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Home My WebLink About0154.092- ~' . , , .' '.".. ,.;. February 20, 1992 THE HONORABLE CITY COUlICIL Palo Alto, California Attention: Finance committee Members of the council: Report In Brief An index has been provided to help in locatinq detailed sections of thiG report (Attachment 3). The purpose of the following midyear financial status report is to detail revenue, expense and reserve level changes from the adopted budqet for the General and Enterpriee Funds for fiscal year 1991- 92; to make adjustments to the 1991-92 budget based on the midyear analysis; an.d to identify trends and policy issues for Council to prepare for the 1992-94 b~dget~ The report 2150 provides prelimi nary projections of revenues and expenditures for 1992-94, on a nworkload n basis, for the General Fund~ For 1991-92 General Fund 4evenues are expected to come in about $0~6 million under the adjusted budget~ Expenditures are projected to be about $0.3 million above the adjusted budget due to rising health care costs and increased water usage by city d~partments. The General Fund should end the year with a net operating deficit of about $1.2 million. This is a $0.9 million higher deficit than previously forecast, as the Adopted Budget reflected a $249,000 deficit. Despite the operating deficit, the Reserve for Capital CKR:154:92 - projects is expected to increase by $1.7 million, because of $2.2 million in repayments of advances rlade in prior years :hy the General Fund t~ s~veral othgr tunas. The health of the Water Fund's reserves continues to be an issue, given the effect of the prolonged drought on revenues. The R~fuse Fund's revenues are coming in almost $200,000 below b~dge~, but its reserves re~ain healthy. The following funds are projected to end the year with reserves which ar~ higher than budgeted: Wastewater Fund Electric Fund storm Drainage Fund Reserves are e:K:pected to increase by about $200,000, due primarily to higher interest earnings. Reserves are expected to increase by about $30D,000, due primarily to higher interes~ earnings. Reserves should qr-o'W by about $600,000, due to higher interest earnings and to a l~rger bond sale than projected last year. The reserves .ill fund future capital projects approved by Council. Attached to this report are a Selected Capital projects Status spreadsheet and a Budget Alnendment Ordinance for council approval. CMR,154,92 2 • ,,-,> • '5;7'1 L. .. "-~- ,,-,-.,"'F. ~~--:<"....,...,..... 0 " 'GENERAL FUND REVENUE &: EXPEzr..;-OITURE SUMMARY (:: 000) • Adjwltd Proje<.'~ Change, Actual Budget Budget Adjusted I 1990-9.1 1991--92 1<;191'111 p~ ~udget Rc','euua: Sal ....... 14.140 14.300 13,935 (365) -2.61 Propmy ..... 8,109 8,123 3,395 272 3.2% Utility LI'CI"5 tu 4,969 5,381 5,230 (l5l) -2.9. TIll.:DKo.t Oc~y Tax 2,969 3,25<J 3,25<J 0 <J.O% ~ laxei, fines. and petllities un },833 1 4 30 (.t031 -lL1" Subtotal, 'nco 33,1124 34,887 34,240 (647) -1.9% Servieoe fees de penniu. 6,169 6,553 6,438 (l15) -!.ill Jeint Se...~ Agreements, Interest. and Other rev=n~ !.Jl5~ 1,]76 825. ~ J.<J. Total Re\'en'Ue$ 48,052 4~,616 48,936 (680) -1.4" Plus Reappropriatlom .& Enc'DIllbrmces from Prior Year 4,323 2,592 2,592 Plw; Operating Trar..sfers ID 14002 16582: 16,659 11 O.5~ Total Sources of Funds 66 3n. 68790 ~8,lg7 !60Jj -0.51:1 E ... penditures Employee Services 40,283 44,666 4: ,066 ..00 0.9'% Coratracta;, Suppli~. Matuials, ~uipment. and all other Cl:pensei 17 704 :lQ2!l lQ .• Jl..ll illl ~ TObII Expenditures 57,987 65,377 65,704 327 0.591: Plus Operatmg Trmsrers Out 8,062 3,662 ),662 0 ~ Total Uses of Fuods 66,049 69,039 69,366 327 0.5% Net Opeulinl! Su:pluol (Deficit) 328 (249) (1,119) (?!OL CKR:154:92 3 .--,. ·"~------~$-·"·-"W""". .,-.., ~.p.ral Fup4 Revenues Total revenues are projected to be $0.6 million less than the adjusted budget for 1991-92. 8&1.. Tax The sales tax projection for 1991-92 is $134~ million, well below the $14.3 milliGn figure in the adjusted budget. The projection is down despite two increases. One prcj~cted increase ~as for several huncired thousand dollars due to the State budget package last swnmer, which extended sales tax to snack foods, ne ... ·spapers, and bottled water. The other increase anticipated is from a state Board of Equalization one-time reallocation of $105,000 from another city to Palo Alto. Offsetting these increases are three. factors. The first is a slowdown in sales due to the continuing recession; the Christmas retail season 'Wa.s weaker than expected (thoug'h not as 'Weak as in most other parts of the Day Area). Total retail sales in the October-December quarter appear to have been less than in the same period a year ago --before adjusting for inflation. Second, the Board of Equalization has informed the city that Macy's, in the wake of its recent bankruptcy filing, has 'Withheld pa~~ent of its fourth quarter lS91 sales tax. The Board predicts that a year or t .... o .oill pass before the City can receive that allocation. Therefore, the sales tax estimate for 1991-9? has been reduced by the amount of the withheld payment. The third factor contributing to the: :t'educed projections is a challenge to the allocation to Palo Alto of sales tax generated by one of the City's largest companies. Although the Board of Equalization is still techr.ically allocating these cl?llars to Palo Alto, staff expect5 the Board to rule that the money belongs to another city, and to order a refund. Therefore, staff has b~en placing the associated quarterly allotments in a reserve in anticipation of eventually havinq to pay the refund. As a result of these three factors, total sales tax is expected to decline 1.4 percent from last year. only once in the last 2C years has the City's sales tax revenue performed so poorly. property Tax Property taxes are expected to grow by 3.6 percent from 1990-91 to a level of $8.4 million in 1991-92; in the adj~sted budget the CMR:154:92 4 • -'I .. ' .... "L-. -~--q7 .• . 1 .,,"' 1~(,~\';;~~' . ':<,:,--.". -"-. " ... - • " , - projection was for zero growth. 'I'here are two reasons for the hiqher estimate. First. for secured property (mostly land and buildings), the County has recorded an increase in asse.ssed valuation that proved to be greater than expected. Second, for unsecured property (mostly equipment), the city has already received through January nearly as much revenue as was expected for the entire fiscal year~ A final, smaller payment in J\pril ... ill push the total slightly higher. utility User Tax Utility user tax revenue is expected to come in $151 /000 below the budget estimate. Utility user tax receipts come from two sources. The first is tne tax levied on City-billed utility charges, .hile the second is the tax levied by telephone companies on telephone billings to Palo Alto businesses and residents. Water sales are coming in below budget, which results in lo~er utili~y user tax revenues. In addition, :>hone revenues continue to be flat, perhaps reflecting a slowdo~n in business growth. Transient occupaney Tax The currant estimate for transient occupancy ta~ is unchanged from the $3.25 million projected last spring. ¥ear-to-date receipts are on tracK, despite the continuing recession, and if hotel occupancy rates hold up for" a few more months, the 9.5 percent projected increase will be realized~ other Taxes o Cigarette Tax Cigarette taxes ~ill be more than $50,000 below t~e estimate made last spring because the state budget package last su~~er diverted more than one-third ot all cities' shares in order to tU1'ld county t_rial courts. o Motor Vehicle In-Lieu Tax Motor vehicle fees are projected to be down by $148,000 compared w~th the budget projection because the recession has dampened new car buying activity. aevenue ~ro. Property Leases Projected revenue from prcperty leases at the CUbberley site reflects a net decrear:.;e of $97. 000 from the 1991-92 adjusted budqet. Rental revenue increases of $102,000 above the adjusted 5 - ,--~-(, Tn budget are projected tor hourly rentals at CUbberley due to increased facility usage. This increase is offs~t by a projected decrease of $199,000 in rents due to the loss of two large child care tenants at CUbberley for-1991-92 J and a decrease in rent received. from Cubberley tenants due t.o a lower-than-e.xpect:ed increase in the Consumer Price Index (CPI). The City raises re~ts based on the CPI in July, which "Was projected tc go up by 6 percent, but actually rose only 4.6 percent. Fines and PenaltJ •• A net d.ecrease in Pel ice. fines and penal ties of ~:; CO, 000 is p~ojected. for 1991-92 due to the following: o p~rkin9 Citation Revenue is e~pected to decrease by $237,000. Fewer citations are being issued because of the training of new hires, staff vacancies and disabilities. o Other fines and forfeitures revenue; consisting mainly of vehicle code fines j ~ill be reduced by 33 percent fo~ 1991-92 follo'Winq diversion of fu.nds by the State budget package. The ne~_ formula for revenUE: 1s last year's actual ($336,000) increased 5 percent {to $353, 000), of "Which Palo Alto receives only 50 percent ($176,000). The County gets the remaining 50 percent. Therefore, the 1991-92 budget estimate of $264,000 needs to be reduced by $88,000. o As authorized by Council, Palo Alto is to receive from Santa Clara county reimbursement of costs associated with the abatement of abandoned vehicles. For 1991-92 this new revenue is estimated to amount to $25,000. Service Fees and Per¥its These revenues are projected to corne in $105,000 belo~ the 1991-92 adopted budget. The variances are in the fallowing areas: o community Theatre Tic1<:.et Surcr.arge According to the Community Services Department, the ticket surcharge that was proposed on theat_re tickets sold at the Council for the Arts Palo Alto and Mid-Peninsula (CAPA) box office 'Will not be received on season Gubscription ticket sales until the spring of 1993, resulting in 4 decrease in projected revenues of $60,000 for 1991-92. This delay in implementation was due to staff not being able to reach an CMR:154:92 6 o o o'!qreement with the theatre contractors, who needed time to effectively implement the surcharge. The surcharge has currently been implemented only on sinqle ticket sales, and will result in total revenues of just $10,000 for 1991-92. Cable Franchise Revenue Palo Alto has a cable television agreement with several neig-hborinq communities. Franchise revenue that was previol.ls ly allocated to Menlo Park for legal costs is now being divided between Palo Alto and Atherton, because Menlo Parx's costs have been fully paid. Therefore t franchise revenue should be increased by $100,000. Planning Revenue Revenues generated from fees in the Planning Department are expected to decrease by $100,000 for 1991-92. The decreese reflects the downturn irt the national and local economy and resulting decline ~n all areas of development activity. o Golf Course Green Fees Revenue increases for Golf Course green fees were mistakenly posted to the budget twice, and are therefore overstated by $90,000. aevenue from Ose of Xoney ~n4 property Rent revenue collected by the City from the PalQ Altc sanitary Company 'PASCO) for its use of the city-own~d PASCO yard for their operations was incorrectl:r' budg.eted in the Refuse Fund. For 1991- 92 this reve~ue amounts to $78,000 and should ce included in the General Fund~ aperatinq Trana~.r8 to tbe General Fund Rent payments by the RefUse Fund to the General Fund for use of the landfill have increased by $77,000 based on a recalculation of land ValUes. General Fund 1991-92 expenditures are projected to come in $0.3 million over budget. CMR:154:92 7 salari ••• D~ Benefits Oyerall. health care costs have continued to rise. It is expected that total City health care costs will corne in this year at about $7.2 million, an increase of 20 percent over 1990-91 actllals. General Fund health costs are roughl}' 70 percent of the total City health care expense and ar~ expected to be over budget by about $400,000 by year end. Most of the City' 5 health care costs are reimbursement claims submitted by City employees and retirees for actual expenses. City employees are covered eithe~ under the self-insured City Employees' Health Plan or the Kaiser Health Plan. Ap'proxilnatel}~ two-thirds of the City's active employees and 80 percent of the retirees are covered under the self-insured plan. Under tl"o,e self-insured plan, claims expenditures are expect2d to total $4.5 million in 1991-92, an increase of $0.75 million, or 20 percent from last year and an increas6 of 5) percent over the last t'irr'O years. By comparison, ~aiser costs are only expected to increase by 13 percent per year (to $1.0 million). Factors contributing to the rise in health care costs include: the rise in doctors' fees, increased usage by medical professionals of higher-cost medical technology for diagnoses and treatment, and increased usage of medical care from one year to the next due to the net growth of the ~coveraqe pocl" as more city employees retire each year, and cost shifting from government-sponsored medical plans to employer-sponsored plans. contract serviees contract s~rvices will exceed the Adjusted Budget by $6 t 500. This represents the cost to the Police Department to assume the cost of exam.i.nations of juveniles and adults involved in cases of sexual abuse. In the past, the County paid for these examinations. Rants and Le~9.S The contractual increase to the lease with the Palo Alto Unified School District (PAUSD) for sch~ol site properties for 1991-92 is based on the Bay Area CPI, which has increased less than expected. This results in a $47,000 decrease in the estimate of lease payments to the PAUSD. General Liability Sa7inqs Approximately $413,000 in savings in general liability claims are expected by year end, of ~hich $260,000 ~ill be realized hy the General Fund, and the balance in the Enterprise Funds. The original 1991-92 liability budget was estimated in the winter of 1990, and was not adjusted in the interim budge.t process. The CMR:154:92 8 ""'''--'''-j''', ....,'''!C''', ... ·· .... ---'---'------- ;~ ':'f -: ' ,~'~~f{" - - latest full year's data available at the time (from 1988-89J, was $1.3 million in claims costs, about $250,000 higher than the yea~ before. Staff estimated a cOT.tinued level of qroVith in liability claims through 1991-92. Since that time, however, the growth in claims has leveled off sonewhat. Pacilities an~ Equipment Purchases Additional sales tax of $35,000 is required en the p~rchase of the library computer system for calendar years 1985 to 1989, based on an a...:.dit completed by the State Board of Equaliza.tion. The original city contract amount for the purchase of the library computer system incl .... ded a provision for sales tax, but it was not billed by the contractor, and the capitdl project for the acquisi tion of the computer system 'Was already closed by the time the audit findings were received. Allocate4 Cbarqes o Equipment ~aintenance service Vehicle and gquipment mainten~nce charges to the General Fund from the Equipment Managemant Internal Service Fund are projected to increase overall by $13,000 in 1991-92. Equip ment maintenance charges are generated by a new W'ork order system. Budgeted charges 'Were made before SUfficient histori cal data was available on departmental repair costs. The increase will affect departme:nts that nave mostly heavy equipment, such as the Fire Department. o Water Sales to city Departments Water sales t,o City departments are expected to increase by $180,000 during 1~91-92~ Increased water rates will necessi tate an additional $100,000 to fund water usage in the Parks Division this year. In addi~ion, a ~eter for the irrigation system at the cubberley playing fields had been unbilled until this year, resulting in an unanticipated increase in wate:=- costs of $80 1 000. General Fund Reservee Reserve for Capital Projects The Reserve for Capital Projects is projected to increase by $1.7 million. This increase is due to a repayment of advances to other funds, and reimbursem~nt of certain eIP grant project. expenditures: CMR, 154,92 9 ,,--~·,,", ... <t--_"'."'IIi_)". · .. 1,"··.' ·, I i - Balance 7/1/91 Additional Year-to-Date Appropriations: City Auditor Recruitnent 'I"'ax Auditing Services Underground Tank Investigation Land Use Revenue Analysis $5,415,031 elP Grant Reimbursements (see bela .. ') (9,500) (40 1 500) (20,000) (25,000) 770,000 Net General Fund Cpera~ing Deficit Advances from Other Funds Change to Reserve for Streets and Sidewalks Projected Balanc~ 6/30/92 2 ,220,000 (7,000) $7,124.031 Due to the anticipated completion of the ITT Marsh project, and the subsequent claim for grant funds to cover the project expenditures, a reimbursement of $930,000 is projected fer the Reserve for Capital projects for this fiscal year. Offsetting the ITT Marsh reimbursement are $160,000 appropriated for capital prcjects to be funded from other sources this year, but Cor which project completion and reimbursement will not occur until future fiscal y-ears. The net projected adjustment to the Reserve for capital Projects for projects funded from ott .. er sources is therefore $770,000. Other General .und Reserves An analysis of projected reserve balances at June 30, 1992 shows an $0.5 million decline in total General Fund rese~ve levels fro~ the fiscal year 1991. Repayment of advances made to other funds in prior years will result in a decrease in the Reserve for Advances, and an offsetting increase in the Reserve for Capital Projects. In 3anuary 1992, the Finance Committee concurred with staff's recommendation (CMR:l10:92J that the ~startup costs· advanced to the Storm Drainage Fund from the General Fund be paid back now~ rather than over 8 more years. The reason for this recommended change is that the Storm Drainage Fund is stabilized, and bond financing will help carry out its capital program. Staff recom mended that the Storm Drainage Fund pay back the General Fund $400,000 this year (an increase of $300,000 over ~hat ~as budgetedJ and the remaining $297,000 with the 1992-93 budget. CMR:154:92 10 . , o Actual General Fund Reserv~ 19;91 Contingency 5,000 Reserva for Capital Projects 5,415 Reserve for Advances to Other Funds 2,667 Reserve for Streets and Sidewalks -ill Total 13: 711 C.pi~l ~mprov.ment projects Fund CIP projects vhich were anticipated t~ be of this fiscal year have been reviewed. cant (unspentJ balances are projected closing ot elF projects. Projected 19~2 ~.g 5,000 -0- '7.124 1,709 447 (2,220) _---.H~ _2 13.210 (~) complete prior to the end At this time no signifi to he available due to selacted capital projects over $100,000 for capital Improvement Fund, Street Improve~ent Fund, and Enterprise Funds are included as Exhibit c. o Accounting for Print Shop Equipment AppropriatioDS of $130,000 in fiscal year 1990-91, and $60,000 in 1991-92, were established in the capital budge.t for the acquisition of equipment and associatea expenses of the Printing Services operation of the Finance Department. The equipment wa~ procured in 1990-91. Th.e assets are more appropriately accounted for in the Printing Ser"vice InternC'1l Service Fund, 'Where expenses can be charged out to user departments. Therefore, the contributed capital and funds remaining in the Printing services Equipment capital project cf $60,000 should be app::-opriated to the Printing Services operating budget. CMR: 154: 92 11 \ .. _ 4 . I • lDITERPRISl! FUNDS No significant changes are projected for sales or pl.irchases in the Electric. Gas, ~aste~ater, R~fuse and S~or~ Draln funds. Ho~ever, decreases in revenues and commodity purchases are projected in the Wat e:r FUnd. o Water Fund For the first hal.! of FY' 1991-92, actual" water sales and purchases in the City are below projections. This is a result, in lacge part, of customers conserving more water than anticipated. Actual consumption for the first six ~on~hs of the fiscal year is approximately 35 percEnt below 1987 levels. Water Sales Revenue is projected to be reduced by a net of $1.1 milli:ln ana ..... ater purchases are project,ed to be reduced by $0.6 million frem the Adjusted Budget. Salary and other operating savings ot $250,000 are expected at year end~ ~ Investments rncome Significant changes to interest income are projected in the Enterprise. Funds listed belo'J based on variation in cash balances. The table below shows budgeted interest income, revised projected interest income, and the propose.d changes by fund~ Adopted Revised 1991-92 ~~-9~ Changes Electr-ic Fund $4,180,000 $4,463,000 $153,000 llefus'e Fund 648,000 415,000 (173,000) Waste .... ~ter Treatment 173,000 390,000 217,000 Wastewater Collection 0 69,000 69.000 Storm Drainage Fund 56,000 153,000 97,000 CMl\: 154:92 13 ~--"!r:!!! •. "',1iIIII .. ___ 1 111[;".--·,,--' _~v· .. -,.,-, '-- c Interest Earnings from the Fiscal Age~t Interest ea-:.'ned on bond reserve funds held by t.he f isci5l agent will not be received for the fiscal year. A $1.8 million bond reserve 'Was eliminated due to the refinancing of the 1985 Adjustable Convertible Extendable Securities (ACES) bonds .... ith the City of Palo Alto Utility Revenue Refunding Bonds 1990 Series A bond issue. Wastewater Treatment is the only fund that ~ill be affected, 'With a decrease of $136,000 in interest from its adjusted budget. othe.r Revenues Refuse Fund o Landfill Lease Revenue For 1991-92, landfill lease revenue of $12,000 'Was inadver tently omitted from the budget. Under a contract approved by Council in 1989, the Refuse Fund receives $63,000 in lease revenue from the Palo Alto Landfill Cas corporation (PALGCJ, and a variable amount of approximately $9,000 for royalties from the PALGC based on cogeneration sold to Pacific Gas , Electric. o PASCO Rent For City-Owned operations Yard Rent revenue of $78,000 collected by the City from PASCO for its use of the City-owned PASCO yard for their operations has been budgeted in the Refuse Fund in error ~ The rental revenues should be budgeted in the city General Fund. o Sale of Sludge Ash Revenue of $50,000 projected in the 1991-92 adopted budget for the sale of sludge ash 'Will not materialize. The value of silver in the ash has dropped bel~w the cost to reclaim it. o Revenue from Fines and Forfeitures Revenue from fines and forfeitures will increase by $80,000 for 1991-92 for collection of fines related to companies' violation of the se'Wer use ordinance. CMR:1S4:92 14 ".', ........ o ~torm Drainage fund Bond funding will increase revenues by $800,000 from the adjusted budget for 1991-92. Bond revenue was originally projected at $3.8 million in the adopted budget last spring~ Ho~ever, on January 9, 1992, council appro-;ed a recommended bond issue of $4.8 million. This provides $4.6 million for capltal projects through fiscal year 1993-94, and $0.2 million for issuance costs. This bond financjng amount was revised to incorporate higher costs for the EverettjHaw ".,horne Storm Drain improvements. Enterprise Fund Exp8n4itures salari •• an4 Benefits Salary and benefit savings of approximately $315,000 are projected for the Enterprise F'unds for 1991-92. In the Water Fund, salary and benefit savings of $175,000 arp. anticipated. These savings are the resylt of the delay in hiring engineering and maintenar.c~ staff associated 'With the infrastructl..tre program due to space shortages in City Hall. Savings of $70,000 are anticipated in both the Refuse Fund and the Wastewater Treatment Fund. Utiliti •• A4viaoxy Commission EXpense. It is anticipated that $15,000 will be required in the Utilities Administrat.ion budget to provide s'..:.pport expenses to the Advisory Commission for the f1scal year. No funds 'Were budgeted for this expens~ in 1991-92. Allocated ChargBs o Equipment Maintenance Service Charges for vehicle repair to the Enterprise Funds from the Equipment Management Internal Service Fund are projected to decrease overall by $12,000. o Re fuse Fund Rent payments by the Refuse Fund to the General Fund for use of the landfill site ""ill increase by $77,000 based OJ"'. a recalculation of land values. CMR:154:92 15 • - '992-9' BUDGET IMPLICATIONS As a prelude to preparation and presentati~n of the 1992-94 tWD year buc1get, staff has compiled preliminary estimates of total General Fund revenues and expenditures on a Plworkload-or "current policy· basis. These projec~ions assume that current year Council policy on fees, taxes, and spending is carried into future years~ They provide a rough estimate of the cost of carrying forwa~d the City" s existing General F.md ","orkload of service pz-ovision, in effect answering the question, ,rWhat would the b"..J;dget look like if it were put on automatic pilot?" The table bela ... · shows the estimates fo;: 1992-93 and 1993-94. The revenue projections are predicated on a slow. steady economic recov9ry beginning this spring and summer, congruent 'With many economists' forecast~. Expenditure projections assume no increase for non-salary items, but do assume for each year a 20 percent rise in health care costs, and a 5 percent general salary and other benefits increase. If the recession continues through all of calendar year 1992, rather than ending in the middle of the year, then the projected operating deficit for both 1992-9] and 1993-94 would be at least $1 million higher. GENERAL FUND PROJECTIONS ($OOO's) 1991-92 1992-93 199]-94 Projected Workload workload :aJLdget Budget Budget Total Revenues and Operating Transfers In $68,087 $69,994 $71,708 Total Experlses and Operating Transfers Out 69,366 72,155 75,38] Operating Surplus/(Deficit) LL_n~J ,2,161) L:l.....O.72.) Plus Real Property Conveyance Tax Increase 100 1.200 1....._~-.Q.Q Current Operating Surplus/(OeficitJ $(1.179) $(ml $(2,<7S) CMR:1S4:92 16 ~ . ;- The projecticns sholl." that even ,if t,he economy recovers, th-=re 'Will still be a sUbstantial structu~al imbalance between the City's base revenues and ongoing expenditures in both 1992-93 and 1993-94. POLICY ISSUES A number of Citywide policy issues have been raised with council in the last year j because they will have an impact on the next t~o year hudget --for both the General Fund and the Enterprise Funds, These issv,es are summarized below~ ~pact. of the Recession, state and County Bu4qets The national recessio~ has impacted the Bay Ar~a, and Palo Alto as well~ Sales tax receipts~ which accour.t for nearly one-fourth of General Fund revenues, have been hurt by the lull in retail sales and the slowdown in business purchases. Planning revenue associ ated with plan reviews and development monitoring is projected to be under bu~got by aool..!t '$100,000 this year i the~e will be a downward impact on building inspection revenue next year as well. The r-ecessior: is also having some impact or:. utility use:..-tax revenues as utility sales are laqging budget, and telephone usage has leveled off. Long-term utility user tax reserve levels are also slowed by the ::Htficulty in renting out cubberley lease space. As the national government struggles to fund unprecedented budget deficits, mot'e and more cos.ts have been passed on to the State and counties, which have in turn been puehinq more costs on to cities. Ongoing costs to date include $115,000 in property tax collection fees assessed by the County I county prisoner booking charges of $380,000, and county charges for testing se~al assault victims, projected at $7,000 for naxt year. California cities have been told to expect the loss of the remaining cigarette tax revenue in 1992-93, which represented $lOO,DOa in the City's ]991-92 budget. As the state and County budget situation remains in distress, municipali ties appear to have become the '"alternate funding source ll of choice across the nation. The State commission on Finance is prOjecting an $11 billion deficit for the State in the next fiscal year, and it ~ould be unrealistic to expect that cities will not bear a significant £hare of the shortfall. Health and 8a~ety Mandates In addition to federal, state, and county levels of ;rovernment. passing on costs to cities to balance their own budgets, the City responds to other government health and safety mandates. These include: CKR.154:92 17 .... "-.-~ \ . i :1.'~ . I , oil I t .. I .. -..;. o Environmental Complian~e water Q1.'ality Control Plant ("'"QCP): The city is under increasing regulations from the State and frnm regional offices to decrease the amount cf metals entering the Bay. The WasteIKater Treatment Plant has responded ""ith more exten sive c~n~ultant studies, retrofits of plant technology, and increased inspection activities to cut down on illegal discharges. Si~ce 1989-90, 10.5 positions have been added to the WQCP to deal with increased environmental regulations. Nonpoint Source Reduct~on: The Storm Drainage Fund will be responCling to increas1nq federal and state regulation to improve the quality of storm~ater runoff. The city is a co permi ttee of a National Pollution Discharge Elimination System (NPDES) permit issued to the Santa Clara Valley Wat~_r District Nonpoint Source Pollution Control Program for the discharge of municipal stormwater. The goal is to reduce the amount of nonpoint source pollutian~ which consists of oil, grease, heavy metals, sediment, and chemicals ~hich flow through the City's storm drainage system directly into the Bay ~ithout treatment. Future activities will likely consist of increased :moni taring, public ed'.lcation, regulation of industries and development, and other source reduction programs. The 1992-94 budget submittal ~ill request approximately $100,000 to $110 J OOO each year to participate in the Santa Clara Valley Water District Program, and funding will continue indefinite ly, in order to meet NPDES :mandates. The 1991-92 storm Drainage budget also included the addition of one Indust~ial Waste Inspector to inspect commercial and indu5t~ial facili ties for compliance with stOrIDWater regulations. o Refuse Fund Compliance with AB939 Source ~eduction Require ments A revised ref"use rate structure ..... as irnpl e:mented for the 1991- 92 fiscal year in order to encou~age residential customers to reduce the amount of refuse discarded by recycl ing :more. This change was instituted to comply 'With AB939 requirement.s to reduce the waste stream by 25 percent by 1995 and 50 percent by 2000. At the midpoint of this fiscal year, only 6 percent of cust.";"lUers have switched from a t .... o-can pickup to a one-can pickup. Staff ..... ill continue to educate the community about the needs for recycling and source reduction. The 1992-93 budget submittal will contain an inverted rate structure for commercial and industrial customers, and possibly a revision to he current inverted rate structure for residential custom ers, to encourage more conversions to o~e-can pickup service. CMR:154:92 18 ,', ~ . ji'L - o Americans with Disabilities Act (ADA) The ADA mand.ates that public and private sector:' E!tnplo~rers remove barriers to acc~ss of facilities for those individuals ~ith a qualified disability as specified in the Act. In March of 19;12, staff · ... ill return to Council ... ith a budget amendment ordinance requesting funding for a consultant to prepare th~ required transition plan to meet ADA compliance. The amount of t';J.nding fer the implementation of the plan is unknown at this time. It is anticipated that future ft:.nding will be needed in the capital improvement budget. Regional Governance There is widespread belief that some form of regional growth management, ragicnal air quality e~is5icns ragulations and perhaps even su~regional land use planning legislation are likely to occur in the near to mid-term future. These trends are equally likely to make city government even more cor.plex, and thus more costly~ The potential budget effects cannot be estimated no .. , but la'ill l::!e closely 'Watched in the :rears ahead. aea1tb Care costs City health care costs have been growing in excess of 20 percent per year. At 6 to 7 percent of General Fund expenditures, even if ~o other costs grew, health care cost increases alone would add about 1.4 percent to the General Fund budget. Health care costs are increaSing locally and nationally due to a myriad of fac~ors, including rising costs in the medical community and a larger pool of ~,ealth care users each year as more e~ployees (a~d their dependents) retire and stay on the City Health Plan. While the city has insti tute.d co~,t-containment provisions in the City He.alth Plan in recent years, these provisions have been insufficient to control the rate of inr-rease. staff is no ..... actively exploring another alternative ~hich is to replace the City Health Plan with the Public Employee Medical and Health Care ~ct (PEMHCA).. This plan is administered by the Public Employees Retirement System (PERS). PEMIiCA offers a variety of "health maintenance organizations (HMO's) and manaqed care plans in addition to ~aiser~ Many of these plans are less expensive than the City Health Plan. with more than 355,000 State and local government employees and retirees covered, PEMHCA has u'tilized purchasing power in addition to plan design to control costs~ CUrrent City employee labor agreements contain the. option to convert to the PEMHCA plan subject to negotiation of the imple mentation dEtails~ Staff will return to Council later this year with recommendations in this regard. CMR: 154: 92 19 , ,::::.-, • .- ';:7.:.:-i<:~ "'-' ·:r·'~t:~····~·· - . '-L-__ ,,_._ ..... ,,"' ... ,,@t!'l.lI'OiIl).!I·iII.!! .•• · • •• ter FUnd Financial Pressure, In i~s annual reviefW' of Enterprise FUnd reserve levels in a May 30._ 1991 staff report (CMR:297:91), Finance staff reported that projected fiscal year ending balances for 1990-91 for the Water Fund reserves woule be "siqnificantly below the minimUln reserve targets:. set by Council. Actual year end reserve levels callie in even lo~er than projected. Ths 1991-92 Water Fund budget ~as put together vith the goal of adding about $O~Z million to reserves, which would still have left cumulative reserve levels belo ..... the targets set by Council. current projections are for 1991-92 water reserves to be about $0.1 million below last year's levels. The water fund has been under stress for a n~mber cf years since the start of a lengthy drought. Palo Alto's efforts in conserva tion have been very effective, and except for last year have resulted in a Rno penalty" operation. As a result of programs and direct support to customers, the conservation ethic is so strong in the city that targets for consarvation have b~en exceeded consis tently over the last year. This has led to a decline in sales which results in an anticipated revenue shortfall for this fiscal year of about $1.7 million. staff has carefully reviewed the operating and capital bUdgets to identify the impact of this shortfalL First~ since sales are down, 'IIIater purchas€s .... ill also be lower and appr-oximately $570,000 should be saved.. Operating expenses are anticipated to be down $250,000 due to vacant positions and a delayed start on the infrastructure work. Staff will review all current capital projects and. will likely reduce about $500, 000 from currently appropriated projects at year end. However, the ongoing position of the utility is not strong and the city should be prepared to shoulder-a significant rate increase as its supplier passes on whOlesale rate increases. AB'02 Rebate As reported in CM'R: 122: 92, AB702 has led to an IS-month elimination of the City"s employer-paid contribution 't-o PERS; the total savings of $547 million ($4.7 million General Fund, $1.0 million Enterprise Funds) ~ill be realized this ~nd the following fiscal years if the current legal challenges to AB702 fai 1. With the Leaque of California Cities still warning against spending the money before the litigation is reSOlved, staff is placing the rebate in a reserve. CMR:154:92 ,0 • o R'POU8ndatio ll st4ff recommends that the City council adopt the attached Budget Alnendment Ordinance containing adj ustJ!lents to revenues and expendi tures. Also appended are: Attachment 1: Budqet An:'.endment Ordinance Exhibit A: General Fund Adjustments Exhibit 6: Enterprise Fund Adjustment& Attachment 2: Capital Projects Summary Attachment 3: Index RBs~ctfUlly supmitted, /"', JI r If, J {C~· ~(~ El:iny IIAlIRISON D~ire"_to~_ W AM ZAN£R City Manager CMRnS4: 92 21 -. 11" 5.M o ATlAC_Nl 1 ORDINANCE NO. ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO AMENDING THE BUDGET FOR FISCAL YEAR 1991-92 'ro ADJUST BUDGETED REVENUES AND EXPENDITURES IN ACCORDANCE WITH RECOMMENOATIONS IN THE MID-YEAR REPORT WHER.ZAS. pursuant to the provisions of section 12 of Article III of the charter of the City of Palo Alto, the council on June 24, 1991 did adopt a budget for fiscal year 1991-92; and WHEREAS, after re'Jiewing the current budgeted revenues and expenditures for fiscal year 1991-92, adjustments tc the budget are ~ecommended to more accurately reflect year-end projections including revisions to the Municipal Fee Schedule. NOW, THEREFORE, the Council of the City of palo Alt~ does ORDAIN as follDws! pECTION +. The net sum of Six Hundred rwo Thousand Eignt Hundred Fifty Dollars ($60£,850) is hereby decreased in the budgeted revenues in the General Fund as displayed on Exhibit ~A~I 'Which is attached to this ordinance and incorporated her'ein by this reference. SECTION .2. The net sum of Three Thousand Four Hundred Eighty Six Dollars increased in the budgeted expenditures in displayed on Exhibit ~A·. Hundred ~enty Six ('$326,426) is herE-by the General Fund as SECTION 2.1. The budgeted repayment of General contingency Funds will not be needed, as no Advance Reserve funding was used in 1990-91.. This will increase the budgeted Reserve for Capital Projects by six: Hundred Fifty ThousaTid Dollars (S6S0. 000) as displayed on Exhibit "A". SECTION 2.:2. The General Fund Advances to Other Funds is decreased by Three Hundred Thousand Dollars ($300,QOQ) to reflect an additional payback from the Storm Drainage Fund. This transaction will increase the Reserve for Capital Projects by Three Hundred Thousand Dollars ($300~OOO) as dieplayed on Exhibit -A~~ SEC"r:rON I~ The Reserve for Capital Projects will increase. :by Two HlJ,ndred Twenty One 1'hausand Six f:lundred Sixty Four Dollars ($221,664), and the Reserve for Streets and sidewalks will decrease Two Hundred One Thousand Dollars ($-201,000)1 as displa)'ed on Exhibit -A-. SECTION L The net sum of Sixty Thousand Dollars {$60,OOO) is hereby added to the printing Services Internal Service Fund, and the Reserve for Retained Earnings in the Printing Services Internal Service Fund is hereby decreased. SECTION 5. The net sum of One: Million Five Hundred rClrty Two Thousand Five Hundred Doll~rs ($1,542,500> :s hereby reduced from water sales in the Water Fund c:nd Six Hundred Twenty Tvo Thousand Two Hundred Seventy four Dollars ($522 1 274) is hereby reduced from expenditures, decreasing the systeru Improvement Reserve Nine Hundred Twe.nty Thousand T\o.'o Hundred Tw'enty Six Dollars ($920~226) as displayed on Exhibit ~B~, which is att~ched to this ordinance and incorpor~ted herein by this reference. SECTION' 6. The sum of Tlro'o Hundred Eighty Three Thousand Ot:lllaI"s ,$283, OOO} .is added to Interest Income in the Electric Fund, and the sum of Thirty Six Thousand Four Hundred Eighty One Dollars ($36, 4B1) is reduced from expenditures in the Electric Fune, hereby increasing the Transfer Stabilization Reserve by Three Hundred Nineteen Thousand Four Hundred Eighty One Dollars ($319,481) as displayed on Exhibit "e". SECTION 7 a The net sum of Eight Thousand Eight Hundred Twenty Nina Dollars ($8,B29) is hereby reduced fran expenditures in the Gas Fund and the Syst~m Improvement Reserve is cor~espondingly increased, as displayed on Exhibit "B". SECTION B a The net sum of One Hundred Seventy Eight Thousand Eight Hundred Dollars ($178,800) is hereby reduced from "revenues in the Refuse Fund and the net sum of Sixty Four Thousand TWo Hundred Sixty Five Dollars ($64,26S) is added to expenditures, hereby reducing the System Improvement Reserve by Two Hundred Forty Three Thousand Sixty Five Dollars ($243,.065), as displayed on Exhibit ·8". SECTION 9. The net sum of One Hundred Eighty Thousand Dollars ($180,000) is hereby added to revenues in the Wastewater Fun~i the sum of Thirty Five Thousand Seven Hundred Eighteen Dollars ($35,718) is hereby reduced from expenditures, and the System Improvement Reserve is hereby increased by Two HUndred Fifteen Thous3nd Sever. Hu.ndred Eighteen Dollars ($215,718), as displayed on Exhibit ~B~~ SEC'!'ION 10. The sum of Eight Hundred Thousand Dollars ($800,000J in revenue is added from bond funding in the Storm Orainage Fund, and Ninety Seven Thousand Dollars ($97,0001 in Interest Income is added to revenues; the SUTh of Three Thousand Two Hundred Forty Nine Dollars ($3,249) is reduced from eA~enditureSi and Three Hundred Thousand Dollars ($300,000) is transferred to the General Fund as Loan PaybaCK h~reby increasing the System Improvement Reserve by Six Hundred Thousand ~o Hundred Forty Nine Dollars 'S600,249)~ as displayed on Exhibit "8". SECTION 11. The Council of the City of Palo Alto hereby finds that the enactment of the ordinance is not a project under the California Environmental Quality Act and, therefore, no environmental impact assessrr.ent is necessary. -----_. --","" "L - 1 -_:"1. .• I • I I , I -:.:::-, i ! I I I I I "'I ! .-,---, --' o ~.2H.....l..'-. As provided in section .2.04.) 75 of the Palo Alto Municipal Code, this o:-dinance shall become effective upon adoption. INTRODUCED AND PASSED: AYES: NOES: ABSTENTIONS: ABSENT: ATTEST: city Clerk APPROVED AS 'f0 FORM: Asst. City Attorney APPROVED: C.l.ty Manager Director of Finance Director of Public Wcrks D.l.rector of Util.l.ties APPROVED! Maj'or 91-2.14 _._---_. --- • EX~18JT A '~"r.-b·,n 'W"i>?' )ll;l1}'nr M}~r~M.$" Ut;t OojP<-t Ce''-~\~til>!'' c:~t<:ii t tc~it l3:":;ie't • -+ •• --~~.-'" _."_ + ". ··~+'_+"o _ •• c" ',. - --<""-"".'--.. --+~., E~fM! A ~liIItAAL (Wilt) UVf~E ,,, ..... ',I}1 tr':'(;:f.td 211.,0\]0 ~1'~~tlC'(l n03 ,k'$I!'(","~~ (l()2i'lIJ::OO H50 '~.:!t £,"~;JH' P~QP. C"r1",...y , 'f.ilc,~ ~O~,,):(;I) , (lCZOO!;lCQ 1181 $Gle-j t~ Ji..!i.IJ'On 1I0Z~O "'" Il':tor "¥li"'~ hI> 11.8,00\1 DOZ1lIXlCtl "'" tf!i:;J(l!.tt" TU H,Otlo O(IZl'Orn 1~(H "'~i~',e,t~ M,r.Cl.o wZronl) 1~J f:',,~Ur>9 \liet;u:i(),-,:s ~7.o)l)l) C'Om:e ... !) U()::3 ClIb!e fr·;v.-,~[j;~ Fw-HI!),':;\) WlUtUl) t!~< l.~ c:r:lt~'!"f~ 6,OC(l W2.61;{3IJ U:24 C~rlO'l'>f:I\;<:lVe, plill1 C!'l.li:~~ ru 2,COt oe<!6talll In? El'tVlr'~h' "'~!j"'~SA!I<'l1; "he ~a,OO() oez61n~ 11:2.a Sh1!" ~ fJe\io~!O(\ 'I}t' 2,Q.Ot) t\l'2M211! n» "~\';"';t4'C~"'I'"~' Ilto\ll~ k h,. ~~,Q':l(} O!:1U<~~ 13$.1 "l~l' Sl.#tivH;C,r, ~~ 4,004 t)tIm~4!,l ;,,, '!'C:-iJ"'~rr~ IA<>.;4f: rll~ ." il'I)2tl5=?JJl UHI G'-~f" ~S .. 7'51) OOle.t;?:S() 13-~S f\~.ll.!r ~lvf~iM ,~~ ~,(lfi{) ()t'J:~t.1~ ~3;7 I>~ i~"'G"~t: ~~t i:~'fl l,OI'.l<l-"'''' ... ~3b' l'i': •. \lt $jJl'.c:~U!ie ~I;)IOOC \h'f<'bt~£. " .. 'VAr! ~e PI!I'MJlf t 1~,OOC: OI:iZ1I3m 1)'9 A~I:;:I'".ed ,,~j,t:t A~t~t ~.aM «<lOOOOO ,,., tf\,t~r.-H Of'< Irrv~'t;~t:c!l 1{!i<OC~ • OOM'$5"P ,..,. ,. ... 0 S~~ ~t'''~r''/~ 1.100 OQC'J!iSi.iJ '!M9 C~H~ Shop ~,.,t:il{ ~IC"Q 00200000 ~~?Q F,!Icf~rW 1er'1t.#1 n,~r.l {lC:~~§I,.O 'IHa Cllall!1' (OQP C()t1.t,-i'c •• rdQI'I .35,{l<Jt; • OJ:>2~tll)iJ 1978 1"11.::; I it,! h!ljt 1r~ ~'e'f'$e 77,0011 ""',.... "'" W, i:;lt'f 13~,!)Oll 0(',-~'~T ""~ PIla.">l"s ~5,CQ(J """''''''' 1~1 I'rqpe-r"ty !1::£:riUl IO<':,OClQ • 003(~OOa 1603 I'J"Qf'erW ~t:f1t.\ 199,000 (;..rf)e~a l F...-d tellenvt .a89',SG\l 1,t.n,610 r6l:l;:,eSil) '~, Gi'ItE~"l F"Jj0 • UPfNS.E M2:~ ><>ro ~hhn C""t& £1i~I"IU' .oCC, cae • 00l,"""" " .. Ot"t~ c~tr-.tt !lttvi':H; 6,500 "",-m, 1..,4ttnity tM .... ' .. i\i::'! 0.0 .... le, ~fl 00a32110 "" l a~i t j ty 1~t.\.it .. r"';~ ~~11 /I:-'!i> ,,17> 1 oom1Hl 1IJ2,,~ 0025~ ", ..... 00'''''' 00275iilQi 00' ..... 002:a462Cl 00232110 00244530 002:50000 0026C'QOO 00270000 ()O2'75000 "'28OO<lO (l028333(l OOZflsnO 00346710 CItANr.E IN lI:E.seRVCS 0020000Q '102'JOOOO ''''' "'22 "" ti abi l; ty !nsura!'l(:t l~il LiOlcfllt)l Tl\Sur.r.::t fir..<;Jlo(:t Liabilft', In-;.urll!'lC~ P-.b. ~s. L 1Gb; LiW Insur-.ar"Ce ~l.rY'Ifr'lg LiabilitY Ir\iurar.::e ,"olire LiabilitJ' Ins<.lr·ar>Ce Fire Liilbility lnsur;vw::e C""",,. S-1"5 Libr"rf salK Tu l;iI!!'!icl4! ,..rntt!f\8r"Ct Hli Vd1fcle !rtII;ntenat'lC"~ St~res Vehicle ~alnunance PIo' Vef'licle ~",il">tffi./lnce r'lVVli"9 V~ide .IIil:irot~l"oI;e Pol iee VeI1iele lIrIl!intil!1"l6nc:t ~,rt v4!'l1icle ~af:""en.anc:. CS \,later Solltu C~r,eJ' \.later Sales Parls ;.ea,e ,..,.."110 till P~USO Capital r""ro'''eIIIe!1t /I~"'r ... e· GF ClIt1t i;->gfflCJ' lll'ptenis"'-'nent {Advv-.r;;e Res!!:rv~ nc t us~) payback: frm St"rrJl O .. air,a~e tjet C'n.!IIn<jjP to Reserve for Capital ProjK~o;. i?'9Y04)4[] 18'5"'540 2~5"1l 2!lSOOOO!;l Str~ts and Si6rNalk: ~es""rve· (GI'1tracc Services Interen E~e D"'PrKia.ti~ E)lpef\Se Reserw f.::Jr Rehil"ltd E~, nirl',rS I! ,2 .. 6 i5,~15 36,14l 15,995 69,3811 "3,mCl 56-,5'39 40,43,2 32:,1Z0 47,O!JO ]5,000 ',705 5':'3 61,":'8.9 1,'!iU eo ,C(J~ 100,OO~ 1,2?:J,136 2,199,472 nS,336 .650,000 n:!!,336 2IJI ,OCC bO,OOO ",: .. ,_,_~ ".~" •• , •• · ... ""l<!Qllif!t;1IIillr 3,6,4~ (92'9.336) 2i?'1,~ ,. ~ EXHIBIT 8 ... Acet Dwi t EIft'EItPRlSE FUJrjOS AdoIiIinisUatiOl"f 21721000 "" Lillbility l"sul";v.t:e Utl. AdiII. 2'1',120 21721110 ,"-' Advisory C"...issiOil [)lj:Ief1~"s 15,COO " """'" 191!l ~chi1"i. A!lo<: Rl'd..x:tion 12,nO ,"ater ll2OOi)Ol) " .. lIattl" Sales 1.7<:1,'>00 22200e00 ,. .. ""Bter Satil':'$ C;ty ol!pts. 18~.MIi 2222(1)00 ''''' lliltllf Purc~ilsH 56.1!,O'J() 22221000 "" Uabi I ity [l"I.$urar>c!!! "'''% =roo '908 Vi!11 ; c\ II! I\a; nten.v.ce C~arges 22,322 22221000 3910 ,I..j,,;n. Allot Reduction 2,162 22200000 ",)S De-ernse to sa 92~,2"6 Ueetric mooooo 1601 j"tenst on 1<w,.s;tIM~t!O 283,M!) D32100(l "" Liability lnsur.;no:;e ]1,139 2D21001l ]:;,0 Ac:i!lin. Alto.;: Reducti'On 5, Ji.2 lJlOO{\".,o 3eO? Inerea:>1! to TSA. 319,41l i + ... 24421000 534' liabHitv lru:ura~e 1e..052 ""'''00 '<>oa ile/li<::te l'Iaintenar'ICl! Charges 10,1 .. 9 Z442:,WV ,." Aanin. At(ex: ~edlJct;OI"I 1,92:6 ,"00000 ,... lncl'l!.!I:Se to J~ t, !2:11 Refuse ZS500000 '601 Interest CI'1 !n\lestr=ents 173,000 "'00000 1600 l.tr'ldfi II lease ~1!\l1!1"tI.;1! n,OOO >5500000 1650 PASCO I"ard Rent n,aoo Z5551i1Z1 C "" Li.w;(ity ll'lll:wranc:e 12',353 2S5~n'(J 3;'10 A!:hin. Alice: Reduction ", ", ..... ,.,. Rent to ~eI'ler.1 ''''''' n,ooc 25500000 , .... CtecreasC" tQ ~u 243,lJtlS Wutewatllr TreatPPlent '""""'" 100' I,..,t~~~t on II"I'IIllstlrlll!l"Its 217,0-00 ,-"", Intl!!'rest Inc:Qr'Ie Fiscal AIiI"'f1t 136,000 """-1706 Sollie r::( Shdsle "~h Revenue S.O,OGO '""""'" '<'4;' P,e ... ~ (rCII Fir.es/Farfeits. !lD, DDO U62'6110 "" l f ab i 1 i ty lr1swr!l,1C"P 28, WE 1 )9iO ,..,. !1.cniP'l. A'. lor.: lIeduc~i~ Incre-OIs.e to 51ft 'l/.ut-ater tl:i.lKtl~ Z67C0«Xl ,~! Interest ~ Inv~tll!le'1''1t' Z!ion'~ ~34) L i ab~ \ \ ~}' t~urMICe- 26721000 3910 Am,in. Alice loedxtfOr1 Sto,... e ..... i ...... Z77'OOOOO ,6Cl 2TrOOOOO lalia 1m7'810 3lIol ,moooo _ 27700000 3a2S Irw;:re-ol5e til 511 Inte ... est on Im'f'$.tnw-nt!. III1''''enue fl'-:lIPI lionds Li~ilit)l li'\$uro&n.:;;'I' lrocrnse tD 5lJi PaytoKll. to G~:'.l fl.T'ld / Ct~it Det!i t Ih.od~~t ................... ,>9 ~;'{I, 11)7 69,000 S, ?1Z 1,3X' 15,6~ 1 97,000 ~<1,CiOc, 1,:2':9 600,:2':9 ~~,OCO 1,7HiI,r.46 3,71",1.1.6 2 . ! -' I . " " , ~ . H z = H . : e .- N ! ~i o .. "'~' , _, . ...--.,"' ___ ~...,...,.,...,..,. ____ ,~_. ____ , •• ~ .•.•. ~ ..... __ ",-2~~-'· ~~§§~§§§§§~§§§§§§I!§ ~iiiiii~~~~iii~ii~-i ~~.-~.-.~~-.. ~~ .. ~ .. • N g~~~: C~ C; ",," ... O· _ .--co ,.. .. _ .... _ ... _.,_=_ .... -__ 1111l1li'., • .. . ~ ".'" <. , I'-~ "" ,.,.; ,-- ·r ,., .... ". J ~l :-:-:':~~W4kl;{~tJt,;i-(~~'.1;· . C..,U4l' I .. ~ ..... OJlKt. S~ ... ." ( "'ectlld 'roJacU Ow,. "00,000 ) Mid V.ar 1t..,1_, 1991-1992 1~"'itd!.2Wl;/:~,¥?;1IifI\I{;-:'.1 ,~~ il ftraJaet MfJuated hp ","ru '11/92 no Iudv;n future '1",.. FUllM"e P'ruJ_ En. Tata, ProJact fttle ,.-, ludgott to D.ta 6/30191 AetUCI{ lalance -.. allpWdltvI'W 'roJ. Ellfil. -------. _ •• _ •.. _ .•.•• _. -------..... ------_ ..•• --------••••• ----_ ....... ------. • •. _ ....... *". --------.,. -••. '.'" -----------... ,. _ .... _. *-* - ---- EIITfI'JlISE fUNDS W.II Sit. Jlehm. .. ,. 240,668 48,5'1 192,101 19~,101 240,_ I)/IWII. Park D .... I~t 8141 2,264,000 1,975,336 115,540 191.124-193,124 2,lM,OOO I··' ~, lab.I"Ik:HHI_ C studt .. ..., 494,Gal' \19,6"i6 19,848 3"i5,173 110,000 46!i,118 "',"" 0.. It.tlon I"'P"Q'II_t .. ,9 292,102 96,418 u 195,8054 195,_ 192,JOl Wllt.r Statim Il!prOYellltht 8923 235,* 112,754 '.L3,230 12],2lO Z35,9&io 0 OV4I""'" Rd.12 KV raed.r. 8931 9'iiD.OOO 435,489 102.145 411,/66 100,000 "in , 766 1,050,000 Geographic Info.5y.t_ ... , SM,150 4I!3.666. ',050 138,434-490,600 "',014 ',076,750 lIana.,., W..,. lZ 1('1 A~ltlan .,53 71i1,DOO 410,12] 56,923 ]27,954 )l7,954 197,000 fie.: tlll ... d 60tv UG Ctrell, 9054 2,909,990 14 .... 576 94,206 ;!,666,Z08 2,loo,OOO 4,9li6,lOIIi "i,M,99\) ",\cidlllflllid lIoad lJG ... , l,flST,OOO 1,787,5t1Z ". 69,114 69.114 1,857,000 ! DNt" !l.A. IJG Dl.trlel III ... '5Z ',~,OOO 12,582 925,220 &ll,1~ 6'1,000 902,198 1,&60.000 Watteutar .ect .... tlon .'" ]00,000 2';,052 25,999 248,~9 248,~9 lOO,ooo ! StD,.. u.ter Qu.llty '""roy "eo 500,000 63,913 111.]51 2]1,716 ~17,110 Soo,ooo Landfill ".rtlal Clnura 4 "00 97'i,OOO 1,835 " 971,150 973,150 Y1"i,OOO f I SUIiTOTiAoL ~""l17,1'96 5,121',5119 1,525,141 6,910,060 J,065,600 10,01'5,660 17,2&],30& t ~ . liater ,,,.In 'ap(.I!~t 8016 On-"oll'll! 502,211) , c •• "aln lI:aplat~t 80'. en·gofng 164,241 ! StOnl DraIn.;. I..,. ..,. Qn-';tolng 234,3'1'9 ) ~ Ele-IOtric Dlat.l"""o..--nt 89211 on-Quil'lll 764,_ 1 , U.!It_tllr Coli sY. Itehab. 9173 ! On-going 223,]19 I f rolAL,E.,t.rprhe ,~ P ... uJactli 14,Z17,7'96 5,7ZZ,589 ],614,262 6,910,060 '.065,600 lD,OJ"i,660 17,.!BJ,J96 ...................................................................................................................... , '," ATTACHMENT 3 1991"92 MIDYEAR FINANCIAL SIDO'.AR'lICAPITAL IMPROVEME~ PROGRAM (elP) FINANCIAL STATUS REPORT INDEX Report In Brief . . General Fund Summary Enterprise Fund summary General Fund Revenue and Expenditure Summary GENERAL FUND General Fund Revenues Sales Tax ~ ~ . Property Tax Utility User Tax Transient Occupancy Tax Other Taxes . Cigarette Tax .. Motor Vehicle In-Lieu Tax Revenue from Property Leases Fines and penalties .. .. .. .. .. Service Fees and Permits community Theatre Ticket Surcharge Cable Franchise Fee . Planning Revenue Golf Ccurse Green Fees . .. .. ~ Revenue from Use of Cperating Transfers Money and Property to the General Fund General FUnd Expenditures Salaries and Benefits contract Services Rents and Leases General Liability Savings Facilities and Equipment Purchases Allocated Charges .. . .. . • .. .. .. Equipment Maintenance Service .. watar Sales to City Departments CKR: 154: 92 1 1 1 2 3 4 4 4 5 5 5 5 5 5 6 6 6 7 7 7 7 7 7 8 8 B B 9 9 9 9 i I I , ... ,' -''''''.-,.,--,," ----._-o<'n .. · -)1 ;'( -1 :-',,".-'fi" .. o General FUnd Reserves Reserve for Capital projects other General Fund Reserves 4 Capital Improvemer.t Projects Fund Accounting for Print Shop Equipment Enterprise Fund Revenue and Expendit~re Summary ENTERPR!SE FUNDS Enterprise ~~nd Revenues Commodity Sales water hmd Interest Income Investments Income Interest Earnings from the Fiscal Agent other Revenues Refuse Ful".d • Landfill Lease Revenue PASCO Rent for city-OWned Operations Yard Wast~water Treatment Fund ~ • • ~ ~ . Sales of Sludgp.: Ash •. ~.... Revenue from Fines and Forfeitures Storm Drainage Fund . . . • Enterprise Fund Expenditures Salarie.s and Eenefits . 4 • utilities Advisory commission Expenses Allocated Charges .•• Equipment Maintenance Service Refuse Fund ~ 4 4 4 • CMR:154~92 2 ~-----'--.'''.' ",-,:' page 9 9 10 11 11 12 13 13 13 13 13 13 14 14 i. 14 14 i. i. 14 15 15 15 15 15 15 15 .,' ;!iJ t ,. , I -. 1992-199~ BUDGET IMPI,ICA.TIONS POLIC~ ISSUES _ Impacts or the Recession, State and county Budgets Sealth and Safety Mandates Environmental Compliance Refuse Fund Compliance with AB939 Source Reductio .. ] Requir-ements Americans with Disabilities Act (ADA) Regional Governance . • . . . Health Care Costs . . . . . . Water Fund Financial Pressures AB702 Rebate Recommendation CMR:154:92 3 ... _,...,...._ ... _. . ---'-, ---- " 16 17 17 17 18 18 18 19 19 19 20 20 21 '. \ , • t ~A\ •. ~ \. ~ t .-s;.~( t \ :':1 "-~ '.< __ ~, J _ . I-i ft, ~ . 1 . ! . , I , • I , • , • , • \ .. '~ i , I I· , " .. ~ ~I s· .. ;<1 '. ! .. , , , ~ j --~---------- ." : ~:, ":'} i . -___ L - [ =5 I r J [ .J i T .J - J -.or.!: J I TIl r r=~=====::~ r J r - l .1 l .1 I I J. f I r I [ ..... 1 Po ,I • _ ". __ J I 1 ~I --{ j -.'. -- . 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