification: In support ofthe City's Climate Protection Goals the utility will be proposing new rate structures that provide price incentives for customers to conserve resources. Current rate structures for electriCt gas! and water utilities have a limited or no tier pricing structure with relatively small differentials in pricing, New rate structures will be evaluated to determine if additional tiering and Increased price differentials between the tiers will Incent the reduction of usage. Supplemental Information: The City's EH,renWtllltJes.payment pr:ocess-allow , for indMdll.1 c<edlt cal'd transactions eacn.mol'ltb. Stan<laro ,roo it card t<ansa'tiG".we&, wlthQut the re;;w:r:In!J lIayment optiGn, are "iE.d on • p@",.RtaS9 ~tfll+lSaGtiGn amGunt plus a f3er t,aflsaction 'fee, Customers are Eu,renti)l-Uflilble to have their bills. a_ati,ally ~aicl on a monthly, reEwrring, basis, Ifthe "IC'lrring payment option is added, the fee is sliIf'lclardlzed at SQ,7' pel'-­ transaction Based-OlLas51 'ming 20% aftbe! JtlJltlps Clistomers electing to ray their Utilities bill by creglt card on a recurring (automatically chargeg) ~he ,ecurrlng <r"<lit~ptiGlHan .a'/e approximately $500,000 per¥ea r in ctedlt card tr~n5actlon fees $100,000 has been budgeted In FY 20 11 for project scope, $1,000,000 has been budgeted In FY 2012 in anticipation of proJect implementation which will include software enhancements, new hardware, and consulting costs, This funding will be reevaluated upon completion of the project scope City of Palo Alto Attachment 1 CIP • -New • Project Status: Design • Timeline: FY 2011-2013 • Overall Project Completion: 0% • Percent Spent: 0.00% • Managing Department: Utilities • Comprehensive Plan: Supports Goal N-4 and N-9 • Environmental: Not a project under CEQA, • Design Elements: None • Operating: None • Telecommunications: None Capital Budget FY 2011 130 Source of Funds: (tf~ City of Palo Alto CIP • Technology Fund with the following reimbursements: Electric Fund($516,040); Fiber Optics Fund($l OB); Gas Fund($232,656); Refuse Fund($12S,B33); Storm Drainage Fund($26,B97); Wastewater Collection Fund($67,725); Water Fund($130,741) Capital Budget FY 2011 131 Attachment 2 Other Malor Infrastructure Projects MSC Building Replacement Fire Station 3 Fire Station 4 Animal Shelter Junior Museum Lytton Plaza Charleston Arastradero Corridor Civic Center Plaza Deck Bxybee Park Phase II Los Altos Treatment Plant Clean-up & Preparation2 San Antonio Road Median & Roadway Improvements Phase II Roth Building Restrooms Public Safety Building3 1 2008 Dollars 'Thls is the general fund portion only 3 Th!S project was added In fY 2011 Notes: Prolect Cost' $93,000.000 $6,700,000 $7.500,000 $6.350,000 $735,000 $350,000 $10,000,000 $16,000,000 $3,625,000 $2,040,000 $1,500,000 $250,000 $60,000,000 $208,050,000 • Library Bond to be on ballot In November 2008. If bond does not pass, major renovations ara expected at Mitchell Park Library & Community Canter, Downtown & Main Libraries. The renovations cost are not shown in the Infrastructure backlog . • This list does not include future new Infrastructure such as an intermodaltranslt center, Callrain grade separallons for pedestrians, elc. Source: CMR:167:08 Page 292 132 Attachment 3 DATE: June 14, 2010 TO: Finance Committee ,FROM: Diane Jennings, Library Director City of Palo Alto Library Department Memorandum SUBJECT: Alternatives to Monday Closure of All Library Branches The City Manager's Fiscal Year 2011 Proposed Budget included a recommendation to close all libraries on Mondays to achieve a savings of $185,055, During the review on May 6, 2010 of the Library Department's proposed FY2011 budget, the Finance Committee asked staff to prepare altematives to this recommendation to maintain some Monday service hours, Library staff examined a number of alternatives and developed three options that provide a range of service hours and budget savings, While the service impacts vary by option, the guiding principle used to develop the alternatives was to minimize the impact to the public, These three options assume the other budget recommend,ations regarding hours approved by the Finance Committee on May 6 are in effect - • Reopen College Terrace in FY2011 after completion of its renovation • Close Main & Mitchell Park at 8 pm, instead of 9 pm, Tuesday-Thursday • Close all libraries on the Sundays before Monday City holidays (5 per year) OPTION 1 Open Main, Mitchell Park, and Children's at 12 pm instead of 10 am on Monday; close College Terrace on Monday Service Impacts: This option would maintain after school support at the three principal libraries, Customers who prefer to visit the library during the morning would be affected by the delayed opening, College Terrace would be open 4, instead of 5, days per week. Budget Savings: $78,384 OPTION 2 Open Main and Mitchell Park at 12 pm instead of 10 am on Monday; close Children'S and College Terrace on Monday Service Impacts: This would reduce service to children who use Children's. Customers who prefer to visit the library during the morning would be affected by the delayed opening. College Terrace would be open 4, instead of 5, days per week. Budget Savings: $91,993 OPTION 3 Close Main and College Terrace on Monday; close Mitchell Park and Children's on Friday Seryice Impacts: This option has the greatest impact on users of all ages and needs. Some libraries are open every day, but the SChedule could be confusing for some customers, Labor Impacts: Will require discussion with SEIU regarding change to standard work week as this schedule would not provide two days off in a row for all staff. Budget Savings: $164,548 1 133 The weekly schedule in FY2010, prior to the closing of the Downtown Library for renovation, and the schedules for each of the three options for FY2011 are as follows: FY2010· Current 211 hourslweek (does not include hours for Colle~ e Terrace' t-#brary I Man I Tues Wed Thurs Frl Sat ' Sun Main 11Oam-90m : lOam-80m 10a'm-gom 12·90m 10am-Bom lOam-Born 1-5pm f"';:;MC;itc"'hC::e'I'C'1 "p-"a~r:Lk::~!t-·7.1D",a","m,-:-9~pm I 10am-9pm 10am-gpm 12-9pm1 Dam-apm 10am-Bpm 1-5pm i Children's 10am-6om I 10am-Bom 10am-Bpm 12-6pm 10am-Bom 10am-Bpm 1-5pm f-;<c':'iolT.'le=.g, e~T e=r::ra:::ce::-t·'C""lo=s=e':id7fo=.r':re~n'c:oC:':viiiiiOn since mid-July, Had .been open 35 hours per week ,'ij FY2009, ,-",-D",ow",n~to",w",n,--_--,-,C",lo",s",e:::d_---,Ic.:.l.()am-6pm I 10am-6om I 12-7pm 110am-8om I 10am-Bpm I Closed FY2011· Option 1 Total Hrs, J 62 per",.!'.:-i 62 pefwk, : 48per~ I 39 perwk, 190 hours/week (does not include hours for Downtown) -10% reduction from FY2010 II/brarv Man Tues Wed Thurs Fri .. Sat Sun I Total firs:! I Main 12-8pm 10am-8pm lOam-80m 12-8pm 10am-8pm 10am-8pm l-Spm J 56 perwk, J (Mitchell Park 12-8pm lOam-80m 10am-8pm 12-8pm 10am-6pm 10am-8pm _ l-Spm '56 perwk,'i U::hildreo's 12-6om 10am-Som 10am-6om 12-6om '10am-50m 10am-50m l-Som 146 oerwk, . L20llege Terrace .Closed lOam-80m 10am-6rm Closed 110am-8pm 10am-8pm Closed I 32 perwkj , Downtown Will be closed for renovation all of FY2011 , FY2011· Option 2 184 hours/week (does not include hours for Downtown) -13% reduction from FY2010 I LIbrary Man Tues Wed Thurs Fr' Sat Sun Total Hrs. I • Main 12·8pm .. 10am-8em '".1 Oam-8pm 12-8pm 10am-8pm 10am-8pm 1-Spm 56 per wk. : i Mitchell Park 12-8om lOam-80m .10am-8em 12-Som 10am·8om 10am-8om 1-50rn 56.oerwk, I L?hildren's Closed 10am-6pm 10am-6om ' 12-6pm 10am-5pm 10am-50m 1-50m 40 perwk, ! , ColleQe Terrace Closed 10am-6r m 10am-6pm I Closed 10am-6pm 10am-6pm Closed 32 per wk. LPowntown-~" Will be closed for renovati()n all of FY2011, I FY2011· Option 3 171 hours/week (does not include hours for Downtown) -19% reduction from FY2010 Library Man Tues Wed I TllufS Frl Sat Sun Total Hrs, I .... I Main closed 10am:8pm 10am-8pm I 12-8pm 10am-6em 10am-6pm 1::;p.!Tl. 48 oerwk. I , Mitchell Park 10-8om 10am-Bp.l11_ 10am-8pm li2-8om ... Closed 10am-8om 1-50m 50oerwk. Children's la-6om 10am-8pm 10am-8pm I, 12~6p"!... .. Closed TOam·5pm 1-5pm 41 PElf wk, i f-3C'''~~''-'''' Closed"'-. 10am-6om 10am·6pm Closed Collece Terrace 10am-6om I Closed 10am-6pm 32 perwk, , Jl()wntown Will be "lased for renovation all of FY2011. .. _ ... _~_::J 2 134 Correspondence from Citizens and/or Other Interested Parties Regarding FY 2011 Proposed Budget Reductions To see these pages on the City Website, follow the link below: http://www.cityofpaloalto.org/depts/asd/ budget.asp Attachment 4 135 THE HONORABLE CITY COUNCIL Palo Alto, California Attention: Finance Committee Attachment 5 FROM CITY ATIORNEY Finance Committee: June 14, 20 10 June 8, 2010 RE: City Attorney's Office "Parking Lot" Proposal to Cut One Secretary Position Dear Members of the Council: In a 2-2 vote on May II the Finance Committee placed elimination ofa Senior Legal Secretary position from the City Attorney's Office in the "parking lot" with the understanding that the City Attorney would return with justification for maintaining the position. Our legal secretaries are vital to the Office of the City Attorney's mission and to the City and we believe the Finance Committee should not eliminate this position for the reasons explained in this letter. Current Department Proposal Exceedsneguested Reduction: The City Manager requested the City Attorney's Office reduce its budget by 7% or $181,000 to assist the City in eliminating the FY 2011 structural deficit. The City Attorney's Office submitted reductions of $326,956.00 or 12.5%. These are structural reductions and unlike some department proposals, these are not one time reductions. These are real cuts to the City Attorney's Office budget and to the General Fund. They are among the highest percentage cuts of all City departments. Generally, the Finance Committee has considered elimination of only those positions identified by departments. No other department has been requested to cut a speeific department position. The City Attorney's Office was presented with a percentage cut amount and told to utilize their professional judgment in developing a budget. The City Manager and Administrative Services Director requested additional cuts during the budget development process, which the Office made. The reductions proposed by the City Attorney's Office are supported by the City Manager and the Director of Administrative Services and reflect their knowledge of the needs of the organization. lbe City Manager and the Director of Administrative Services did not request reduction in staffing in the City Attorney's Office. Comparison to Other Cities & City Departments: The number of legal secretaries within the Office of the City Attorney is similar to that of other City Attorney's offices in surrounding cities. We surveyed the same cities as last year and Palo Alto's 2 to I (attorney to legal secretary) ratio is still the nonn for City Attorney offices in the Bay Area. 090311 3d! 01 11449 136 TIIE HONORABLE CITY COUNCIL June 8,2010 Page 2 RE: City Attorney's Office "Parking Lot" Proposal to Cut One Secretary Position Ratio of Attorneys to Legal Secretary <R~dwood Sanl!!' HayWard "{jan Palo Wainul Mo'llsn MOllrllaln· 'cItY .' >Maleo crilej(. . ~, iJ'vermore 1 , SUnnyvale Cia .. Ano .Bar1<&ley Hili Fremom . to 1 2to 1 2 to 1 2 to 1 2101 2to 1 2 to 1 2101 2 to 1 2.2 to 1 2.25 to 1 2.5 to 1 Larger attorney/secretary ratios of 3 to 1 or 4 to J were typically found to exist only in larger agencies where additional support staffis dedicated to answer phones, file, etc. (Oakland 2.85 to 1; San Jose 2.9 to 1). Similatly, while it is true that private law firms often have a 3 to 1 ratio for attomeys to legal secretaries, the two arenas are not comparable. Private law firms have file clerks and dedicated receptionists, while legal secretaries in City Attorney's Offices perform those tasks in addition to their other duties. A true comparison should be based upon similar work completed in a similar fashion. Private law firms simply do not function in the same fashion as public agency offices, which respond to the varied needs of 1,056 on site employees and more than 60,000 residents. Finally,.due to the small office, it is also necessary to have 3 legal secretaries to provide for adequate coverage in the event someone is out ill or on vacation. This support staffing level is similar to that found throughout the City in departments of a similar size. Due to the legal and confidential nature of the work, the City Attorney's Office does not use temporary staff when someone is out of the office. The work is divided between the remaining support staff. Sophisticated Level of Duties: To use the term "secretary" to describe our legal secretaries is misleading as a substantial part of the work is not clerical. All legal secretaries possess a minimum of 7 years legal experience. All legal secretaries perform advanced level para-professional and highly technical administrative support duties. Their duties more closely match those of a paralegal or Legal Assistant. However, their titles remains "secretary" instead of Legal Assistant so as not to run afoul of Business & Professions Code Section § 6450, which requires certification and mandatory continuing education to use the title of "Legal Assistant." These legal secretaries are members of the Management & Professional Group defined as "confidential." They are trusted with the most confidential information in the City. They all work on sensitive information related to labor negotiations, disciplines, claims, litigation, etc. Our legal secretaries arc also required to possess a strong knowledge of the Code of Civil Procedure and Rules of Court. All legal secretaries assist in filing documents in State and Federal Court. Their duties include researching legal information from readily available sources, assembling data, preparing and transmitting documents, and providing technical or procedural information in response to inquiries. In addition to preparing initial drafts of Resolutions, Ordinances and some contracts, they review final CMR's and attachments for incorporation of attorney comments. 1bey also work with departments to prepare the initial draft of Certificates of Compliance, Subdivision Agreements, Dark Fiber Licensing Agreements, Below Market Rate agreements. 'Ibey are the first line of support within the Attorney's office. Our legal secretaries finalize all correspondence, memoranda and reports 09fl311 sdl OlllQQ9 137 THE HONORABLE CITY COUNCIL June 8, 20!O Page 3 RE: City Attorney's Office "Parking Lot" Proposal to Cut One Secretary Position applying knowledge of correct processes. They review finished materials for completeness, accuracy, fonnat, and compliance with policies and procedures. Legal secretaries prepare initial drafts of routine pleadings. They finalize and process 'all pleadings for litigation and appeals handled in-house, prepare draft responses to Pitchess motions and subpoenas including obtaining proper signatures, verification and arrange for filing of legal briefs and other paperwork with the court both electronically or via messenger. Our legal secretaries assist with maintenance of data relating to litigation and claims matters. The infonnation is used for the City's liability loss runs and to create the first draft of the semi annual litigation status reports. Every lawsuit is also entered into a database and tracked by a secretary. The legal secretaries are responsible for calendaring of all deadlines and court hearings, including those for Municipal Code violations (55 matters in 2009 and 66 handled in 2008), Pitchess Motions, public records requests and subpoenas for the attorneys. They routinely prepare draft Recall of Warrant and Dismissals for the City'S Court Liaison. Our legal secretaries maintain attorney calendars, schedule meetings, and maintain a tickler file. They maintain documentation which sometimes only exists within our office. The legal secretaries also worked with the Purchasing Department to crcate "Smart Documents" in order to automate the City's boilerplate contract forms and the IFB process. Development of these form documents requires a high level of familiarity with MSWord. They have assisted in training staff on contracts as well. ' Customer Service: Although they may appear to act as receptionistJor the City Attorney's Office, the task at the front desk is more than one of greeting and taking phone messages. Not only do they handle the basic calls but they assist callers with referrals to sources outside of city services including the Santa Clara County Attorney Referral Service, the Courts or with claims. The legal secretaries answer basic questions and refer legal issues to the appropriate attorney. On average, the City Attorney's office receives 38 phone calls per day (I 73/week) with a high of 92 daily aod 295 calls weekly. Callers are split equally between City staff and Palo Alto residents. Although this function is not part of the Department's mission statement it is what our residents and staff have become accustomed to. If one of the legal secretary positions is eliminated, our phones would need to go to voice mail with call backs at a later time or referral to the City's main information line. Elimination of a legal secretarial position would only limit the ability of the department to assist those callers, not cause a decrease the number of phone calls to the City Attorney's Office. Of even greater impact on the organization the loss of this position would create a delay in the turnaround time of assignments flowing out of the attorney's office. The Office of the City Attorney receives over 3,000 work requests per year. In addition to drafting agenda documents, each request is logged in and tracked within the department to ensure timeliness with the public's business. Our legal secretaries input and maintain information in a department database. They also work with City staff to ensure that agenda items are ready for their scheduled Council, Board or Commission meeting. The data maintained is used to create an automated bi-weekly status report of assignments for the City Attorney to review. 09fi311 ,dJ OJ 11449 138 THE HONORABLE CITY COUNCIL June 8, 2010 Page 4 RE: City Attorney's Office "Parking Lot" Proposal to Cut One Secretary Position Cost Plan AllocationlRevenue Generation: Currently,. 95 FTE of one of the legal secretaries is charged to the Enterprise funds through the cost plan allocation. Elimination of the senior legal secretary .would reduce the cost plan charge to the Enterprise funds. Thus, only a portion of the savings from eliminating the position would inure to the benefit of the General. Fund. The City Attorney's Office processes Certificates of Compliance, a Subdivision Map Act document. The processing is highly technical and requires substantial legal secretary assistance. The City Attorney's Office generates approximately $10,000 pel' year in fecs from the processing of the Certificates of Compliance. Elimination of this position would impair our ability to process the Cenificates and greatly reduce this revenue. If a legal secretarial position is eliminated, the work will not go away, it will only be delayed. The impact on the department would be that the attorneys would need to do some of the tasks at a much higher cost to the City. Departments would need training in order for some tasks to be assumed by the departments. Some tasks would either go undone or take longer to be completed. Since 2004, the Office of the City Attorney has made great strides to improve our turnaround times and to not be the cause of delay for City departments. Where the City Attorney's Office was once referred to as the ''black hole" because of the delays in turning around the work, we are now running efficiently and to the satisfaction of those we serve. Last year's survey showed widespread satisfaction with the performance of the City Attorney's Office. Elimination of this position would impact our ability to timely meet the needs of our Council, staff and the residents. City Attorney's Office Staff Previously Reduced by 21%: As was explained in our prior staff report (attached) the City Attorney's OffIce, unlike any other City Department has already reduced its headcount by 21% in the five years prior to this budget year, including a reduction in attorney count from 7.5 to 6 FTE. The latest proposal to reduce another employee ignores the fiscal prudence the City Attorney's Office has exercised in prior years. Essentially, the City Attorney's Office is being penalized for making cuts in pdor years when it was notreq'uired to do so. Summary ofOffi •• oflh. City Attor.ey ReOT •• iz.ti •• I. FY02-l13 FY03~ FY04-O!i FY1l5006 V'Vn< ... W"';..; . FYOS..o9 City AU.rRey 1 1 1 1 I 1 J LC2al Administrator 1 1 I J J I I Sr. Asst. City Attorney 6.5 5.75 6.75 4.55 2.8 2 2 Assistant City Attorney 0 0 0 0 0 1 1 Sr. neputy City AUorney 0 0 0 2 2 2 2 Legal Secretary 3 3 3 2 2 2 2 Sccretary to City Attorney 0 0 0 I I I J : Claims Investi •• lorlParal ••• 1 1 J 1 1 0.6 0.6 0.6 P"alegal 1 0 0 0 0 0 0 Total FTE 13.5 n.7S 12.75 12.55 10.4 IO.~ lUi 090311 ,dl 0111449 139 THE HONORABLE CITY COUNCIL June 8, 2010 page 5· RE: City Attorney) Office "Parking Lot" Proposal to Cut One Secretary Position Other Proposed Cuts: Additionally, some of the Committee Members have asserted that a cut to outside counsel contingency is not a true cut since should the need arise; the funding will need to be made available. We respectfully disagree. We have made every effort to reduce outside counsel costs where possible, including our recent effort to request hourly rate reductions. We continue to monitor our outside counsel bills and closely monitor budgets and the work performed. The City Attorney endeavors to stay within his budget and has only requested a Budget Amendment Ordinance on two prior occasions (one in 2004 and one in 2005) since joining the City in 2004. The Committee should trust that he will continue to avoid the necessity of a BAO as he has done in the past. Elimination of a legal secretary will greatly impact the efficiency of botll the Department and the organization. We strongly urge the Finance Committee to reconsider elimination of this position. I recommend that the City Council approve our submittal as presented. GMB:mb Enclosure cc: City CounCil Members James Keene, City Manager . Pamela W. Anti!, Assistant City Manager Lalo Perez, Administrative Services Director 09Q311 sdl ·011l449 Respectfully submitted, $~'~ ~YM.BAUM City Attorney 140 THE HONORABLE CITY COUNCIL . Palo Alto, California Attention: Finance Committee FROM CITY ATIORNEY Finance Committee: May 19.2009 May 14,2009 RE: "Parking Lot" Proposal to Layoff one Secretary and one Attorney from City Attorney's Office Dear Members of the Council: In the course of this year's budget preparation, the City Manager asked the City Attorney's Office to cut 2.5% of its overall budget in order to assist the City in balancing its budget. In response, the City Attorney agreed and reduced the City Attorney's Of'fice budget by $67,100. The reduction will come from outside counsei expense and will require additional work to be performed in house and a mild reduction in service levels. This percentage reduction meets or exceeds the cuts made by every other Council Appointed Officer (C.A.O.), Police or Fire and compares favorably with other general fUBd department cuts. Two members of the Finance Committce suggested that in addition to the 2.5% proposed cut that one attorney and one support staff also be laid off in response to the City's fiscal dif'ficuities. This would result in the layoff of two of the tenI members of the City Attorney's Office or a 20% reduction in staff. No other department has been asked to cut 20% of present staff. The additional dollar reduction would represent about 10% of the budget of the office and bring the Office's total cuts to 12.5% of its overall budget. Again, no other department has been directed to make budgetary reductions approaching double digits. The Office has already eliminated three other positions since the arrival of the latest City Attorney. Prior position reductions in the office totaled 21 %. With the prior and proposed cuts, the total reduction in head count in the past Eve years would total more than five positions. For the reasons stated in this report, the City Attorney recommends against these latest cuts. Executive Summary: The City Attorney recommends against the laying off of one legal secretary and one attorney for the following reasons: I The current total FTE for the City Attorney's Office is 10.6 090514 ,dt 0111)58 141 THE HONORABLE CITY COUNCIL May 14,2009 Page 2 RE: "Parking Lot" Proposal to Layoff one Secretary and one Attorney from City . Attorney's Office 1. In recent years the City Attorney's Office previously eliminated 1.5 attorney positions and 1.4 paralegals in order to "right size" the Office. These eliminations represent a 21 % reduction in ~~~ . 2. The City Attorney's Office has a similar level of attorney staffing to other cities based upon comparison of general fund size (ratio of general fund dollars to attorneys). 3. The City Attorney's Office has a similar level of attorney sta1Img to other cities based upon comparison of total employees (ratio of number of employees to attorneys). 4. The City AttorneY's Office has a similar number of attorneys in comparison to nearby similar cities in the Bay Area. . 5. The number of assignments handled by the City Attorney's Office has tripled in the last five years. The City is obtaining excellent results for every dollar spent. 6. Reduction in attorneys would likely lead to an increase in lawsuits due to the drop in preventative law and result in an overall increase in dollars spent on legal costs. 7. Elimination of an attorney and one legal secretary staff would likely lead to an increase in outside counsel costs th'lt would exceed the personnel cost savings. Outside counsel costs 100 • 200% more per hour than in·house legal talent. 8. The City Attorney's Office previously only had one job title for all attorneys other than the City Attorney. The City Attorney introduced tiered job positions that has saved the City more than $104,000 per year. 9. The City Attorney's Office currently handles many functions in-house that are commonly contracted out by other cities. 10. The secretary to attorney ratio in the Palo Alto City Attorncy's Office matches or is close to that of other cities. Number of Attorneys: In Fiscal Year 2001 -2002 the Palo Alto City Attorney's Office had 7.5 attorneys including the City Attorney. In 2004 and 2005, the new City Attorney analyzed the office a.nd ultimately decided, over time, to reduce the attorney count down to six attorneys. This was based upon on analysis of workload and City needs.' It became apparent that the Utilities Department had high outside counsel costs. Effectively one of the general fund attorneys was shifted to work OIl Utilities matters. This resulted in a reduction in Utility Department outside counsel costs. 090514Sd1 01l115& 142 TIIE HONORABLE CITY COUNCIL May 14, 2009 Page 3 RE: ;'Parking Lot" Proposal to Layoff one Secretary and one Attorney from City Attorney's Office The current structure consists of six attorneys, two of which work primarily for the Utilities Department. The City of Palo Alto is unique in the State of California. It is the only City with an Electric and Gas Utility, Water Utility and Storm Water Utility as well as a. Wastewater Utility. Palo Alto combines these functions with all of our Utilities. In addition, many cities do not have their own Police or Fire Departments. Some cities contract out or consolidate one or both public safety functions with adjacent cities. Thus, Palo Alto is the ultimate fuIl service city. Because the Utilities budget is separate from the general fund, it is difficult to make precise comparisons between the City Attorney's Office in Palo Alto with other cities that lack either the Utilities or the other functions that make Palo Alto a full serviee city. Analysis of the City'S general fund services and the four-attorney head count supporting those services shows that the Palo Alto City Attorney's Office compares favorably with other cities: As mentioned at the Finance Committee meeting of May 5, 2009, one of the factors to consider when determining attorney staffing for cities is the ratio of attorneys per $20 to $25 million of general fund expense. Utilizing this metric, the City of Palo Alto City Attorney's Office compares well with other jurisdictions. The City Attorney's office surveyed nearby cities and determined that Palo Alto falls within the higher end of this range -meaning that Palo Alto has the same or fewer attorneys per dollar of general fund expenses than other cities.2 .\ ,·~ttor.iws"j('·"··Flin"'Jj.iai!e(:,:~/;, c' ;J'erAtty ...... ' Oakland 40 $418,200,000 $ 10,455,000 Morgan Hill 2 $ 26,461,327 $ \3,230,664 t-::-.• 4.5 $ 80,881,240 $ 17,973,608 Livermore : Berkeley 8 $ 147,681,742 $ 18460218 Hayward 6 $ 116,500,000 $ 19,416667 t-::-4.4 $ 88,200,000 $ 20045,454 Mountain View San Jose 50.62 $ 1,160,988,879 $ 22,935,379 ---_. - : Fremont 5 $ 134063,000 $ 26,812,600 Slin Mateo 3 $ 83,300,000 $ 27,766,666 .. - Palo Alto 4 $ 141,170,000 $ 35292 sao Santa. Clara' 4 $ 148,600,000 $ 37,150,000 Snnnyvale 4 $ 216491,798 $ 54,122,950 ._M . . Redwood City 2 $ 138,685236 $ 69,324,618 , Even if the total number of Palo Alto attorneys of 6 were factored into this matrix, the result would be $23,528,333, placing Palo Alto in the middle. , All references to Santa Clara in this report are marked with an asterisk to denote that it provides some Utilities services, however the in·house Utilities attorney is not included in these totals. 090514,dl 01111$8 143 THE HONORABLE CITY COUNCIL May 14,2009 Page 4 RE: "Parking Lot" Proposal to Layoff one Secretary and one Attorney from City Attorney's Office Also a comparison of cities outside the area is informative: 'GenemlFurid' "'Ove~iI:Cl!iitftil:' .. ·:AdOrii~8··;:juiiltB~d 'et .. Santa Mon~ic:!.a _-+ __ ~2:.::4:-::.5 __ +.::$-=.25::.:9:Ll:.:0:::9"",3743::.......-+~$~1 O",-,~57:.::5:.t:,8:..:9::.2 __ .:...----< . Culver Ci 4.55 $ 85,577,084 $ 18,808,150 Further, a survey of nearby cities shows that the number of attorneys allocated to support non-utilities legal work by Palo Alto is similar to that of surrounding agencies. Palo Alto falls into the mid-range for comparable cities. Current Attorneys and Their Work: The current City Attorney's Offiee attorney roster includes: Senior Assistant City Attorney Cara Silver, Senior Assistant City Attorney Grant Kolling, Assistant City Attorney Donald Larkin, Senior Deputy City Attorney Melissa Tronquet and Deputy City Attorney Amy Bartell. Senior Assistant City Attorney Cara Silver handles the Public Works Department and the Administrative Services Department. She is actively involved in the Stanford negotiations and all work related to the Public Safety Building. While many City Attorney's Offices contract out all construction contract work, Cara handles the vast majority of it in-house. Cara reviews many of the City's contracts and assists on fiscal issues including the possible Business License Tax adoption. Cara is an expert in the California Environmental Quality Act ("CEQA"). 090514,dl 011115& 144 THE HONORABLE CITY COUNCIL May 14, 2009 Page 5 RE: "Parking Lot" Proposal to Layoff one Secretary and one Attorney from City Attorney's Office Senior Assistant City Attorney Grant Kolling is involved primarily in supporting the Utilities Department. This includes Cable and the Fiber Utility. Grant is an expert in many issues related to the Electric Utility. Grant works with Community Services as well and is involved in the future planning for the Palo Alto Municipal Airport. Grant has negotiated and drafted most of the City'S public private partnerships. Assistant City Attorney Donald Larkin represents the Platming and Community Environment Department and the Police Department. Donald advises the Planning and Transportation Committee at meetings. Many cities ccntract out Police Department advisory work, while Palo Alto does this work in-house. Donald also personally works on the City's writ litigation and quality of life prosecution. Donald is an expert in the Subdivision Map Act. Many cities contract out all of their litigation. Palo Alto contracts out only tort litigation. Palo Alto also handles its.municipal code prosecution in-house unlike many cities. Senior Deputy City Attorney Melissa Tronquet is an expert in conflict of interest law. Ibis has greatly reduced our outside counsel costs for conflict advice. Melissa spends a majority of her time on Human Resource issues. Many cities contract out all their Human Resource advisory work, but Palo Alto handles the vast majority in-house. Melissa represents the Library Department. Melissa also works on code enforcement matters. Melissa is working on the Mitchell Park Library and Community Center. By working on legal issues related to the new library in-house we are ensuring that bond proceeds pay for construction of the Library and Community Center and are not spent on outside counsel advising on construction issues. Deputy City Attorney Amy Bartell primarily works for the Utilities Department. She specializes in Water, Wastewater, Gas and Fiber issues. Much of Amy's work was previously completed by outside counsel at a significantly higher hourly rate. In addition, Amy was instnunental in drafting the City's Green Building ordinance. Amy is an expert in Proposition 218 issues and rate matters. As is obvious from this list, each attorney has a full complement of work and cannot be laid off without a significant impact to the City, staff and City Council. Each attorney is currently working at capacity. Most of the attorney's work would not simply disappear if they , were laid off. Instead the work would need to be completed by outside counsel at a far higher hourly rate. . Finally, eliminating an attorney position will only increase the amount of the City'S overall legal costs. A calculation of the average cost of outside counsel for transactional work currently paid by the City revealed that the City pays an average of $283 per hour for transactional work, $336 per hour for litigation and $458 per hour for utilities work. The City pays between $76.00 to $114.00 per hour (including benefits) for an in-house attorney. If the City were to eliminate one position and llse outside counsel to perfonn 1900 090514 sdl 0111158 145 THE HONORABLE CITY COUNCIL May 14,2009 Page 6 RE: "Parking Lot" Proposal to Layoff one Secretary and one Attorney from City Attorney's Office hours (the average billable hours for attorneys in the private sector) the cost to the City would be $538;333 for trartsactional work. The cost to the City is higher for litigation and utilities work. Another way to look at this is to calculate the average cost to the City to have an in-house attorney. The average cost with benefits for an in-house attorney working 1900 hours is $192,960. That same budget would buy only 682 hours of transactional work, 574 hours of litigation support and 421 hours of utilities work if outside counsel were retained to perfonn the same work. Cost of 1900 Billable Hours of Legal Services In House Outside r: :)je\Jilty~ . ··S\t.DeptY} . .. %:; .·Asst..; .... :~Sri !\sst;: .... I Transactional $ 537,700 $ 157,838 $ 174,534 $ 203,175 $ 236292 Liti2ation $ 638,400 $ 157,838 $ 174 534 $ 203,175 $ 236,292 I Utilities $ 870,200 $ 157,838 $ 174,534 $. 203 175 $ 236292 Ratio of Attorneys to Support: We surveyed 14 cities and found that the City of Palo Alto's 2 to 1 (attorney to legal secretary) ratio is common for City Attorney offices in the Bay Area. The 3 to I and 4 to 1 attorney/secretary ratios were typically found to exist in the larger agencies and where other support staff was available to answer phones, file, etc. Those agencies are noted with an asterisk below. Redwood City 1 to 1 : :S~nDriaie':' '.':.' '.': 2 to 1 i Santa Clara 2 to 1 Jl~mar.d~'> ,":,,' , . 2 to.] San Mateo 2 tol Palo Alto 2 to j 'walDutCreek ' .. ,.' 2 to 1 Berkeley 2 to 1 M .. .,gaiiUiII',; c, ;! 2 to 1 Mountain View 2.2 to 1 : Lffe'rUi6fe, 2.25 to 1 Fremont 2.5 to 1 'Qakland .. , •. 2.85 to I' I San Jose 2.9 to 1* Comparison cities outside of the area show similar results. Culver City 2,1 to 1 Santa Monica 2.3 to l' 090514 sdl 0111158 146 THE HONORABLE CITY COUNCIL May 14, 2009 Page 7 RE: "Parking Lot" Proposal to Layoff one Secretary and one Attorney from City' Attorney's Office The City Attorney's office does not have a dedieated receptionist to answer phones; instead the work is done by three Legal Secretaries. The City Attorney's office receives on an average of at least 20 public inquiries by phone each day. These calls range from citizen's who need assistance finding the ,correct public agency to call, those needing assistance with their personal legal matters or needing assistance with getting to the correct department for their questions. In addition, the Office routinely receives a number of walk-ins who either want to see the City Attorney or need a claim form. The Legal Secretaries assist the public with all of these inquiries. Last year the Attorney's office processed over 3,000 work requests. Every agenda item passes through the City Attorney's Office. The Legal Secretaries are responsible for preparing the first draft of the legal documents such as resolutions, ordinances or contracts for the attorney's review. On the second review, the City Manager Reports (staff reports or "CMR's") are checked by the Legal Secretaries to confirm all changes have been made and the proper documents are attached. Due to the high volume of assignments our office receives and the varied deadlines, all assignments are tracked when they come into or go out of the office. The Legal Secretaries work with the Administrative Assistants of the department they support to ensure agenda items stay on track. 'There is a large amount of paper that comes through this office and therefore there is a large amount of filing as well. While it is true that the trend in private law firms is to have a ratio of 3: I for attorneys to secretaries, the two arenas are not comparable. Typically law finns have file clerks and receptionists and City Attorney's Offices do not. A true comparison should be based upon similar work completed in a similar fashion. Private law firms simply do not function in the same fashion responding to the needs of 1,056 on site employees and more than 60,000 residents each day. Due to the small size of the office, it is also necessary to have 3 legal secretaries to provide for adequate coverage in the event someone is out ill or on vacation. This support staffing level is similar to that found throughout the City. The City Attorney's office does not use temporary staff when someone is out of the office. The work is divided between the remaining support staff. Prior 21 % Reduction in Staff In 2006, as part of the Office of the City Attorney's restructuring effort, as attorney vacancies arose, the Office used the opportunity to eliminate some attorney positions and to reclass others in order to create a tiering in the Office that did not previously exist. Until 2005, 09{)514 wi 0111158 147 THE HONORABLE CITY COUNCIL May 14,2009 PageS RE: "Parking Lot" Proposal to Layoff one Secrctary and one Attorney from City Attorney's Office all attorneys within the office were the highest level attorney, that of Senior Assistant City Attorney .. Although it was a lUxury to have the highest possible title for all attorneys, the work within the office does not require that all attorneys possess 12+ years legal experience. By tiering positions, the Office can bring in less experienced and less expensive attorneys to perform some of the work while providing an opportunity for upward mobility. Tiering attorney positions also helps to preserve institutional knowledge since due to the various experience levels for each position, employees are less likely to be eligible to retire all at the same time. This structuring resulted in a 21 % reduction in staffing. The reduction from 7.5 attorneys to six attorneys was accomplished previously. In addition, tiering of the position resulted in an annual savings to the City of $104,422. The City Attorney's Office reduced head count in all of the following years, FY03-04, FY05-06 and FY06-07. The latest proposal to reduce two more employees ignores the fiscal prudence the City Attorney's Office has exercised in prior years. Essentially, the City Attorney's Office is being penalized for making cuts in prior years. Finally, the 21 % reduction resulted in a decrease in the ratio of attorneys to City staff, meaning each attorney is supporting mere employees than it has in the past 4 These figures include Utility Attorneys. _ ..... _------- , City Auditor's Service Efforts & Accomplishment Report 2007·08 090514 sdl QlllllS 148 THE HONORABLE CITY COUNCIL May 14, 2009 Page 9 RE: "Parking Lot" Proposal to Layoff one Secretary and one Attorney from City Attorney's Office Palo Alto City Attomey's Office attorney to staff ratio compares very favorably with other nearby cities as shown in the table below and is well below most nearby cities. In other words, the City Attorney's Office has fewer attorneys per staff member than the majority of nearby cities. The figure utilized for Palo Alto .is 6 attorneys including the two utilities attorneys. Number of Assignments and Productivity: As can be seen from the chart below the City Attorney's Office has tripled the number of assignments completed in the past five years. The figures are from the SEA data. In fiscal 2002 -2003 1000 assignments were completed. In fiscal 2007 .. -2008 nearly 3000 assignments were completed with a 97% on time completion rate. The attorney/assignment ratio has also increased from J 67 to 496. Each attorney is now averaging completion of 496 assignments per year. The current attorneys and support staff are incredibly productive. FY07-08 FY06-07 FY05-06 FY04-05 FY03-04 Annual Number of Assignments FY 02-03 .'!==::::e===7':=±::::;z===Z::::==:;z':==':::7 o 500 1000 1500 2000 2500 3000 090514,dl Ol1ll58 149 THE HONORABLE CITY COUNCIL May 14,2009 Page 10 RE: "Parking Lot" Proposal to layoff one Secretary and one Attorney from City Attorney's Office . Number of Lawsuits: Although lawsuits filings are very cyclical the long term trend for the City of Palo Alto has declined from an average over 20 to approximately 15 lawsuits at any given time. It is very difficult to prove that the nature or volume of advice leads to fewer lawsuits. Nonetheless, the average of over 20 was typical prior to the start of the latest City Attorney. Some aspect of this is due to the preventative law practiced by the office in the course of providing advice to the City Council and City staff. Laying off one attorney and one support staff will mean that the rernaining attorneys will be less aecessible and available to provide preventative advice and will I ikely result in more lawsuits due to less preventative law being practiced. Claims: The City of Palo Alto receives approximately 150 claims per year. Most cities contract out the claims function. If handled in-house, the claims function is often placed in the Human Resources or Administrative Services Department. Palo Alto has traditionally housed the claims function in the City Attorney's Offiec. The City Attorney's Oflice briefly contracted out claims. This experiment was not successful as outside handling of claims led to reduced eustomer service with an accompanying 50% increase in the cost of claims handling. Proeessing claims in-house does require a .6 Claims lllVestigator, whieh is part of the City Attorney's Office overall 10.6 FTE head count. In addition the Claims Investigator must be supervised and claims must be monitored by other staff within the office. The City has experienced fewer small elaims court filings in the last year due in part to exeellent elaims processing. Role of the City Attorney's Office: The City Attorney's Office is involved in virtually every initiative undertaken by the City. Due to the myriad of state, federal and loeal laws and regulations every aspect of City activity is highly scrutinized and regulated. The City Attorney's Office negotiates, edits or drafts or reviews every City contract. The Office reviews and edits nearly every staff report and every City Manager Report (CMR). The City Attorney's Office drafts or edits every ordinancc considcred by the City Council or Planning and Transportation Commission. The City Attorney's Office is on most internal committees and provides legal. guidance at every step of every major project. There are few activities at the City that do not involve at least some brief City Attorney advice or review. This high level of City Attorney service to the City Council, staff and the community could not occur without the present level of attorneys and support staff. 09Q5l4sdlOlllll8 150 THE HONORABLE CIIT COUNCIL May 14,2009 Page 11 RE: "Parking Lot" Proposal to Layoff one Secretary and one Attorney from City Attorney's Office Conclusion: The City Attorney recommends against laying off one attorney and one support staff as the Office has already reduced department FTE by 21 % over the last four budget years. For the current fiscal year the City Attorney has already reduced the Office budget by an additional 2.5%. Reducing FTE by another 20% would only increase outside counsel costs and decrease level of service to City staff and the Community. The City Attorney's Office has a similar level of attorney staffing compared to other cities based upon ratio of general fund dollars to attorneys; ratio of city employees to attorneys and number of in-house attorneys in local, comparable jurisdictions. Should the Office reduce the number of attorneys and support staff, chances are that lawsuits would increase due to the drop in preventative law and result in an overall increase in dollars spent on legal costs as most of the legal work would need to' be contracted to outside firms at the highest cost. Lastly the City Attorney's Office manages many legal functions that many cities contract out, and does so at a lower cost with a higher level of service. GMB:sdl cc: James Keene, City Manager Steve Emslie, Deputy City Manager Kelly Morariu, Deputy City Manager Lalo Perez, Administrative Services Director 090311 3dl Ollli sa Respectfully submitted, dft1~ ~M.BAUM City Attorney 151 This page is intentionally left blank. 152 APPENDIX 7 153 This page is intentionally left blank. 154 155 ATTACHMENT 1 PROPOSED STRATEGY ESTIMATED NET SAVINGS Elimination of contract funding for the annual Sidewalk Replacement Program with shift of responsibility for sidewalk repair to residents ($500,000) Contracting out of some tree trimming/line clearing and elimination of four full-time positions (386,000) The elimination of the Traffic Team will cut five full-time Police Officer positions (887,000) Elimination of one Program Coordinator position serving the centralized community outreach program, including Neighborhood Watch, Citizen and Student Academies, Community Newsletter, Community Events and Fairs, Community Education Programs, Coordination of the Officer Request for Services Programs, coordinating public education efforts in Emergency Preparedness with Block Coordinators, Neighborhood Watch Captains and PANDA (103,000) Funding for school crossing guards eliminated (345,000) Reduction of HSRAP funding (50,000) Library hours shortened and the closure of the Library on Mondays at Main, Mitchell and the Children's Library will eliminate two full-time and one part-time position (215,000) The re-opening of the College Terrace Library delayed an additional eight months to June 30, 2011 (74,000) Book collection funds for the Libraries reduced (117,000) Partial cost recovery increases are proposed through increased participation and/or admission fees for many programs including Junior Museum and Zoo, Art Center Gallery, Children's Theatre productions, recreation classes, art classes, nature interpretive program, and the science outreach program, Animal Services, HazMat inspection fees and Planning fees. Shuttle services will be reduced to hourly stops at limited locations eliminating the service for the Noon shuttle and Marguerite shuttle and reducing the Cross-town shuttle to one bus (196,000) Elimination of the twilight concert and brown-bag summer concert series (27,000) Elimination of one full-time Child care position and reduction of one Family Resources Coordinator position to a half-time position in the Community Services Department (139,000) The proposed contracting out of Lawn Bowling Maintenance eliminates one full-time position (45,000) Day use fees at Foothills, Arastradero and Baylands parks are proposed (100,000) The proposed contracting out of park maintenance at Mitchell Park and Rinconada will eliminate four full-time positions (147,000) City of Palo Alto Proposed Budget Balancing Recommendations for Fiscal Year 2011 General Fund Continued on next page 156 ATTACHMENT 1 PROPOSED STRATEGY ESTIMATED NET SAVINGS Vehicle replacement funding for the City's fleet/equipment purchases was reduced by $483,000. A review of the size of City's fleet has been undertaken to further reduce future fleet/equipment expenditures.($483,000) Employee training and education reduced Citywide across all departments (92,000) Elimination of funding for building maintenance services resulting in the reduction of three full-time building maintenance positions (230,000) Contracting out custodial services will eliminate five positions (387,000) The City will be seeking 50 percent cost sharing from the PAUSD for the School Resource Officer position (83,000) Elimination of two full-time positions in Police investigative services that investigate cases of financial loss, and fraud (332,000) Elimination of a Fire Hazmat Position with future plan checking services provided by hourly employees (117,000) The proposed contracting out of golf course maintenance includes the elimination of seven full-time maintenance positions (236,000) The proposed reorganization of the Community Services department eliminates one Division Manager position (185,000) Elimination of a building inspector and senior planner eliminates two positions in Planning (295,000) The reorganization and contracting out of the Print and Mail shop includes the elimination of two full-time positions and one temporary position in the Administrative Services Department (222,000) Elimination of administrative support organization-wide resulting in the elimination of seven positions (462,000) Reductions in the City Attorney's outside legal funds (145,000) Reduction of one full-time position in information technology (159,000) Reduction of one full-time position responsible for customer service and revenue collection (90,000) Reduction in Overtime- Citywide (42,000) Reduction in Office Machines and Equipment – Citywide (20,000) Reduction in Office supplies, Books and Publications - Citywide (36,000) Reduction in Advertising and Publishing - Citywide (27,000) General Fund Cost Plan and Allocated Charges Reduction (1,016,000) General Fund Position Reallocations to Utilities (4.35 FTE’s)(511,000) Total Budget Balancing Recommendations ($8,501,000) Proposed Budget Balancing Recommendations, continued 157 Operating Budget FY 2011 City of Palo Alto Human Resources 97 COUNCIL PRIORITY IMPLEMENTATION In Fiscal Year 2011, the Human Resources Department will address the City Council's Top Priorities as follows: City Finances • Human Resources will continue to explore opportunities for restructuring, controlling benefits costs, and reducing workers' compensation costs, as well as pursuing other opportunities for cost reductions Emergency Preparedness • Participate directly in Emergency Operation Center (EOC), health/safety programs, and the coordination of safety drills and other areas related to emergency preparedness Environmental Sustainability • Continued participation in City-wide environmental initiatives including the organization's Climate Protection Plan DEPARTMENT SUMMARY FY 2009 Actuals FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change % Chg Administration/Employee-Org Development and HR Systems 557,257 822,952 766,512 836,051 759,466 (7,046) (1%) EmployeeRelations/Labor Relations 584,984 767,726 783,736 782,721 800,427 16,691 2% Benefits/Compensation 471,773 435,554 441,350 444,427 344,899 (96,451) (22%) Recruitment 635,547 483,256 479,123 495,757 465,363 (13,760) (3%) Risk Mgmt/Safety/Worker's Com- pensation 450,711 327,403 324,511 338,908 447,261 122,750 38% TOTAL EXPENDITURES $2,700,272 $2,836,891 $2,795,232 $2,897,864 $2,817,416. $22,184 1% TOTAL REVENUES $1,457,252 $1,351,604 $1,351,604 $1,400,888 $1,175,502 $(176,102) (13%) INTERNAL REVENUES 1,429,252 1,351,604 1,351,604 1,400,888 1,175,502 (176,102) (13%) EXTERNAL REVENUES 28,000 0 0 0 0 0 0% 158 Human Resources City of Palo Alto Operating Budget FY 201198 INPUTS FY 2009 Actuals FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget Salaries and Benefits 2,195,702 2,341,135 2,341,135 2,402,108 2,366,884 Contract Services 295,408 222,535 175,975 222,535 167,071 Supplies and Materials 19,054 26,880 26,880 26,880 21,280 Facilities and Equipment Purchases 10,409 8,989 8,989 8,989 3,989 General Expense 71,366 44,159 47,228 44,159 27,924 Rents and Leases 43,000 43,000 43,000 43,000 43,000 Allocated Charges 65,344 150,193 152,025 150,193 187,268 TOTAL EXPENDITURES $2,700,283 $2,836,891 $2,795,232 $2,897,864 $2,817,416 TOTAL REVENUES $1,457,252 $1,351,604 $1,351,604 $1,400,888 $1,175,502 Total Full Time Positions 16.00 16.00 16.00 16.00 16.00 Total Temporary Positions 0.04 0.34 0.34 0.34 0.34 $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 FY 2005-06 FY 2006-07 FY 2007-08 FY 2008-09 FY 2009-10 Workers' Compensation Estimated Incurred Cost (in $000's) 159 Operating Budget FY 2011 City of Palo Alto Human Resources 99 BENCHMARKING MEASURES FY 2009 Actuals FY 2010 Adjusted Budget FY 2011 Proposed Budget Workload Outputs: 1. Number of training hours 8710 3250 2600 2. Number of new hires processed 130 125 100 3. Number of grievances filed 13 15 20 4. Number of labor agreements negotiated 1 4 4 5. Number of Workers' Compensation Claims 133 130 132 Efficiency: 1. Number of employees who completed a training course 716 260 200 2. Number of sick leave hours utilized by new hires 685 350 300 3. Number of grievances to arbitration 0 1 1 4. Number of unfair labor practices upheld by Public Employment Relations Board 0 0 0 5. Average cost per Workers' Compensation claim $9048 $3754 $4000 Effectiveness: 1. Percent of classes offered and delivered 94% 94%95% 2. Percentage of first year turnover (SEA)8% 8%6% 3. Cost of settlement payout related to grievances $0 $5920 $8000 4. Number of labor agreements implemented within 90 days of Council authorization 1 2 2 5. Number of Workers' Compensation claims closed 149 130 125 RESOURCE LEVEL CHANGES FY 2011 Ongoing FY 2011 One-Time FY 2011 Total REVENUE CHANGES Increase allocated revenues - internal 176,102 176,102 TOTAL REVENUE CHANGES $176,102 $0 $176,102 EXPENDITURE CHANGES Salary and Benefits Freeze Human Resources Director position beginning midyear (113,703)(113,703) Personnel Benefit Costs Increase (Note 2) 139,452 139,452 Total Salary and Benefits Changes $0 $25,749 $25,749 Adjustments (Note 1)0 NET SALARY AND BENEFITS CHANGES $0 $25,749 $25,749 Non-Salary Eliminate non-mandatory employee training (28,050)(28,050) 160 Human Resources City of Palo Alto Operating Budget FY 2011100 RESOURCE LEVEL NOTES Note 1: Adjustments include one-time revenue and appropriation changes from the prior year that did not carry forward from the FY 2010 budget. Note 2: Personnel benefit costs have changed mainly due to reductions in proposed staffing levels and a change in methodology of estimating benefit costs. Note 3: Allocated charges have increased due to changes in staffing levels, methodology of estimating benefit costs, and reductions in non-salary appropriations. SERVICE LEVEL CHANGES There will be a reduction in Human Resources services due to budget cuts that will directly affect non- mandatory employee training as well as other personalized employee services. Programs such as the Management Talent Exchange Program (MTEP) and the Supervisor, Lead, and Management Academies have been deferred. Training will focus only on mandatory safety and other essential courses such as policy and procedures, performance appraisal, and New Employee Orientation. Annual Employee Recognition Event has been deferred. Staff membership and participation in professional conferences or meetings have been reduced or eliminated. Elimination of contract agency personnel funds may impede progress on the Management/Professional Compensation Study. Defer records retention and various equipment upgrades (13,000)(13,000) Reduce compensation study resources (8,114)(8,114) Reduce allocation for potential investigation (7,000)(7,000) Reduce travel and meeting expense (6,585)(6,585) Defer Employee Recognition Picnic (4,500)(4,500) Reduction in other administrative expense (office supplies, advertising) (15,050)(15,050) Allocated charge increase (Note 3) 35,243 35,243 Total Non-Salary $(25,942) $(21,114)$(47,056) Adjustments (Note 1) 43,491 43,491 NET NON-SALARY CHANGES $(25,942) $22,377 $(3,565) NET EXPENDITURE CHANGES $(25,942) $48,126 $22,184 RESOURCE LEVEL CHANGES FY 2011 Ongoing FY 2011 One-Time FY 2011 Total 161 162 163 ATTACHMENT 1 Community Services Department (CS) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total Revenues: CS1.1 Admission donation - Junior Museum and Zoo (JMZ)25,000 25,000 CS1.2. Admission donation -Art Center Gallery 25,000 25,000 CS1.3 Open Space day use fees (Foothills, Baylands and Arastradero)100,000 100,000 CS1.4 Fund raising from Friends and support groups 50,000 50,000 200,000 200,000 CS2.1 Children's Theatre productions 100,000 100,000 CS2.2 JMZ education class 75,000 75,000 CS2.3 Art Classes 50,000 50,000 CS2.4 Science Outreach Program 79,000 79,000 CS2.5 Community Theatre 42,000 42,000 CS2.6 Nature Interpretive Program 50,000 50,000 CS2.7 Various recreation classes 50,000 50,000 Budget Balancing Revenue Summary 646,000 646,000 Expenditures: Service Level Reduction CS3. Family Resources Foundation reduction (50,836) (50,836) CS4. Golf Course maintenance Increase contract services 420,000 420,000 Reduce planting materials (50,000) (50,000) Eliminate 7.0 FTEs (565,152) (565,152) Total Cost Decrease - 9 months (195,152) (195,152) Total Cost Decrease - full year (292,435) (292,435) CS5. Parks and Lawn Bowling Green Maintenance. Increase contract services 20,000 20,000 Eliminate 1.0 FTE (92,153) (92,153) Total Cost Decrease - 9 months (72,153) (72,153) CS6. Cubberley contract out maintenance (portion) Increase contract services 100,000 100,000 Eliminate 2.0 FTEs (153,120) (153,120) Total Cost Decrease (53,120) (53,120) CS7. Mitchell and Rinconada park maintenance Increase contract services 127,000 127,000 5/11/2010 4:48 PM164 ATTACHMENT 1 Community Services Department (CS) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total Eliminate 4.0 FTE (368,614) (368,614) Total Cost Decrease - 9 months (241,614) (241,614) CS8. Reduce HSRAP funding (50,000) (50,000) CS9. Eliminate summer concert series (27,000) (27,000) CS10. Recreation and Art Center reorganization Eliminate 3.0 FTE (276,105) (276,105) CS11. Transfer management of Community Theatre to Children's Theatre staff Eliminate 1.0 FTE (118,912) (118,912) CS12. Reorganize management of Cubberly Community Center and Human Services division Eliminate 2.0 FTE (336,385) (336,385) Budget Balancing Expenditure Summary (1,421,277) CS13. Revise "Fee Reduction Program" to limit eligibility to youth, seniors and disabled; reduce the discount from a range of 50% and 75% to 25% or 50% based on income (60,000) (60,000) Budget Balancing Summary 2,007,277 Total FTE Reductions: Regular 20.50 FTE (12.5, filled) 5/11/2010 4:48 PM165 Community Services Department Organizational Chart 1.0 COMMUNITY SERVICES DIRECTOR Greg Betts RECREATION AND CUBBERLEY ADMINISTRATION 1.0-Division Mgr, Recreation & Golf 0.75-Admin Associate III RECREATION 2.0-Supervisor, Recreation Programs 4.0-Coordinator, Recreation Programs 1.0-Building Service Person 175-Program Assistant I CUBBERLEY CENTER 1.0-Sr Supervisor, Program Manager 2.0-Program Assistant I 2.0-Building Serviceperson-Lead 1.0-Building Serviceperson 1.0-Program Assistant II 0.75- Prod Arts/Science Program Fiscal Year 2011 Position Totals:74.75 Full-time 54.96 Hourly ARTS & SCIENCES ADMINISTRATION 1.0- Division Mgr, Arts & Sciences ART CENTER 1.0- Manager, Arts 4.25-Producer Arts 1.0-Program Assistant I 1.0- Program Assistant II 0.5-Volunteer Coordinator CHILDREN’S & COMMUNITY THEATRE 1.0- Manager, Arts 1.0-Theatre Specialist 1.0-Program Assistant I 3.0-Producer Arts YOUTH SCIENCES & INTERPRETIVE 1.0- Supervisor, Jr Museum 4.0- Producer Arts/Science Program 1.0-Program Assistant I 2.25 - JMZ Educator OPEN SPACE, PARKS & GOLF ADMINISTRATION 1.0-Division Mgr, Open Space & Parks 1.0-Program Assistant II OPEN SPACE 2.0-Supervisor, Open Space 5.0-Park Ranger PARKS ADMINISTRATION 1.0-Park Superintendent CITY PARKS & FACILITIES 2.0-Inspector, Field Services 2.0-Sprinkler System Repair Person 1.0-Parks Crew-Lead 1.0-Parks Maintenance Person ATHLETIC FIELD MAINTENANCE PROGRAM 1.0-Supervisor, Parks 1.0-Parks Crew-Lead 2.0-Sprinkler System Repair Person 5.0-Park Maintenance Person 1.0-Park Maintenance Lead CAPITAL PROJECTS 1.0 - Program Assistant 1 GOLF 1.0-Superintendent, Golf Course Community Services Department Organizational Chart ADMINISTRATION 1.0-Administrative Assistant 1.0-Senior Administrator HUMAN SERVICES 1.0-Sr Supervisor, Recreation Program 1.0-Management Assistant 0.5-Coordinator, Recreation Program *Note: CSD Org Chart reflects a proposed restructure. 166 Summary of Position Changes Operating Budget FY 2011 City of Palo Alto 1 Summary of Position Changes FTE GENERAL FUND FY 2010 ADOPTED BUDGET 622.51 FY 2010 BAO Position Adjustments Tree Maintenance Person (PWD)(2.00) Tree Maintenance Specialist (PWD)2.00 FY 2010 ADJUSTED TOTAL 622.51 FY 2011 New Positions Administrator (CMO)0.50 FY 2011 Total New Positions 0.50 FY 2011 Reclassified Positions Supervisor, Recreation Programs (2.00) Senior Supervisor, Recreation Programs 2.00 Transportation Manager (PCE)(1.00) Chief Transportation Official (PCE)1.00 FY 2011 Total Reclassified Positions 0.00 FY 2011 Reallocated Positions Business Analyst (ASD)(0.10) Contracts Administrator (ASD)(0.60) Senior Business Analyst (ASD)(0.20) Senior Engineer (PWD)(0.10) Senior Financial Analyst (ASD)(1.10) Warehouse Supervisor (ASD)(0.50) Assistant to City Manager (CMO)(0.45) Planner (PCE)(0.30) Senior Deputy City Attorney (ATT)(1.00) FY 2011 Total Reallocated Positions (4.35) FY 2011 Eliminated Positions Accounting Specialist (ASD)(1.00) Administrative Associate III (ASD)(0.96) Administrative Associate II (CMO)(1.00) Administrative Associate I (CSD)(2.00) Building Serviceperson (CSD)(2.00) Coordinator Child Care (CSD)(1.00) Supervisor, Recreation Programs (2.00) Senior Supervisor, Recreation Programs 2.00 167 Table of Organization City of Palo Alto Operating Budget FY 20118 Senior Accountant 4.00 3.00 3.00 3.00 3.00 0.00 Senior Business Analyst (12) 0.20 0.20 0.20 0.20 0.00 (0.20) Senior Financial Analyst (4), (5) 7.91 6.91 6.91 6.91 5.81 (1.10) Senior Buyer 0.00 0.00 0.00 0.00 0.00 0.00 Staff Accountant 3.00 2.00 2.00 2.00 2.00 0.00 Staff Secretary 0.00 0.00 0.00 0.00 0.00 0.00 Storekeeper 1.00 0.00 0.00 0.00 0.00 0.00 Storekeeper - Lead 1.00 1.00 1.00 1.00 1.00 0.00 Warehouse Supervisor (6) 1.00 1.00 1.00 1.00 0.50 (0.50) TOTAL ADMINISTRATIVE SERVICES 48.95 41.95 41.95 41.95 37.49 (4.46) Community Services Department Administrative Assistant 1.00 1.00 1.00 1.00 1.00 0.00 Administrative Associate I (9) 2.50 2.00 2.00 2.00 0.00 (2.00) Administrative Associate III 0.00 0.75 0.75 0.75 0.75 0.00 Administrator Special Events 0.00 0.00 0.00 0.00 0.00 0.00 Arts and Culture Division Manager 1.00 1.00 1.00 1.00 1.00 0.00 Building Serviceperson (9) 4.00 4.00 4.00 4.00 2.00 (2.00) Building Serviceperson - Lead 2.00 2.00 2.00 2.00 2.00 0.00 Coordinator, Child Care (9) 1.00 1.00 1.00 1.00 0.00 (1.00) Coordinator, Recreation Programs (9) 5.00 5.00 5.00 5.00 4.50 (0.50) Cubberley Center and Human Svc Div Mgr (9) 1.00 1.00 1.00 1.00 0.00 (1.00) Director, Community Services 1.00 1.00 1.00 1.00 1.00 0.00 Division Manager, Golf & Parks 0.00 0.00 0.00 0.00 0.00 0.00 Division Manager, Recreation & Golf 1.00 1.00 1.00 1.00 1.00 0.00 Division Manager, Rec and Youth Sciences 0.00 0.00 0.00 0.00 0.00 0.00 Golf Course Equipment Mechanic (9) 1.00 1.00 1.00 1.00 0.00 (1.00) Golf Course Maintenance Person (9) 5.00 4.00 4.00 4.00 0.00 (4.00) Inspector, Field Services 2.00 2.00 2.00 2.00 2.00 0.00 Jr. Museum & Zoo Lead Educator 0.00 2.25 2.25 2.25 2.25 0.00 Jr. Museum & Zoo Lead Instructor 0.00 0.00 0.00 0.00 0.00 0.00 Management Assistant 1.00 1.00 1.00 1.00 1.00 0.00 Manager, Arts 2.00 2.00 2.00 2.00 2.00 0.00 FY 2009 Actuals FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted- in-Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change 168 Operating Budget FY 2011 City of Palo Alto Table of Organization 9 Open Space and Parks Division Manager 1.00 1.00 1.00 1.00 1.00 0.00 Park Maintenance Lead 1.00 1.00 1.00 1.00 1.00 0.00 Park Maintenance Person (9) 11.00 11.00 11.00 11.00 6.00 (5.00) Park Ranger 5.00 5.00 5.00 5.00 5.00 0.00 Parks and Open Space Assistant 0.00 0.00 0.00 0.00 0.00 0.00 Parks Crew - Lead (9) 3.00 3.00 3.00 3.00 2.00 (1.00) Producer Arts/Science Programs (9)12.50 13.00 13.00 13.00 12.00 (1.00) Program Assistant I (9) 12.00 7.75 7.75 7.75 6.75 (1.00) Program Assistant II 3.00 3.00 3.00 3.00 3.00 0.00 Senior Administrator 1.00 1.00 1.00 1.00 1.00 0.00 Senior Ranger 1.00 0.00 0.00 0.00 0.00 0.00 Senior Supervisor, Recreation Program (14)0.00 0.00 0.00 0.00 0.00 0.00 Sprinkler System Repairer (9)5.00 5.00 5.00 5.00 4.00 (1.00) Superintendent, Golf Course 1.00 1.00 1.00 1.00 1.00 0.00 Superintendent, Parks 1.00 1.00 1.00 1.00 1.00 0.00 Supervisor, Junior Museum 1.00 1.00 1.00 1.00 1.00 0.00 Supervisor, Open Space 1.00 2.00 2.00 2.00 2.00 0.00 Supervisor, Parks 1.00 1.00 1.00 1.00 1.00 0.00 Supervisor, Recreation Program (14)4.00 4.00 4.00 4.00 4.00 0.00 Theater Specialist 1.00 1.00 1.00 1.00 1.00 0.00 Volunteer Coordinator 0.50 0.50 0.50 0.50 0.50 0.00 TOTAL COMMUNITY SERVICES 96.50 94.25 94.25 94.25 73.75 (20.50) Fire Administrative Assistant (9)1.00 1.00 1.00 1.00 0.00 (1.00) Administrative Associate II 4.00 4.00 4.00 4.00 4.00 0.00 Battalion Chief 3.00 3.00 3.00 3.00 3.00 0.00 Deputy Fire Chief/Fire Marshal 0.84 0.84 0.84 0.84 0.84 0.00 Deputy Fire Chief EMT 2.00 2.00 2.00 2.00 2.00 0.00 Deputy Fire Chief OPS/Support 0.00 0.00 0.00 0.00 0.00 0.00 EMS Chief 1.00 0.00 0.00 0.00 0.00 0.00 EMS Coordinator 1.00 1.00 1.00 1.00 1.00 0.00 EMT Basic 3.00 0.00 0.00 0.00 0.00 0.00 FY 2009 Actuals FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted- in-Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change 169 Table of Organization City of Palo Alto Operating Budget FY 201116 3 Reallocate 0.60 FTE Contracts Administrator to Other Funds - Capital 4 Reallocate 0.50 FTE Senior Financial Analyst to Utilities 5 Reallocate 0.60 FTE Senior Financial Analyst to Other Funds - Capital 6 Reallocate 0.50 FTE Warehouse Supervisor to Utilities 7 Reallocate 0.05 FTE Assistant to City Manager to Planning and Community Environment, 0.10 FTE to Public Works - Enterprise and 0.35 FTE to Utilities 8 Reallocate 0.30 FTE Planner to Utilities 9 Elimination of various positions due to budget constraints 10 Reallocate 1.0 FTE Senior Deputy City Attorney to Utilities 11 Transfer 0.10 FTE Business Analyst to Technology Fund 12 Transfer 0.20 FTE Senior Business Analyst to Technology Fund 13 Transfer 0.10 FTE Senior Engineer to Public Works - Enterprise Fund 14 Reclassification of 2.0 FTE Supervisor, Recreation Programs to Senior Supervisor, Recreation Programs ENTERPRISE FUNDS Public Works Department Refuse, Storm Drainage and Wastewater Treatment Accounting Specialist 0.00 0.46 0.46 0.46 0.46 0.00 Administrator, Refuse 1.00 1.00 1.00 1.00 1.00 0.00 Assistant Director, Public Works 0.75 0.75 0.75 0.75 0.75 0.00 Assistant to City Manager (13) 0.00 0.00 0.00 0.00 0.10 0.10 Administrative Associate II 3.00 3.20 3.20 3.20 3.20 0.00 Asst Manager, Water Quality Control Plant 1.00 1.00 1.00 1.00 1.00 0.00 Associate Engineer 3.30 3.30 3.30 3.30 3.30 0.00 Associate Planner 1.00 1.00 1.00 1.00 1.00 0.00 Business Analyst 1.13 1.13 1.13 1.13 1.13 0.00 Buyer 1.00 1.00 1.00 1.00 1.00 0.00 Chemist 3.00 3.00 3.00 3.00 3.00 0.00 Coordinator Environmental Protection 0.00 0.00 0.00 0.00 0.00 0.00 Coordinator Recycling 0.00 0.00 0.00 0.00 0.00 0.00 Coordinator Zero Waste 2.00 2.00 2.00 2.00 2.00 0.00 Deputy Fire Chief/Fire Marshal 0.08 0.08 0.08 0.08 0.08 0.00 Electrician 3.00 3.00 3.00 3.00 3.00 0.00 FY 2009 Actuals FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted- in-Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change 14 Reclassification of 2.0 FTE Supervisor, Recreation Programs to Senior Supervisor, Recreation Programs 170 ATTACHMENT 3 Community Services Department Proposed Amendment to the FY 2011 Proposed Budget Change in Salary and Benefits Reduction Calculation FY 2011 Proposed Full Salary and Benefits Savings Change Summary Assumes 3 mo. Salary useage for tranisition period Proposed Amendment Salary Benefits Total Salary Benefits Total Salary Benefits Total Arts and Sciences Elimination of 1.0 FTE Program Assistant I $47,018 $34,468 $81,486 $62,691 $35,420 $98,111 $15,673 $953 $16,625 Elimination of 1.0 FTE Producer, Arts and Science 56,987 41,776 98,762 75,982 42,930 118,912 18,996 1,154 20,150 104,005 76,243 180,248 138,673 78,350 217,023 34,668 2,107 36,775 Cubberley and Human Services Elimination of 1.0 FTE Cubberley Center and Human Services Division Manager 128,940 68,711 197,651 128,940 68,983 197,923 0 272 272 Elimination of 1.0 FTE Child Care Coordinator 90,501 48,233 138,734 90,501 48,418 138,919 0 185 185 Elimination of 2.0 FTE Building Service Person 98,800 54,320 153,120 98,800 55,822 154,622 0 1,502 1,502 Elimination of 0.5 FTE Coordinator, Recreation Programs (Family Resources Program)32,802 18,035 50,836 32,802 18,533 51,334 0 498 498 351,043 189,299 540,341 351,043 191,756 542,798 0 2,457 2,457 Open Space and Parks Elimination of 5.0 FTE Park Maintenance Person 264,978 147,159 412,137 294,420 166,347 460,767 29,442 19,188 48,630 Recreation and Golf Elimination of 4.0 FTE Golf Maintenance Person 176,655 97,245 273,900 235,540 133,080 368,620 58,885 35,835 94,720 Elimination of 1.0 FTE Golf Course Equipment Mechanic 63,794 35,172 98,966 63,794 36,044 99,838 0 872 872 Elimination of 1.0 FTE Sprinkler System Repairer 59,883 33,021 92,904 59,883 33,834 93,717 0 813 813 Elimination of 1.0 FTE Parks Crew Lead 64,064 35,318 99,382 64,064 36,196 100,260 0 878 878 Elimination of 2.0 FTE Administrative Associate I 85,301 4,000 89,300 113,734 64,260 177,994 28,434 60,260 88,694 449,697 204,756 654,452 537,015 303,413 840,428 87,319 98,658 185,976 Total Salary and Benefits Changes $1,169,722 $617,456 $1,787,178 $1,321,151 $739,867 $2,061,017 $151,429 $122,411 $273,839 Additional Salary and Benefits Savings 5/11/2010 4:17 PM 171 172 173 174 175 176 177 178 179 180 181 ATTACHMENT 5 Human Resources Department (HR) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total Expenditures: HR1. Freeze HR Director position beginning midyear Salary and benefits savings 122,566 122,566 WOC pay for Asst HR Director (8,863) (8,863) 113,703 113,703 Service Level Reduction HR2. Eliminate non-mandatory training Program and project expense 28,050 28,050 28,050 28,050 HR3. Various non-salary reductions Defer purchase of equipment upgrades 13,000 13,000 Travel and meeting expense 6,585 6,585 Administrative expense Office supplies 5,250 5,250 Books, films, and publications 500 500 Telephone and non-city utilities 1,300 1,300 Advertising and publishing 3,000 3,000 Recruitment expense 1,000 1,000 Relocation expense 4,000 4,000 Service Level Reductions: Compensation study resources 8,114 8,114 Allocation for potential employee investigations 7,000 7,000 Defer Employee Recognition Picnic 4,500 4,500 46,135 8,114 54,249 Budget Balancing Expenditures 74,185 121,817 196,002 Budget Balancing Summary 196,002 Total FTE Reductions: Regular none Hourly none 5/11/2010 4:25 PM 182 ATTACHMENT 6 Planning and Community Environment (PCE) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total Revenues: Increase in Service Fees/Licensing 55,000 - 55,000 55,000 - Decrease Permits (48,500) - (48,500) (48,500) - Expenditures: Service Level Reduction PCE1. Eliminate Shuttle Services Noon Shuttle (30,300) - (30,300) Marguerite Shuttle (20,000) - (20,000) Crosstown Shuttle (145,782) - (145,782) (196,082) - PCE2. Eliminate Vacant Positions 1.0 FTE Building Inspector Specialist (135,742) - (135,742) 1.0 FTE Administrative Associate I (88,997) - (88,997) 1.0 FTE Senior Planner (158,886) - (158,886) (383,625) - PCE3. Eliminate Filled Positions 1.0 FTE Building/Planning Technician (104,329) - (104,329) 1.0 FTE Code Enforcement Officer (122,135) - (122,135) (226,464) - PCE4. Reallocations 0.30 FTE Planner to Utilities (41,260) - (41,260) 0.05 FTE Assistant to CM Sustainability (41,260) - PCE5. Increase in change from Transportation Manager to Chief Transportation Official 30,077 - 30,077 30,077 - 5/11/2010 4:22 PM 183 ATTACHMENT 6 Planning and Community Environment (PCE) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total PCE6. Decrease Temporary Salaries (9,000) - (9,000) (9,000) - PCE7. Decrease GIS Planning (21,753) - (21,753) (21,753) - PCE8. Decrease various Non-salary expenses (36,460) - (36,460) (36,460) - Budget Balancing Expenditures (884,567) - (884,567) Budget Balancing Summary (884,567) Total FTE Reductions: Regular 5.25 FTE (3 vacant, 2 filled, net .25 reallocation) Hourly 0.71 FTE (increase) 5/11/2010 4:22 PM 184 ATTACHMENT 7 City Attorney's Office (ATT) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total Revenues: No changes Expenditures: Service Level Reduction ATT1. Reallocate Sr Deputy City Attorney 116,356 - 116,356 116,356 - ATT2. Decrease Temporary Salaries 21,200 - 21,200 21,200 - ATT3. Decrease Arbitration 20,000 - 20,000 20,000 - ATT4. Decrease various Non-Salary 24,400 - 24,400 24,400 - ATT5. Decrease Legal Contingency 145,000 - 145,000 145,000 - Budget Balancing Expenditures 326,956 - 326,956 Budget Balancing Summary 326,956 Total FTE Reductions: Regular 1.0 FTE (1 position, filled - reallocation) Hourly 0.41 FTE (1 position, temporary summer clerk) 5/11/2010 4:22 PM 185 Operating Budget FY 2011 City of Palo Alto City Attorney 33 • Provide legal support on green purchasing initiatives • Provide legal advice on compost options • Draft recycling ordinance • Provide legal advice related to green building ordinance and implementation of new California Green Building code Emergency Preparedness • Assist in workplace violence prevention training • Provide legal advice, review and support for emergency preparedness teams and related disaster/emergency preparedness projects • Community Collaborative for Youth Health and Wellbeing • Work with the District Attorney to develop policies for Police Department interaction with juvenile crime victims and suspects • Assist with negotiation of management services agreement with Comcast for I-Net benefits on behalf of Palo Alto Unified School District DEPARTMENT SUMMARY FY 2009 Actuals FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget FY 2011 Budget Change % Chg Administration 98,448 202,501 203,757 204,942 209,110 5,353 3% Consultation and Advisory 1,822,147 1,766,540 1,766,540 1,802,893 1,554,614 (211,926) (12%) Litigation and Dispute Resolution 413,693 466,250 419,692 470,647 476,897 57,205 14% Official and Administration Duties 139,408 133,269 133,269 135,636 128,075 (5,194) (4%) TOTAL EXPENDITURES $2,473,696 $2,568,560 $2,523,258 $2,614,118 $2,353,536 $(154,562) (6%) TOTAL REVENUES $1,287,154 $1,159,170 $1,159,170 $1,175,622 $1,389,877 $230,707 21% INTERNAL REVENUES 1,196,693 1,088,170 1,088,170 1,104,622 1,318,877 230,707 21% EXTERNAL REVENUES 90,461 71,000 71,000 71,000 71,000 0 (0%) 186 City Attorney City of Palo Alto Operating Budget FY 201134 INPUTS FY 2009 Actuals FY 2010 Adopted Budget FY 2010 Adjusted Budget FY 2011 Adopted-in- Concept Budget FY 2011 Proposed Budget Salaries and Benefits 1,945,040 2,009,921 2,009,921 2,055,479 1,847,343 Contract Services 463,904 391,359 344,801 391,359 364,759 Supplies and Materials 22,802 38,000 38,000 38,000 26,500 Facilities and Equipment Purchases 760 2,000 2,000 2,000 1,000 General Expense 24,265 30,480 30,480 30,480 28,680 Rents and Leases 5,994 5,500 5,500 5,500 2,000 Allocated Charges 10,931 91,300 92,556 91,300 98,414 TOTAL EXPENDITURES $2,473,696 $2,568,560 $2,523,258 $2,614,118 $2,368,696 TOTAL REVENUES $1,287,154 $1,159,170 $1,159,170 $1,140,622 $1,389,877 Total Full Time Positions 10.60 10.60 10.60 10.60 9.60 Total Temporary Positions 0.95 0.95 0.95 0.95 0.54 0 500 1000 1500 2000 2500 3000 3500 FY04-05 FY05-06 FY06-07 FY07-08 FY08-09 Annual Number of Assignments 187 Operating Budget FY 2011 City of Palo Alto City Attorney 35 BENCHMARKING MEASURES FY 2009 Actuals FY 2010 Adjusted Budget FY 2011 Proposed Budget Workload Outputs: 1. Number of work requests processed (SEA)2957 2750 2970 2. Number of claims opened and handled (SEA)135 135 150 3. Number of code enforcement matters referred to City Attorney 7 7 7 Efficiency: 1. Ratio of work requests per attorney 496 496 496 2. Percent of claims investigations commenced within 7 days of receipt of claim by department 96% 96%96% 3. Percent of requests for code enforcement legal support responded to within 10 working days 100% 100%100% Effectiveness: 1. Percent of work requests completed within established time frames - time frame varies based on type of work request 97% 97%97% 2. Percent of claims resolved within 9 months 97% 97%97% RESOURCE LEVEL CHANGES FY 2011 Ongoing FY 2011 One-Time FY 2011 Total REVENUE CHANGES Increase allocated revenue-internal (230,707)(230,707) TOTAL REVENUE CHANGES $(230,707)$0 $(230,707) EXPENDITURE CHANGES Salary and Benefits Transfer 1.0 FTE Senior Deputy City Attorney to Utilities (116,356)(116,356) Reduce Temporary Salaries (21,200)(21,200) Personnel Benefit Costs Decrease (Note 2) (25,026)(25,026) Total Salary and Benefits Increase $(162,582) $0 $(177,742) Non-Salary Decrease Arbitration (20,000)(20,000) Decrease Instruction and Training (3,600)(3,600) Decrease Programming, Computer, Equipment Maintenance, Software (4,500)(4,500) Decrease Books, Films, Publication (10,000)(10,000) Decrease various Telephone, Facilities, Office Machine and Furniture (6,300)(6,300) Increase Allocated Charges (Note 3) 5,862 5,862 188 Operating Budget FY 2011 City of Palo Alto City Attorney 36 RESOURCE LEVEL NOTES Note 1: Adjustments include one-time revenues and appropriation changes from the prior year that did not carry forward from the FY2010 budget. Note 2: Personnel benefit costs have decreased mainly due to a change in methodology of estimating benefit costs. Note 3: Allocated charges have increased due to the loan repayment to the Technology Fund. SERVICE LEVEL CHANGES A City Attorney contingency account, totaling $270,000, was created in FY2010 for unforseen legal services. In FY2011, this contingency account was decreased by $145,000 to realign with the actual trending. The Office of the City Attorney completed its restructuring effort during Fiscal Year 2007. The restructuring effort resulted in a 21 percent reduction in staffing from the Fiscal Year 2003 staffing level. This represents a substantial contribution from the City Attorney's Office to reducing general fund expenditures. The reduction in outside councel budget may result in a reduction in service to City departments. In order to maintain a high level of accurate legal services in a timely fashion, additional service level changes are not recommended. Total Non-Salary Changes $(38,538) $0 $(38,538) TOTAL EXPENDITURE CHANGES $(201,120)$0 $(216,280) Adjustments (Note 1) 46,558 46,558 NET EXPENDITURE CHANGES $(201,120) $46,558 $(154,562) RESOURCE LEVEL CHANGES FY 2011 Ongoing FY 2011 One-Time FY 2011 Total 189 30 City of Palo Alto Operating Budget FY 2011 1.0-CITY ATTORNEY Gary Baum Fiscal Year 2011 Position Totals - All Funds:10.60 Full-time 0.54 Hourly City Attorney’s Office Organizational Chart 2.0-Senior Asst City Attorney 1.0-Assistant City Attorney 2.0-Senior Deputy City Attorney 1.0-Legal Administrator 1.0-Secretary to City Attorney 2.0-Senior Legal Secretary 0.6-Claims Investigator 190 33 Proposed Budget FY 2011 Citywide Changes Information Technology – Update and Change to Allocated Charges Allocated charges deferred in FY2009, Year 2 of GF Loan Repayment Updated all maintenance and replacement schedules, including Application Maintenance and Replacement, Infrastructure Maintenance and Replacement, Desktop Maintenance and Replacement, Telecommunication, and Support Reclassified various line item categories Changed cost allocation methodology, where necessary FY2010 Budget 8,867,674 FY2011 Proposed 9,194,993 Operating Increase 327,319 2nd year Loan Repay from GF 1,220,693 Total IT Fund Operating Revenue 10,415,686 191 ATTACHMENT 9CHANGE IN TECHNOLOGY ALLOCATED CHARGES BETWEEN FY2010 ADJUSTED BUDGET AND FY2011 PROPOSED BUDGET COMMUNITY IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % SERVICES 39370 Desktop Replacement 32,267 23,889 (8,378) -26% 39380 Desktop Maintenance 19,969 28,667 8,698 44% 39420 IT-Infrastructure Replacement 28,300 19,620 (8,680) -31% 39430 IT-Infrastructure Maintenance 15,070 14,244 (826) -5% 39440 IT Support 578,257 429,537 (148,720) -26% * 39450 Telecommunications - 53,237 53,237 #DIV/0! ** 39510 Application Replacement 25,796 - (25,796) -100% 39520 Application Maintenance 41,289 17,287 (24,002) -58% 740,948 586,481 (154,467) -21%decrease HUMAN IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % RESOURCE 39370 Desktop Replacement 4,286 9,936 5,650 132% 39380 Desktop Maintenance 2,651 10,667 8,016 302% 39420 IT-Infrastructure Replacement 3,643 3,832 189 5% 39430 IT-Infrastructure Maintenance 2,457 2,963 506 21% 39440 IT Support 98,814 93,860 (4,954) -5% * 39450 Telecommunications - 11,075 11,075 #DIV/0! ** 39510 Application Replacement 631 - (631) -100% 39520 Application Maintenance 1,010 3,597 2,587 256% 113,492 135,930 22,438 20%increase PLANNING &IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % COMMUNITY 39370 Desktop Replacement 15,681 17,874 2,193 14% DEVELOPMENT 39380 Desktop Maintenance 9,683 23,000 13,317 138% 39420 IT-Infrastructure Replacement 13,646 11,879 (1,767) -13% 39430 IT-Infrastructure Maintenance 8,868 8,412 (456) -5% 39440 IT Support 304,981 274,884 (30,097) -10% * 39450 Telecommunications - 31,441 31,441 #DIV/0! ** 39510 Application Replacement 2,346 - (2,346) -100% 39520 Application Maintenance 3,756 23,604 19,848 528% 358,961 391,094 32,133 9%increase ATTORNEY IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % 39370 Desktop Replacement 4,264 7,882 3,618 85% 39380 Desktop Maintenance 2,624 3,667 1,043 40% 39420 IT-Infrastructure Replacement 3,701 2,372 (1,329) -36% 39430 IT-Infrastructure Maintenance 3,130 1,835 (1,295) -41% 39440 IT Support 65,484 58,989 (6,495) -10% * 39450 Telecommunications - 6,858 6,858 #DIV/0! ** 39510 Application Replacement 496 - (496) -100% 39520 Application Maintenance 795 2,229 1,434 180% 80,494 83,832 3,338 4%increase * In FY2011, 39510 Telecommunications is separated from 39440 IT Support to provided increased transparency. ** Application Replacement charge to the General Fund departments is deferred by one year in FY2011. ATT changes primarily due to the net of 2nd year loan payment $25,579 and decrease due to FTE reductions. CSD changes primarily due to the net of 2nd year loan payment $218,479 and decrease due to FTE reductions and midyear loan payment. HRD changes primarily due to the net of 2nd year loan payment $37,283. PCE changes primarily due to the net of 2nd year loan payment $118,603 and decrease due to FTE reductions and midyear loan payment. 5/11/2010 4:57 PM 192 ATTACHMENT 9CHANGE IN TECHNOLOGY ALLOCATED CHARGES BETWEEN FY2010 ADJUSTED BUDGET AND FY2011 PROPOSED BUDGET LIBRARY IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % 39370 Desktop Replacement 10,356 56,825 46,469 449% 39380 Desktop Maintenance 6,373 52,000 45,627 716% 39420 IT-Infrastructure Replacement 8,732 18,646 9,914 114% 39430 IT-Infrastructure Maintenance 5,340 8,078 2,738 51% 39440 IT Support 261,248 448,586 187,338 72% * 39450 Telecommunications - 30,191 30,191 #DIV/0! ** 39510 Application Replacement 17,261 - (17,261) -100% 39520 Application Maintenance 27,628 79,594 51,966 188% 336,938 693,920 356,982 106%increase AUDITOR IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % 39370 Desktop Replacement 1,367 2,429 1,062 78% 39380 Desktop Maintenance 842 1,667 825 98% 39420 IT-Infrastructure Replacement 1,195 989 (206) -17% 39430 IT-Infrastructure Maintenance 835 765 (70) -8% 39440 IT Support 24,718 21,995 (2,723) -11% * 39450 Telecommunications - 2,857 2,857 #DIV/0! ** 39510 Application Replacement 169 - (169) -100% 39520 Application Maintenance 271 928 657 242% 29,397 31,630 2,233 8%increase CLERK IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % 39370 Desktop Replacement 2,225 3,167 942 42% 39380 Desktop Maintenance 1,377 3,333 1,956 142% 39420 IT-Infrastructure Replacement 1,934 1,669 (265) -14% 39430 IT-Infrastructure Maintenance 1,130 1,291 161 14% 39440 IT Support 41,711 36,483 (5,228) -13% * 39450 Telecommunications - 4,823 4,823 #DIV/0! ** 39510 Application Replacement 304 - (304) -100% 39520 Application Maintenance 487 1,566 1,079 222% 49,168 52,332 3,164 6%increase MANAGER IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % 39370 Desktop Replacement 3,120 3,921 801 26% 39380 Desktop Maintenance 1,924 5,333 3,409 177% 39420 IT-Infrastructure Replacement 2,696 2,658 (38) -1% 39430 IT-Infrastructure Maintenance 1,889 2,055 166 9% 39440 IT Support 64,799 54,909 (9,890) -15% * 39450 Telecommunications - 7,681 7,681 #DIV/0! ** 39510 Application Replacement 474 - (474) -100% 39520 Application Maintenance 759 2,494 1,735 229% 75,661 79,051 3,390 4%increase * In FY2011, 39510 Telecommunications is separated from 39440 IT Support to provided increased transparency. ** Application Replacement charge to the General Fund departments is deferred by one year in FY2011. LIB changes primarily due to the net of 2nd year loan payment $118,660, and net of FTE reductions and change in methodology for desktop replacement and maintenance. AUD changes primarily due to the 2nd year loan payment $9,036. Prior methodology used was FTE and % of prior year budget, which did not factor the use of public desktops and understated the allocated charges. Also, Library's application and infrastructure costs increased as a result of direct department allocation rather than cost averaging citywide. MGR changes primarily due to the 2nd year loan payment $22,440. CLK changes primarily due to the 2nd year loan payment $15,169. 5/11/2010 4:57 PM 193 194 City of Palo Alto Salary and Benefit Totals General Fund Departments ATTACHMENT 1 2010 2010 Total 2011 2011 Total Change Change Total Dept Salary Benefits Salary Benefits Salary Benefits $ % Administrative Services 3,709,092 2,067,704 5,776,796 3,417,888 1,678,429 5,096,317 (291,204) (389,274) (680,478) -11.8% City Attorney's Office 1,373,843 636,075 2,009,919 1,216,652 615,524 1,832,177 (157,191) (20,551) (177,742) -8.8% City Auditor's Office 487,098 225,820 712,918 482,435 208,790 691,225 (4,663) (17,030) (21,693) -3.0% City Clerk's Office 592,745 372,821 965,567 592,746 287,244 879,989 0 (85,578) (85,577) -8.9% City Manager's Office 1,301,881 649,517 1,951,398 1,156,335 625,054 1,781,388 (145,547) (24,463) (170,010) -8.7% Community Services Department 8,702,597 3,524,383 12,226,980 7,074,829 2,991,939 10,066,768 (1,627,768) (532,444) (2,160,212) -17.7% Council 64,800 127,864 192,664 64,800 6,345 71,145 0 (121,519) (121,519) -63.1% Fire Department 14,067,025 7,512,487 21,579,512 15,257,960 8,036,370 23,294,329 1,190,934 523,883 1,714,818 7.9% Human Resources Department 1,544,085 797,049 2,341,134 1,553,893 812,993 2,366,886 9,808 15,944 25,752 1.1% Library Department 3,372,630 1,526,986 4,899,616 3,207,876 1,469,926 4,677,801 (164,755) (57,060) (221,815) -4.5% Non-departmental (3,016,932)1,900,000 (1,116,932) (1,168,640) (1,168,640)1,848,292 (1,900,000) (51,708) 4.6% Planning and Community Development 4,528,793 2,215,805 6,744,597 4,433,499 2,022,859 6,456,358 (95,294) (192,946) (288,239) -4.3% Police Department 16,771,269 8,468,718 25,239,987 16,216,603 8,054,417 24,271,020 (554,666) (414,301) (968,967) -3.8% Public Works Department 4,814,023 2,751,372 7,565,395 4,639,856 2,247,549 6,887,404 (174,167) (503,823) (677,991) -9.0% Grand Total 58,312,951 32,776,600 91,089,552 58,146,731 29,057,439 87,204,169 (166,221) (3,719,162) (3,885,382) -4.3% 5/18/2010 3:14 PM 195 ATTACHMENT 2 Page 1 of 2Police Department (POL) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total REVENUES New Revenues and Increased Cost Recovery: POL1 Reimbursement from PAUSD for School Resource Officer 83,570 83,570 POL2 Alarm services provided to Utilities (additional services)90,000 90,000 POL3 Increase Parking Violation Citation municipal fee 150,000 150,000 POL4 Increase in Animal Service municipal fees 47,200 47,200 370,770 - 370,770 Service Level Reductions: Loss of revenue from eliminating the Traffic Team (100,000) (100,000) Leaf blower (20,000) (20,000) (120,000) - (120,000) Other Items Included in Proposed Budget: Parking violation revenue decline (125,000) (125,000) Communications reimbursement from Stanford (67,316) (67,316) (192,316) - (192,316) Budget Balancing Revenue Summary 58,454 58,454 EXPENDITURES Service Level Reductions: POL5 Code Enforcement POL5.1 0.5 FTE Code Enforcement Officer 61,068 61,068 POL6 Crime Analyst Program POL6.1 1 FTE Crime Analyst 116,178 116,178 POL7 Traffic Team (see revenue impact) POL7.1 1 FTE Police Sergeant 205,886 205,886 POL7.2 1 FTE Police Agent 183,139 183,139 POL7.3 3 FTE Police Officer 497,601 497,601 886,626 - 886,626 POL8 Investigations POL8.1 2 FTE Police Officer 331,734 331,734 POL9 Technical Services POL9.1 1 FTE Records Specialist II 86,360 86,360 POL10 Crime Prevention & Public Outreach POL10.1 1 FTE Program Coordinator 102,669 102,669 POL11 Reduction in overtime budget 32,000 32,000 POL12 Reduction in leaf blower enforcement (see revenue impact) POL12.1 0.46 FTE temp Project Specialist 41,587 41,587 5/18/2010 2:38 PM 196 ATTACHMENT 2 Page 2 of 2Police Department (POL) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total POL13 School Crossing Guard Program 345,000 345,000 2,003,222 - 2,003,222 Other Items Included in Proposed Budget: POL14 Train Track Watch Program (30,000) (30,000) PAPOA salary increase (808,429) (808,429) Booking fees decrease 130,000 130,000 (708,429) - (708,429) Citywide Changes Personnel benefit and allocated (421,321) (421,321) Budget Balancing Expenditures 873,472 - 873,472 Budget Balancing Summary (931,926) Alternatives to Proposed Budget Balancing Actions POL15 Parking Enforcement Program POL15.1 1 FTE Community Service Officer 89,258 89,258 Total FTE Reductions: Regular 10.5 FTE (11 positions, 8 filled) Hourly 0.81 FTE (2 positions, 2 vacant) 5/18/2010 2:38 PM 197 ATTACHMENT 3 Page 1 of 2Fire Department (F) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total REVENUES New Revenues and Increased Cost Recovery: F1 Increase Hazardous Materials Inspection Fees 200,000 200,000 F2 Increase Stanford Fire Services Revenue 38,000 38,000 F3 Increase Paramedic Services Fees by 10% 50,000 50,000 F4 Increase Code Enforcement Fees 120,000 120,000 Sub-total New Revenues 408,000 - 408,000 Other Items Included in Proposed Budget: Decrease Plan Checking Fee (270,000) (270,000) Fire Services Reimbursement from Stanford 136,969 136,969 Sub-total Other Items (133,031) - (133,031) Budget Balancing Revenue Summary 274,969 274,969 EXPENDITURES Service Level Reductions: F5 Administration 1.0 FTE Administrative Assistant 116,507 116,507 F6 HazMat Code Enforcement 0.95 FTE Hazardous Materials Specialist (GF portion)186,953 186,953 0.48 FTE Add Management Specialist (80,000) (80,000) 106,953 - 106,953 F7 Administration (Backfill Fire Chief vacancy) 0.25 Management Specialist (52,000) (52,000) F8 Reduction in non-salary expenses (i.e. Contract Svcs., Supplies, Equip., etc.)85,952 85,952 309,412 (52,000) 257,412 Other Items Included in Proposed Budget: Salary and Benefit Increase (1/2 Year)(652,158) (652,158) Decrease in Temporary Salaries 31,131 31,131 Incentive Pay Increase (EMT Certification)(9,069) (9,069) (630,096) - (630,096) Citywide Changes Increase in Workers' Compensation Charges (479,668) (479,668) Increase in Medicare (Employer) Contribution (12,965) (12,965) Increase in Retiree Health Insurance Premiums (393,311) (393,311) Increase in Benefit Allocation (390,237) (390,237) Decrease in Information Technology Charges 95,076 95,076 Increase in Vehicle Maintenance and Replacement (254,272) (254,272) 5/18/2010 4:58 PM 198 ATTACHMENT 3 Page 2 of 2Fire Department (F) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total Increase in Liab. Insurance & Printing/Mailing Services (33,015) (33,015) (1,468,392) - (1,468,392) Budget Balancing Expenditures (1,789,076) (52,000) (1,841,076) Net Budget Impact Summary (Increase)(1,566,107) Total FTE Reductions/Increase: Regular 1.95 FTE (1 - Retiring, 1 filled) Hourly 0.46 FTE Increase 5/18/2010 4:58 PM 199 Administrative Services Department (ASD) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total Expenditures: Service Level Reduction ASD1-2. Eliminate Vacant Positions 0.96 FTE Administrative Associate (99,500) - (190,027) 1.00 FTE Accounting Specialist (90,527) - (190,027) - ASD3. Reallocations 0.50 FTE Warehouse Supervisor to Utls (52,857) - (347,272) 0.50 FTE Sr Financial Analyst to Utls (74,807) 0.60 FTE Contract Administrator to CIP (89,769) 0.60 FTE Sr Financial Analyst to CIP (89,769) 0.10 FTE Business Analyst to IT (12,240) 0.20 FTE Sr Business Analyst to IT (27,830) (347,272) - ASD4. Decrease Temporary Salaries (24,572) - (24,572) (24,572) - ASD5. Decrease Overtime (10,000) - (10,000) (10,000) - ASD6-8. Decrease various non-salary (25,292) - (25,292) (25,292) - Budget Balancing Expenditures (597,163) - (597,163) Budget Balancing Summary (597,163) Total FTE Reductions: Regular 4.46 FTE (1.96 vacant 2.5 reallocation) Hourly 0.42 FTE (increase) 200 Information Technology - ISF (IT) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total Revenues: IT1-3. Decrease in various revenues Decrease in Investment Income (236,500) - (283,100) Decrease in Stanford Revenue (37,000) - Decrease in Miscellaneous Revenue (9,600) - (283,100) - IT4. Increase in allocated revenue - Loan repay 1,220,693 - 1,220,693 1,220,693 - IT5. Increase in allocated revenue - Operating 303,391 - 303,391 303,391 - IT6. Increase in Operating Tfrs In - CIP projects 970,594 - 970,594 970,594 - Expenditures: Service Level Reduction IT7-8. Eliminate Vacant Positions 0.04 FTE Administrative Assoc III (4,146) - (164,562) 1.0 FTE Technologist (160,416) - (164,562) - IT9. Add 0.50 FTE Administrator (CM office)58,273 - 58,273 58,273 - IT10. Reallocations 0.10 FTE Business Analyst from ASD 12,240 - 12,240 0.20 FTE Sr Business Analyst from ASD 27,830 40,070 - 201 Information Technology - ISF (IT) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total IT11-18. Redistrubutions Increase Application Maintenance 506,425 - 303,392 Decrease Application Replacement (190,150) Decrease Infrastructure Maintenance (90,287) Decrease Infratstructure Replacement (888) Increase Desktop Maintenance 130,000 Increase Desktop Replacement 99,575 Increase Telecommunication 682,500 Decrease IT Support (833,783) 303,392 - IT19. Increase CIP project costs 2,295,859 - 2,295,859 2,295,859 - Budget Balancing Expenditures 2,533,032 - 2,533,032 Budget Balancing Summary 2,533,032 Total FTE Reductions: Regular .24 FTE net (1.04 vacant, 0.50 add, net 0.30 realloc) Hourly 1.22 FTE (increase) 202 ATTACHMENT 6CHANGE IN TECHNOLOGY ALLOCATED CHARGES BETWEEN FY2010 ADJUSTED BUDGET AND FY2011 PROPOSED BUDGET POLICE IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % 39370 Desktop Replacement 43,215 73,758 30,543 71% 39380 Desktop Maintenance 26,434 44,000 17,566 66% 39420 IT-Infrastructure Replacement 37,693 47,744 10,051 27% 39430 IT-Infrastructure Maintenance 24,156 28,200 4,044 17% 39440 IT Support 998,178 1,255,882 257,704 26% * 39450 Telecommunications - 105,402 105,402 #DIV/0! ** 39510 Application Replacement 122,514 - (122,514) -100% 39520 Application Maintenance 196,098 293,104 97,006 49% 1,448,288 1,848,090 399,802 28%increase FIR IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % 39370 Desktop Replacement 60,101 47,072 (13,029) -22% 39380 Desktop Maintenance 37,122 26,668 (10,454) -28% 39420 IT-Infrastructure Replacement 52,744 32,969 (19,775) -37% 39430 IT-Infrastructure Maintenance 44,503 22,788 (21,715) -49% 39440 IT Support 1,436,388 586,788 (849,600) -59% * 39450 Telecommunications - 85,172 85,172 #DIV/0! 39510 Application Replacement 292,612 81,300 (211,312) -72% 39520 Application Maintenance 411,934 200,858 (211,076) -51% 2,335,404 1,083,615 (1,251,789) -54%decrease ADMINISTRATIVE IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % SERVICES 39370 Desktop Replacement 12,267 46,651 34,384 280% DEPARTMENT 39380 Desktop Maintenance 7,464 44,667 37,203 498% 39420 IT-Infrastructure Replacement 9,933 10,626 693 7% 39430 IT-Infrastructure Maintenance 7,752 7,734 (18) 0% 39440 IT Support 266,056 334,109 68,053 26% * 39450 Telecommunications - 28,905 28,905 #DIV/0! ** 39510 Application Replacement 3,879 - (3,879) -100% 39520 Application Maintenance 6,209 9,386 3,177 51% 313,560 482,078 168,518 54%increase PUBLIC IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % WORKS 39370 Desktop Replacement 20,133 17,861 (2,272) -11% 39380 Desktop Maintenance 12,409 13,883 1,474 12% 39420 IT-Infrastructure Replacement 17,820 26,000 8,180 46% 39430 IT-Infrastructure Maintenance 9,534 10,974 1,440 15% 39440 IT Support 398,247 307,669 (90,578) -23% * 39450 Telecommunications - 41,017 41,017 #DIV/0! ** 39510 Application Replacement 3,879 - (3,879) -100% 39520 Application Maintenance 6,209 13,319 7,110 115% 468,231 430,723 (37,508) -8%decrease * In FY2011, 39510 Telecommunications is separated from 39440 IT Support to provided increased transparency. ** Application Replacement charge to the General Fund departments is deferred by one year in FY2011. ASD changes primarily due to the net of 2nd year loan payment $135,121 and methodology change. POL changes primarily due to the net of 2nd year loan payment $459,482. FIR changes primarily due to a net of 1st year loan repayment at midyear FY2010 of $1,156,713 and a 2nd year loan payment credit of $81,344. PWD changes primarily due to the net of 2nd year loan payment $142,185 and methodology change. 5/18/2010 3:55 PM 203 ATTACHMENT 6CHANGE IN TECHNOLOGY ALLOCATED CHARGES BETWEEN FY2010 ADJUSTED BUDGET AND FY2011 PROPOSED BUDGET COMMUNITY IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % SERVICES 39370 Desktop Replacement 32,267 23,889 (8,378) -26% 39380 Desktop Maintenance 19,969 28,667 8,698 44% 39420 IT-Infrastructure Replacement 28,300 19,620 (8,680) -31% 39430 IT-Infrastructure Maintenance 15,070 14,244 (826) -5% 39440 IT Support 578,257 429,537 (148,720) -26% * 39450 Telecommunications - 53,237 53,237 #DIV/0! ** 39510 Application Replacement 25,796 - (25,796) -100% 39520 Application Maintenance 41,289 17,287 (24,002) -58% 740,948 586,481 (154,467) -21%decrease HUMAN IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % RESOURCE 39370 Desktop Replacement 4,286 9,936 5,650 132% 39380 Desktop Maintenance 2,651 10,667 8,016 302% 39420 IT-Infrastructure Replacement 3,643 3,832 189 5% 39430 IT-Infrastructure Maintenance 2,457 2,963 506 21% 39440 IT Support 98,814 93,860 (4,954) -5% * 39450 Telecommunications - 11,075 11,075 #DIV/0! ** 39510 Application Replacement 631 - (631) -100% 39520 Application Maintenance 1,010 3,597 2,587 256% 113,492 135,930 22,438 20%increase PLANNING &IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % COMMUNITY 39370 Desktop Replacement 15,681 17,874 2,193 14% DEVELOPMENT 39380 Desktop Maintenance 9,683 23,000 13,317 138% 39420 IT-Infrastructure Replacement 13,646 11,879 (1,767) -13% 39430 IT-Infrastructure Maintenance 8,868 8,412 (456) -5% 39440 IT Support 304,981 274,884 (30,097) -10% * 39450 Telecommunications - 31,441 31,441 #DIV/0! ** 39510 Application Replacement 2,346 - (2,346) -100% 39520 Application Maintenance 3,756 23,604 19,848 528% 358,961 391,094 32,133 9%increase ATTORNEY IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % 39370 Desktop Replacement 4,264 7,882 3,618 85% 39380 Desktop Maintenance 2,624 3,667 1,043 40% 39420 IT-Infrastructure Replacement 3,701 2,372 (1,329) -36% 39430 IT-Infrastructure Maintenance 3,130 1,835 (1,295) -41% 39440 IT Support 65,484 58,989 (6,495) -10% * 39450 Telecommunications - 6,858 6,858 #DIV/0! ** 39510 Application Replacement 496 - (496) -100% 39520 Application Maintenance 795 2,229 1,434 180% 80,494 83,832 3,338 4%increase * In FY2011, 39510 Telecommunications is separated from 39440 IT Support to provided increased transparency. ** Application Replacement charge to the General Fund departments is deferred by one year in FY2011. ATT changes primarily due to the net of 2nd year loan payment $25,579 and decrease due to FTE reductions. CSD changes primarily due to the net of 2nd year loan payment $218,479 and decrease due to FTE reductions and midyear loan payment. HRD changes primarily due to the net of 2nd year loan payment $37,283. PCE changes primarily due to the net of 2nd year loan payment $118,603 and decrease due to FTE reductions and midyear loan payment. 5/18/2010 3:55 PM 204 ATTACHMENT 6CHANGE IN TECHNOLOGY ALLOCATED CHARGES BETWEEN FY2010 ADJUSTED BUDGET AND FY2011 PROPOSED BUDGET LIBRARY IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % 39370 Desktop Replacement 10,356 56,825 46,469 449% 39380 Desktop Maintenance 6,373 52,000 45,627 716% 39420 IT-Infrastructure Replacement 8,732 18,646 9,914 114% 39430 IT-Infrastructure Maintenance 5,340 8,078 2,738 51% 39440 IT Support 261,248 448,586 187,338 72% * 39450 Telecommunications - 30,191 30,191 #DIV/0! ** 39510 Application Replacement 17,261 - (17,261) -100% 39520 Application Maintenance 27,628 79,594 51,966 188% 336,938 693,920 356,982 106%increase AUDITOR IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % 39370 Desktop Replacement 1,367 2,429 1,062 78% 39380 Desktop Maintenance 842 1,667 825 98% 39420 IT-Infrastructure Replacement 1,195 989 (206) -17% 39430 IT-Infrastructure Maintenance 835 765 (70) -8% 39440 IT Support 24,718 21,995 (2,723) -11% * 39450 Telecommunications - 2,857 2,857 #DIV/0! ** 39510 Application Replacement 169 - (169) -100% 39520 Application Maintenance 271 928 657 242% 29,397 31,630 2,233 8%increase CLERK IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % 39370 Desktop Replacement 2,225 3,167 942 42% 39380 Desktop Maintenance 1,377 3,333 1,956 142% 39420 IT-Infrastructure Replacement 1,934 1,669 (265) -14% 39430 IT-Infrastructure Maintenance 1,130 1,291 161 14% 39440 IT Support 41,711 36,483 (5,228) -13% * 39450 Telecommunications - 4,823 4,823 #DIV/0! ** 39510 Application Replacement 304 - (304) -100% 39520 Application Maintenance 487 1,566 1,079 222% 49,168 52,332 3,164 6%increase MANAGER IT Allocated Charges FY2010 Adj FY2011 Prop Diff Chg % 39370 Desktop Replacement 3,120 3,921 801 26% 39380 Desktop Maintenance 1,924 5,333 3,409 177% 39420 IT-Infrastructure Replacement 2,696 2,658 (38) -1% 39430 IT-Infrastructure Maintenance 1,889 2,055 166 9% 39440 IT Support 64,799 54,909 (9,890) -15% * 39450 Telecommunications - 7,681 7,681 #DIV/0! ** 39510 Application Replacement 474 - (474) -100% 39520 Application Maintenance 759 2,494 1,735 229% 75,661 79,051 3,390 4%increase * In FY2011, 39510 Telecommunications is separated from 39440 IT Support to provided increased transparency. ** Application Replacement charge to the General Fund departments is deferred by one year in FY2011. LIB changes primarily due to the net of 2nd year loan payment $118,660, and net of FTE reductions and change in methodology for desktop replacement and maintenance. AUD changes primarily due to the 2nd year loan payment $9,036. Prior methodology used was FTE and % of prior year budget, which did not factor the use of public desktops and understated the allocated charges. Also, Library's application and infrastructure costs increased as a result of direct department allocation rather than cost averaging citywide. MGR changes primarily due to the 2nd year loan payment $22,440. CLK changes primarily due to the 2nd year loan payment $15,169. 5/18/2010 3:55 PM 205 Printing and Mailing - ISF (IT) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total Revenues: PM1. Decrease Mailing Allocated Revenue 91,778 - 91,778 91,778 - PM2. Decrease Printing Allocated Revenue 106,835 - 106,835 106,835 - Expenditures: Service Level Reduction PM3-5. Eliminate Filled Positions 1.0 FTE Supervisor Repro and Mail (110,440) - (221,984) 1.0 FTE Offset Equip Op Lead (91,894) 0.48 FTE Print Shop Assistant (19,650) (221,984) - PM6. Reallocate 0.48 FTE Offset Equip Op (45,031) - (45,031) (45,031) - Budget Balancing Expenditures (267,015) - (267,015) Budget Balancing Summary (267,015) Total FTE Reductions: Regular 2.96 FTE (2.48 filled and 0.48 reallocation) Hourly none 206 207 208 Children’s Theatre-Fee Setting Discussion The policy of requiring participants to pay a fee to appear in productions is often referred to as "pay to play". This policy has the potential to raise revenue; however, it relies on large numbers to raise significant funds. The chart below describes the participation fee and ticket price of other Bay Area Children’s Theaters: Organization Participation Fee Ticket Price Remarks Peninsula Youth Theatre $265 per production $16 - $18 Multiple casts; Volunteer hours required San Carlos Children’s Theatre $175 per production $10 - $12 Does not include costumes; Volunteer hours required CMT San Jose $150 per production $15 - $30 Volunteer hours required Rainbow Theatre (Milpitas) $65 - $85 per production $6 - $8 Tickets cost $6 - $8; Volunteer hours required Below are participation fees for Palo Alto youth activities: Organization Participation Fee Ages Palo Alto AYSO Camp $167 per week Ages 5 - 18 Palo Alto AYSO Competitive Athletics $350 per season Ages 5 - 18 Palo Alto Little League $195 per season Ages 9 - 12 Jr. Museum & Zoo Summer Camp $335 per week Ages 6 - 13 Listed below is the revenue stream that is possible at different fee levels for participants. An alternate scheme would be to develop a fee menu for each production that would price individual performing parts based on the amount of stage time. This scheme could be structured to raise similar revenue; however, this plan would likely suppress the number and diversity of children participating in the program while essentially guaranteeing that the same children, from families that could afford the higher fees, would lead every production. The level of this suppression would logically be tied to the fee amount. The participation fee would be charged to performers and could also be charged to stage crew members and technicians operating the production. This may reduce volunteerism and require the use of paid staff to operate the productions. This added cost cannot be accurately forecast. All gross revenue amounts must be reduced by the administration cost of collection, record keeping, cash handling, etc. Fee Range Children’s Theatre Potential Revenue $50-$300 $35,000 209 Childrenʼs Theatre Production Participation and AudienceChildrenʼs Theatre Production Participation and AudienceChildrenʼs Theatre Production Participation and AudienceChildrenʼs Theatre Production Participation and AudienceChildrenʼs Theatre Production Participation and AudienceChildrenʼs Theatre Production Participation and AudienceChildrenʼs Theatre Production Participation and AudienceChildrenʼs Theatre Production Participation and AudienceChildrenʼs Theatre Production Participation and AudienceChildrenʼs Theatre Production Participation and AudienceChildrenʼs Theatre Production Participation and Audience Revenue % Δ from prev year Audience % Δ from prev year Participants % Δ from prev year Unique Participants # of Productions # of Performances 2009 - 2010 Season (YTD) 2009 - 2010 Season (YTD) 2009 - 2010 Season (YTD) 2009 - 2010 Season (YTD) 2009 - 2010 Season (YTD) 2009 - 2010 Season (YTD) 2009 - 2010 Season (YTD) 2008 - 2009 Season 2008 - 2009 Season 2008 - 2009 Season 2008 - 2009 Season 2008 - 2009 Season 2008 - 2009 Season 2008 - 2009 Season 2007 - 2008 Season 2007 - 2008 Season 2007 - 2008 Season 2007 - 2008 Season 2007 - 2008 Season 2007 - 2008 Season 2007 - 2008 Season 2006 - 2007 Season 2006 - 2007 Season 2006 - 2007 Season 2006 - 2007 Season 2006 - 2007 Season 2006 - 2007 Season 2006 - 2007 Season Total Box Office $142,555 46%20,770 41%495 20%401 20 118 Hotdog / Summer $52,670 63%8,190 48%141 18%126 3 26 Wingspread $21,690 87%2,972 54%47 -23%39 2 17 Mainstage $36,280 46%4,853 45%100 22%87 3 30 Outreach $12,930 -4%2,141 15%98 1%98 3 12 Saturday Playhouse $11,055 -18%1,480 -18%37 28%23 6 11 Teen Shows $7,930 361%1,134 387%72 200%51 3 22 Total Box Office $97,419 -14%14,705 -28%413 -26%300 23 99 Hotdog / Summer $32,396 -27%5,522 -29%120 8%92 4 22 Wingspread $11,588 -12%1,928 -16%61 -46%30 3 14 Mainstage $24,785 -4%3,345 -29%82 -23%57 3 21 Outreach $13,400 -33%1,865 -47%97 -48%97 6 24 Saturday Playhouse $13,530 47%1,812 -17%29 -28%16 6 12 Teen Shows $1,720 n/a 233 n/a 24 n/a 24 1 6 Total Box Office $112,883 -4%20,469 2%556 -4%408 29 132 Hotdog / Summer $44,656 -9%7,748 -8%111 -11%79 4 35 Wingspread $13,208 13%2,297 14%113 45%49 5 23 Mainstage $25,722 22%4,689 18%107 -20%85 4 26 Outreach $20,111 1%3,546 45%185 9%185 8 32 Saturday Playhouse $9,186 17%2,189 27%40 -7%10 8 16 Teen Shows $0 n/a 0 n/a 0 -100%0 0 0 Total Box Office $117,135 19,986 581 422 26 131 Hotdog / Summer $48,920 no data 8,386 no data 125 no data 85 4 34 Wingspread $11,657 no data 2,019 no data 78 no data 42 5 24 Mainstage $21,076 no data 3,966 no data 133 no data 83 4 27 Outreach $19,976 no data 2,451 no data 170 no data 169 6 24 Saturday Playhouse $7,836 no data 1,725 no data 43 no data 11 6 15 Teen Shows $7,670 no data 1,439 no data 32 no data 32 1 7210 Childrenʼs Theatre Production Demographics Demographics Age/Residency FY 2010 Demographics Age/Residency FY 2010 Demographics Age/Residency FY 2010 Demographics Age/Residency FY 2010 Demographics Age/Residency FY 2010 Demographics Age/Residency FY 2010 Demographics Age/Residency FY 2010 Demographics Age/Residency FY 2010 Production Type ParticipantsParticipants AudienceAudience Production Type Grade Residency Age Residency Hotdog / Summer 2 - 6 86% Resident 14% Non-Resident All 57% Resident 43% Non-Resident Wingspread 11 - College 15% Resident 85% Non-Resident All 71% Resident 29% Non-Resident Mainstage 2 - 6 84% Resident 16% Non-Resident All 68% Resident 32% Non-Resident Outreach 3 - 5 98% Resident 2% Non-Resident 8 - 11; Parents 83% Resident 17% Non-Resident Saturday Playhouse 9 - 12 91% Resident 9% Non-Resident 3 - 6 55% Resident 45% Non-Resident Teen Shows 9 - 12 95% Resident 5% Non-Resident All 73% Resident 27% Non-Resident 211 Note: FY 2010 Year-End values are projections as of 5/21/2010. Childrenʼs Theatre: Change in Revenue, Attendance, and Participation Program Area FY 2007 FY 2008 FY 2009 FY 2010 FY 2010 Projected FY 2011 Projected Childrenʼs Theatre Class Revenue $50,265 $60,206 $70,014 $81,686 $91,442 $120,000 Childrenʼs Theatre # of Classes 27 73 73 85 Childrenʼs Theatre Class Registration 472 407 492 616 680 750 Childrenʼs Theatre Class Residency (NR: Nonresident; R Resident) 368 R 104 NR 305 R 102 NR 407 R 85 NR 525 R 91 NR Arts Education In-school Outreach 1,415 1,550 1,700 Arts Education Residency 1,399 R 16 NR 1,450 R 100 NR 1,550 R 150 NR $0K $25K $50K $75K $100K Q1 Mid-Year Q3 Year-End 1099 1465 20298 50265 4311 10824 23379 58528 7612 15315 43943 70014 16901 26924 79637 91442 Class Revenue by Fiscal Year FY 2010 FY 2009 FY 2008 FY 2007 212 City of Palo Alto Community Services Department Cost Recovery Data FY 2011 Proposed Budget Program Direct Cost Recovery Full Cost Recovery Income (subsidy) based on full cost Number of Participants Arts and Science Children's Music and Dance 159%130%$16,958 Adult Music and Dance 105%92%($5,739) Visual Arts /Studio Classes 95%75%($67,357)12,065 Visual Arts /Exhibitions 13%9%($248,325)15,830 JMZ classes/outreaches 78%54%($245,178) JMZ camps 121%93%($19,903) Baylands Interpretation 59%43%($127,060)2,615 JMZ exhibits 14%10%($223,638) JMZ animal care 17%13%($166,581) Children's Performing Arts Education 73%33% 53%($284,979) ($85,217) 1,442 participants Wingspread 58%27% 49% ($49,175) ($24,633) 34 participants; 2,972 audience Outreach 21%9% 15%($192,620) ($114,677) 139 participants; 1,853 audience Teen Programs 0%0%($82,713) ($52,392) 188 participants; 1,690 audience Core Productions 24%11% 17% ($771,228) ($453,465) 440 participants; 19,743 audience Administration 15%11%0 ($556,185)0 Recreation Sports-Aquatics 295%158% 94% $42,385 ($6,897) 44,360 Sports - Sports League 91%61% 34% ($ 53,558) (158,340) 1,128 Adult Program - Special Interest Classes 113%74% 42% ($44,712) ($178,120) 693 Sports-Individual Sports 0%0%($95,021) ($165,085) 3,000 Youth Teen Programs- Aquatics 97%78% 81% ($77,760) ($67,722) 19,186 Youth Teen Programs- Special Interest Classes 136%108% 111%$33,347 $44,940 2,877 Youth Teen Programs- Middle School 61%45% 47% ($168,253) ($160,298) 1,393 Youth Teen Programs- Teen Center Programs and Youth Outreach 40%27% 28% ($288,119) ($278,890) 6,540 Youth Teen Programs- Sports Camps 122%106% 109% $11,049 $16,881 1,138 Youth Teen Programs- Day Camp 119%89% 91% ($24,686) ($19,019) 694 Special Needs Program - Senior 53%33% 20% ($7,121) ($14,480) 7,650 Special Needs Program - Therapeutics Recreation 84%53% 31% ($4,902) ($12,075)165 Special Events 7%5%($150,164)5,000 + Notes: 1. Direct costs equal direct salaries and non-salary costs. 2. Full costs equal direct costs plus CSD administration allocation and city-wide cost plan allocation charges. 4. Corrections are being made due to error in the formula in the original computations. Strike-out numbers are being replaced by the correct numbers. 964 5,354 125,000 3. CSD administration costs and city-wide cost plan allocation charges were allocated to individual program based on regular FTE. In cases where programs have no regular FTE allocated, the direct costs become the basis of the allocation. 213 GOLF COURSE FINANCIAL SUMMARY 1 2 3 4 5 6 7 8 9 10 11 12 13 15 16 17 20 21 25 26 27 28 29 30 31 32 33 34 35 37 38 39 40 41 42 43 44 45 48 49 51 52 B S W X Y ACTUAL Adopted Budget Adjusted Budget Proposed Budget FY 2009 FY 2010 FY 2010 FY 2011 Revenues Tournament fees 2,651 3,600 2,518 3,600 Green fees 2,073,809 2,194,250 1,981,442 1,994,250 Monthly play cards 161,544 170,000 160,000 170,000 Driving range 365,908 415,000 415,000 390,000 Cart/club rentals 313,224 370,000 360,207 370,000 Proshop lease 29,482 32,000 29,482 32,000 Restaurant lease 43,811 67,200 43,811 67,200 Coffee Shop utilities 19,440 25,920 19,440 25,920 Interest Income - Debt Service 32,855 32,200 32,200 32,200 TOTAL REVENUE 3,042,724 3,310,170 3,044,100 3,085,170 Expenditures Debt Expenses Net Debt Service--New 555,686 560,674 560,674 559,539 Loan payment to General Fund for CIP Projects PG-08001 and PG-07700 94,849 94,849 47,684 94,849 Subtotal 650,535 655,523 608,358 654,388 Operating Expenses Salaries 518,627 493,493 493,493 86,840 Benefits 410,728 394,422 394,422 41,003 Miscellaneous - - Supplies and Materials 144,037 181,853 140,000 131,853 - General Expense 1,618 1,988 1,988 1,988 - Rents and Leases 0 300 300 300 - Facilities and Equipment Purchases 1,117 5,000 5,000 5,000 Allocated Charges 580,458 479,719 516,608 612,025 Cost Plan Charges 318,969 312,500 332,155 41,455 Subtotal 1,975,554 1,869,275 1,883,966 920,464 Contract Services Golf Maintenance 0 0 0 420,000 Miscellaneous 45,879 72,930 45,000 72,930 Range fees 152,745 157,700 157,700 157,700 Cart rentals 127,835 148,000 144,083 148,000 Club rentals 6,197 6,800 5,951 6,800 Fixed Incentives and Miscellaneous Management Fees 376,989 353,333 353,333 353,333 Credit Card Fees 33,000 38,000 38,000 38,000 Subtotal 742,645 776,763 744,067 1,196,763 TOTAL EXPENSES 3,368,734 3,301,561 3,236,391 2,771,615 Change from Prior Year 5.4%-2.0%-4%-14% ANNUAL NET ($326,010)$8,609 ($192,291) $313,555 GOLF ROUNDS 72,170 76,000 72,000 72,000 214 ATTACHMENT 4 Public Works Department (PW) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total Expenditures: Service Level Reduction PW1. Contracting out custodial services Regular staff reduction 3.0 FTE (one vacant) 231,933 231,933 Increase custodial contract services (155,700) (155,700) 76,233 76,233 PW2. Contracting out tree trimming Regular staff reduction 4.0 FTE 390,104 390,104 Increase contract services for tree trimming (73,900) (73,900) 316,204 316,204 PW3.1 Decrease construction materials- asphalt supply 10,000 10,000 PW3.2 Decrease planting materials- trees 10,000 10,000 PW3.3 Decrease contract services- cleaning 8,000 8,000 PW3.4 Decrease contract services- facilities maintenance for non-essential requests 8,000 8,000 PW3.5 Decrease various contract services 100,000 100,000 PW4. Elimination of 1.0 FTE Project Manager - CIP Parks Infrastructure (vacant)142,271 142,271 PW5. Elimination of 1.0 FTE Admin. Associate III - CIP Engineering (retirement)103,645 103,645 215 ATTACHMENT 4 Public Works Department (PW) 2011 Proposed Budget Budget Balancing Summary Ongoing One-time Total PW6. Decrease CIP sidewalk repair and replacement Regular staff reduction 1.0 FTE 97,940 97,940 Decrease contract services for sidewalk repair 500,000 500,000 597,940 597,940 Budget Balancing Expenditures 1,372,293 - 1,372,293 Budget Balancing Summary 1,372,293 Total FTE Reductions: Regular 10.0 FTE (10 positions, 7 filled) 216 ATTACHMENT 4 Public Works Department (PW) 2011 Proposed Budget Alternatives to Proposed Budget Balancing Actions Ongoing One-time Total Expenditures: Service Level Reduction PW7. Decrease facilities rehabilitation program Regular staff reduction 1.0 FTE (0.5 General Fund, 0.5 Capital Fund)142,271 142,271 Decrease non-salary expense 154,000 154,000 296,271 296,271 PW8. Elimination of 1.0 FTE Supervising Project Engineer - Private Development 161,525 161,525 PW9. Elimination of 1.0 FTE Traffic Control Maintainer II 89,421 89,421 PW10. Elimination of half-time hourly Maintenance Assistant- graffiti removal 15,795 15,795 Budget Balancing Expenditures 563,012 - 563,012 Alternatives to Proposed Budget Balancing Actions 563,012 Total FTE Reductions: Regular 3.0 FTE (3 positions filled) Hourly 0.48 FTE (1 position, filled) 217 May 20, 2010 Table 2 Review of Other Cities' Sidewalk Replacement Programs ATTACHMENT 5 CITY Homeowner responsible for sidewalk repair?Comments Albany YES http://www.albanyca.org/index.aspx?page=525#24 Berkeley YES 16.04.170 Construction costs a lien against property when-- Procedures.: ....lien shall attach at the time of the failure to make payment as agreed, and the amount due shall be billed and shall be payable with the next ensuing tax bills against said property. (Ord. 4109 NS § 9, 1965) Burlingame YES http://www.burlingame.org/Index.aspx?page=970 Campbell NO East Palo Alto YES El Cerrito YES, except for tree damage http://www.el-cerrito.org/maintenance/streetsandlights.html Damage from street trees is repaired by the City. Foster City YES Foster City is updating an existing policy for private sidewalks that coincides with the California Streets and Highways Code where property owners have the responsibility for maintaining the sidewalks adjacent to their property in a safe condition. Fremont NO, not for Single-Family Residential property As a service, the City provides the sidewalk repair project as a way to relieve the burden of maintenance from single family homeowners. All other property owners (e.g., owners of apartments, commercial properties, condominium complexes, churches, etc.) are responsible for any necessary repairs to the sidewalk adjoining their property. Hayward Shared http://user.govoutreach.com/hayward/faq.php?cid=11144 Los Altos NO Sidewalk repairs are prioritized in busy pedestrian areas, such as downtown. Menlo Park YES Milbrae YES City administers the contract and pays for ADA ramps and curb & gutter repairs Milpitas NO Program is only funded for $150,000 per year Page 1 of 2 218 May 20, 2010 Table 2 Review of Other Cities' Sidewalk Replacement Programs ATTACHMENT 5 CITY Homeowner responsible for sidewalk repair?Comments Mountain View NO For sidewalks not on the prioritized replacement list, a voluntary cost- sharing program is in place at a block-by-block level whereby property owners pay 50% of the replacement costs and the City covers the other half. Newark YES g The maintenance of curb and gutter and sidewalk shall be the responsibility of the property owner. The city may participate with the maintenance of the curb and gutter and sidewalk under the [certain] conditions. (Ord. 226 § 5, 1987: Ord. 177 § 9, 1982) Oakland YES, except for tree damage Maintenance and repair of sidewalks is the property owner’s responsibility, except when damage is caused by an official City street tree. Pacifica YES http://www.cityofpacifica.org/depts/pw/streets/sidewalks.asp Redwood City NO For sidewalks not on the program’s boundaries, a 50-50 voluntary cost- sharing program with the City is available to individual property owners. Rohnert Park NO San Carlos NO San Francisco YES http://www.sfgov.org/site/sfdpw_page.asp?id=89724 San Jose YES Liens are used to recover City costs for sidewalk repairs. San Leandro YES, except for tree damage http://www.sanleandro.org/civica/filebank/blobdload.asp?BlobID=4742 Cost for damage from street trees is shared 50/50 by the City San Mateo NO Redevelopment Agency Funds about half the annual program at ~$125,000 Santa Clara NO Santa Cruz YES South San Francisco YES, except for tree damage http://www.ssf.net/index.aspx?NID=501 Sunnyvale NO Town of Ross YES As a matter of practice, sidewalk damage from street trees is repaired by the City. Page 2 of 2 219 220 221 Public Transportation Commission Meeting Minutes These documents were originally distributed in Council Packets. To see these pages on the City Website, follow the links below: Special Meeting of Wednesday, November 4, 2009 http://www.cityofpaloalto.org/civica/filebank/blobdload.asp?BlobID=18897 Special Meeting of Wednesday, February 24, 2010 www.cityofpaloalto.org/civica/filebank/blobdload.asp?BlobID=18860 Special Meeting of Wednesday, May 12, 2010 www.cityofpaloalto.org/civica/filebank/blobdload.asp?BlobID=21237 Attachment 7 222 Draft Revision: 233 User: ajavelo Timestamp: May 24, 2010 10:25 am Capital Budget FY 2011 City of Palo Alto 98 CC-11000Cubberley Gym Activity Room NEW CUBBERLEY GYM ACTIVITY ROOM (CC-11000) CIP FACTS: • New • Project Status: Pre-Design • Timeline: FY 2011-2011 • Overall Project Completion: 0% • Percent Spent: 0.00% • Managing Department: Community Services • Comprehensive Plan: Goal C-4, Policy C-22, Policy C-24 IMPACT ANALYSIS: • Environmental: This project is categorically exempt from CEQA under 15301. • Design Elements: This project is interior and does not require ARB nor PTC review. • Operating: Annual maintenance for this project will be covered by an existing maintenance bud- get for the Cubberley complex. • Telecommunications: None Description: This project renovates a large, but old locker room at Cubberley Gym into an activity room. Tiled half wall partitions, showers, locker furniture, a urinal, and uneven flooring will be removed and replaced with new wall surfaces, flooring, and carpet. In addition, new doors will be added for accessibility. Justification: With the Cubberley Auditorium housing a temporary library, tenants and renters are being displaced. The renovation of the old locker room into an activity room allows for placement of tenants and renters while providing rental revenue. The locker room is unsafe due to the poor condition of the uneven floors and tiles falling off as some are no longer secured to the walls. Renovation into an activity room and adding doors will make this a usable space with accessibility. FUTURE FINANCIAL REQUIREMENTS FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total Funding Pre-Design Costs Design Costs Construction Costs $65,000 $65,000 Other Total Budget Request $65,000 $65,000 Revenues: Source of Funds:General Fund 223 ATTACHMENT 9 Utilities (UTL) 2011 Proposed Budget Department Highlights Ongoing One-time Total Expenditures: UTL1. Add 1.0 FTE Compliance Manager 192,698 192,698 UTL2. Add 2.0 FTE Installer/Repairer 218,032 218,032 UTL3. Add 1.0 FTE Senior Business Analyst 169,921 169,921 UTL4. Add 1.0 FTE Manager, Compliance 153,383 153,383 Expenditures for Total Position Requests 734,034 - 734,034 Budget Balancing Summary 734,034 Total FTE Addtions: Regular 5.0 FTE 224 225 226 227 228 229 230 231 232 233 234 235 236 237 238 239 240 241 242 243 244 245 Enterprise Fund Reserves Operating Budget FY 2011 City of Palo Alto 7 Draft Revision: 506 User: dwong Timestamp: May 11, 2010 2:21 pm Enterprise Fund Reserves RESERVES ($000) FY 2011 Projected Beginning Balance FY 2011 Changes FY 2011 Projected Ending Balance FY 2011 Reserve Guideline Range Electric Fund Emergency Plant Replacement 1,000 0 1,000 1,000 (min.) Distribution Rate Stabilization 9,073 (17)9,056 6,355 - 12,710 Supply Rate Stabilization 36,268 (2,881)33,387 32,016 - 64,031 Calaveras 59,865 (4,108)55,757 0 Public Benefit 2,309 0 2,309 Central Valley O&M 153 0 153 Underground Loan 717 0 717 Subtotal $109,385 $(7,006)$102,379 Gas Fund Emergency Plant Replacement 1,000 0 1,000 1,000 (min.) Distribution Rate Stabilization 6,072 (2,169)3,903 3,230 - 6,461 Supply Rate Stabilization 7,901 (3,138)4,763 6,149 - 12,298 Debt Service Reserve 952 0 952 Subtotal $15,925 $(5,307)$10,618 Wastewater Collection Fund Emergency Plant Replacement 1,000 0 1,000 1,000 (min.) Rate Stabilization 5,554 (968)4,586 2,156 - 4,311 Subtotal $6,554 $(968)$5,586 Water Fund Emergency Plant Replacement 1,000 0 1,000 1,000 (min.) Rate Stabilization 14,191 (1,877)12,314 4,300 -8,600 Bond Proceeds (Restricted)5,874 (3,500)2,374 Debt Service Reserve 780 0 780 Subtotal $21,845 $(5,377)$16,468 Refuse Fund Rate Stabilization (3,561) (6,519)(10,080) 2,614 - 5,228 Landfill Closure and Postclosure Care Liability 11,289 (475)10,814 Landfill Corrective Action Reserve 650 0 650 Subtotal $8,378 $(6,994)$1,384 246 Enterprise Fund Reserves City of Palo Alto Operating Budget FY 20118 Draft Revision: 506 User: dwong Timestamp: May 11, 2010 2:21 pm Storm Drainage Fund Rate Stabilization 300 122 422 Subtotal $300 $122 $422 Wastewater Treatment Fund Emergency Plant Replacement 2,160 (413)1,747 1,747 (max.) Rate Stabilization (14,163) (330)(14,493) 2,990 - 5,980 Bond Proceeds (Restricted)0 0 0 Subtotal $(12,003) $(743)$(12,746) Fiber Optics Fund Emergency Plant Replacement 1,000 0 1,000 1,000 (min.) Rate Stabilization 7,831 1,149 8,980 609 - 1,522 Subtotal $8,831 $1,149 $9,980 TOTAL RESERVES $159,215 $(25,124)$134,091 Emergency Plant Replacement 7,160 (413)6,747 Rate Stabilization 69,466 (16,628)52,838 Bond Proceeds (Restricted)5,874 (3,500)2,374 Debt Service Reserve 1,732 0 1,732 Calaveras 59,865 (4,108)55,757 Public Benefit 2,309 0 2,309 Central Valley O&M 153 0 153 Underground Loan 717 0 717 Shasta Rewind Loan 0 0 0 Conservation Loan 0 0 0 Landfill Corrective Action Reserve 650 0 650 Landfill Closure and Postclosure Care Liability 11,289 (475)10,814 TOTAL RESERVES $159,215 $(25,124)$134,091 RESERVES ($000) FY 2011 Projected Beginning Balance FY 2011 Changes FY 2011 Projected Ending Balance FY 2011 Reserve Guideline Range 247 248 City of Palo Alto Capital Budget FY 201189 Draft Revision: 208 User: ajavelo Timestamp: May 27, 2010 10:27 am VR-11002Installation of RFID Reader at MSC and Civic Center NEW INSTALLATION OF RFID READER AT MSC AND CIVIC CENTER (VR-11002) CIP FACTS: • New • Project Status: Other • Timeline: FY 11-12 • Overall Project Completion: 0% • Managing Department: Public Works • Comprehensive Plan: Program C-12 • Potential Board/Commission Review: N/A IMPACT ANALYSIS: • Environmental: This project is categorically exempt from CEQA. • Design Elements: None • Operating: Periodic hardware and software upgrades • Telecommunications: None Description: This project will replace the current radio frequency identification (RFID) system installed at Municipal Service Center and install a new RFID reader at the Civic Center, and will allow for the installation of RFID tags on all equipment and rolling stock. Justification: One of the recommendations noted in the recently concluded Audit of Fleet Utilization and Replacement is to improve vehicle and equipment utilization. The installation of RFID readers at the MSC and the Civic Center will allow the monitoring of the movements of all rolling stock and equipment, including trailers. Vehicles and equipment that pass the RFID readers will record a transaction, therefore providing an efficient way to track and document the number of days each vehicle is used. Supplemental Information: RFID is an inexpensive way to monitor the movements of vehicles and equipment without the need for more sophisticated (and expensive) systems such as GPS. The RFID system will provide data on usage of vehicles and equipment that enter and exit the MSC and the Civic Center garage. This will automatically create a record of daily usage. The information collected from the RFID system will be utilized by Equipment Management and the Fleet Review Committee to help assess vehicle and equipment utilization, and determine the appropriate size for the City fleet. An additional advantage of the RFID system is that it will allow vehicle access into the MSC without requiring employees to use their city identification badge. This will reduce delays at the entrance gate of the MSC. Funding of this project will be provided by a transfer of appropriation from an existing CIP Project VR-06801 (Replace City-wide Fuel Transaction and Inventory Management System). FUTURE FINANCIAL REQUIREMENTS FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total Funding Pre-Design Costs Design Costs Construction Costs $50,000 $50,000 Other Total Budget Request $50,000 $50,000 Revenues: Source of Funds:Vehicle Replacement Fund 249 ATTACHMENT 2 Utilities (UTL) 2011 Proposed Budget Department Highlights Ongoing One-time Total Expenditures: UTL1. Add 1.0 FTE Compliance Manager 192,698 192,698 UTL2. Add 2.0 FTE Installer/Repairer 218,032 218,032 UTL3. Add 1.0 FTE Senior Business Analyst 169,921 169,921 UTL4. Add 1.0 FTE Manager, Compliance 153,383 153,383 Expenditures for Total Position Requests 734,034 - 734,034 Budget Balancing Summary 734,034 Total FTE Addtions: Regular 5.0 FTE 250 251 Patron Facility Use Fee for Community Theatre Children's Theatre Adults Children's Theatre Children Special Workshops and Presentations (including Children’s Theatre workshop fees) FEE Non-Resident Fee FEE Non-Resident Fee Junior Museum Science Outreach Program $1,000.00- $50,000.00 per program Fee plus 15% $1,000.00- $50,000.00 per program Fee plus up to 50% Junior Museum Science Outreach Unit $50.00 - $1,000.00 per unit Fee plus 15% (if more than 51% of participants are non-residents) $50.00 - $1,000.00 per unit Fee plus up to 50% (if majority of participants are non- residents) Junior Museum and Zoo Group Admission (for organized groups of 15 or more 15 to 25, larger groups shall be subdivided with additional group admission fee) $50.00 - $100.00 Fee plus 15% $50.00 - $100.00 Fee plus up to 50% Junior Museum & Zoo birthday parties $275.00-$500.00 Fee plus 15% $275.00-$500.00 Fee plus up to 50% Children's Theatre birthday parties none none $275.00-$500.00 Fee plus up to 50% Children's Theatre show production participation fee (SUSPENDED ****) none none $50.00-$300.00 Fee plus up to 50% Administrative fee per registration, additional Children's Theatre Enrichment $50.00- $250.00/day $100.00- $500.00/day $50.00- $250.00/day $100.00-$500.00/day Project LOOK! Tours Palo Alto & Ravenswood School Districts, $2.00/student $55.00/group Palo Alto & Ravenswood School Districts, $3.00/student $75.00/group Instructional Classes and camps (see notes*&**) $2.00-$800.00 Fee plus up to 50% $5.00-$800.00 Fee plus up to 50% Drop-in Activities (see notes** & ***) Workshop Supplies Cancellation Charge Locker Rental Up to 100% of fees paid Up to 100% of fees paid $1.00 - $25.00 $1.00-$17.50 $1.00 - $25.00 Arts and Sciences Activities $.50-$50.00$.50-$50.00 Permits Permit to perform in Arts and Sciences sponsored concert series. (Interested parties must apply and be selected by Program Coordinator.) Registrations $5.00-$10.00 $1.00-$1,000.00 $5.00-$2,000.00 Visual and Performing Arts COMMUNITY SERVICES DEPARTMENT Arts and Sciences 2010 FEE 2011 FEE $1.00-$5.00 Admissions $2.00 $3.00-$10.00 $10.00-$20.00 Performing Arts $3.00-$35.00 $1.00 $15.00 - $20.00 per season City of Palo Alto 2011 Proposed Municipal Fee Schedule 4-1252 COMMUNITY SERVICES DEPARTMENT Arts and Sciences 2010 FEE 2011 FEE Notes **** Pending in-lieu funding agreement with Friends of Palo Alto Children's Theatre. * Art Center Foundation members are eligible for a 20% discount on one (1) Studio class per Foundation membership year ($100.00 and above) to be reimbursed to the City from the Art Center Foundation. ** Effective December 27, 2005, a 25%, 50%, or 75% * A 25% or 50% fee discount through the Fee Reduction Program is may be provided for low-income youth, seniors, and/or disabled adult residents. Income eligibility is determined using the Community Development Block Grant (CDBG) Low-Income Guidelines. The Low-Income Guidelines are established at 80% of the Santa Clara County median income level. The income level for disabled residents is established as 100% of the Santa Clara County Median Income. Each family or individual accepted into the program can access a maximum annual subsidy of $300 for an individual or $300 times each individual family member for a family. (Example: A family of 4 would have a total of $1,200 usable subsidy. 4 Family Members X $300 = $1,200) Each youth, senior, and/or disabled adult accepted into the program may recieve an annual subsidy up to $300. Discount percentage will be based on income level. Discount may not be applied in conjunction with any other discount program. *** For every 10 hours of time purchased in a Visual Arts Studio drop-in program, one hour is given free. The Director of Community Services is authorized to offer promotional fee discounts of up to 25% for purposes of promotion and marketing of programs. Such discounts are intended to maximize revenue and/or participation. City of Palo Alto 2011 Proposed Municipal Fee Schedule 4-2253 Golf Course-Special Fees * League Reservation Fee Tournament Reservation Fee Back 9 Holes (9-hole rate applies only 1.5 hours after daylight) Daily Fee Senior (non-resident 60 and over) Senior (resident 60 and over) Student (21 and under 18-21) Junior (17 and under) NCGA Jr. Fee (Northern California Golf Association Jr.) Must also be a member of NCGA after 3:00 p.m. (Sept. 1 through Oct. 31) after 1:30 p.m. (Nov. 1 through March 31) after 12:30 p.m. (April 1 through Aug. 31) after 3:00 p.m. (Sept. 1 through Oct. 31) 6:00 p.m. to dark (Nov. 1 through March 31) 3:00 p.m. to dark (April 1 through Aug. 31) 6:00 p.m. to dark Back 9 Holes (rate applies only 1.5 hours after Daylight) Daily Fee Student (21 and under 18-21) Junior (17 and under) NCGA Jr. Fee (Northern California Golf Association Jr.) Must also be a member of NCGA after 4:00 p.m. (Sept. 1 through Oct. 31) after 1:30 p.m. (Nov. 1 through March 31) after 12:30 p.m. (April 1 through Aug. 31) after 3:00 p.m. (Sept. 1 through Oct. 31) 6:00 p.m. to dark (Nov. 1 through March 31) 3:00 p.m. to dark (April 1 through Aug. 31) 6:00 p.m. to dark Resident: $46.00 - $51.00 Non-Res: $48.00 - $53.00 $48.00 - $53.00 Super Twilight $29.00 - $32.00 $29.00 - $32.00 Twilight $32.00 - $35.00 $33.00 - $37.00 Super Twilight $24.00 - $27.00 Twilight $28.00 - $31.00 $28.00 - $31.00 $24.00 - $27.00 $10.00 WEEKEND/PRIME TIME RATES (Daily fees unless otherwise noted): New Years Day, Martin Luther King Jr. Day, President’s Day, Memorial Day, Independence Day, Labor Day, Veteran's Day, Thanksgiving and the day after Thanksgiving, Christmas $26.00 - $29.00 $26.00 - $29.00 $23.00 - $25.00 $26.00 - $29.00 $32.00 - $35.00 $23.00 - $25.00 $37.00 - $39.00 $32.00 - $35.00 Resident: $36.00 - $40.00 Non-Res: $38.00 - $42.00 $26.00 - $29.00 $27.00 - $30.00 $27.00 - $30.00 January 1- December 31, 2010 January 1- December 31, 2011 $250.00-$450.00 per team $250.00 - $450.00 per team $1.00 - $5.00 per player$1.00 - $5.00 per player Green Fee - Admissions WEEKDAYS – (Daily fees unless otherwise noted) COMMUNITY SERVICES DEPARTMENT Golf Services 2010 FEE 2011 FEE $26.00 - $30.00$25.00 - $28.00 $18.00 - $22.00 $10.00 $16.00 - $20.00 City of Palo Alto 2011 Proposed Municipal Fee Schedule 5-1254 Dance parties* Group rate* Individual entry rate* Special Events* Card replacement fee Resident Admission Daily Non-Resident Admission Daily Resident Admission Daily Non-Resident Admission Daily Youth (17 and under)$2.00-$5.00 $3.00-$6.00 $3.00-$6.00 $4.00-$7.00 Adult (18 and over)$3.00-$5.00 $4.00-$7.00 $4.00-$6.00 $5.00-$8.00 Senior (60 and over) and Senior Lap $2.00-$4.00 $2.00-$4.00 $3.00-$5.00 $3.00-$5.00 Lap Swimming $3.00-$5.00 $3.00-$5.00 $4.00-$6.00 $4.00-$6.00 Youth (17 and under) $20.00-$27.00 Not Applicable Adult (18 and over)$30.00-$40.00 Not Applicable Senior (60 and over)$20.00-$30.00 Not Applicable Non-Resident Non-Resident Fee Fee Youth (17 and under)$2.50 - $5.00 per admission $2.50 - $6.00 per admission Adult (18 and over) $3.00 - $6.00 per admission $3.00 - $7.00 per admission Senior (60 and over)$2.00 - $4.00 per admission $2.00 - $5.00 per admission Youth (17 and under)$10.00-$500.00 $10.00-$500.00 Adult (18 and over) $10.00-$500.00 $10.00-$500.00 Senior (60 and over)$10.00-$500.00 $10.00-$500.00 Youth (17 and under) $10.00-$500.00 $10.00-$500.00 Adult (18 and over) $10.00-$750.00 $10.00-$750.00 Senior (60 and over)$10.00-$750.00 $10.00-$750.00 Family $10.00-$750.00 $10.00-$750.00 Resident Admission Daily Non-Resident Admission Daily Resident Admission Daily Non-Resident Admission Daily Youth (17 and under)$2.00-$5.00 $3.00-$6.00 Adult (18 and over) $3.00-$5.00 $4.00-$7.00 Senior (60 and over) and Senior Lap $2.00-$4.00 $2.00-$4.00 Lap Swimming (18 and over)$3.00-$5.00 $3.00-$5.00 $25.00-$35.00 $18.00-$25.00 Facility Admissions COMMUNITY SERVICES DEPARTMENT Recreation Activities 2010 FEE $5.00-$25.00 2011 FEE Resident Coupon Book-10 tickets (available to Palo Alto Residents only)* January 1 - December 31, 2010 January 1 - December 31, 2011 $.50-$10.00 General Recreation $.50-$10.00 $15.00-$75.00 $15.00-$25.00 See "Swimming Pools" fee above $15.00-$75.00 $5.00-$25.00 $.50-$20.00 $1.00-$5.00 Swimming $1.00-$5.00 $.50-$20.00 Swimming Pools – PAUSD Pool Facilities (Ages 2 and under -- Free) Fee Fee Recreation Activities (Junior Museum related-activity items previously listed below relating to Science program were moved to Arts & Sciences activity fees due to department restructure.) Lap Swim Pass* Rinconada Pool Only Swimming Pools – Rinconada Complex and PAUSD pools when operated by the City – Ages 2 & under -- Free Membership Card / Swim Pass* Rinconada Pool Only Fee replaced by "Membership Card" above Fee replaced by "Membership Card" above Recreation Swim Pass* Rinconada Pool Only City of Palo Alto 2011 Proposed Municipal Fee Schedule 6-1255 Open Space and Parks Special Use Permit Individual entry rate* Special Events (asterisk removed) Playground Inspection Fee Field Inspector Hourly Fee Vehicle Entry Fee ** Annual Resident Vehicle Entry Pass ** Organic Garden Plots* Senior rate Garden Plot Clean-up/Security Deposit Fee Non-Resident Fee Fee Non-Resident Fee Cancellation Charge Drop-in Activities* Excursion Fee*$2.00-$700.00 $2.00-$750.00 $2.00-$700.00 $2.00-$750.00 Instructional Classes* and Camps*$2.00-$800.00 Fee plus up to 50% $2.00-$800.00 Fee plus up to 50% Interpretive Tours (asterisk removed)$30.00-$100.00/hour $30.00-$120.00/hour $30.00-$100.00/hour $30.00-$120.00/hour Birthday Parties at Foothills Park $106.00-$318.00 Not Available $106.00-$318.00 Not Available ** Fee does not apply to vehicles with valid disabled placard or license plate, vehicles of registered volunteers, City service vehicles, and vehicles of City staff when performing city business. Registrations none $5.00 $40.00 Community Garden $100.00 per garden plot $.36/square foot/year $.40/square foot/year 25% discount 25% discount $.50-$100.00 $.50-$100.00 $150.00/inspection $150.00/inspection $77.00/hour $77.00/hour none $5.00-$25.00 $5.00-$25.00 $300.00-$2,000.00 $300.00-$2,000.00 * Effective December 27, 2005, a 25%, 50%, or 75% * A 25% or 50% fee discount through the Fee Reduction Program is may be provided for low-income youth (17 and under), senior (60 and over), and/or disabled adult residents. Income eligibility is determined using the Community Development Block Grant (CDBG) Low-Income Guidelines. The Low-Income Guidelines are established at 80% of the Santa Clara County median income level. The income level for disabled residents is established as 100% of the Santa Clara County Median Income. Each family or individual accepted into the program can access a maximum annual subsidy of $300 for an individual or $300 times each individual family member for a family. (Example: A family of 4 would have a total of $1,200 usable subsidy. 4 Family Members X $300 = $1,200) Each youth (17 and under), senior (60 and over), and/or disabled adult accepted into the program may recieve an annual subsidy up to $300. Discount percentage will be based on income level. Discount may not be applied in conjunction with any other discount program. Open Space Activities Up to 100% of fees paidUp to 100% of fees paid $.50-$100.00$.50-$100.00 $100.00 per garden plot COMMUNITY SERVICES DEPARTMENT Open Space and Parks 2010 FEE 2011 FEE Facility Admissions General Recreation City of Palo Alto 2011 Proposed Municipal Fee Schedule 7-1256 257 Patron Facility Use Fee for Community Theatre Children's Theatre Adults Children's Theatre Children Special Workshops and Presentations (including Children’s Theatre workshop fees) FEE Non-Resident Fee FEE Non-Resident Fee Junior Museum Science Outreach Program $1,000.00- $50,000.00 per program Fee plus 15% $1,000.00- $50,000.00 per program Fee plus up to 50% Junior Museum Science Outreach Unit $50.00 - $1,000.00 per unit Fee plus 15% (if more than 51% of participants are non-residents) $50.00 - $1,000.00 per unit Fee plus up to 50% (if majority of participants are non- residents) Junior Museum and Zoo Group Admission (for organized groups of 15 or more 15 to 25, larger groups shall be subdivided with additional group admission fee) $50.00 - $100.00 Fee plus 15% $50.00 - $100.00 Fee plus up to 50% Junior Museum & Zoo birthday parties $275.00-$500.00 Fee plus 15% $275.00-$500.00 Fee plus up to 50% Children's Theatre birthday parties none none $275.00-$500.00 Fee plus up to 50% Children's Theatre show production participation fee (SUSPENDED ****) none none $50.00-$300.00 Fee plus up to 50% Administrative fee per registration, additional Children's Theatre Enrichment $50.00- $250.00/day $100.00- $500.00/day $50.00- $250.00/day $100.00-$500.00/day Project LOOK! Tours Palo Alto & Ravenswood School Districts, $2.00/student $55.00/group Palo Alto & Ravenswood School Districts, $3.00/student $75.00/group Instructional Classes and camps (see notes*&**) $2.00-$800.00 Fee plus up to 50% $5.00-$800.00 Fee plus up to 50% Drop-in Activities (see notes** & ***) Workshop Supplies Cancellation Charge Locker Rental Up to 100% of fees paid Up to 100% of fees paid $1.00 - $25.00 $1.00-$17.50 $1.00 - $25.00 Arts and Sciences Activities $.50-$50.00$.50-$50.00 Permits Permit to perform in Arts and Sciences sponsored concert series. (Interested parties must apply and be selected by Program Coordinator.) Registrations $5.00-$10.00 $1.00-$1,000.00 $5.00-$2,000.00 Visual and Performing Arts COMMUNITY SERVICES DEPARTMENT Arts and Sciences 2010 FEE 2011 FEE $1.00-$5.00 Admissions $2.00 $3.00-$10.00 $10.00-$20.00 Performing Arts $3.00-$35.00 $1.00 $15.00 - $20.00 per season City of Palo Alto 2011 Proposed Municipal Fee Schedule 4-1258 COMMUNITY SERVICES DEPARTMENT Arts and Sciences 2010 FEE 2011 FEE Notes **** Pending in-lieu funding agreement with Friends of Palo Alto Children's Theatre. * Art Center Foundation members are eligible for a 20% discount on one (1) Studio class per Foundation membership year ($100.00 and above) to be reimbursed to the City from the Art Center Foundation. ** Effective December 27, 2005, a 25%, 50%, or 75% * A 25% or 50% fee discount through the Fee Reduction Program is may be provided for low-income youth, seniors, and/or disabled adult residents. Income eligibility is determined using the Community Development Block Grant (CDBG) Low-Income Guidelines. The Low-Income Guidelines are established at 80% of the Santa Clara County median income level. The income level for disabled residents is established as 100% of the Santa Clara County Median Income. Each family or individual accepted into the program can access a maximum annual subsidy of $300 for an individual or $300 times each individual family member for a family. (Example: A family of 4 would have a total of $1,200 usable subsidy. 4 Family Members X $300 = $1,200) Each youth, senior, and/or disabled adult accepted into the program may recieve an annual subsidy up to $300. Discount percentage will be based on income level. Discount may not be applied in conjunction with any other discount program. *** For every 10 hours of time purchased in a Visual Arts Studio drop-in program, one hour is given free. The Director of Community Services is authorized to offer promotional fee discounts of up to 25% for purposes of promotion and marketing of programs. Such discounts are intended to maximize revenue and/or participation. City of Palo Alto 2011 Proposed Municipal Fee Schedule 4-2259 Golf Course-Special Fees * League Reservation Fee Tournament Reservation Fee Back 9 Holes (9-hole rate applies only 1.5 hours after daylight) Daily Fee Senior (non-resident 60 and over) Senior (resident 60 and over) Student (21 and under 18-21) Junior (17 and under) NCGA Jr. Fee (Northern California Golf Association Jr.) Must also be a member of NCGA after 3:00 p.m. (Sept. 1 through Oct. 31) after 1:30 p.m. (Nov. 1 through March 31) after 12:30 p.m. (April 1 through Aug. 31) after 3:00 p.m. (Sept. 1 through Oct. 31) 6:00 p.m. to dark (Nov. 1 through March 31) 3:00 p.m. to dark (April 1 through Aug. 31) 6:00 p.m. to dark Back 9 Holes (rate applies only 1.5 hours after Daylight) Daily Fee Student (21 and under 18-21) Junior (17 and under) NCGA Jr. Fee (Northern California Golf Association Jr.) Must also be a member of NCGA after 4:00 p.m. (Sept. 1 through Oct. 31) after 1:30 p.m. (Nov. 1 through March 31) after 12:30 p.m. (April 1 through Aug. 31) after 3:00 p.m. (Sept. 1 through Oct. 31) 6:00 p.m. to dark (Nov. 1 through March 31) 3:00 p.m. to dark (April 1 through Aug. 31) 6:00 p.m. to dark Resident: $46.00 - $51.00 Non-Res: $48.00 - $53.00 $48.00 - $53.00 Super Twilight $29.00 - $32.00 $29.00 - $32.00 Twilight $32.00 - $35.00 $33.00 - $37.00 Super Twilight $24.00 - $27.00 Twilight $28.00 - $31.00 $28.00 - $31.00 $24.00 - $27.00 $10.00 WEEKEND/PRIME TIME RATES (Daily fees unless otherwise noted): New Years Day, Martin Luther King Jr. Day, President’s Day, Memorial Day, Independence Day, Labor Day, Veteran's Day, Thanksgiving and the day after Thanksgiving, Christmas $26.00 - $29.00 $26.00 - $29.00 $23.00 - $25.00 $26.00 - $29.00 $32.00 - $35.00 $23.00 - $25.00 $37.00 - $39.00 $32.00 - $35.00 Resident: $36.00 - $40.00 Non-Res: $38.00 - $42.00 $26.00 - $29.00 $27.00 - $30.00 $27.00 - $30.00 January 1- December 31, 2010 January 1- December 31, 2011 $250.00-$450.00 per team $250.00 - $450.00 per team $1.00 - $5.00 per player$1.00 - $5.00 per player Green Fee - Admissions WEEKDAYS – (Daily fees unless otherwise noted) COMMUNITY SERVICES DEPARTMENT Golf Services 2010 FEE 2011 FEE $26.00 - $30.00$25.00 - $28.00 $18.00 - $22.00 $10.00 $16.00 - $20.00 City of Palo Alto 2011 Proposed Municipal Fee Schedule 5-1260 Dance parties* Group rate* Individual entry rate* Special Events* Card replacement fee Resident Admission Daily Non-Resident Admission Daily Resident Admission Daily Non-Resident Admission Daily Youth (17 and under)$2.00-$5.00 $3.00-$6.00 $3.00-$6.00 $4.00-$7.00 Adult (18 and over)$3.00-$5.00 $4.00-$7.00 $4.00-$6.00 $5.00-$8.00 Senior (60 and over) and Senior Lap $2.00-$4.00 $2.00-$4.00 $3.00-$5.00 $3.00-$5.00 Lap Swimming $3.00-$5.00 $3.00-$5.00 $4.00-$6.00 $4.00-$6.00 Youth (17 and under) $20.00-$27.00 Not Applicable Adult (18 and over)$30.00-$40.00 Not Applicable Senior (60 and over)$20.00-$30.00 Not Applicable Non-Resident Non-Resident Fee Fee Youth (17 and under)$2.50 - $5.00 per admission $2.50 - $6.00 per admission Adult (18 and over) $3.00 - $6.00 per admission $3.00 - $7.00 per admission Senior (60 and over)$2.00 - $4.00 per admission $2.00 - $5.00 per admission Youth (17 and under)$10.00-$500.00 $10.00-$500.00 Adult (18 and over) $10.00-$500.00 $10.00-$500.00 Senior (60 and over)$10.00-$500.00 $10.00-$500.00 Youth (17 and under) $10.00-$500.00 $10.00-$500.00 Adult (18 and over) $10.00-$750.00 $10.00-$750.00 Senior (60 and over)$10.00-$750.00 $10.00-$750.00 Family $10.00-$750.00 $10.00-$750.00 Resident Admission Daily Non-Resident Admission Daily Resident Admission Daily Non-Resident Admission Daily Youth (17 and under)$2.00-$5.00 $3.00-$6.00 Adult (18 and over) $3.00-$5.00 $4.00-$7.00 Senior (60 and over) and Senior Lap $2.00-$4.00 $2.00-$4.00 Lap Swimming (18 and over)$3.00-$5.00 $3.00-$5.00 $25.00-$35.00 $18.00-$25.00 Facility Admissions COMMUNITY SERVICES DEPARTMENT Recreation Activities 2010 FEE $5.00-$25.00 2011 FEE Resident Coupon Book-10 tickets (available to Palo Alto Residents only)* January 1 - December 31, 2010 January 1 - December 31, 2011 $.50-$10.00 General Recreation $.50-$10.00 $15.00-$75.00 $15.00-$25.00 See "Swimming Pools" fee above $15.00-$75.00 $5.00-$25.00 $.50-$20.00 $1.00-$5.00 Swimming $1.00-$5.00 $.50-$20.00 Swimming Pools – PAUSD Pool Facilities (Ages 2 and under -- Free) Fee Fee Recreation Activities (Junior Museum related-activity items previously listed below relating to Science program were moved to Arts & Sciences activity fees due to department restructure.) Lap Swim Pass* Rinconada Pool Only Swimming Pools – Rinconada Complex and PAUSD pools when operated by the City – Ages 2 & under -- Free Membership Card / Swim Pass* Rinconada Pool Only Fee replaced by "Membership Card" above Fee replaced by "Membership Card" above Recreation Swim Pass* Rinconada Pool Only City of Palo Alto 2011 Proposed Municipal Fee Schedule 6-1261 Open Space and Parks Special Use Permit Individual entry rate* Special Events (asterisk removed) Playground Inspection Fee Field Inspector Hourly Fee Vehicle Entry Fee ** Annual Resident Vehicle Entry Pass ** Organic Garden Plots* Senior rate Garden Plot Clean-up/Security Deposit Fee Non-Resident Fee Fee Non-Resident Fee Cancellation Charge Drop-in Activities* Excursion Fee*$2.00-$700.00 $2.00-$750.00 $2.00-$700.00 $2.00-$750.00 Instructional Classes* and Camps*$2.00-$800.00 Fee plus up to 50% $2.00-$800.00 Fee plus up to 50% Interpretive Tours (asterisk removed)$30.00-$100.00/hour $30.00-$120.00/hour $30.00-$100.00/hour $30.00-$120.00/hour Birthday Parties at Foothills Park $106.00-$318.00 Not Available $106.00-$318.00 Not Available ** Fee does not apply to vehicles with valid disabled placard or license plate, vehicles of registered volunteers, City service vehicles, and vehicles of City staff when performing city business. Registrations none $5.00 $40.00 Community Garden $100.00 per garden plot $.36/square foot/year $.40/square foot/year 25% discount 25% discount $.50-$100.00 $.50-$100.00 $150.00/inspection $150.00/inspection $77.00/hour $77.00/hour none $5.00-$25.00 $5.00-$25.00 $300.00-$2,000.00 $300.00-$2,000.00 * Effective December 27, 2005, a 25%, 50%, or 75% * A 25% or 50% fee discount through the Fee Reduction Program is may be provided for low-income youth (17 and under), senior (60 and over), and/or disabled adult residents. Income eligibility is determined using the Community Development Block Grant (CDBG) Low-Income Guidelines. The Low-Income Guidelines are established at 80% of the Santa Clara County median income level. The income level for disabled residents is established as 100% of the Santa Clara County Median Income. Each family or individual accepted into the program can access a maximum annual subsidy of $300 for an individual or $300 times each individual family member for a family. (Example: A family of 4 would have a total of $1,200 usable subsidy. 4 Family Members X $300 = $1,200) Each youth (17 and under), senior (60 and over), and/or disabled adult accepted into the program may recieve an annual subsidy up to $300. Discount percentage will be based on income level. Discount may not be applied in conjunction with any other discount program. Open Space Activities Up to 100% of fees paidUp to 100% of fees paid $.50-$100.00$.50-$100.00 $100.00 per garden plot COMMUNITY SERVICES DEPARTMENT Open Space and Parks 2010 FEE 2011 FEE Facility Admissions General Recreation City of Palo Alto 2011 Proposed Municipal Fee Schedule 7-1262 City of Palo Alto Capital Budget FY 2011275 TE-11005Implementation of New Utility Rates NEW IMPLEMENTATION OF NEW UTILITY RATES RESTRUCTURED TIERED RATES ON BILLS (TE-11005) CIP FACTS: • New • Project Status: Design • Timeline: FY 2011-2013 • Overall Project Completion: 0% • Percent Spent: 0.00% • Managing Department: Utilities • Comprehensive Plan: Supports Goal N-4 and N-9 IMPACT ANALYSIS: • Environmental: Not a project under CEQA. • Design Elements: None • Operating: None • Telecommunications: None Description: This is a software modification project for the SAP-ISU customer information and billing system. The project will require significant programming to upgrade the SAP billing system and Pitney Bowes bill print software allowing for new rate structures and time differentiated pricing. This will also require a new system module, Energy Data Management, to store time specific data. It will also provide the lowest possible transaction fees for the City’s credit card processing of Utilities payments. See Supplemental Information for more information. Justification: In support of the City's Climate Protection Goals the utility will be proposing new rate structures that provide price incentives for customers to conserve resources. Current rate structures for electric, gas, and water utilities have a limited or no tier pricing structure with relatively small differentials in pricing. New rate structures will be evaluated to determine if additional tiering and increased price differentials between the tiers will incent the reduction of usage. Supplemental Information: The City’s current Utilities payment process allows for individual credit card transactions each month. Standard credit card transactions fees, without the recurring payment option, are based on a percentage of the transaction amount plus a per transaction fee. Customers are currently unable to have their bills automatically paid on a monthly, recurring, basis. If the recurring payment option is added, the fee is standardized at $0.75 per transaction. Based on assuming 20% of the Utilities customers electing to pay their Utilities bill by credit card on a recurring (automatically- charged) basis, the recurring credit card option can save approximately $500,000 per year in credit card transaction fees. $100,000 has been budgeted in FY 2011 for project scope. $1,000,000 has been budgeted in FY 2012 in anticipation of project implementation which will include software enhancements, new hardware, and consulting costs. This funding will be reevaluated upon completion of the project scope 263 276 City of Palo Alto Capital Budget FY 2011 IMPLEMENTATION OF NEW UTILITY RATES RESTRUCTURED TIERED RATES ON BILLS FUTURE FINANCIAL REQUIREMENTS FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total Funding Pre-Design Costs Design Costs Construction Costs $100,000 $1,000,000 $1,100,000 Other Total Budget Request $100,000 $1,000,000 $1,100,000 Revenues: $100,000 $1,000,000 $1,100,000 Source of Funds: Technology Fund with the following reimbursements: Electric Fund($516,040); Fiber Optics Fund($108); Gas Fund($232,656); Refuse Fund($125,833); Storm Drainage Fund($26,897); Wastewater Collection Fund($67,725); Water Fund($130,741) 264 APPENDIX 8 265 This page is intentionally left blank. 266 1 City Manager’s Proposed Budget for Fiscal Year 2011 City of Palo Alto Finance Committee May 6, 2010 2 Budget Schedule DATE DESCRIPTION TIME/LOCATION DEPARTMENTS ATTENDING Monday, May 3 City Council City Manager Proposed Budget 7pm Council Chambers Presentation and Transmittal of FY2011 Proposed Budget - Referral to Finance Committee Tuesday, May 4 Budget Outreach Boards/Commissions Meeting City Manager 6 – 7:30pm Council Chambers Discussion and input on the Proposed Budget by Boards, Commissions and Friends groups Thursday, May 6 Finance Committee Special Meeting Budget Review Kick-Off 7pm Council Chambers Transmittal of 2011 General Fund budget – Council Appointed Officers (except City Attorney), Council, Human Resources, Library Tuesday, May 11 Finance Committee Special Meeting 7pm Council Chambers Community Services, City Attorney, Planning Saturday, May 15 Budget Outreach Communitywide Meeting City Manager 9:30 – 11am Lucie Stern Ballroom Discussion and public input by all community members Tuesday, May 18 Finance Committee 7pm Council Chambers Police, Fire, ASD, ASD Internal Service Funds 2 3 Budget Schedule DATE DESCRIPTION TIME/LOCATION DEPARTMENTS ATTENDING Tuesday, May 25 Finance Committee Special Meeting 7pm Council Chambers Utilities and Utilities CIP, Public Works General Fund Operating, General Fund CIP Thursday, May 27 Finance Committee Special Meeting 7pm Council Chambers Public Works - Enterprise Funds (Storm Drain, Refuse, Wastewater Treatment), Internal Service Fund and related CIP Tuesday, June 8 Finance Committee 7pm Council Chambers Municipal Fee Schedule Contracts Greater than $85k, Wrap-Up Monday, June 21 City Council 7pm Council Chambers Budget Review and Public Hearing Monday, June 28 City Council Special Meeting – Budget Adoption 7pm Council Chambers BUDGET ADOPTION Tuesday, June 29 City Council Special Meeting – Budget Adoption 7pm Council Chambers BUDGET ADOPTION –if needed Wednesday June 30 City Council Special Meeting – Budget Adoption 7pm Council Chambers BUDGET ADOPTION –if needed 3 4 BUDGET SUMMARY – All Funds Operating Capital Total FY 11 Est. Rev. $ 414.0 $ 44.5 $458.5 Util. of F.B. 28.3 20.0 48.3 Total Resources $ 442.3 $ 64.5 $506.8 FY 11 App. $ 442.3* $ 64.5* $506.8* * Net of Interfund Transfers and Cost Allocations 5 TOTAL OPERATING BUDGET SUMMARY –General Fund FY 11 Estimated Revenues $ 139,200,000 FY 10-11 Appropriations $ 137,093,000* Temporary Surplus $ 2,107,000 *Includes $1.1 million in one-time expenses 6 TOTAL OPERATING BUDGET General Fund ($000) Proposed FY 11 $ 137,093 $137,093 Adjusted FY 10 145,602 Adopted-in-concept $146,711 Amount of Decrease $ (8,509) $ (9,618) Percent Decrease ( 5.8%) ( 6.5%) 267 2 7 Proposed Budget FY 2011 Source of Funds (in 000's)2010 2011 2011 2011 Summary Level Detail Adjusted Proposed Changes % Change Sales Taxes Sales Taxes 17,313 18,218 905 5.23% Property Taxes Property Taxes 25,778 25,907 129 0.50% Utility Users Tax City Utilities 7,966 7,943 (23) -0.29% Telephone 3,451 3,486 35 1.01% Transient Occupancy Tax Transient Occupancy Tax 6,639 7,021 382 5.75% Other Taxes and Fines Vehicle In-Lieu 200 205 5 2.50% Documentary Transfer 3,250 3,613 363 11.17% Parking Violations 1,520 1,545 25 1.64% Other Taxes & Fines 614 505 (109) -17.74% Charges for Services Stanford 7,632 7,902 270 3.53% (Reimbursements)Golf Related Fee 2,919 2,928 9 0.30% Class Program 2,727 2,419 (308) -11.30% Paramedic 1,754 1,954 200 11.43% Plan Checking 1,460 1,218 (243) -16.61% Cable Franchise 600 600 - 0.00% Other Fees 1,925 2,930 1,005 52.19% Permits and Licenses Street Cut Fee 703 638 (65) -9.27% Permits 3,736 3,777 41 1.10% Licenses 73 77 4 5.21% 8 Proposed Budget FY 2011 Source of Funds (Continued) (in 000's)2010 2011 2011 2011 Summary Level Detail Adjusted Proposed Changes % Change Charges to Other Funds Cost Plan 8,233 7,959 (274) -3.33% Police to Utl Communication 497 602 105 21.13% Pwd to Parking Dist PW Admin 563 634 71 12.61% Other Reimbursements 1,252 1,427 175 13.94% Rental Income Utilities 10,311 10,238 (73) -0.70% Cubberley Tenants Property Rental 1,774 1,866 92 5.18% Use of City Facilites Facilities 1,440 1,288 (152) -10.59% Other 81 324 243 300.42% From Other Agencies Other Agencies 323 156 (167) -51.70% Return on Investments Interest Income 1,662 1,646 (16) -0.97% Other Revenue Other Revenue 1,739 1,491 (248) -14.26% Total Revenues 120,145 122,527 2,382 1.98% Operating Transfers-In Equity Transfer 16,420 16,534 114 0.69% Parking Districts 1,044 1,069 25 2.40% Other 5,445 1,081 (4,364) -80.15% Total Source of Funds 143,054 141,211 (1,843) -1.29% 9 Proposed Budget FY 2011 Use of Funds (Continued) 2010 2011 2011 2011 (in 000's)Department Adjusted Proposed Changes % Change ATT 2,523 2,354 (169) -6.70% AUD 987 982 (5) -0.51% CLK 1,596 1,093 (503) -31.52% COU 298 159 (139) -46.64% MGR 2,436 2,154 (282) -11.58% ASD 6,713 6,359 (354) -5.27% HRD 2,795 2,749 (46) -1.65% Total Admin 17,348 15,850 (1,498) -8.64% CSD 21,694 20,142 (1,552) -7.15% FIR 26,254 27,007 753 2.87% LIB 6,370 6,421 51 0.80% PCE 9,863 9,078 (785) -7.96% POL 30,010 29,181 (829) -2.76% PWD 13,426 13,000 (426) -3.17% NON 6,071 6,088 17 0.28% Total Non-Admin 113,688 110,917 (2,771) -2.44% Operating Transfers-Out CIP 9,900 9,204 (696) -7.03% Debt Service 988 1,080 92 9.32% Other 42 42 (0) -0.69% Total Use of Funds 141,966 137,093 (4,873) -3.43% Net Surplus (Deficit) 1,088 4,118 3,030 278.51% 10 FY 2011General Fund Revenues by Type Total $120,516,000 11 SALES TAX -General Fund FY 2011 Estimated Revenue $ 18,218,000 FY 2010 Estimated Revenue 17,313,368* Amount Increase $ 904,632 Percent Increase 5.23 % * As revised at Mid Year 12 SALES TAX HISTORY General Fund 268 3 13 SALES TAX COLLECTIONS By Business Category Calendar Year 2009 12.4% 14 PROPERTY TAX General Fund FY 2011 Estimated Revenue $ 25,884,000 FY 2010 Estimated Revenue 25,755,000* Amount Increase $ 129,000 Percent Increase 0.50 % * As revised at Mid Year 15 PROPERTY TAX HISTORY General Fund 16 DOCUMENTARY TRANSFER TAX General Fund FY 2011 Estimated Revenue $ 3,613,000 FY 2010 Estimated Revenue 3,250,000* Amount Increase $ 363,000 Percent Increase 11.17 % * As revised at Mid Year 17 DOCUMENTARY TRANSFER TAX HISTORY -General Fund 18 TRANSIENT OCCUPANCY TAX HISTORY -General Fund 269 4 19 UTILITY USERS TAX HISTORY -General Fund 20 General Fund Expenditures by Department – Fiscal Year 2011 Proposed Budget Total $137,100,000 21 Summary of Appropriations by Expenditures Category – Fiscal Year 2011 Proposed Budget Total $137,100,000 22 Balancing the Budget Proposed Budget Budget gap (revised) $(7.3 million) Proposed reductions $ 8.5 million New revenues, revenue increases $ 0.9 million Total recommendations $ 9.4 million Temporary “surplus”$ 2.1 million* *Flexibility for decision making process ($1.1 million one-time) 22 23 Four-Year View ($millions)FY 2009 FY 2010 (adopted) FY 2010 (mid-year) FY 2011 (proposed) FY 2012 (projected) Gap $8.0 $10.0 $6.2 $7.3 $1.1? (additional gap) One-time adjustments $8.8 $3.0 $6.2 Structural adjustments $7.0 $7.3 recommended $1.1? (recommended) Final 09 CAFR adjustments Bottom line $0.8 $0.8 $0 $0 $0 $0 24 Balancing the Budget Structural Deficits and Ongoing Changes City is facing a long-term structural funding gap FY 2010 $7 million in structural cost savings New two tier pension SEIU and Management/Professional Ongoing pay and benefits reduction of approximately 4% Non-safety employees contributing towards medical premiums 24 270 5 25 Balancing the Budget Outside the Proposed Budget/On Top of the $9.4 Million Proposal Budget balancing alternatives $0.9 million Potential budget savings $1 million? Regionalized services Consolidated services Transition services to non-profits via public/private partnerships Increase rents for City facilities to be closer to market 25 26 Balancing the Budget Criteria Areas where costs could be reduced and the level of service would stay the same Areas where costs could be reduced and the service would be performed at a reduced level Areas where the cost of providing the service could be shifted to residents or participants 26 27 PROPOSED STRATEGY ESTIMATED NET SAVINGS Elimination of contract funding for the annual Sidewalk Replacement Program with shift of responsibility for sidewalk repair to residents ($500,000) Contracting out of some tree trimming/line clearing and elimination of four full-time positions (386,000) The elimination of the Traffic Team will cut five full-time Police Officer positions (887,000) Elimination of one Program Coordinator position serving the centralized community outreach program, including Neighborhood Watch, Citizen and Student Academies, Community Newsletter, Community Events and Fairs, Community Education Programs, Coordination of the Officer Request for Services Programs, coordinating public education efforts in Emergency Preparedness with Block Coordinators, Neighborhood Watch Captains and PANDA (103,000) Funding for school crossing guards eliminated (345,000) Reduction of HSRAP funding (50,000) Library hours shortened and the closure of the Library on Mondays at Main, Mitchell and the Children's Library will eliminate two full-time and one part-time position (215,000) The re-opening of the College Terrace Library delayed an additional eight months to June 30, 2011 (74,000) Book collection funds for the Libraries reduced (117,000) Partial cost recovery increases are proposed through increased participation and/or admission fees for many programs including Junior Museum and Zoo, Art Center Gallery, Children's Theatre productions, recreation classes, art classes, nature interpretive program, and the science outreach program, Animal Services, HazMat inspection fees and Planning fees. City of Palo Alto Proposed Budget Balancing Recommendations for Fiscal Year 2011 General Fund 28 PROPOSED STRATEGY ESTIMATED NET SAVINGS Shuttle services will be reduced to hourly stops at limited locations eliminating the service for the Noon shuttle and Marguerite shuttle and reducing the Cross-town shuttle to one bus (196,000) Elimination of the twilight concert and brown-bag summer concert series (27,000) Elimination of one full-time Child care position and reduction of one Family Resources Coordinator position to a half-time position in the Community Services Department (139,000) The proposed contracting out of Lawn Bowling Maintenance eliminates one full-time position (45,000) Day use fees at Foothills, Arastradero and Baylands parks are proposed (100,000) The proposed contracting out of park maintenance at Mitchell Park and Rinconada will eliminate four full-time positions (147,000) Vehicle replacement funding for the City's fleet/equipment purchases was reduced by $483,000. A review of the size of City's fleet has been undertaken to further reduce future fleet/equipment expenditures.($483,000) Employee training and education reduced Citywide across all departments (92,000) Elimination of funding for building maintenance services resulting in the reduction of three full-time building maintenance positions (230,000) Contracting out custodial services will eliminate five positions (387,000) The City will be seeking 50 percent cost sharing from the PAUSD for the School Resource Officer position (83,000) Elimination of two full-time positions in Police investigative services that investigate cases of financial loss, and fraud (332,000) Elimination of a Fire Hazmat Position with future plan checking services provided by hourly employees (117,000) The proposed contracting out of golf course maintenance includes the elimination of seven full-time maintenance positions (236,000) Proposed Budget Balancing Recommendations, continued 29 PROPOSED STRATEGY ESTIMATED NET SAVINGS The proposed reorganization of the Community Services department eliminates one Division Manager position (185,000) Elimination of a building inspector and senior planner eliminates two positions in Planning (295,000) The reorganization and contracting out of the Print and Mail shop includes the elimination of two full-time positions and one temporary position in the Administrative Services Department (222,000) Elimination of administrative support organization-wide resulting in the elimination of seven positions (462,000) Reductions in the City Attorney's outside legal funds (145,000) Reduction of one full-time position in information technology (159,000) Reduction of one full-time position responsible for customer service and revenue collection (90,000) Reduction in Overtime- Citywide (42,000) Reduction in Office Machines and Equipment – Citywide (20,000) Reduction in Office supplies, Books and Publications - Citywide (36,000) Reduction in Advertising and Publishing - Citywide (27,000) General Fund Cost Plan and Allocated Charges Reduction (1,016,000) General Fund Position Reallocations to Utilities (4.35 FTE’s)(511,000) Total Budget Balancing Recommendations ($8,501,000) Proposed Budget Balancing Recommendations, continued 30 Position Reduction Summary 30 Full Time Equivalent (FTE) Reductions Position Reduction Salary/Benefits Cost Reduction General Fund 50.41 $5,640,766 Enterprise Funds 0.15 $20,722 Other Funds/Internal Service Funds 5.94 $710,752 Total 56.50 $6,372,240 Temporary Position Reductions Position Reduction Cost Reduction General Fund 8.71 $518,150 Other Funds 9.81 $561,227 Total 18.52 $1,079,377 271 6 31 Proposed Budget FY 2011 Citywide Changes Changes to Health Benefits and Pension Cost Allocation Methodology Health Benefits allocation based upon census of existing employees’ current benefit plans versus incremental increase in total budgeted base benefits for all employees Pension benefit cost allocations based upon current contribution rates for existing employees rather than budgeted salaries at control point for employees at full strength 32 Proposed Budget FY 2011 Citywide Changes Effects of Cost Allocation on Budget Balancing Strategies Decreases due to corresponding decrease in administrative expense in all General Fund departments If proposed budget balancing strategies not approved, there are cost allocation plan impacts in addition to programmatic costs 33 Proposed Budget FY 2011 Citywide Changes Information Technology – Update and Change to Allocated Charges Allocated charges deferred in FY2009, Year 2 of GF Loan Repayment Updated all maintenance and replacement schedules, including Application Maintenance and Replacement, Infrastructure Maintenance and Replacement, Desktop Maintenance and Replacement, Telecommunication, and Support Reclassified various line item categories Changed cost allocation methodology, where necessary FY2010 Budget 8,867,674 FY2011 Proposed 9,194,993 Operating Increase 327,319 2nd year Loan Repay from GF 1,220,693 Total IT Fund Operating Revenue 10,415,686 34 Proposed Budget FY 2011 Reserves Budget Stabilization Reserve Reserve is for one-time unexpected needs, not meant to fund ongoing operating expense Range 15-20% of GF expenditures; 18.5% is the target FY 11 proposed reserve level 17.4 % Infrastructure Reserve $2.6 million projected ending balance in FY 11 35 Proposed Budget FY 2011 General Fund CIP Overview Total CIP: $ 20.4 million in FY 2011 General Fund Contribution to CIP FY 2011 $9.2 million GF CIP program discussed on May 25 Citywide CIP: $64.5 million in FY 2011 City Council Top 5 Priorities – CIPs City Finances Land Use and Transportation Planning Environmental Sustainability Emergency Preparedness Community Collaboration for Youth and Well-Being 36 Proposed Budget FY 2011 Enterprise Funds CIP program Electric: $10.1 million Gas: $8.3 million Water: $8.8 million Fiber Optics: $0.4 million Wastewater Collection: $4.1 million Refuse: $1.7 million Wastewater Treatment: $2.5 million Storm Drainage: $1.5 million Total: $37.4 million in FY 2011 Enterprise CIP discussed May 25 – Utilities May 27 – Public Works 272 7 37 Proposed Budget FY 2011 Enterprise Funds In Fiscal Year 2011 the average residential utility bill is increasing by $0.28 or 0.1 percent No Rate Increase Included in Proposed Budget for: Gas service Electric service Water service Wastewater collection service Refuse service – Rates are not currently covering fund’s operating costs. Fund has had an operating deficit for the last four years and may have negative cash at the fund level in FY 2011 unless a rate increase is approved. Rate Increase Included in Proposed Budget for: Storm Drainage rates are based on CPI as prescribed in the voter-approved fee increase. CPI showed growth of 2.6% so there is a proposed rate change of 2.6% for FY 2011 38 Proposed Budget FY 2011 Average Residential Utility Bill Average Projected Residential Monthly Utility Bills Current Proposed Utility FY 2010 Bill FY 2011 Bill $ Difference % Difference Electric (650KWH) $76.33 $76.33 $0.00 0.0% Water (14CCF) 72.01 72.01 $0.00 0.0% Gas (100/30TH) 99.42 99.42 $0.00 0.0% Wastewater 24.65 24.65 $0.00 0.0% Refuse 31.00 31.00 $0.00 0.0% Storm Drain 10.95 11.23 $0.28 2.6% User Tax 12.39 12.39 $0.00 0.0% Total Monthly Bill 326.75$ 327.03$ 0.28$ 0.1% FY2011 Storm drain will increase by CPI at 2.6% 39 Proposed Budget FY 2011 Questions? 40 Proposed Budget FY 2011 Department Changes Library Department: Revenue Increase in revenues generated by a collection agency (one-time)$14,878 Increase in revenues to reflect historical trend $ 4,170Decrease in revenues from State ($42,840) Decrease local agency funding ($67,000) Total Decrease ($ 90,792) 41 Proposed 2011 Changes Department Changes Library Department Citywide Changes Allocated charges increase – due to change in methodology in allocating IT expenses $369,800 Expense Elimination of 2.5 FTEs 1.0 FTE Sr. Librarian (filled) ($110,440) 1.0 FTE Library Associate (filled) ($ 89,971) 0.5 FTE Library Assistant (filled) ($ 38,990) Elimination of 3.57 FTE hourly positions (equivalent to 15 positions; 3 vacant) ($186,506) Increase in hourly salary to reflect current pay rate $ 69,203 Reduction in collection purchases ($117,343) 42 Proposed Budget FY 2011 Department Changes Library Department Service Level Reductions Elimination of 2.5 FTEs (regular) and 3.57 FTEs Hourly College Terrace Library will remain closed in FY 2011 past the anticipated opening in November 2010 Downtown Library will be closed in FY 2011 due to renovation Mitchell Park, Main and Children’s will be closed on Mondays Main and Mitchell will close at 8 pm on Tuesdays, Wednesdays and Thursdays Reduced programming for all ages Reduce library collection The number of items added to the library collection will decrease by 3,500 books Reduced electronic resources 273 8 43 Proposed Budget FY 2011 Department Changes City Auditor Citywide Changes Cost Plan Revenue increasing $160,200 Personnel Benefits Costs decreasing $25,125 Allocated Charge Costs increasing $4,328 Revenue Increase in Operating Transfer $35,000 Expense Decrease in revenue auditing expense $5,400 Increase in office supplies $500 44 Proposed Budget FY 2011 Department Changes City Clerk Citywide Changes Cost Plan Revenue decreasing $100,010 Personnel Benefits Costs decreasing $85,577 Allocated Charge Costs increasing $12,913 Expense Decrease various non-salary expense $42,200 Service Level Impact Propose reduction of Board and Commission recruitment ads to one, requiring Municipal Code change Proposed eliminating the publishing of the agenda in the newspaper, requiring Municipal Code change 45 Proposed Budget FY 2011 Department Changes City Council Citywide Changes Personnel Benefits Costs decreasing $121,519 Allocated Charge Costs increasing $56,769 Expense Contract Service budget for FY2011 does not include funding for the CAO Evaluator. Prior years increase of $16,250 was a one-time increase. 46 Proposed Budget FY 2011 Department Changes City Manager Citywide Changes Cost Plan Revenue decreasing $64,559 Personnel Benefits Costs increasing $33,270 Expense Decrease in salary expense $164,140 Decrease in various non-salary expense $72,427 FTE Reduction/Changes Reduction of 1.0 FTE Administrative Associate II Reallocation of 0.50 FTE Assistant to City Manager – Sustainability Addition of 0.50 FTE Administrator Service Level Impact Reduction of hours at City Hall lobby customer service desk 47 Proposed Budget FY 2011 Department Changes Human Resources Department Citywide Changes Cost Plan Revenue increase $176,000 Personnel Benefits Costs increase $139,000 Allocated Charges increase $ 35,000 Expense Freeze 1 FTE Human Resources Director position beginning midyear ($114,000) Suspend non-mandatory employee training ($ 28,000) Various non-salary reductions ($ 55,000) 48 Proposed Budget FY 2011 Questions 274 1 City Manager’s Proposed Budget for Fiscal Year 2011 City of Palo Alto Finance Committee May 11, 2010 2 Balancing the Budget Proposed Budget Budget gap (revised) $(7.3 million) Proposed reductions ($ 8.5 million) Salary & Benefits $ 5.6 million Non-Salary 2.9 million New revenues, revenue increases $ 0.9 million Total recommendations $ 9.4 million Temporary “surplus”$ 2.1 million 2 3 Balancing the Budget New Revenues/ Revenue Increases New Revenues: $200,000 - Day Use Fees at Foothills, Arastradero, and Baylands 100,000 - Entrance fees JMZ, Art Gallery 50,000 - Fundraising from Friends 50,000 Increased Revenues: $712,270 - Alarm monitoring services provided to Utilities 90,000 - Increased Cost Recovery for various CSD programs. 446,000 - Increase Animal Service Fees 38,200 - School Resource Officer (SRO) reimbursement from PAUSD 83,570 - Decline in Parking Violation Revenues (125,000) - $3 Increase in Parking Violation Citations 150,000 4 Balancing the Budget Increased Revenues (Continued) - Increase Advance Life Support (ALS) / Basic Life Support (BLS) ambulance transport fees by 10% $200,000 - Increase Hazmat fees 10% 38,000 - Increase Use & Occupancy permit fees for facilities with fire protection systems 120,000 - Charge Hazmat fees to PAUSD ($18k) and and City Enterprise Funds ($30k) 48,000 - Decrease in Fire Plan Checking Fees (270,000) - Decrease in PCE and PW Plan Check Fees (106,500) Total $912,270 5 General Fund BSR Total Sources $ 139,200 $139,200 Total Uses 137,093 137,093 Temporary Surplus $ 2,107 $ 2,107 +Programs/Services $ - 0 -$ (2,107) Budget Surplus $ 2,107 $ - 0 - BSR Est. 06/30/10 23,874 23,874 BSR Proj. 06/30/11 $ 25,981 $ 23,874 BSR 18.95% 17.41% 6 Non-Departmental Expenses (000) PAUSD lease- Cubberley $ 6,878 Attrition Savings ($ 1,500) Mgt. Comp, $310 & VMC, $21K $ 331 Contingency Accounts (CM $250, CC $250,$125) $ 625 Annual park lease of El Camino Real $ 156 Fleet Review offset to Vehicle Replacement Allocation ($ 483) Special Assessment – Univ. Ave. Parking Assess. Dist. $ 81 Total Budgeted Expenses $ 6,088 275 2 7 Proposed Budget FY 2011 Department Changes Community Services Department: Budget Balancing Summary Revenues CS1. New revenues $200,000 1.1 Admission donation – JMZ $ 25,000 1.2 Admission donation – Art Center Gallery 25,000 1.3 Open Space days use fees, Foothills, Baylands and Arastradero ($5 to $10 or $40 annual) 100,000 1.4 Fund Raising from Friends and Support Groups 50,000 CS2. Increased Cost recovery $446,000 2.1 Children’s Theatre productions ($5-$20) $100,000 2.2 JMZ education class ($5 - $800) 75,000 2.3 Art classes ($5 - $800) 50,000 8 Proposed 2011 Changes Department Changes Community Services Department Revenue (continued) CS2. Increased Cost Recovery 2.4 Science Outreach Program ($1,000 - $50,000) $79,000 2.5 Community Theatre ($2 per attendee) 42,000 2.6 Nature Interpretive Program ($5 - $800) 50,000 2.7 Various recreation classes ($2 - $800) 50,000 Total New and Increased Cost Recovery Revenues $646,000 Service Level Reductions CS3. Family Resources Foundation reduction Supports only 0.5 FTE instead of 1.0 FTE Family Resources Coordinator position. ($50,836) 9 Proposed 2011 Changes Department Changes Expenses (continued) Service Level Reductions CS4. Golf Course maintenance •Increase Contract services - $420,000 •Reduce planting materials – ($50,000) •Eliminates 7 FTEs ($565,152) Total Cost Decrease ( 9 mos.) ($195,152) Full Year cost decrease ($292,435) CS5. Lawn Bowling Green maintenance •Increase contract services -net $ 20,000 •Eliminates 1.0 FTE ($92,153) Total Cost Decrease ($72,153) 10 Proposed 2011 Changes Department Changes Expenses (continued) Service Level Reductions CS6. Cubberley: contract out maintenance •Increase Contract services - $100,000 •Eliminates 2.0 FTEs ($153,120) Total Cost Decrease ($ 53,120) CS7. Mitchell and Rinconada maintenance •Increase contract services $127,000 •Eliminates 4.0 FTE ($368,614) Total Cost Decrease ($241,614) 11 Proposed 2011 Changes Department Changes Expenses (continued) Service Level Reductions CS8. Human Resources •Reduce HSRAP funding - ($50,000) CS9. Arts and Sciences •Eliminate Summer Concert series ($27,000) CS10. Recreation and Art Center proposed reorganization to a more centralized customer service model -eliminates 3.0 FTEs Total Cost Decrease ($276,105) 12 Proposed Budget FY 2011 Department Changes Expenses (continued) Service Level Reductions CS11. Transfer management of Community Theatre to Children’s Theatre staff •eliminates 1.0 FTE •Total Cost Decrease ($118,912) CS12. Reorganize management of Cubberley Community Center and Human Services •Eliminates 2.0 FTE ($336,385) 276 3 13 Proposed Budget FY 2011 Department Changes Expenses (continued) Service Level Reductions CS13. Revise “Fee Reduction Program” to limit eligibility to youth, seniors and disabled; reduce the discount from a range of 50% and 75% to 25% or 50% based on income ($60,000) Total Proposed Budget Balancing Actions •Revenues ($ 646,000) •Expenses ($1,421,277) •Fee Reduction Program $ 60,000 ($2,007,277) Total of 20.5 FTEs Eliminated ($2,061,017) Reduction -0.5 FTE ($ 50,836) Vacant/Retirement - 8.0 FTE ($863,699) Filled/Layoff – 12.0 FTE ($1,146,482) 14 Proposed Budget FY 2011 Cost Recovery Data Community Services Department *Direct costs equal direct salaries and benefits and non-salary costs. Full cost equals direct cost plus CSD admin. allocation and city-wide cost plan allocation charges. ($19,903)93%121%JMZ camps 5,354 ($245,178)54%78%JMZ classes/outreaches 9% 75% 92% 130% Full Cost Recovery ($248,325) ($67,357) ($5,739) $16,958 Income (subsidy) based on full cost 12,06595%Visual Arts/Studio/Classes 15,83013%Visual Arts/Exhibitions 105%Adult Music and Dance 964 159%Children’s Music and Dance Number of Participants ( 2009) Direct Costs Recovery Program Arts and Science 15 Proposed Budget FY 2011 Cost Recovery Data More details to follow ($1,286,569)19%26%Children’s Performing Arts 125,000 ($223,638)10%14%JMZ exhibits ($166,581)13%17%JMZ animal care 1,128($158,340)34%91%Sports – Sports Leagues Recreation 44,360($6,897)94%295%Sports - Aquatics 2,615($127,060)43%59%Baylands Interpretation Number of Participants ( 2009) Income (subsidy) based on full cost Full Cost Recovery Direct Cost Recovery Program Arts and Science Community Services Department 16 Proposed Budget FY 2011 Cost Recovery Data Community Services Department Children’s Performing Arts 188 participants 1,690 audience ($52,392)0%0%Teen Programs 139 participants; 1,853 audience ($114,677)15%21%Outreach 440 participants; 19,743 audience ($453,465)17%24%Core Productions 34 participants; 2,972 audience ($24,633)49%58%Wingspread 11% 53% Full Cost Recovery ($556,185) ($85,217) Income (subsidy) based on full cost 015%Administration 1,442 participants 73%Education Number of Participants ( 2009) Direct Costs Recovery Program Children’s Performing Arts 17 Proposed Budget FY 2011 Cost Recovery Data Community Services Department 3,000($165,085)0%0%Sports – Individual Sports 19,186($67,722)81%97%Youth/Teen Program - Aquatics 1,393($160,298)47%61%Youth/Teen Program – Middle School 2,877$44,940111%136%Youth/Teen Program – Special Interest Classes 693($178,120)42%113%Adult Program–Special Interest Classes Number of Participants ( 2009) Income (subsidy) based on full cost Full Cost Recovery Direct Cost Recovery Program Recreation 18 Proposed Budget FY 2011 Cost Recovery Data Community Services Department 694($19,019)91%119%Youth/Teen Program – Day Camps 7,650($14,480)20%53%Special Needs Program – Senior 5,000+($150,164)5%7%Special Events 165($12,075)31%84%Special Needs Program – Therapeutics Recreation 1,138$16,881109%122%Youth/Teen Program – Sports Camps 6,540($278,890)28%40%Youth/Teen Program – Teen Center Programs and Youth Outreach Number of Participant s ( 2009) Income (subsidy) based on full cost Full Cost Recovery Direct Cost Recovery Program Recreation 277 4 19 Proposed Budget FY 2011 Department Changes Human Resources Department Budget Balancing Summary Service Level Reductions HR1. Freeze 1 FTE Human Resources Director position for six months ($114,000) HR2. Suspend non-mandatory employee training ($ 28,000) HR3. Various non-salary reductions ($ 54,000) Total Proposed Budget Balancing Actions ($196,000) Citywide Changes Cost Plan Revenue increase $176,000 Personnel Benefits Costs increase $139,000 Allocated Charges increase $ 35,000 20 Proposed Budget FY 2011 Department Changes Planning & Community Environment Revenues Increase Service Fees/Licensing $ 55,000 Zoning Plan Check Fee (-$10,000) Architectural Review Board Fee (+$40,000) Plan Checking Fee (+$25,000) Decrease Permits ($48,500) Valet Parking Fee (-$3,500) Parking Permit-construction/maintenance Vehicles fee (-$20,000) Building Permit-new construction permit fee (-$25,000) Net Revenue Increase $6,500 21 Proposed Budget FY 2011 Department Changes Planning & Community Environment -Budget Balancing Summary Service Level Reductions PCE1 Eliminate Shuttle Services ($196,082) Noon Shuttle ($30,300) Marguerite Shuttle ($20,000) Crosstown Shuttle ($145,782) PCE2 Eliminate Vacant Positions ($384,625) 1.0 FTE Building Inspector Specialist ($136,742) 1.0 FTE Administrative Associate I ($88,997) 1.0 FTE Senior Planner ($158,886) PCE3 Eliminate Filled Positions ($226,464) 1.0 FTE Building/Planning Technician ($104,329) 1.0 FTE Code Enforcement Officer ($122,135) PCE4 Reallocate 0.30 FTE Planner ($ 41,260) 22 Proposed Budget FY 2011 Department Changes Planning & Community Environment –(cont.) Service Level Reductions PCE5 Increase in change from Transportation Manager to Chief Transportation Official $30,077 PCE6 Decrease Temporary Salaries ($ 9,000) PCE7 Decrease GIS Planning ($21,753) PCE8 Decrease various Non-salary expenses (ie. Supplies, Printing, Travel and Training) ($36,460) Total Proposed Budget Balancing Actions ($884,567) Total of 5.0 FTE Regular (2 filled, 3 vacant) positions eliminated and 0.30 FTE Regular (filled) position reallocated 23 Proposed Budget FY 2011 Department Changes Planning & Community Environment –(cont.) Citywide changes Increase Personnel Benefit Costs $342,033 Increase Allocated Charges $ 3,951 Total Net Departmental Reductions Proposed: ($538,583) 24 Proposed Budget FY 2011 Cost Recovery Data Planning & Community Environment (Based on FY 2010 data) *Direct costs equal direct salaries and benefits and non-salary costs. Full cost equals direct cost plus PCE admin. allocation and city-wide cost plan allocation charges. 6.64($1,936,354)10%13%Transportation 74% 106% 30% 9% 89% 0% Full Cost ($106,263) $19,706 ($904,900) ($211,412) ($438,925) ($1,652,513) Income (subsidy) based on full cost 1.65109%Current Planning – Indiv Review 5.3845%Current Planning – General 2.40243%Current Planning – Zone Checks 0.8013%Code Enforcement 15.15116%Building 4.030%Advance Planning – General Program FTE Direct Costs Program 278 5 25 Proposed Budget FY 2011 Department Changes City Attorney’s Office -Budget Balancing Summary Revenues No revenue changes Service Level Reductions ATT1 Reallocate Sr. Deputy City Attorney to Enterprise Funds ($116,356) ATT2 Decrease Temporary Salaries (0.41 FTEs) ($ 21,200) ATT3 Decrease Arbitration ($ 20,000) ATT4 Decrease various Non-salary expenses (i.e. Supplies, Printing, Travel and Training) ($ 24,400) ATT5 Decrease Legal Contingency ($145,000) Total Proposed Budget Balancing Actions ($326,956) Total of 1.0 FTE Regular (filled) reallocated to Utilities 26 Proposed Budget FY 2011 Department Changes City Attorney’s Office –(cont.) Citywide changes Increase Allocated Revenue $230,707 Decrease Personnel Benefit Costs ($ 25,026) Increase Allocated Charges $ 5,862 Total Net Departmental Reductions Proposed: $346,120 27 Proposed Budget FY 2011 Questions 279 1 City Manager’s Proposed Budget for Fiscal Years 2011 City of Palo Alto Finance Committee May 18, 2010 2 Balancing the Budget Proposed Budget Budget gap (revised) $(7.3 million) Proposed reductions ($ 8.5 million) Salary & Benefits $ 5.6 million Non-Salary 2.9 million New revenues, revenue increases $ 0.9 million Total recommendations $ 9.4 million Temporary “surplus”$ 2.1 million 2 City Manager’s Proposed Budget for Fiscal Years 2011 City of Palo Alto Finance Committee May 18, 2010 Police Department Fire Department Administrative Services Department 4 Proposed Budget FY 2011 Department Changes 150,000POL3. Increase Parking Violation Citations - $3 90,000POL2. Alarm monitoring services provided to Utilities 197,200Increased Cost Recovery 83,570POL1. Reimbursement from PAUSD for School Resource Officer $173,570New Revenues Revenues Budget Balancing Summary Police Department 5 Proposed Budget FY 2011 Department Changes $370,770Total New and Increased Cost Recovery Revenues $47,200POL4. Increase in Various Animal Services municipal fees POL4.1. Adoptions: $25 - $150 for dogs, cats, and rabbits POL4.2. Impoundment Fees: $25 - $55 POL4.3. License & Pet Identification Late Fee: $30 POL4.4. Bandages/Splints: $25 - $95 POL4.5. Various Permits: $50 - $300 POL4.6. Spay & Neuter: $55 - $215 POL4.7. Various Surgeries, Testing, Therapies, & Vaccines: $5 - $75 POL4.8. Trap Rental: $100 Increased Cost Recovery (continued) Revenues 6 Proposed Budget FY 2011 Department Changes 86,360POL9. Technical Services POL9.1. Eliminate 1 FTE Records Specialist II 331,734POL8. Investigations POL8.1. Eliminate 2 FTE Police Officer 786,626 205,886 183,139 497,607 (100,000) POL7. Traffic Team POL7.1. Eliminate 1 FTE Police Sergeant POL7.2. Eliminate 1 FTE Police Agent POL7.3. Eliminate 3 FTE Police Officer Associated Revenue Reduction 116,178POL6. Crime Analyst Program POL6.1. Eliminate 1 FTE Crime Analyst $61,068POL5. Code Enforcement POL5.1. Eliminate 0.5 FTE Code Enforcement Officer Service Level Reductions 280 2 7 Proposed Budget FY 2011 Department Changes 345,000POL13. School Crossing Guard Program Consider program cost transfer to PAUSD $1,883,222Total Service Level Reductions 21,587 41,587 (20,000) POL12. Leaf Blower Enforcement POL12.1. Eliminate 0.46 temporary FTE Project Specialist Associated revenue reduction 32,000POL11. Reduction in Budgeted Overtime Police presence at various City sponsored events $102,669POL10. Crime Prevention & Outreach POL10.1. Eliminate 1 FTE Program Coordinator Service Level Reductions (continued) 8 Proposed Budget FY 2011 Department Changes Expense Revenues ($30,000)POL14. Train Track Watch Program (Exhibit B) 130,000Decrease in booking fees (67,316)Decrease in Communications reimbursement from Stanford (125,000)Parking violation revenue decline ($900,745)Other Items Included in Proposed Budget (808,429)PAPOA salary increase 9 Proposed Budget FY 2011 Department Changes $89,258Alternatives to Proposed Budget Balancing Actions $89,258 POL15. Parking Enforcement Program POL15.1. 1 FTE Community Service Officer ($421,321)Citywide Changes $55,813Personnel Benefit Cost Decrease (477,134)Allocated Charge Increase Technology Fund repayment: $459,482 10 Proposed Budget FY 2011 Department Changes (41,587) (250,100) (1,265,573) Temporary FTE: 0.46 FTE Vacancy or Retirement: 2.5 FTE Layoff: 8 FTE ($1,557,260)Total of 10.96 FTEs Eliminated ($931,926)Total Proposed Budget Balancing Actions 370,770 (1,883,222) 900,745 421,321 New and Increased Cost Recovery Revenues Service Level Reductions Other Items Included in Proposed Budget Citywide Changes 11 Proposed Budget FY 2011 Department Changes Regionalize Dispatch Services with Other Cities Red Light Cameras Budget Balancing Alternatives 12 Proposed Budget FY 2011 Cost Recovery Data (Fiscal Year 2011) Police Department *Direct costs equal direct salaries and benefits and non-salary costs. Full cost equals direct cost plus Police admin. allocation and city-wide cost plan allocation charges. 12.2 (Regular) 1.22 (Temporary) 9.65 (Full-time Regular) FTE Income (subsidy)%%Program Cost Recovery 66%** 123% Full (614,755) $298,795132%Parking Enforcement Program 71%**Animal Services Direct **Not included in cost recovery percentages is $100k/yr the City normally receives in SB90 funds for State mandated activities performed by Animal Services staff. 281 3 13 Proposed Budget FY 2011 Parking Citations Data 0 5 10 15 20 25 2007 2008 2009 2010 2011 Iss u e d C i t a t i o n s ( t h o u s a n d s ) $0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40 $1.60 $1.80 $2.00 Re v e n u e ( m i l l i o n s ) Cited Vehicles Actual Revenue Projected Revenue 9.65 FTE8.65 FTE9.15 FTE9.15 FTE8.9 FTE 14 Proposed Budget FY 2011 Overtime Data $0.00 $0.25 $0.50 $0.75 $1.00 $1.25 $1.50 $1.75 $2.00 $2.25 2007 2008* 2009 2010 2011 Bu d g e t D o l l a r s ( m i l l i o n s ) 0 5 10 15 20 25 30 35 Ho u r s ( t h o u s a n d s ) Actual Projected Budget Proposed Hours * One-time budget adjustment in response to increased citywide residential burglaries. 15 Proposed Budget FY 2011 Introduction 16 Proposed Budget FY 2011 Background/Staffing History 107 sworn officer positions in 1975 85 sworn officers positions in 2011 Eliminated since 2003: 12 sworn positions 14.5 civilian positions 17 Proposed Budget FY 2011 Background/Staffing History (cont) Previous cuts include: Community Relations Officer Crime Suppression Team Crime Prevention Program Downtown Health and Safety Detail Homeland Security Coordinator Police Volunteer Program Patrol Community Service Officers Staff Support Positions School Resource Officer Police Lieutenant Communications Manager Health Resources Coordinator Master Social Worker Victim Services Coordinator 18 Proposed Budget FY 2011 The Challenges and Uniqueness of Serving Palo Alto Resident population of 65,000 which increases to over 110,000 daytime Daytime officer to population ratio lowest in the County Third busiest Dispatch Center in the County Parking Enforcement program issues the second highest number of citations in Santa Clara and San Mateo counties One of a few departments in the State that offers a comprehensive Animal Services Division 282 4 19 Proposed Budget FY 2011 Regionalization of Services Current Regional Efforts Dispatching Stanford – contributes 16% of Dispatching costs and related CIPs Animal Services Animal Control and Care services for Mt. View, Los Altos, and Los Altos Hills –contributes 45% of costs. Regional Mobile Command Vehicle – grants contributed $300kP Regional Computer Forensics Laboratory (RCFL) with the FBI Santa Clara County Crime Lab Arson Task Force Training Crime Scene Investigation Technology COP Link Silicon Valley Regional Interoperability Project (SVRIP) CAD and 9-1-1 systems Virtual consolidation with Mountain View and Los Altos Potential Future Efforts Expanded Regional Dispatch 20 Proposed Budget FY 2011 Questions 21 Proposed Budget FY 2011 Department Changes Fire Department: Budget Balancing Summary Revenues F1. Increase Transport (Ambulance) Fees by 10% $200,000 F2. Increase in Hazmat Fees by 10% 38,000 F3. Increase Permit Fees 50,000 (Proposed PAUSD - $20K and Enterprise Fund - $30K) F4. Increase Use & Occup. Permits and Tracking Fees 120,000 Proposed Revenue Increase $408,000 22 Proposed Budget FY 2011 Department Changes Fire Department (budget balancing summary cont.) Service Level Reductions F5. Elimination of Administrative Assistant Savings 1.0 FTE Regular (Retiring)$116,507 F6. Elimination of Hazardous Materials Specialist (Filled) Add Hourly Management Specialist (contract) Savings 1.0 FTE Regular (0.95 FTE in General Fund) $186,953 Additions 0.48 FTE Hourly Management Specialist ( 80,000) Net Savings $106,953 23 Proposed Budget FY 2011 Department Changes Fire Department (budget balancing summary cont.) Service Level Reductions F7. Add Resource to Facilitate Fire Chief Retirement Transition (6 month Fire Chief vacancy savings -$138,186) Additions 0.25 FTE Hourly (One-Time) ($ 52,000) F8. Reduction in non-salary expenses $ 85,952 (i.e. Contract Svcs., Supplies, Equip., etc.) Total Proposed Budget Balancing ActionsRevenues Increase $408,000Expense (Net) Reduction $257,412 $665,412 24 Proposed 2011 Changes Department Changes Fire Department Other Revenue Changes Decrease Plan Checking Fee ($ 270,000) Increase in Stanford Fire Services Reimbursement 136,969 Net Decrease in Other Revenues ($133,031) Other Salary Changes Contractual Salary and Benefit Increase (1/2 year) ($ 652,158) Decrease in temporary salaries 31,131 Incentive Pay Increase (EMT Certification)(9,069) Increase Workers' Compensation Charges (479,668) Increase Medicare (Employer) Contribution (12,965) Increase Retiree Health Insurance Premiums (393,311) Increase Benefit Allocation (390,237) Other (Net) Salary Increase ($1,906,277) 283 5 25 Proposed 2011 Changes Department Changes Fire Department (cont.) Citywide Changes in Allocated Charges Decr. in Information Technology Charges $ 95,076 Incr. in Vehicle Maintenance and Replacement (254,272) Incr. in Liab. Insurance & Printing/Mailing Svcs. (33,015) Allocated Charges (Net) Increase (192,211) 26 Proposed 2011 Changes Department Changes Fire Department Summary of Total Net Departmental Proposed: Revenues: Proposed Revenue Increase $ 408,000 Net Decrease in Other Revenues (133,031) Net Revenue Increase $ 274,969 Expenditures: Expense Reduction (Net) $ 257,412 Other (Net) Salary Increase (1,906,277) Allocated Charges (Net) Increase (192,211) Net Expense Increase ($1,841,076) Palo Alto Fire Department Proposed Budget FY 2011 28 Background/Staffing History 117 line firefighter positions in 1976 at time of fire consolidation (83 Palo Alto firefighters and 34 firefighters from the Stanford Fire Department) 103 line positions in 2009 Call volume has more than doubled between 1976 (approximately 3000) and 2009 (7549) 29 Challenges and Uniqueness of Serving Palo Alto Resident population of 77,779 between the communities of Palo Alto (64,484) and Stanford (13,295) which increases to well over 125,000 with the influx of workers, employees, and Stanford student population on campus Responses for medical aid have increased 24 percent in the last 5 years 30 Revenue Generated/Revenue Costs Revenue generated by the department has increased 28 percent over the last 5 years* The department budget has increased 23 percent in the last 5 years* The department achieved 49 percent cost recovery for 2009* General Fund cost of $212 per capita for fire and emergency medical services* The City of Palo Alto has one of the lowest net fire and EMS expenditures per capita in Santa Clara County $190/per resident (FY 2007 from Cities Annual Report from the State Controller’s Office *Above information taken from 2009 SEA Report 284 6 31 Proposed Budget FY 2011 Questions 32 Proposed Budget FY 2011 Department Changes Administrative Services Department – Budget Balancing Summary Service Level Reductions ASD1 Eliminate 0.96 FTE Administrative Associate position (vacant) ($ 99,500) ASD2 Eliminate 1.00 FTE Accounting Specialist position (filled) ($ 90,527) ASD3 Reallocate 2.50 FTEs to Other Funds ($347,272) 0.50 Warehouse Supervisor to Utilities ($52,857) 0.50 Sr Financial Analyst in Treasury to Utilities ($74,807) 0.60 Contract Administrator in Purchasing to CIP ($89,769) 0.60 Sr Financial Analyst in Budget to CIP ($89,769) 0.10 Business Analyst to Technology ($12,240) 0.20 Sr Business Analyst to Technology ($27,830) ASD4 Decrease Temporary Salaries ($ 24,572) ASD5 Decrease Overtime ($ 10,000) 33 Proposed Budget FY 2011 Department Changes Administrative Services Department –(cont.) Service Level Reductions ASD6 Decrease Instruction/Training and Travel/Meeting ($ 6,900) ASD7 Decrease Contract Services ($ 9,592) ASD8 Decrease various Non-Salary ($ 8,800) Total Proposed Budget Balancing Actions ($597,163) Total of 1.96 FTE Regular (1 filled, 0.96 vacant) positions eliminated and 1.50 FTE Regular (filled) positions reallocated 34 Proposed Budget FY 2011 Department Changes Administrative Services Department –(cont.) Other Budget changes Increase Other Contract Services for Banking Service Fees $ 50,000 Citywide changes Decrease Personnel Benefit Costs ($173,569) Increase Allocated Charges $246,501 Total Net Departmental Reductions Proposed: ($474,231) 35 Proposed Budget FY 2011 Questions 36 Proposed Budget FY 2011 Department Changes Information Technology –Internal Service Fund Revenue IT1 Decrease Investment Income ($ 236,500) IT2 Decrease Stanford Revenue ($ 37,000) IT3 Decrease Miscellaneous Revenue ($ 9,600) IT4 Increase Allocated Revenue – 2nd Year Loan Repayment $ 1,220,693 IT5 Increase Allocated Revenue $ 303,391 IT6 Increase Operating Tfr. In - CIP projects $ 970,594 Total Proposed Revenue Increase $ 2,211,578 285 7 37 Proposed Budget FY 2011 Department Changes Information Technology –Internal Service Fund Service Level Reductions IT7 Eliminate 0.04 FTE Administrative Assoc III ($ 4,146) IT8 Eliminate 1.0 FTE Technologist ($ 160,416) IT9 Add 0.50 FTE Administrator (0.50 shared with City Manager’s Office) $ 58,273 IT10 Reallocate 0.30 FTE from Administrative Svcs $ 40,070 Business Analyst – 0.10 FTE ($12,240) Sr Business Analyst – 0.20 FTE ($27,830) Total of 1.04 FTE Regular (1.04 vacant) positions eliminated, 0.50 FTE Regular position added, and 0.30 FTE Regular (filled) positions reallocated 38 Proposed Budget FY 2011 Department Changes Information Technology –Internal Service Fund Service Level Reductions The following increases and decreases primarily result from redistributions: IT11 Increase Application Maintenance $ 506,425 IT12 Decrease Application Replacement ($ 190,150) IT13 Decrease Infrastructure Maintenance ($ 90,287) IT14 Decrease Infrastructure Replacement ($ 888) IT15 Increase Desktop Maintenance $ 130,000 IT16 Increase Desktop Replacement $ 99,575 IT17 Increase Telecommunication $ 682,500 IT18 Decrease IT Support ($ 833,783) IT19 Increase CIP Project costs $2,295,859 Total Proposed Expenditure Increase $2,533,032 39 Proposed Budget FY 2011 Department Changes Information Technology –(cont.) Citywide changes Decrease Personnel Benefit Costs ($482,829) Decrease Allocated Charges ($150,567) Total Net Proposed:$1,899,636 40 Proposed Budget FY 2011 Department Changes Printing and Mailing –Internal Service Fund Revenue PM1 Decrease Mailing Allocated Revenues ($ 91,778) PM2 Decrease Printing Allocated Revenues ($ 106,835) Total Proposed Revenue Decrease ($ 198,613) Service Level Reductions PM3 Eliminate 1.0 FTE Supervisor Repro and Mail ($110,440) PM4 Eliminate 1.0 FTE Offset Equip Operator Lead ($ 91,894) PM5 Eliminate 0.48 FTE Print Shop Assistant ($ 19,650) PM6 Reallocate 0.48 FTE Offset Equip Operator ($ 45,031) Total Proposed Expenditure Decrease ($267,015) Total of 2.48 FTE Regular (2.48 filled) positions eliminated and 0.48 FTE Regular (filled) positions reallocated 41 Proposed Budget FY 2011 Department Changes Printing and Mailing –(cont.) Citywide changes Increase Personnel Benefit Costs $12,564 Decrease Allocated Charges ($15,063) Total Net Proposed:$269,514 42 Proposed Budget FY 2011 Questions 286 8 43 Proposed Budget FY 2011 Citywide Changes-General Benefits/Insurance and Retiree Health Insurance Internal Service Funds Changes to Health Benefits and Pension Cost Allocation Methodology Pension benefit cost allocations based upon current contribution rates for existing employees rather than budgeted salaries at control point for employees at full strength FY 2011 pension expense - $19.3 million FY 2010 budget, $23.5 million $1.0 million - staff downsizing $3.2 million – budgeting at control point at full strength $800k increase from FY2010 projected of $18.5 million 44 Proposed Budget FY 2011 General Benefits and Insurance Fund Pension Contribution Percentages * SEIU employees pay 5.75%, Management, 2% Public Safety PlanMiscellaneous Plan 9.0024.695*8.0017.5552011 9.0023.9388.0017.0632010 9.0024.5128.0017.0052009 9.0023.6117.0011.4762008 9.0024.2087.0011.4362007 9.0027.7787.0012.4102006 EmployeeEmployerEmployeeEmployerFiscal Year 45 Proposed Budget FY 2011 Citywide Changes-General Benefits/Insurance and Retiree Health Insurance Internal Service Funds Changes to Health Benefits and Pension Cost Allocation Methodology Health Benefits allocation based upon census of existing employees’ current benefit plans versus incremental increase in total budgeted base benefits for all employees FY 2011 medical expense - $11.7 million FY 2010 budget, $13.2 million $325k – staff downsizing $1.2 million – budgeting at control point at full strength 46 Proposed Budget FY 2011 General Benefits and Insurance Fund Average Monthly/Annual Medical Cost Per Participant *Includes Mgt. and SEIU contribution of ½ of increased premium costs $13,570 $ 640 *Fiscal Year 2011 (860 Active Participants) $1,131 4.95% Increase $ 53 Annual $12,930 Monthly Fiscal Year 2010 $1,078 (projected year end – 916 Active Participants) 47 Proposed Budget FY 2011 Department Changes General Benefits/Insurance and Retiree Health Insurance Internal Service Fund FY 2011 other benefits - $6.6 million $3.2 million in Claims payments ($2.6 million, W/C, $600k, General Liability) $1.6 million – Dental $380k – Life Insurance $200k – Unemployment Insurance $520k – Administrator Fees –$200k, Dental mgt. flex, Vision, $260k W/C TPA, $60k Alliance Risk Pool/George Hills, Inc. $400k – Workers Compensation Insurance $300k – Vision, EAP, Commute Program 48 Proposed Budget FY 2011 Department Changes General Benefits/Insurance and Retiree Health Insurance Internal Service Fund $1.1 million - Umbrella Excess and Special Liability Incurred But Not Reported adjustment budgeted - $638k $335k – Workers Compensation $303k – General Liability Accounting Change for Fiscal Year 2011 General Benefits, Workers Compensation and General Liability Funds to be presented separately in financial reports such as the Comprehensive Annual Financial Report (CAFR) Increase in citywide retiree medical $600k from $9 million in FY 2010 to $9.6 million in FY 2011 287 9 49 Proposed Budget FY 2011 General Benefits and Insurance Fund Workers’ Compensation and General Liability Claims Paid No. of ClaimsPaidNo. of ClaimsPaidFiscal Year 136882,9841461,736,8965-year Avg 1301,352,9441561,815,4712004 144391,6921551,980,7632005 107646,2791511,746,0942006 1491,280,5791391,641,3282007 160934,4231391,418,2952008 126$691,986134$1,819,4242009 General LiabilityWorkers’ Comp 50 Proposed Budget FY 2011 Questions 51 Proposed Budget FY 2011 Next Meetings May 25 – Utilities and Utilities CIP, Public Works General Fund Operating, General Fund CIP May 27 – Public Works Enterprise Funds (Storm Drain, Refuse, Wastewater Treatment), Internal Service Fund, and related CIP June 14 – Municipal Fee Schedule, Contracts greater than $85k , Wrap-up June 21 – City Council Budget Review and Public Hearing June 28 – Budget Adoption 52 Proposed Budget FY 2011 Questions 53 Proposed Budget FY 2011 Department FTE Allocations Administrative Services Department – Direct Indirect by fund approx 24% Utl & 10% PW direct & indirect allocation % of fund General Fund 37.49 (12.75) 24.74 29% Total General Fund 37.49 (12.75) 24.74 29% Technology Fund 30.41 30.41 35% Print & Mail Fund 1.57 1.57 2% Enterprise Fund 15.83 12.75 28.58 33% CIP 1.20 1.20 1% Total Other Funds 49.01 12.75 61.76 71% TOTAL 86.50 86.50 100% Total Allocation 288 1 City Manager’s Proposed Budget for Fiscal Year 2011 City of Palo Alto Finance Committee May 25, 2010 CSD Follow-Up Public Works Department/General Fund CIP Utilities Department/Utilities CIP 2 Proposed Budget FY 2011 Cost Recovery Data Community Services Department Children’s Performing Arts 188 participants 1,690 audience ($52,392)0%0%Teen Programs 139 participants; 1,853 audience ($114,677)15%21%Outreach 440 participants; 19,743 audience ($453,465)17%24%Core Productions 34 participants; 2,972 audience ($24,633)49%58%Wingspread 11% 53% Full Cost Recovery ($556,185) ($85,217) Income (subsidy) based on full cost 015%Administration 1,442 participants 73%Education Number of Participants ( 2009) Direct Costs Recovery Program Children’s Performing Arts 3 Community Services -Children’s Theatre Cost Recovery Data for the Children’s Performing Arts (000) 29%26%22%15%13%18%Direct Cost Recovery $1,253$1,288$1,422$1,514$1,489$1,302Subsidy 437437513418465429Allocated Cost 1,1461,1461,1591,2931,1821,064Direct Costs $1,583$1,583$1,672$1,711$1,647$1,493Total Full Costs $330$295$250$197$158$191Revenues Full Cost Recovery Cost Recovery 21%19%15%12%10%13% FY 2011 (Proposed with fees) FY 2011 (Proposed) FY 2010 (Estimated) FY 2009 (Actual) FY 2008 (Actual) FY 2007 (Actual) 4 Community Services -Children’s Theatre Pay to Play policy – requiring participants to pay a fee to appear in production Alternate scheme to develop a fee menu for each production – price individual performing parts based on the amount of stage time Pay to Play policy may likely suppress the number and diversity of theatre participants The level of suppression would be logically tied to the fee amount Pay to Play policy may result in the same children (from families that could afford the higher fees) leading every production $35,000$50 - $300 Children’s Theatre Potential Revenue Fee Range 5 Community Services -Children’s Theatre Participation fee and ticket price of other Bay Area Children’s Theaters Volunteer hours required $6 - $8 $65 - $85 per production Rainbow Theatre (City operated - Milpitas) Volunteer hours required$15 - $30$150 per production CMT San Jose (non-profit) Does not include costumes; Volunteer hours required $10 - $12 $175 per production San Carlos Children’s Theatre (non-profit) Multiple casts; Volunteer hours required $16 - $18 $265 per production Peninsula Youth Theatre (non-profit) Remarks Ticket Price Participation Fee Organization 6 Community Services –Children’s Theatre Participation Fees for Palo Alto Youth activities Ages 6 - 13$335 per weekJr. Museum & Zoo Summer Camp Ages 9 - 12$195 per seasonPalo Alto Little League Ages 5 - 18$350 per seasonPalo Alto AYSO Competitive Athletics Ages 5 - 18$167 per weekPalo Alto AYSO Camp AgesParticipant FeeOrganization 289 2 7 8 Children’s Theatre Production Demographics 9 CSD: Children’s Theatre Note: FY 2010 Year-end values are projections as of May 21, 2010 10 Proposed Budget FY 2011 Questions 11 Proposed Budget FY 2011 Department Changes Public Works Department Budget Balancing Summary Expenses PW1. Contracting out custodial services- net impact ($76,233) Elimination of 3.0 FTE Building Servicepersons- one vacant ($231,933) Increase custodial contract services $155,700 PW2. Contracting out tree trimming- net impact ($316,204) Elimination of 4.0 FTE Tree Trimmer/Line Clearers ($390,104) Increase contract services for tree trimming $ 73,900 12 Proposed Budget FY 2011 Department Changes Public Works Department Budget Balancing Summary- Expenses (continued) PW3. Decrease non-salary expense ($136,000) PW3.1 Decrease construction materials- asphalt supply ($10,000) PW3.2 Decrease planting materials- trees ($10,000) PW3.3 Decrease contract services- cleaning ($ 8,000) PW3.4 Decrease contract services- facilities maintenance for non-essential requests ($ 8,000) PW3.5 Decrease various contract services- ($100,000) General Fund Reductions ($529,437) (7.0 FTEs eliminated, 1.0 vacant) 290 3 13 Proposed Budget FY 2011 Department Changes Public Works Department Budget Balancing Summary- Expenses (continued) The following CIP reductions assume that the transfer from the General Fund to Capital Fund will be reduced: PW4. Elimination of 1.0 FTE Project Manager ($142,271) Vacant position- CIP Parks Infrastructure PW5. Elimination of 1.0 FTE Admin. Associate III ($103,645) Retirement- CIP Engineering PW6. Decrease CIP sidewalk repair and replacement ($597,940) Elimination of 1.0 FTE Engineering Tech III ($ 97,940) Decrease contract services ($500,000) 100% responsibility to residents General Fund CIP Reductions ($843,856) (3.0 positions eliminated, 1.0 vacant, 1 pending retirement) 14 Public Works – PW6: Sidewalk Repair Program Proposed Changes CITY COST SCENARIO (City to retain liability in all scenarios):SAVINGS Scenario 1 - Property Owner is 100% responsible for repair costs. Alternative A - City administers an annual construction contract for repairs and bills the property owner including full cost recovery for City administration costs.$597,940 Alternative B – Property owner responsible for repair and coordination of work. City’s involvement would be limited to the property owner notification procedures outlined in California Streets and Highways Code. $500,000 Scenario 2 - City and Property Owner share costs 50/50. City administers an annual construction contract for repairs and bills the property owner for 50% of the costs including full cost recovery for City administration.$298,870 1.0 FTE Engineering Tech would be added back Contract funding for sidewalk repair would be reduced by $250,000 (instead of $500,000) 15 Proposed Budget FY 2011 Department Changes Public Works Department Budget Balancing Summary- Expenses (continued) Total Proposed Budget Balancing Actions: Expenditure reductions ($1,372,293) General Fund Reductions ($529,437) Reduction of General Fund transfer to Capital Fund ($843,856) Elimination of 10.0 FTE (2 vacant, 1 pending retirement, 7 filled) 16 Proposed Budget FY 2011 Department Changes Public Works Department Alternatives to Sidewalk Replacement Program PW7. Decrease facilities rehabilitation program ($296,271) Elimination of 1.0 FTE Project Manager ($142,271) 0.5 FTE General Fund, 0.5 FTE Capital Fund Decrease non-salary expense ($154,000) Funds are typically used for mechanical equipment replacement, electrical upgrades, some tenant improvement work, efficiency projects, etc. PW8. Elimination of 1.0 FTE Supervising Project Engineer ($161,525) Currently filled with incumbent working out of class in Supervising Project Manager position, which is vacant due to retirement Would impact plan review in Private Development section 17 Proposed Budget FY 2011 Department Changes Public Works Department Alternatives to Sidewalk Replacement Program PW9. Elimination of 1.0 FTE Traffic Control Maintainer II ($89,421) Would not be able to complete work requests from Planning Transportation Division Impacts include fabricating and placing new signs, painting new red curbs and any new legend painting along roads and assisting with placement of new traffic calming devices. PW10. Elimination of half-time hourly Maintenance Assistant- graffiti removal ($15,795) Graffiti removal would only be completed if it is offensive and as staff time becomes available Total Proposed Alternatives -($563,012) 18 Proposed Budget FY 2011 Department Changes Public Works Department General Overview Items Revenue - highlights Decrease Plan Check Fee ($100,000) Decrease Building/New Construction Permit Fee (35,000) Decrease Encroachment Permit Fee (50,000) Decrease Street Opening Permit Fee (70,000) Allocated Revenue Decrease (77,645) Increase Street Cut Fees 85,000 ($247,645) Citywide Changes Personnel Benefits Costs decrease ($ 55,954) Allocated charges increase 100,532 $44,578 291 4 19 Proposed Budget FY 2011 Questions 20 Proposed GF CIP Budget FY 2011 Total General Fund Proposed Projects - $20.4 million 2 1 3 4 1.Land, Buildings & Facilities ($9.0 M) - 44% 2. Streets and Sidewalks ($6.9 M) - 34% 3. Parks and Open Space ($1.2 M)- 6% 4. Miscellaneous($3.3 M) - 16% (Salaries and Benefits) 21 Proposed GF CIP Budget FY 2011 Total General Fund Proposed Funding Sources - $20.4 million 3 4 5 6 2 1 1 - Infrastructure Reserve ($15.2 M) - 75% 2 - Street Improvement Fund/Development Impact Fees Fund ($1.0 M) - 4% 3 - General Obligation Bonds ($1.4 M) - 7% 4 - Other Agencies ($1.2 M) - 6% 5 - General Fund ($1.4 M) - 7% 6 - Transfers from Enterprise Funds ($0.2) - 1% General Fund transfer to IR - $9.2 million 22 Proposed GF CIP Budget FY 2011 Infrastructure Reserve FY 2011 General Fund contributions - $9.2 million $7.8 million for on-going replacement and rehabilitation $0.2 million designated for individual projects $1.2 for Salary and Benefits IR can support the current five-year plan Transfer from GF to IR is reduced by $0.7 million – $0.5 Million (shift cost to residents) for the Sidewalk Maintenance $0.2 million; elimination of 1.9 FTE Infrastructure Reserve is projected to be in the range of $2.0 to $5.0 million (FY 2011 through FY 2015) 23 Proposed CIP Budget FY 2011 Infrastructure Reserve (IR) Five year projection Infrastructure Reserve Projected Balance - 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000 6,000,000 7,000,000 8,000,000 9,000,000 10,000,000 2011 2012 2013 2014 2015 Fiscal Year Ba l a n c e 24 Proposed GF CIP Budget FY 2011 General Fund Financial Summary *Includes $16.9 million in Library General Obligation Bond proceeds 8,9674,1982,8772,4172,6128,967IR balance, beginning $4,904$4,904$4,198$2,877$2,417$2,612IR balance, ending (4,063)7061,321460(195)(6,355)Sources Over (short) 85,91612,23611,67812,25529,33820,409CIP Projects Uses 81,85312,94212,99912,71529,14314,054Total Sources 24,6678509001,12017,982*3,815Reimbursements 3,6513458057437231,035Interest Income $53,535$11,747$11,294$10,852$10,438$9,204General Fund Annual transfer Sources TotalFY 2015 FY 2014 FY 2013 FY 2012 FY 2011 Description ($000) 292 5 25 Proposed GF CIP Budget FY 2011 CIP Committee Process CIP Committee began meetings in October 2009 Identified existing projects in the current year that had remaining appropriations that could be returned to reserves •$2.8 million returned to Infrastructure Reserve •$3.2 million returned to Budget Stabilization Reserve (includes the $2.7 million from the Public Safety Building project) Reviewed prioritization criteria and prioritized projects Reviewed projected Infrastructure Reserve Balance Reviewed current capacity - staff’s ability to start and complete projects as budgeted Met twice in November and February with the Planning and Transportation Commission to get input on the CIP Plan as part of new process (minutes provided at places) Met with Planning and Transportation Commission May 12 for annual conformity with Comprehensive Plan review of proposed CIP (letter report and minutes provided at places) 26 Proposed GF CIP Budget FY 2011 CIP Prioritization Criteria Council direction Leveraged funding (Public/Private Partnership/Grants/Impact Fees) Health and safety requirements Code/legal requirements Operational needs and efficiency Sustainability Community Priorities Revenue generating potential 27 Proposed GF CIP Budget FY2011 Staffing Capacity to accomplish Projects Committee evaluates proposed program to ensure staff’s capacity to accomplish projects is not exceeded Current capacity is $10 to $14 million in capital projects each year (per Black and Veatch study) When new projects are added other projects are deferred or additional capacity can be added through professional service contracts for project design and construction management 28 Proposed GF CIP Budget FY2011 Highlights of Changes to CIP Projects Annual Street Maintenance Project - $2 million increase each year (total of $10 million increase for the five year plan) Annual Sidewalk Maintenance Project – $.5 million proposed elimination and shift cost to the City residents. 29 Proposed GF CIP Budget FY 2011 Projects Funded in FY 2011 Main Library Improvements-design (Measure N): $1.4 million Art Center Electrical & Mechanical Upgrade: $2.6 million Civic Center Improvements: $3.0 million Annual Street Maintenance (increase of $2 million): $3.8 million Annual Sidewalk Repairs (net of $0.5 million): $0.2 million Monroe Park: $0.3 million Cubberley Restroom Upgrades: $0.3 million El Camino Real/Stanford Avenue Streetscape and Intersection Improvements: $1.7 million Dinah SummerHill Pedestrian/Bicycle Path : $0.3 million San Antonio Medians: $0.6 million Lucie Stern Community Theatre - new sound system: $0.2 million Civic Center Level 1 -master plan study: $0.3 million 30 Proposed GF CIP Budget FY 2011 Update on Backlog •Total Backlog (20 years)$ 301,669 •Infrastructure Future Needs 208,280 •Total Estimated Backlog 509,949 •2011-15 GF CIP appropriations (85,917) •Total Estimated Unfunded Backlog $424,032 293 6 31 Proposed GF CIP Budget FY 2011 Update on the Infrastructure Blue Ribbon Commission (IBRC) Citizens task force to evaluate infrastructure needs Will make recommendations on potential bond measure or other financing measures Timeframe Additional CIP Project – amendment to the proposed budget document (CSD – At places) Cubberley Gym Activity Room $65,000 Renovation of large locker room into activity room Will house tenants and renters displaced by Cubberley Auditorium housing a temporary library 32 Proposed Budget FY 2011 Questions 33 Proposed Budget FY 2011 Department Changes - Operating Utilities Department - Highlights FY 2011 Changes No rate changes proposed (Adopted in concept budget included rate increases – 15%, Electric, 15%, Gas, 7% Water, and 5%, Wastewater) Position Requests 1.0 Customer Service Representative and 1.0 Customer Service Specialist withdrawn ($201,985) 1.0 Senior Auditor (approved in City Auditor’s Office) $149,615 5.0 FTE additions requested (allocated across funds) $734,034 Compliance and Reporting 1.0 Compliance Manager $192,698 2.0 Utility Installer/Repairer $218,032 Customer Service and Support 1.0 Senior Business Analyst $169,921 Communication and Media Relations 1.0 Manager, Communications $153,383 Total Cost (6.0 positions) $883,649 34 Proposed Budget FY 2011 Department Changes - Operating Utilities Department – Compliance and Reporting FY 2011 Changes New positions 1.0 Compliance Manager (All Funds) 2.0 Utility Installer/Repairer (Gas, Wastewater Collection) Ensure compliance with increasing regulations Electric – North American Reliability Corporation, Western Electricity Coordinating Council, California Public Utilities Commission Gas - US Department of Transportation Water - CA Department of Public Health Services (Cross Connection, Water Quality, Operations) Wastewater Collection - State and Regional Water Quality Control Boards (Sanitary Sewer Management Plan) Oversight of reporting, deadline tracking, and data compilation 35 Proposed Budget FY 2011 Department Changes - Operating Utilities Department – Customer Support Services FY 2011 Changes New positions 1.0 Senior Business Analyst Support utility billing system (technical) Resolve complex system issues Develop new functionality and enhancements (mandated legislation) Configure and test system Process system exceptions (i.e. high or low reads/high or low invoices) Improves quality control Support more complex processes and new communication channels Continue to staff with full-time temporary FTE’s Enhance and evaluate system efficiencies Revisit new position requests in FY2012 after two full years of implementation 36 Proposed Budget FY 2011 Department Changes - Operating Utilities Department – Communication and Media Relations FY 2011 Changes New position- 1.0 Manager, Communications (Restoration of 1 FTE that existed in department 1997-2007) Develop Departmental Communications Plan Conduct an effective & proactive communications strategy Cultivate effective relationships with, and timely response to, local and industry media Communicate Utilities Strategic Vision and Goals Centralize and manage coordinated utility-wide messaging Enhance coordination with other City departments Advise senior managers/technical experts to effectively communicate to stakeholders 294 7 37 Proposed Budget FY 2011 Department Changes - Operating Utilities Department - Electric Fund FY 2011 Changes Revenue decrease – ($4.8 million) No proposed rate change (15% increase in AIC) One-time adjustments from midyear ($3.4 million) Expense decrease – ($6.9 million) Decrease Electric Commodity Purchase ($3.6 million) Increase Joint Agency Debt Service 1.1 million Increase Capital Improvement Program 0.6 million Increase Operating Transfer to Technology Fund 0.4 million Decrease Solar Rebates (0.5 million) One-time adjustments from midyear (3.6 million) Citywide Changes $ 64,000 Personnel Benefits Costs decrease ($401,000) Allocated Charges increase 465,000 Total FY 2011 Rate Stabilization Reserves are projected to decrease ($7.0 million) or (14.1%) to $42.4 million 38 Proposed Budget FY 2011 Department Highlights - Capital Utilities Department - Electric Fund Capital Improvement Program FY 2011 Expenditures – $10.1 million EL-89028 Electric Customer Connections $1.9 million EL-98003 Electric System Improvements $2.1 million EL-10006 Rebuild Underground District 24 $ 750,000 EL-09000 Middlefield Underground Rebuild $ 550,000 Other New Multi-year CIPs $1.75 million EL-11014 Smart Grid Technology $500,000 EL-11015 Re-conductor 60kV Overhead Line $450,000 EL-10009 Street Light System Conversion Project $800,000 39 Electric Supply Rate Stabilization Reserves - 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 20 0 0 20 0 1 20 0 2 20 0 3 20 0 4 20 0 5 20 0 6 20 0 7 20 0 8 20 0 9 20 1 0 20 1 1 Fiscal Year $'0 0 0 FY Ending Reserve Balance Min & Max Guidelines 40 Electric Distribution Rate Stabilization Reserves - 2,500 5,000 7,500 10,000 12,500 15,000 17,500 20,000 20 0 0 20 0 1 20 0 2 20 0 3 20 0 4 20 0 5 20 0 6 20 0 7 20 0 8 20 0 9 20 1 0 20 1 1 Fiscal Year $'0 0 0 FY Ending Reserve Balance Min & Max Guidelines 41 2011 Expected Average System Revenue Per KWh (in $/KWh) Last Update: May 11, 2010 (Draft) 0.1025 0.1151 0.1178 0.1235 0.1250 0.1277 0.1290 0.1298 0.1323 0.1340 0.1356 0.1367 0.1370 0.1421 0.1436 0.1450 0.1540 0.1541 0.1597 0.1740 0.1543 0.1570 0.1642 0.1182 Santa Clara Palo Alto Merced ID SMUD Turlock ID Redding Roseville LADWP Alameda Imperial ID Rancho Cucam. Anaheim Modesto ID Azusa Pasadena Riverside Burbank Lompoc Lodi Glendale Banning SCE** PGE SDG&E** Based on self reported data by members of California Municipal Rates Group (CMRG) 42 Proposed Budget FY 2011 Questions 295 8 43 Proposed Budget FY 2011 Department Changes - Operating Utilities Department – Fiber Optics Fund FY 2011 Changes Revenue increase – $0.3 million Increased marketing activity and customer projects 2.6% CPI rate adjustment for rate schedules EDF-1 and EDF-2 Expense increase – $0.6 million Increase Salaries and Benefits $0.3 million, primarily due to the reallocation of personnel from other funds Citywide Changes $280,000 Personnel Benefits Costs increase $ 79,000 Allocated Charges increase 201,000 Total FY 2011 Rate Stabilization Reserves are projected to increase $1.1 million or 13.9% to $9.0 million 44 Proposed Budget FY 2011 Department Highlights - Capital Utilities Department – Fiber Optics Fund Capital Improvement Program FY 2011 Expenditures - $0.4 million FO-10000 Fiber Optics Customer Connections $200,000 FO-10001 Fiber Optics Network System Improvements $200,000 Columbia Telecommunications Corp. currently assisting with engineering and system design of the business plan Contract amended $50k at mid year to $135k. remaining $59k balance of the contract will be carried forward to complete the initial cost assessment 45 Proposed Budget FY 2011 Questions 46 Utilities Department - Gas Fund FY 2011 Changes Revenue decrease – ($1.3 million) No proposed rate change (15% increase included in Adopted In Concept) One-time adjustments from midyear ($1.0 million) Expense increase – $4.8 million Decrease Gas Commodity Purchase ($2.3 million) Increase Capital Improvement Program $6.0 million Citywide Changes $684,000 Personnel Benefits Costs increase $ 66,000 Allocated Charges increase $618,000 FY 2010 Rate Stabilization Reserves are projected to decrease 37.9% or ($5.3 million) to $8.7 million Proposed Budget FY 2011 Department Changes - Operating 47 Proposed Budget FY 2011 Department Highlights - Capital Utilities Department - Gas Fund Capital Improvement Program FY 2011 Expenditures – $8.3 million GS-11001 Gas Station 4 Rebuild $ 337,000 GS-80017 Gas System Extensions 700,000 GS-09002 Gas Main Replacement- Project 19 5.8 million GS-11000 Gas Main Replacement- Project 21 457,000 48 Gas Supply Rate Stabilization Reserves - 2,500 5,000 7,500 10,000 12,500 15,000 17,500 20,000 22,500 2 0 0 0 2 0 0 1 2 0 0 2 2 0 0 3 2 0 0 4 2 0 0 5 2 0 0 6 2 0 0 7 2 0 0 8 2 0 0 9 2 0 1 0 2 0 1 1 Fiscal Year $ '0 0 0 FY Ending Reserve Balance Min & Max Guidelines 296 9 49 Gas Distribution Rate Stabilization Reserves - 2,500 5,000 7,500 10,000 12,500 20 0 0 20 0 1 20 0 2 20 0 3 20 0 4 20 0 5 20 0 6 20 0 7 20 0 8 20 0 9 20 1 0 20 1 1 Fiscal Year $'0 0 0 FY Ending Reserve Balance Min & Max Guidelines 50 City of Palo Alto - Gas Bill Comparison with PG&E Average Residential Customer Annual Bill $- $200 $400 $600 $800 $1,000 $1,200 $1,400 FY 98 FY 99 FY 00 FY 01 FY 02 FY 03 FY 04 FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 PG&E Palo Alto 51 Proposed Budget FY 2011 Questions 52 Proposed Budget FY 2011 Department Changes - Operating Utilities Department – Wastewater Collection Fund FY 2011 Changes Revenue decrease – ($0.1 million) No proposed rate change (5% increase included in AIC) Expense increase – $0.5 million Decrease Wastewater Treatment charges ($0.4 million) Increase Capital Improvement Program 0.2 million Increase Operating Transfer to Technology Fund 0.1 million Increase Operating Transfer to Refuse Fund 0.4 million Citywide Changes $220,000 Personnel Benefits Costs increase $ 22,000 Allocated Charges increase 198,000 FY 2011 Rate Stabilization Reserves are projected to decrease 17.9% or ($1.0 million) to $4.6 million 53 Proposed Budget FY 2011 Department Highlights - Capital Utilities Department – Wastewater Collection Fund Capital Improvement Program FY 2011 Expenditures – $4.1 million WC-99013 Sewer Lateral/Manhole Rehab/Repl $560,000 WC-10002 WWC System Rehab/Aug. Project 23 $2.8 million WC-11000 WWC System Rehab/Aug. Project 24 $290,000 WC-80020 Sewer System Extensions $330,000 54 Wastewater Collection Rate Stabilization Reserves - 2,500 5,000 7,500 10,000 12,500 20 0 0 20 0 1 20 0 2 20 0 3 20 0 4 20 0 5 20 0 6 20 0 7 20 0 8 20 0 9 20 1 0 20 1 1 Fiscal Year $'0 0 0 FY Ending Reserve Balance Min & Max Guidelines 297 10 55 $‐$20.00 $40.00 $60.00 $80.00 $100.00 $120.00 $140 Alameda (City) Oro Loma SDLos Altos Santa ClaraCentral Marin Sanitation Agency (CMSA) West County WDCastro Valley SD (CVSD) OaklandCounty SDs 2‐3 Union SDBerkeley West Valley SDHarbor Industrial SMD (San Carlos) Mountain ViewHayward Palo AltoMill Valley BelmontCupertino SD AlbanyFairfield‐Suisun Sewer Dist ConcordCentral Contra Costa SD BrisbaneBay Point San LeandroAntioch SunnyvalePleasanton San JosePittsburg Sausalito, City ofMilpitas Fair Oaks SMD (RWC)Napa SD Novato SDSan Francisco PUC American CanyonVallejo SFCD South San Francisco/San Bruno POTWLas Gallinas Valley SD Tiburon SDMt. View Sanitary District (MVSD) LivermoreMarin SD #2 (Corte Madera) Yountville, Town ofSanitary District No. 1 of Marin County (Ross Valley) CalistogaSan Carlos, City of Foster City/Estero MIDDublin‐San Ramon SD (DSRSD) Airport‐Larkfield‐Wikiup Sanitary District No. 1 of Marin County (City of Larkspur) EBMUD, Special Dist No. 1Redwood City San Rafael SDCrockett Sanitary Dept. Scenic Heights CSD (San Carlos)West Bay Sanitary District Sonoma Valley Co San DistOak Knoll CSD (RWC) South Park San DistTamalpais Community Svcs Dist (TCSD) MillbraeDaly City Los Altos HillsEmerald Lake ‐Zone 2 (RWC) Kensington Square SMD (RWC)Geyserville San Mateo, City ofDevonshire CSD (San Carlos) Sea Ranch San ZoneEdgewood SMD (RWC) BurlingameCrystal Springs CSD San BrunoPenngrove San Zone Russian River Co San DistEmerald Lake ‐Zone 1 (San Carlos) Burlingame Hills SMDHalf Moon Bay Occidental County San DistHillsborough Port Costa Sanitary Dept. 2010 Average Residential Monthly Wastewater Charges 56 Proposed Budget FY 2011 Questions 57 Proposed Budget FY 2011 Department Changes - Operating Utilities Department - Water Fund FY 2011 Changes Revenue decrease – ($35.0 million) No proposed rate change (7% increase included in AIC) Prior year- Utility Revenue Bonds for Emergency Water Supply Project ($35 million) Expense decrease – ($15.0 million) Increase commodity costs $1.7 million Decrease Capital Improvement Program ($19.0 million) Correction to increase CIP Expenditures by $67,000 Increase Debt Service $2.2 million Citywide Changes Personnel Benefits Costs decrease ($229,000) Allocated Charges increase $346,000 Total FY 2011 reserves are projected to decrease 24.3% or ($5.3 million) to $16.5 million 58 Proposed Budget FY 2011 Department Highlights - Capital Utilities Department - Water Fund Capital Improvement Program FY 2011 Expenditures – $8.8 million WS-08002 Emergency Water Supply Project $3.5 million WS-10001 Water Main Replacement- Project 24 2.9 million WS-07001 Water Recycling Facilities 500,000 59 Water Rate Stabilization Reserves - 2,500 5,000 7,500 10,000 12,500 15,000 17,500 20,000 20 0 0 20 0 1 20 0 2 20 0 3 20 0 4 20 0 5 20 0 6 20 0 7 20 0 8 20 0 9 20 1 0 20 1 1 Fiscal Year $'0 0 0 FY Ending Reserve Balance Min & Max Guidelines 60 298 11 61 Proposed Budget FY 2011 Average Residential Utility Bill Average Projected Residential Monthly Utility Bills Current Proposed Utility FY 2010 Bill FY 2011 Bill $ Difference % Difference Electric (650KWH) $76.33 $76.33 $0.00 0.0% Water (14CCF) 72.01 72.01 $0.00 0.0% Gas (100/30TH) 99.42 99.42 $0.00 0.0% Wastewater 24.65 24.65 $0.00 0.0% Refuse 31.00 31.00 $0.00 0.0% Storm Drain 10.95 11.23 $0.28 2.6% User Tax 12.39 12.39 $0.00 0.0% Total Monthly Bill 326.75$ 327.03$ 0.28$ 0.1% FY2011 Storm drain will increase by CPI at 2.6%62 Proposed Budget FY 2011 Questions 63 Proposed Budget FY 2011 Next Meetings May 27 – Benefits/General Liability ISFs, Public Works Enterprise Funds (Storm Drain, Refuse, Wastewater Treatment), Internal Service Fund, and related CIP June 14 – Municipal Fee Schedule, Contracts greater than $85k , Wrap-up June 21 – City Council Budget Review and Public Hearing June 28 – Budget Adoption 299 1 1 City Manager’s Proposed Budget for Fiscal Years 2011 City of Palo Alto Finance Committee May 27, 2010 2 Balancing the Budget Proposed Budget Budget gap (revised) $(7.3 million) Proposed reductions ($ 8.5 million) Salary & Benefits $ 5.6 million Non-Salary 2.9 million New revenues, revenue increases $ 0.9 million Total recommendations $ 9.4 million Temporary “surplus”$ 2.1 million 2 3 City Manager’s Proposed Budget for Fiscal Year 2011 City of Palo Alto Finance Committee May 27, 2010 Utilities Department/Utilities CIP ASD ISFs - Benefits/Liability/Workers Comp. Public Works Department – Enterprise Funds Public Works Department – Vehicle Fund 4 Proposed Budget FY 2011 Department Changes - Operating Utilities Department - Highlights FY 2011 Changes No rate changes proposed (Adopted in concept budget included rate increases – 15%, Electric, 15%, Gas, 7% Water, and 5%, Wastewater) Position Requests 1.0 Customer Service Representative and 1.0 Customer Service Specialist withdrawn (4 Temporary staff maintained) ($53,032) 1.0 Senior Auditor (approved in City Auditor’s Office) $149,615 5.0 FTE additions requested (allocated across funds) $734,034 Compliance and Reporting 1.0 Compliance Manager $192,698 2.0 Utility Installer/Repairer $218,032 Customer Service and Support 1.0 Senior Business Analyst $169,921 Communication and Media Relations 1.0 Manager, Communications $153,383 Total Cost (6.0 positions) $883,649 5 Proposed Budget FY 2011 Department Changes - Operating Utilities Department – Compliance and Reporting FY 2011 Changes New positions 1.0 Compliance Manager (All Funds) 2.0 Utility Installer/Repairer (Gas, Wastewater Collection) Ensure compliance with increasing regulations Electric – North American Reliability Corporation, Western Electricity Coordinating Council, California Public Utilities Commission Gas - US Department of Transportation Water - CA Department of Public Health Services (Cross Connection, Water Quality, Operations) Wastewater Collection - State and Regional Water Quality Control Boards (Sanitary Sewer Management Plan) Oversight of reporting, deadline tracking, and data compilation 6 Proposed Budget FY 2011 Department Changes - Operating Utilities Department – Customer Support Services FY 2011 Changes New positions 1.0 Senior Business Analyst Support utility billing system (technical) Resolve complex system issues Develop new functionality and enhancements (mandated legislation) Configure and test system Process system exceptions (i.e. high or low reads/high or low invoices) Improves quality control Support more complex processes and new communication channels Continue to staff with full-time temporary FTE’s Enhance and evaluate system efficiencies Revisit new position requests in FY2012 after two full years of implementation 300 2 7 Proposed Budget FY 2011 Department Changes - Operating Utilities Department – Communication and Media Relations FY 2011 Changes New position- 1.0 Manager, Communications (Restoration of 1 FTE that existed in department 1997-2007) Develop Departmental Communications Plan Conduct an effective & proactive communications strategy Cultivate effective relationships with, and timely response to, local and industry media Communicate Utilities Strategic Vision and Goals Centralize and manage coordinated utility-wide messaging Enhance coordination with other City departments Advise senior managers/technical experts to effectively communicate to stakeholders 8 Proposed Budget FY 2011 Department Changes - Operating Utilities Department - Electric Fund FY 2011 Changes Revenue decrease – ($4.8 million) No proposed rate change (15% increase in AIC) One-time adjustments from midyear ($3.4 million) Expense decrease – ($6.9 million) Decrease Electric Commodity Purchase ($3.6 million) Increase Joint Agency Debt Service 1.1 million Increase Capital Improvement Program 0.6 million Increase Operating Transfer to Technology Fund 0.4 million Decrease Solar Rebates (0.5 million) One-time adjustments from midyear (3.6 million) Citywide Changes (net) $ 64,000 Personnel Benefits Costs decrease ($401,000) Allocated Charges increase 465,000 Total FY 2011 Rate Stabilization Reserves are projected to decrease ($7.0 million) or (14.1%) to $42.4 million 9 Proposed Budget FY 2011 Department Highlights - Capital Utilities Department - Electric Fund Capital Improvement Program FY 2011 Expenditures – $10.1 million EL-89028 Electric Customer Connections $1.9 million EL-98003 Electric System Improvements $2.1 million EL-10006 Rebuild Underground District 24 $ 750,000 EL-09000 Middlefield Underground Rebuild $ 550,000 Other New Multi-year CIPs $1.75 million EL-11014 Smart Grid Technology $500,000 EL-11015 Re-conductor 60kV Overhead Line $450,000 EL-10009 Street Light System Conversion Project $800,000 10 Proposed Budget FY 2011 Questions 11 Utilities Department - Gas Fund FY 2011 Changes Revenue decrease – ($1.3 million) No proposed rate change (15% increase included in Adopted In Concept) One-time adjustments from midyear ($1.0 million) Expense increase – $4.8 million Decrease Gas Commodity Purchase ($2.3 million) Increase Capital Improvement Program $6.0 million Citywide Changes $684,000 Personnel Benefits Costs increase $ 66,000 Allocated Charges increase $618,000 FY 2010 Rate Stabilization Reserves are projected to decrease 37.9% or ($5.3 million) to $8.7 million Proposed Budget FY 2011 Department Changes - Operating 12 Proposed Budget FY 2011 Department Highlights - Capital Utilities Department - Gas Fund Capital Improvement Program FY 2011 Expenditures – $8.3 million GS-11001 Gas Station 4 Rebuild $ 337,000 GS-80017 Gas System Extensions 700,000 GS-09002 Gas Main Replacement- Project 19 5.8 million GS-11000 Gas Main Replacement- Project 21 457,000 301 3 13 Proposed Budget FY 2011 Questions 14 Proposed Budget FY 2011 Department Changes - Operating Utilities Department – Wastewater Collection Fund FY 2011 Changes Revenue decrease – ($0.1 million) No proposed rate change (5% increase included in AIC) Expense increase – $0.5 million Decrease Wastewater Treatment charges ($0.4 million) Increase Capital Improvement Program 0.2 million Increase Operating Transfer to Technology Fund 0.1 million Increase Operating Transfer to Refuse Fund 0.4 million Citywide Changes $220,000 Personnel Benefits Costs increase $ 22,000 Allocated Charges increase 198,000 FY 2011 Rate Stabilization Reserves are projected to decrease 17.9% or ($1.0 million) to $4.6 million 15 Proposed Budget FY 2011 Department Highlights - Capital Utilities Department – Wastewater Collection Fund Capital Improvement Program FY 2011 Expenditures – $4.1 million WC-99013 Sewer Lateral/Manhole Rehab/Repl $560,000 WC-10002 WWC System Rehab/Aug. Project 23 $2.8 million WC-11000 WWC System Rehab/Aug. Project 24 $290,000 WC-80020 Sewer System Extensions $330,000 16 Proposed Budget FY 2011 Questions 17 Proposed Budget FY 2011 Department Changes - Operating Utilities Department - Water Fund FY 2011 Changes Revenue decrease – ($35.0 million) No proposed rate change (7% increase included in AIC) Prior year- Utility Revenue Bonds for Emergency Water Supply Project ($35 million) Expense decrease – ($15.0 million) Increase commodity costs $1.7 million Decrease Capital Improvement Program ($19.0 million) Correction to increase CIP Expenditures by $67,000 Increase Debt Service $2.2 million Citywide Changes Personnel Benefits Costs decrease ($229,000) Allocated Charges increase $346,000 Total FY 2011 reserves are projected to decrease 24.3% or ($5.3 million) to $16.5 million 18 Proposed Budget FY 2011 Department Highlights - Capital Utilities Department - Water Fund Capital Improvement Program FY 2011 Expenditures – $8.8 million WS-08002 Emergency Water Supply Project $3.5 million WS-10001 Water Main Replacement- Project 24 2.9 million WS-07001 Water Recycling Facilities 500,000 302 4 19 Proposed Budget FY 2011 Questions 20 Proposed Budget FY 2011 Citywide Changes-General Benefits/Insurance and Retiree Health Insurance Internal Service Funds Changes to Health Benefits and Pension Cost Allocation Methodology Pension benefit cost allocations based upon current contribution rates for existing employees rather than budgeted salaries at control point for employees at full strength FY 2011 pension expense - $19.3 million FY 2010 budget, $23.5 million Staff downsizing - $1.0 million Budgeting at control point at full strength - $3.2 million $800k increase from FY2010 projected of $18.5 million 21 Proposed Budget FY 2011 General Benefits and Insurance Fund Pension Contribution Percentages * SEIU employees pay 5.75%, Management, 2% Public Safety PlanMiscellaneous Plan 9.0024.695*8.0017.5552011 9.0023.9388.0017.0632010 9.0024.5128.0017.0052009 9.0023.6117.0011.4762008 9.0024.2087.0011.4362007 9.0027.7787.0012.4102006 EmployeeEmployerEmployeeEmployerFiscal Year 22 Proposed Budget FY 2011 Citywide Changes-General Benefits/Insurance and Retiree Health Insurance Internal Service Funds Changes to Health Benefits and Pension Cost Allocation Methodology Health Benefits allocation based upon census of existing employees’ current benefit plans versus incremental increase in total budgeted base benefits for all employees FY 2011 medical expense - $11.7 million FY 2010 budget - $13.2 million $325k – staff downsizing $1.2 million – budgeting at control point at full strength 23 Proposed Budget FY 2011 General Benefits and Insurance Fund Average Monthly/Annual Medical Cost Per Participant *Includes Mgt. and SEIU contribution of ½ of increased premium costs $13,570 $ 640 *Fiscal Year 2011 (860 Active Participants) $1,131 4.95% Increase $ 53 Annual $12,930 Monthly Fiscal Year 2010 $1,078 (projected year end – 916 Active Participants) 24 Proposed Budget FY 2011 Department Changes General Benefits/Insurance and Retiree Health Insurance Internal Service Fund FY 2011 other benefits -$6.6 million $3.2 million in Claims payments ($2.6 million, W/C, $600k, General Liability) $1.6 million – Dental $380k – Life Insurance $200k – Unemployment Insurance $520k – Administrator Fees –$200k, Dental mgt. flex, Vision, $260k W/C TPA, $60k Alliance Risk Pool/George Hills, Inc. $400k – Workers Compensation Insurance $300k – Vision, EAP, Commute Program 303 5 25 Proposed Budget FY 2011 Department Changes General Benefits/Insurance and Retiree Health Insurance Internal Service Fund $1.1 million expenses - Umbrella Excess and Special Liability Incurred But Not Reported adjustment budgeted - $638k $335k – Workers Compensation $303k – General Liability Accounting Change for Fiscal Year 2011 General Benefits, Workers Compensation and General Liability Funds to be presented separately in financial reports such as the Comprehensive Annual Financial Report (CAFR) Increase in citywide retiree medical $600k from $9 million in FY 2010 to $9.6 million in FY 2011 26 Proposed Budget FY 2011 General Benefits and Insurance Fund Workers’ Compensation and General Liability Claims Paid No. of ClaimsPaidNo. of ClaimsPaidFiscal Year 136882,9841461,736,8965-year Avg 1301,352,9441561,815,4712004 144391,6921551,980,7632005 107646,2791511,746,0942006 1491,280,5791391,641,3282007 160934,4231391,418,2952008 126$691,986134$1,819,4242009 General LiabilityWorkers’ Comp 27 Proposed Budget FY 2011 Questions 28 Proposed Budget FY 2011 Department Changes - Operating Public Works Department – Storm Drainage Fund FY 2011 Changes Revenue increase – $82,000 2.6 percent rate increase for local CPI changes $140,000 Decrease interest income (58,000) Expense increase – $38,000 Decrease Operating Transfer to General Fund ($99,000) Increase Capital Improvement Program 89,000 Increase Operating Transfer to Technology Fund 25,000 Citywide Changes ($37,000) Personnel Benefits Costs decrease ($33,000) Allocated Charges decrease (4,000) Total FY 2011 reserves are projected to increase $122,000 or 40.7% to $422,000 29 Proposed Budget FY 2011 Department Highlights - Capital Public Works Department – Storm Drainage Fund Capital Improvement Program FY 2011 Expenditures – $1.5 million SD-11101 Channing Avenue/Lincoln Avenue Storm Drain Improvements $895,000 SD-06101 Storm Drain System Replacement and Rehabilitation 564,000 30 Proposed Budget FY 2011 Questions 304 6 31 Proposed Budget FY 2011 Public Works Department - Refuse Fund Statement of Net Assets as of June 30, 2009 – (000s) Assets Cash $9,499 Capital Assets 3,975 Other Assets 3,122 Total Assets $16,596 Liabilities Landfill Closure/Postclosure $10,991 Other Liabilities 803 Total Liabilities $11,794 Invested in Capital Assets $3,975 Rate Stabilization Reserve ($2,844) Committed CIP Reapprop. 3,671 Unrestricted 827 Total Net Assets $4,802 32 Proposed Budget FY 2011 Public Works Department - Refuse Fund Refuse Fund- Change in Net Assets (Revenues less Expenses) FY Budget Actual Variance 2004 (3,193,175.00)(3,005,051.00)188,124.00 2005 (3,762,753.00)(1,220,766.00)2,541,987.00 2006 (155,066.00)(2,669,003.00)(2,513,937.00) 2007 (295,250.00) 565,595.00 860,845.00 2008 (1,214,280.00)(171,093.00)1,043,187.00 2009 (1,348,648.00)(5,410,646.00)(4,061,998.00) 2010 588,286.00 (4,239,564.00)(4,827,850.00) Note: FY 2010 actual amounts are projected 33 Proposed Budget FY 2011 Public Works Department - Refuse Fund Refuse Fund- Rate Stabilization Reserve and Cash Year-end Balances FY RSR Cash 2004 6,135,000.00 13,103,000.00 2005 3,842,000.00 11,609,000.00 2006 3,099,000.00 9,189,000.00 2007 4,414,000.00 10,625,000.00 2008 3,832,000.00 11,825,000.00 2009 (2,844,000.00)9,499,000.00 2010 (7,084,000.00) 6,600,000.00 Cash balance of $7.0 million at 5/27/2010 Note: FY 2010 actual amounts are projected 34 Proposed Budget FY 2011 Department Changes - Operating Public Works Department - Refuse Fund FY 2011 Changes Revenue decrease – ($7.2 million) Rate changes pending rate analysis Fall 2010 Increase Operating Transfer from Wastewater Collection Fund $0.4 million Expense decrease –Changed from Proposed ($0.5 million) Decrease Waste Hauling Contract- GreenWaste ($1.0 million) Increase Capital Improvement Program $1.7 million Increase Operating Transfer to Technology Fund $0.1 million Decrease Operating Transfer to General Fund ($0.1 million) Decrease various non-salary expenses ($0.6 million) Citywide Changes ($303,000) Personnel Benefits Costs decrease ($160,000) Allocated Charges decrease ($143,000) Total FY 2011 Proposed expenses exceed revenues by $6.2 million 35 Proposed Budget FY 2011 Department Highlights - Capital Public Works Department - Refuse Fund Capital Improvement Program FY 2011 Expenditures – $1.65 million RF-11001 Landfill Closure $600,000 RF-10003 Drying Beds, Material Storage, and Transfer Area $750,000 RF-10002 Flare Relocation Project $300,000 36 Proposed Budget FY 2011 Department Changes - Operating Public Works Department - Refuse Fund Projected Cash as of June 30, 2010 $6.6 Million FY 2011 Proposed Budget (6.2 Million) (Excess of expenses over revenues) Projected Cash as of June 30, 2011 $ 400,000* Landfill Closure Liability – $6.1 Million *The State Government Code requires that the City provide financial assurance for the landfill closure/post-closure costs 305 7 37 2011 PROPOSED REFUSE FUND REVENUE 29,897,824TOTAL 0.20%60,000Royalty Payments 0.48%144,500Service Fees/Permits/Licenses 1.01%300,600Investment Income 1.30%390,000Landfill charges to City Depts 3.37%1,007,788Reimbursements/Transfers In 6.21%1,856,000Utility Fees (includes landfill revenues) 87.43%26,138,936Customer Sales (Greenwaste) % BUDGETPROPOSEDREVENUES 38 2011 PROPOSED REFUSE FUND EXPENSES 36,094,722TOTAL 1.52%547,751Permitting/Enforcement 1.86%671,606HHW 3.03%1,092,744Zero Waste 4.57%1,650,000Capital Projects 5.70%2,057,399Street Sweeping 8.40%3,033,431Admin/Allocated Charges 9.78%3,529,135Landfill Operations 11.88%4,288,747Landfill Rent 14.47%5,223,909SMaRT Station & Kirby Canyon Agreements 38.79%14,000,000GreenWaste Agreement % BUDGETPROPOSEDEXPENSES 39 FY 2010 PROJECTED REFUSE FUND REVENUE SHORTFALL 22.10%($8,194,994)Total Reduction in Projected Revenue 31.00%($402,488)Other Revenue 35.00%($524,956)PA Landfill (at gate) 42.86%($600,000)Debris Boxes 19.59%($169,296)City Facilities 47.64%($1,560,971)Industrial 23.91%($4,714,995)Commercial 3.04%($222,288)Residential % ReductionReduction in $Revenue Category 40 REASONS FOR SHORTFALL Economic downturn – commercial and industrial businesses closing or reducing service Economic downturn – less residential and commercial construction Commercial garbage ban at landfill Implementation of commercial organic collection services 41 GARBAGE TONNAGE REDUCTIONS 46.65%33,781 43,070 63,325 Total Tons 46.70%6,542 8,44312,275 Debris Box 44.74%14,097 18,681 25,509 Commercial/Industri al 0.04%9,059 9,543 9,063 Residential SMaRT Station 75.22%4,083 6,403 16,478 Landfill % Reduction 2008 to 2010 2010 (est.)20092008Calendar Year: 42 RATE INCREASE SCENARIO 1 $0 $6,100,000 $6,100,000 $6,100,000 $11,124,497 Landfill Closure/ Post-closure $8,087,457 $1,736,948 ($4,063,690)($6,069,453)($7,083,967) Rate Stabilization Reserve $6,181,855 $5,631,983 $1,880,763 ($4,134,983)($4,239,564) Change in Net Assets $31,185,375 $31,985,247 $34,666,640 $36,094,722 $33,127,693 Expenses $37,367,229 $37,617,229 $36,547,404 $31,959,739 $28,888,129 Revenue FY 2014FY 2013 FY 2012FY 2011 FY 2010 Projected 0%5%17%8%Rate Increase 306 8 43 RATE INCREASE SCENARIO 2 $0 $6,100,000 $6,100,000 $6,100,000 $11,124,497 LandfillClosure/ Post-closure $8,639,093 $2,276,337 ($3,536,547)($5,553,974)($7,083,967) RateStabilization Reserve $6,194,101 $5,644,229 $1,892,427 ($3,619,504)($4,239,564) Change in Net Assets $31,185,375 $31,985,247 $34,666,640 $36,094,722 $33,127,693 Expenses $37,379,476 $37,629,476 $36,559,067 $32,475,218 $28,888,129 Revenue FY 2014FY 2013 FY 2012FY 2011 FY 2010 Projected 0%5%15%10%Rate Increase 44 RATE INCREASE SCENARIO 3 $0 $6,100,000 $6,100,000 $6,100,000 $11,124,497 Landfill Closure/ Post-closure $7,395,088 $3,302,500 ($240,216)($1,687,884)($7,083,967) Rate stabilization Reserve $3,923,933 $3,374,061 $1,322,668 $246,586 ($4,239,564) Change in Net Assets $31,185,375 $31,985,247 $34,666,640 $36,094,722 $33,127,693 Expenses $35,109,308 $35,359,308 $35,989,308 $36,341,308 $28,888,129 Revenue FY 2014FY 2013 FY 2012FY 2011 FY 2010 Projected 0%0%0%25%Rate Increase 45 Proposed Budget FY 2011 Questions 46 Proposed Budget FY 2011 Department Changes - Operating Public Works Department – Wastewater Treatment Fund FY 2011 Changes Revenue decrease – ($1.4 million) Decrease in Customer Revenues ($1.4 million) Expense increase – $0.8 million Increase Capital Improvement Program $0.8 million Increase in Plant Operations Costs $0.2 million Decrease in Operating Transfer to General Fund ($0.1 million) Citywide Changes $64,000 Personnel Benefits Costs decrease ($150,000) Allocated Charges increase $214,000 Total FY 2011 reserves are projected to decrease ($0.7 million) to $16.8 million 47 Proposed Budget FY 2011 Department Highlights - Capital Public Works Department – Wastewater Treatment Fund Capital Improvement Program FY 2011 Expenditures – $1.5 million WQ-04011 Facility Condition Assessment and Retrofit $1.0 million WQ-80021 Plant Equipment Replacement $1.2 million WQ-80022 System Flow Meter $250,000 48 Proposed Budget FY 2011 Questions 307 9 49 Proposed Budget FY 2011 Department Changes - Operating Public Works Department – Vehicle Replacement Fund FY 2011 Changes Revenue increase – $0.4 million Increase in Reimbursements from Other Funds for Vehicle Maintenance and Replacement $0.6 million (net of $483k reduction pending fleet review) Decrease sale of salvage ($0.1 million) Decrease interest income ($0.1 million) Expense decrease – ($0.6 million) Decrease Capital Improvement Program ($0.7 million) Vehicle Replacement CIP has been removed as an amendment to the Proposed Budget (page 268) Citywide Changes - $46,000 Personnel Benefits Costs decrease ($21,000) Allocated Charges increase $67,000 Total FY 2011 fund balance is projected to decrease ($0.2 million) to $19.5 million 50 Proposed Budget FY 2011 Department Highlights - Capital Public Works Department – Vehicle Replacement Fund Capital Improvement Program FY 2011 Expenditures –$70,000 VR-07001 Automated Motor Pool Reservation and Vehicle Key Management System $20,000 VR-11002 RFID Reader at MSC and Civic Center $50,000 Implemented in response to audit recommendation #4 from the recently completed Fleet Utilization and Replacement Audit Funding will be provided by a transfer from an existing project, VR- 06801 Replacement of City-Wide Fuel Transaction and Inventory Management System VR-11000 Vehicle Replacement CIP, $3.2 million, has been removed as an amendment to the Proposed Budget pending further review of fleet utilization by Fleet Review Committee 51 Proposed Budget FY 2011 Questions 52 Proposed Budget FY 2011 Next Meetings June 14 – Municipal Fee Schedule, Contracts greater than $85k , Budget Wrap-up June 21 – City Council Budget Review and Public Hearing June 28 – Budget Adoption 308 City Manager’s Proposed Budget for Fiscal Years 2011 City of Palo Alto Finance Committee June 14, 2010 Budget Wrap-up 2 Balancing the Budget Proposed Budget Budget gap (revised) $(7.3 million) Proposed reductions ($ 8.5 million) Salary & Benefits $ 5.6 million Non-Salary 2.9 million New revenues, revenue increases $ 0.9 million Total recommendations $ 9.4 million Balance for Alternatives $ 2.1 million 2 3 Date Finance Committee Adjustments to Proposed Budget FY 2011 ($000)Department 6-May Reopen College Terrace Library in FY11 75 LIBRARY Reduce City Council general expense budget (This includes travel budget)-17 COUNCIL 11-May Limit park fee increases (Entrance fees reduced, but staff projects same revenue)N/C COMMUNITY SERVICE DEPARTMENT Maintain Art Center support staff 61 COMMUNITY SERVICE DEPARTMENT Reinstate summer concert series 27 COMMUNITY SERVICE DEPARTMENT Reinstate HSRAP funding 50 COMMUNITY SERVICE DEPARTMENT Reinstate 1 FTE Code Enforcement Officer 122 PLANNING 18-May Reinstate school crossing guards 345 POLICE Reinstate traffic team (4 FTE, net rev)645 POLICE 25-May Children's Theatre new revenue (Show production participation fee $50-$300)-35 COMMUNITY SERVICE DEPARTMENT Restore 4 FTE tree trimmers 316 PUBLIC WORKS Restore trees planting materials 10 PUBLIC WORKS Reduce 1 FTE Supr. Project Engineer -162 PUBLIC WORKS Total of Finance Committee Adjustments $1,437 4 Date Staff Adjustments to Proposed Budget FY 2011 ($000)Department 6-May Labor negotiations contract services 68 HUMAN RESOURCES DEPARTMENT 11-May Full FTE elimination savings from positions being contracted out (Full year savings instead of 9 months)-273 COMMUNITY SERVICES DEPARTMENT Stanford revenue -35 ATTORNEY Temporary salaries 15 ATTORNEY 18-May IT rent lease agreement cost savings -51 ADMINISTRATIVE SERVICES DEPARTMENT 25-May Correct Fiber Optic allocation expense -66 ADMINISTRATIVE SERVICES DEPARTMENT Total of Staff Adjustments -342 5 Summary adjustments to the FY 2011 Proposed Budget Date Draft Adjustments to Budget FY 2011 Balance ($000) May 6 Beginning Balance $2,107 Table 1 Summary Finance Committee Adjustments -1,437 Table 2 Summary Staff Adjustments 342 June 14 Current Balance for Alternatives $1,012 6 FY 2011 Proposed Budget Date Parking Lot Items Amount ($000) Department 6-May Monday closure of library branches *Staff to review partial closures, staffing, and calculate savings TBD LIBRARY 11-May Reduce City Attorney legal secretary (1FTE). (Attorney's Office to return with additional information on support)-117 ATTORNEY 18-May Add Police Investigators (2 FTEs)332 POLICE 25-May Sidewalk Replacement - Property owner pays 100% repair costs 598 PUBLIC WORKS Reduce Traffic Control Maintainer -89 PUBLIC WORKS 309 7 Position Changes to City Manager's Proposed Budget Reinstated (9.75 FTE) Program Assistant I (.75) Code Enforcement Officer Police Sergeant Police Agent Police Officers (2) Tree Trimming/Line Clearers (4) Additions (1 FTE) Sr. Auditor (Funded by Enterprise Funds) Elimination (1 FTE) Supervisor Project Engineer New positions withdrawn by Staff (2 FTE) Customer Service Specialist Customer Service Representative 8 Proposed Budget FY 2011 Department Changes – Parking Lot Items (General Fund) City Attorney’s Office – Proposal to reduce staff by 1.0 FTE Legal Secretary ($117,000) Attachment 10 from the City Attorney responds to proposal and recommends against the reduction in staffing City Council – (no action required) Proposal to reduce City Council salary by 10% or $720.00 per council member ($6,480) City Attorney researched matter and determined that Council may voluntarily reduce pay 9 Proposed Budget FY 2011 Questions 10 Proposed Budget FY 2011 Parking Lot Item - Monday Closure of Library Branches •Three options are provided to Monday closure of all library branches •These options assume that recommended hours approved by the Finance Committee on May 6 are in effect o College Terrace reopens in FY 2011 after completion of its renovation o Main and Mitchell Park close at 8pm instead of 9pm on Tuesday and Thursday o All libraries close on Sundays before Monday City holidays 11 Proposed Budget FY 2011 Library Department OPTION 1 Open Main, Mitchell Park, and Children’s Library at 12 pm instead of 10 am on Monday; close College Terrace on Monday Service Impacts: This option would maintain after school support at the three principal libraries. Customers who prefer to visit the library during the morning would be affected by the delayed opening. College Terrace would be open 4, instead of 5, days per week. Budget Impacts: $106,672 (restores 1.0 FTE Library Associate and 0.39 FTE hourly Clerk) 12 Proposed Budget FY 2011 Library Department OPTION 2 Open Main and Mitchell Park Libraries at 12 pm instead of 10 am on Monday; close Children’s and College Terrace Libraries on Monday Service Impacts: This would reduce service to children who use Children’s Library. Customers who prefer to visit the library during the morning would be affected by the delayed opening. College Terrace would be open 4, instead of 5, days per week. Budget Impacts: $93,063 (restores 1.0 FTE Library Associate and 0.12 FTE hourly Clerk) 310 13 Proposed Budget FY 2011 Library Department OPTION 3 Close Main and College Terrace Libraries on Monday; close Mitchell Park and Children’s Libraries on Friday Service Impacts: Has the greatest impact on users of all ages and needs. Some libraries are open every day, but the schedule could be confusing for some customers. Labor Impacts: May require a change to the SEIU MOA regarding standard work week as this schedule would not provide two days off in a row for all staff. Budget Impacts: $20,508 (restores 0.43 FTE hourly Clerk) 14 FY 2011 Library Department (Monday Schedule) Library Department (Monday Schedule)Description FY 2010 Current FY 2011 Proposed Option 1 Option 2 Option 3 Main 10am-9pm closed 12-8pm 12-8pm closed Mitchell Park 10am-9pm closed 12-8pm 12-8pm 10am - 8pm Friday (closed) Children’s 10am-6pm closed 12-6pm closed 10am-6pm Friday (closed) College Terrace Closed for renovation Reopens after completion of renovation Closed Closed Closed Total hours opened per week 211 hours 181 hours 190 hours 184 hours 171 hours % of hrs. reduced from FY 2010 N/A 14%10%13%19% Budget Impacts N/A N/A $106,672 (1.0 FTE Regular 0.39 FTE Hourly) $93,063 (1.0 FTE Reg. 0.12 Hourly) $20,508 (0.43 Hourly) Estimated Savings versus FY2010 Adjusted N/A $185,055 $78,384 $91,993 $164,548 Positions Eliminated N/A 2.5 FTE Regular 1.93 FTE Hourly 1.29 FTE Hourly 1.56 FTE Hourly 1.0 FTE Regular 1.93 FTE Hourly 15 Proposed Budget FY 2011 Questions 16 Proposed Budget FY 2011 Budget Wrap-Up Police Department Parking Lot Item Investigation Services Division - Elimination of 2 FTE Police Officer $331,734 Follow Up Items (page 9-10) Two Tier Parking Violation System Leaf Blower Enforcement Program – Administrative fine would increase from $100 to $210 for full cost recovery Overtime for CSD city sponsored events 17 Proposed Budget FY 2011 Questions 18 Proposed Budget FY 2011 Budget Wrap-Up Public Works Department Parking Lot Item PW9. Elimination of 1.0 FTE Traffic Control Maintainer II ($89,421) Would not be able to complete work requests from Planning Transportation Division Impacts include fabricating and placing new signs, painting new red curbs and any new legend painting along roads and assisting with placement of new traffic calming devices. 311 19 Proposed Budget FY 2011 Questions 20 Public Works – PW6: Sidewalk Repair Program Parking Lot Item CITY COST SCENARIO (City to retain liability in all scenarios):SAVINGS Scenario 1 - Property Owner is 100% responsible for repair costs. Alternative A - City administers an annual construction contract for repairs and bills the property owner including full cost recovery for City administration costs.$597,940 Alternative B – Property owner responsible for repair and coordination of work. City’s involvement would be limited to the property owner notification procedures outlined in California Streets and Highways Code. $500,000 Scenario 2 - City and Property Owner share costs 50/50. City administers an annual construction contract for repairs and bills the property owner for 50% of the costs including full cost recovery for City administration.$298,870 1.0 FTE Engineering Tech would be added back Contract funding for sidewalk repair would be reduced by $250,000 (instead of $500,000) Will require addition of CIP project - $500,000 Restoration of 1.0 FTE Engineering Tech 21 Proposed Budget FY 2011 Questions 22 Recap-Proposed 2011 Changes Follow-up Fire Department Summary of Total Net Departmental Proposed: Total Proposed Budget Balancing ActionsRevenues Increase $ 408,000Expense (Net) Reduction $ 257,412 $ 665,412 Total Revenues Changes:Proposed Revenue Increase $ 408,000Net Decrease in Other Revenues (133,031) Net Revenue Increase $ 274,969 Total Expenditures Changes:Expense Reduction (Net)$ 257,412Other (Net) Salary & Benefit Increase (1,906,277)Allocated Charges (Net) Increase (192,211) Net Expense Increase ($1,841,076) 23 Proposed Budget FY 2011 Department Changes Fire Department: Budget Balancing Summary Revenues F1. Increase Transport (Ambulance) Fees by 10% $200,000 F2. Increase in Hazmat Fees by 10% 38,000 F3. Increase Permit Fees 50,000 (Proposed PAUSD - $20K and Enterprise Fund - $30K) F4. Increase Use & Occup. Permits and Tracking Fees 120,000 Proposed Revenue Increase $408,000 24 Proposed Budget FY 2011 Department Changes Fire Department (budget balancing summary cont.) Service Level Reductions F5. Elimination of Administrative Assistant Savings 1.0 FTE Regular (Retiring)$116,507 F6. Elimination of Hazardous Materials Specialist (Filled) Add Hourly Management Specialist (contract) Savings 1.0 FTE Regular (0.95 FTE in General Fund) $186,953 Additions 0.48 FTE Hourly Management Specialist ( 80,000) Net Savings $106,953 312 25 Proposed Budget FY 2011 Department Changes Fire Department (budget balancing summary cont.) Service Level Reductions F7. Add Resource to Facilitate Fire Chief Retirement Transition (6 month Fire Chief vacancy savings -$138,186) Additions 0.25 FTE Hourly (One-Time) ($ 52,000) F8. Reduction in non-salary expenses $ 85,952 (i.e. Contract Svcs., Supplies, Equip., etc.) Total Proposed Budget Balancing ActionsRevenues Increase $408,000Expense (Net) Reduction $257,412 $665,412 26 Proposed 2011 Changes Department Changes Fire Department Other Revenue Changes Decrease Plan Checking Fee ($ 270,000) Increase in Stanford Fire Services Reimbursement 136,969 Net Decrease in Other Revenues ($133,031) Other Salary Changes Contractual Salary and Benefit Increase (1/2 year) ($ 652,158) Decrease in temporary salaries 31,131 Incentive Pay Increase (EMT Certification)(9,069) Increase Workers' Compensation Charges (479,668) Increase Medicare (Employer) Contribution (12,965) Increase Retiree Health Insurance Premiums (393,311) Increase Benefit Allocation (390,237) Other (Net) Salary Increase ($1,906,277) 27 Proposed 2011 Changes Department Changes Fire Department (cont.) Citywide Changes in Allocated Charges Decr. in Information Technology Charges $ 95,076 Incr. in Vehicle Maintenance and Replacement (254,272) Incr. in Liab. Insurance & Printing/Mailing Svcs. (33,015) Allocated Charges (Net) Increase (192,211) 28 Finance Committee May 18th Direction to Staff Regarding Fire Department Proposed Budget 1) Identify departmental reductions of approximately 4% equivalent to the reductions already implemented for Management and Professional employees and the Service Employees International Union (SEIU) represented employees 2) Additional options that could be put into place if there were no minimum staffing requirements 29 1) Identify departmental reductions of approximately 4 percent FY 2011 Proposed Expense (Net) Reductions $257,412 Additional Reductions Proposed 489,772 Total Proposed Reductions $747,184 4% Departmental reduction $821,000 1a) Identify departmental reductions of approximately 4 percent Placeholder of $821,000 pending outcome of collective bargaining with International Association of Fire Fighters (IAFF) 30 313 31 2) Additional options that could be put into place if there were no minimum staffing requirements Overview of Minimum Staffing 1) State, Federal, various professional organizations (e.g. National Fire Protection Association, etc.) a. Recommend staffing levels - three Fire Fighters per unit & two per ambulance 2) City’s current contract with International Association of Fire Fighters Association (IAFF) a. Minimum of 29 fire suppression staff per shift (31 when Station # 8 is staffed) 3) Example of an alternatives model: Sunnyvale has 2 persons per unit but sent 2 two units per call 32 2) Additional options that could be put into place if there were no minimum staffing requirements Options if Minimum Staffing Requirement didn’t Exist: 1) Cross-staff specialized or dynamic deployment units 2) Placing a unit out of service on a day-to-day basis where appropriate and based on needs/demands 3) Selectively staff stations relative to low peak activity by actual call data from CAD system 4) Placing unit(s) out of service on a permanent basis and/or close fire station(s) based on demand/need where appropriate – would require a redeployment plan based on service areas/district 33 Long Term Cost Reduction Ideas (FY 2012 and Beyond) 1) Special assessment district to fund Station # 8 staffing 2) Cost-sharing of Station # 8 staffing from neighboring communities or in exchange for services 3) Shared or contract administrative functions with other fire agencies 4) Consolidations / mergers of fire agencies 5) Shared resources with other fire agencies or joint staffing 34 Proposed Budget FY 2011 Questions 35 Proposed Budget FY 2011 Department Changes Action Item 9: Internal Service Funds ASD Printing and Mailing –Staff Recommended The recommended changes will allow for proper coverage to meet required operational demands of the departments’ and Council’s operations. There is no financial impact as the funding is provided through the reduction of non-salary expenditures. Reinstate 0.48 FTE temporary hourly Print Shop Assistant position ($25,277) Reclass Mailing Services Specialist position to Offset Equipment Operator ($10,123) 36 Proposed Budget FY 2011 Budget Wrap-Up Table of Organization Proposed Staff Adjustments to Proposed Budget: 1) Management/Professional Title Changes Unknown budgetary impact 2) Correction to Management/Professional Compensation Plan Open Space and Parks Division Manager Omitted from 2008 salary resolution in error Salary and benefits impact - $6,700 (adjust FY 2010 midyear) 3) Public Works – eliminate 1 FTE Administrative Associate I instead of 1 FTE Administrative Associate III – title correction only, no financial impact 314 37 Proposed Budget FY 2011 Department Changes Water Fund –Staff Recommended The draw on the Water Fund reserves for CIP projects did not match the total proposed CIP program expenditures for the Water Fund in error. The draw on the Water Fund reserves should be increased from $8,781,000 to $8,848,000, as a correction to balance the Proposed Operating Budget to the CIP program expenditures No action Required Additional draw on reserves - $67,000 38 Proposed Budget FY 2011 Department Changes Internal Service Funds ASD: Technology Fund –Staff Recommended The draw on the Technology Fund reserves for CIP projects did not match the total proposed CIP program expenditures for the Technology Fund in error. The draw on the Technology Fund reserves should be increased from $ 3,433,000 to $3,517,000 as a correction to balance the Proposed Operating Budget to the CIP program expenditures No action Required Additional draw on reserves - $84,000 Change name of CIP project TE-11005 from “Implementation of New Utility Rates” to “Implementation of Restructure Tiered Rates on Bills (no financial impact) 39 Approval of FY 2011 Contract Scopes of Consultant Services Agreements Greater than $85,000 Purchasing Manual provides that as part of budget process, Finance Committee shall review and approve the scope of services for CIP consultants over $85,000 (excluding recurring, routine service-related agreements) Public Works/Facilities:Art Center Electrical and Mechanical Upgrades (PF-07000) Consultant cost: $200,000 Project cost: $4,387,046 Public Works/Facilities:Art Center Electrical and Mechanical Upgrades (PF-07000) Consultant cost: $400,000 Project cost: $4,387,046 Planning/Transportation:El Camino Real/Stanford Avenue Streetscape and Intersection Improvements (PL 07002) Consultant cost: $150,000 Project cost: $1,818,000 40 Proposed Budget FY 2011 Questions 41 Proposed Budget FY 2011 Municipal Fee Schedule Summary of all fees discussed during budget hearings Majority of changes provide for increased cost recovery Projected increases for new and existing fees - $868k New Fees - Community Services Children’s Theatre: Registration for birthday parties and show production participation, space and package rental and reservation Locker Rental Green Fee admission for Junior and NCGA Junior (restructured) Membership Card/Swim Pass (restructured) Facility Admission Vehicle entry fee/pass Community Theatre rental and reservation Athletic Grass Fields rental and reservation Cubberley Community Center Gym A facility rental (restructured), and Cubberley Banner Marquee 42 Proposed Budget FY 2011 Department Changes Municipal Fee Schedule New Fees Library Damaged and Lost Senior Care Kit CD-R (compact disc recordable) Planning & Community Environment Residential Inspection Guideline and other publications Application and Permit Reactivations Certified Access Specialist (CASp) Review/Consultation Environmental Impact Assessment (EIA) mitigated negative declaration CEQA Categorical Exemption Individual Review of Minor Revisions to approved projects Public Noticing 315 43 Proposed Budget FY 2011 Department Changes Municipal Fee Schedule New Fees Police Animal Adoption (restructured) Rat Spay City Veterinarian services Vaccinations Public Works - Refuse Demolitions (restructured) 44 Proposed Budget FY 2011 Questions 45 Proposed Budget FY 2011 Next Meetings June 21 – City Council Budget Review and Public Hearing June 28 – Budget Adoption 316 City Manager’s Proposed Budget for Fiscal Years 2011 City of Palo Alto Finance Committee June 15, 2010 Budget Wrap-up 2 Balancing the Budget Proposed Budget Budget gap (revised) $(7.3 million) Proposed reductions ($ 8.5 million) Salary & Benefits $ 5.6 million Non-Salary 2.9 million New revenues, revenue increases $ 0.9 million Total recommendations $ 9.4 million Balance for Alternatives $ 2.1 million 2 3PUBLIC WORKS-89Eliminate 1.0 FTE Traffic Control Maintainer PUBLIC WORKS299Implement 50/50 Sidewalk Replacement/Repair Program POLICE332Restore 2 FTE Police Officer Investigators LIBRARY107Library Closures – Option 1 (Open Mondays) 14-June CITY COUNCIL-2Voluntary Council Pay Reduction (reflects 3 Finance Committee members) Date Finance Committee Adjustments to Proposed Budget FY 2011 ($000)Department 6-May Reopen College Terrace Library in FY11 75 LIBRARY Reduce City Council general expense budget (This includes travel budget)-17 COUNCIL 11-May Limit park fee increases (Entrance fees reduced, but staff projects same revenue)N/C COMMUNITY SERVICE DEPARTMENT Maintain Art Center support staff 61 COMMUNITY SERVICE DEPARTMENT Reinstate summer concert series 27 COMMUNITY SERVICE DEPARTMENT Reinstate HSRAP funding 50 COMMUNITY SERVICE DEPARTMENT Reinstate 1 FTE Code Enforcement Officer 122 PLANNING 18-May Reinstate school crossing guards 345 POLICE Reinstate traffic team (4 FTE, net rev)645 POLICE 25-May Children's Theatre new revenue (Show production participation fee $50-$300)-35 COMMUNITY SERVICE DEPARTMENT Restore 4 FTE tree trimmers 316 PUBLIC WORKS Restore trees planting materials 10 PUBLIC WORKS Reduce 1 FTE Supr. Project Engineer -162 PUBLIC WORKS Total of Finance Committee Adjustments $2,084 4 14-June HUMAN RESOURCES49Severance Pay – Laid off employees Date Staff Adjustments to Proposed Budget FY 2011 ($000)Department 6-May Labor negotiations contract services 68 HUMAN RESOURCES DEPARTMENT 11-May Full FTE elimination savings from positions being contracted out (Full year savings instead of 9 months)-273 COMMUNITY SERVICES DEPARTMENT Stanford revenue -35 ATTORNEY Temporary salaries 15 ATTORNEY 18-May IT rent lease agreement cost savings -51 ADMINISTRATIVE SERVICES DEPARTMENT 25-May Correct Fiber Optic allocation expense -66 ADMINISTRATIVE SERVICES DEPARTMENT Planning Department – External Revenues -200 PLANNING AND COMMUNITY ENVIRONMENT Total of Staff Adjustments -493 5 Summary adjustments to the FY 2011 Proposed Budget Date Draft Adjustments to Budget FY 2011 Balance ($000) May 6 Beginning Balance $2,107 Table 1 Summary Finance Committee Adjustments -2,084 Table 2 Summary Staff Adjustments 493 June 15 Current Balance for Alternatives $516 6 Position Changes to City Manager's Proposed Budget Reinstated (13.75 FTE) Program Assistant I (.75) Code Enforcement Officer Police Sergeant Police Agent Police Officers (4) – 2 Traffic Team, 2 Investigations Tree Trimming/Line Clearers (4) Library Associate Engineering Tech Additions (1 FTE) Sr. Auditor (Funded by Enterprise Funds) Elimination (2 FTE) Supervisor Project Engineer Traffic Control Maintainer New positions withdrawn by Staff (2 FTE) Customer Service Specialist (Enterprise Funds) Customer Service Representative (Enterprise Funds) 317 Proposed Budget FY 2011 Budget Wrap-Up Table of Organization Proposed Staff Adjustments to Proposed Budget: 1) Management/Professional Approve Title Changes Only Administrative Clean-up with no budget impact 2) Correction to Management/Professional Compensation Plan Administrative correction to incorporate 3.5% COLA increase previously approved by City Council but omitted from 2008 salaryresolution in error for the Open Space and Parks Division Manager position – No budget impact 3) Public Works – eliminate 1 FTE Administrative Associate I from Table of Org instead of 1 FTE Administrative Associate III – title correction only, no financial impact, budget is correct CIP – Implementation of Restructured Tiered Rates on Bills (TE-11005) Change in project description only (Attachment 5 of “At Places” memo) No budgetary impact due to change $1.1 million CIP Project (subject to UAC and Council approval) $100k – FY 2011 (to develop rate structures and scope of work) $1 million – FY 2012 In support of City’s Climate Protection Goals, new rate structures will be proposed to provide incentives for customers to conserve resources New rate structures will be evaluated to determine if additional tiers and price differentials will incentivize reduction of usage Funding source – Enterprise Funds (electric, fiber optic, gas, water, wastewater collection, storm drainage, refuse) Proposed Budget FY 2011 Budget Wrap-Up Debt Service Funds Staff Adjustment to Proposed Budget 2010 General Obligation Library Bonds - $55 million Sale of bonds closed on June 9 Debt Service Fund 370 – Library Projects created CIP construction project already exists Budget Impact – Add Property Tax Assessment Revenue and Debt Service Payment FY 2011 Annual Debt Service (Interest expense only) $1,472,000 FY 2011 Property tax assessment revenue 3,491,539 FY 2012 Annual Debt Service 3,267,719 Semi-annual debt service payments due February 1 and August 1 Official Statement requires property tax assessment to be collected in advance of debt service due dates 10 Proposed Budget FY 2011 Questions 11 Approval of FY 2011 Contract Scopes of Consultant Services Agreements Greater than $85,000 Purchasing Manual provides that as part of budget process, Finance Committee shall review and approve the scope of services for CIPconsultants over $85,000 (excluding recurring, routine service-related agreements) Public Works/Facilities:Art Center Electrical and Mechanical Upgrades (PF-07000 Scope: Architect to check compliance with design documents) Consultant cost: $200,000 Project cost: $4,387,046 Public Works/Facilities:Art Center Electrical and Mechanical Upgrades (PF-07000 Scope: Construction oversight and management) Consultant cost: $400,000 Project cost: $4,387,046 Planning/Transportation:El Camino Real/Stanford Avenue Streetscape and Intersection Improvements (PL 07002 Scope: Construction oversight and management) Consultant cost: $150,000 Project cost: $1,818,000 12 Proposed Budget FY 2011 Questions 318 13 Proposed Budget FY 2011 Municipal Fee Schedule Summary of all fees discussed during budget hearings Majority of changes provide for increased cost recovery Projected increases for new and existing fees - $668k + $200k New Fees - Community Services Children’s Theatre: Registration for birthday parties and show production participation (recommended suspensionpending agreement with Friends of the Children’s Theatre), space and package rental and reservation Locker Rental Green Fee admission for Junior and NCGA Junior (restructured) Membership Card/Swim Pass (restructured) Vehicle entry fee/pass Community Theatre rental and reservation Athletic Grass Fields rental and reservation (restructured) Cubberley Community Center Gym A facility rental (restructured), and Cubberley Banner Marquee 14 Proposed Budget FY 2011 Department Changes Municipal Fee Schedule New Fees Library Damaged and Lost Senior Care Kit CD-R (compact disc recordable) Planning & Community Environment Residential Inspection Guideline and other publications Application and Permit Reactivations Certified Access Specialist (CASp) Review/Consultation Environmental Impact Assessment (EIA) mitigated negative declaration CEQA Categorical Exemption Individual Review of Minor Revisions to approved projects Public Noticing Police Animal Adoption (restructured) Rat Spay City Veterinarian services Vaccinations 15 Proposed Budget FY 2011 Questions 16 Proposed Budget FY 2011 Next Meetings June 21 – City Council Budget Review and Public Hearing June 28 – Budget Adoption 319