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HomeMy WebLinkAboutPH 1 1991-92 BUDGET 08-19-91PUBLIC HEARING N0. 1 8-19-91 iAE N DA 0), 0 Inter-Corn SATE: AUGUST -14r 1991 , TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: WILLIAM A. HUSTON, CITY MANAGER SUBJECT: PUBLIC HEARING - 1991-92 BUDGET The attached staff report. submitted to the City Council at its last meeting contains the latest information available concerning the impact of the State budget on the City. As indicated in the report, except for allocating funds for any additional one-time (non-recurring) expenses, it is my recommendation that any further adjustments to the draft 1991- 92 budget be deferred until the mid -year budget review. Page three of the attached report describes the outstanding items which require a decision by the City Council concerning funding. Requests submitted by the Feedback Foundation and the Consolidated Transportation Agency are also attached. A resolution approving the budget is attached. The amount stated in the resolution can be adjusted to reflect whatever changes are directed by the City Council following the public hearing. WAH Attachments pubhear.wah 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION 91-106 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN CALIFORNIA, ADOPTING THE CITY BUDGET AND APPROPRIATING REVENUE OF THE CITY FOR THE FISCAL YEAR 1991-92. WHEREAS, in accordance with Section 1415h of the Tustin City Code, the City Manager has prepared and submitted to the City Council a Proposed Annual Budget for the 1991-92 fiscal year, beginning July 1, 1991; and WHEREAS, the City Council, as the legislative body of the City, has reviewed this proposed budget. NOW, THEREFORE, the City Council of the City of Tustin does hereby resolve, determine, and order as follows: Section 1. A certain document on file in three (3) copies in the office of the City Clerk of the City of Tustin, being marked and designated "City of Tustin Draft Budget 1991-92". Said document, as prepared by the City Manager and reviewed and adjusted by the City Council, is hereby adopted for the fiscal year commencing July 1, 1991. Section 2. The following sums of money are hereby appropriated from the revenues of the City of Tustin for the purposes stated, during the 1991-92 fiscal year. GOVERNMENTAL FUNDS APPROPRIATION Normal Operations Budget $ 26,145,300 Capital Improvements 16,003,552 TOTAL APPROPRIATION GOVERNMENT FUNDS $ 42,178,852 Water Enterprise: Operations $ 41837,115 Capital Improvements 31527,667 Debt. Service 751,044 TOTAL APPROPRIATION WATER ENTERPRISE $ 91115,826 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 PASSED AND ADOPTED at a regular meeting of the City of Tustin, California, held on the 19th day of August , 1991. Charles E. Puckett, Mayor ATTEST: Mary E. Wynn, City Clerk STATE OF CALIFORNIA) COUNTY OF ORANGE) SS CITY OF TUSTIN) CERTIFICATION FOR RESOLUTION NO. 91-106 Mary E. Wynn, City Clerk and ex -of f icio Clerk of the City Council of the City of Tustin, California, does hereby certify that the whole number of the members of the City Council is five; that the above and foregoing Resolution was duly and regularly passed and adopted at a regular meeting of the City Council held on the 19th day of August, 1991 by the following vote: COUNCILMEMBER AYES: COUNCILMEMBER NOES: COUNCILMEMBER ABSTAINED: COUNCILMEMBER ABSENT: ami tybdgt .91 Mary E. Wynn, City Clerk OLD BUSINESS NO. 5 8-5-91 GENDA_ Inter -Com LiATE: AUGUST 1, 1991 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: WILLIAM A. HUSTON, CITY MANAGER SUBJECT: 1991-92 DRAFT BUDGET RECOMMENDATION: That the City Council set August 19, 1991 as the date for a public hearing on adoption of the 1991-92 budget for all funds. DISCUSSION: The City Council has conducted three workshops on the draft 1991-92 budget. Due to the uncertainty about the State budget and its impact on the City's budget, the City Council decided to defer action on the City budget. The State has adopted its budget and staff is now able to identify the impact of the State budget on the City's general fund. The only outstanding issues at the State level affecting the City's budget are the jail booking fee and property tax collection fee. It had been anticipated that the Governor and Legislature would support repeal of these fees through the State budget process. Unfortunately, they decided to defer any action until the Legislature reconvenes this month. The State League of California Cities is hopeful that these fees will be repealed, but, there is no reason to assume that this will happen. The adopted State budget causes an additional net reduction of $108,000 in General Fund revenue. The reduction is derived from: ■ Loss of 47% of the $ ( 65,000) City's cigarette tax subvention ■ Loss of one-half of the ( 243,000) City's non -parking fines ■ Increase in sales tax due to 200,000 extension of sales tax to snack foods, newspapers, etc. NET LOSS $ 108,000 N City Council August 1, 1991 Page two The loss of $308,000 in fine and cigarette tax income will be allocated back to the County for the funding of trial courts. The projected increase in sales tax is based on the City's estimated share of the anticipated. amount to be collected State-wide. There is no way to project the City's share of the increased sales tax other than using a ratio of sales tax currently collected by the City to total sales tax collected State-wide and applying the ratio to the projected sales tax amount State-wide for snack food, newspapers, etc. When the jail booking fee and property tax collection fee (included as expenses in the draft budget) are taken into account, the State has taken $408,000 in City general fund revenue to fund State and County services. Listed below is a summary showing the impact of the State budget and other revisions to the projected 1991-92 General Fund balance: ■ Draft 1991-92 budget projected $ 31627,754 6-30-92 balance ■ Add 1990-91 revised expenses 195,000 and revenues ■ Add 1991-92 reimbursement to 134,000 City from Great Western Reclamation (recycling program) ■ Deduct loss of 1991-92 cigarette ( 65,000) tax subvention ■ Deduct loss of 1991-92 fine (243,000) revenue ■ Add 1991-92 sales tax revenue 200,000 (snack food, newspapers, etc.) ■ Revised 6-30-92 General Fund $ 31848,754 balance The increase in the projected fund balance is due to adjustments for non-recurring revenue being higher than recurring revenue. As pointed out above, due to the State budget, projected General Fund recurring revenue is $108,000 less than shown in the draft budget. With the above adjustments, the draft 1991-92 General Fund budget remains balanced (projected recurring revenue exceeds budgeted recurring expenditures by approximately $42,000). The projected fund balance exceeds the 15% reserve policy established by the City Council. City Council August 1, 1991 Page three Except for allocating funds for any additional one-time (non-recurring) expenses, it is my recommendation that consideration of any adjustments to draft 1991-92 General Fund budget be deferred until the mid -year budget review. This will put the City Council in the position of knowing whether the jail booking fee and property tax collection fee will be repealed (saving the City $300,000) and having six months of information on expenses and revenues. Based upon the budget workshops to date, the following are items which require a decision by the City Council concerning funding: ■ Consolidated Transportation Agency $ 11840 (supplemental to the $5,455 included in draft budget) ■ Feedback Foundation 181,917 (senior meals program) ■ Community groups Unknown (The City Council allocated $ 34,000 in 1990-91) ■ Southwest Neighborhood Improvement To be determined Program - special programs The Consolidated Transportation Agency and Feedback Foundation presumably will attend the public hearing on the budget to speak to their requests. As a matter of policy, the City Council has allocated a fixed amount of funds for community groups and then appointed a committee to recommend how the funds should be distributed. If the City Council decides to appropriate funds for the Consolidated Transportation Agency, Feedback Foundation and/or community groups, I would recommend that General Fund reserves be used with the understanding that non- recurring revenue is being used. This would establish as a matter of City Council policy that these groups should not expect that City funding will automatically be available each year. With regard to the Southwest Neighborhood Improvement Program, the draft budget includes a substantial commitment of funds in the form of personnel costs (police, public works and community development). Staff will be submitting a recommendation to the City Council at a later date concerning supplemental funding for any special programs (youth sports, child care, etc). wAH 9192budg.wah w . • a . Inter -Com IN" ,ATE: July 10 , 1991 TO: WILLIAM A. HUSTON, CITY MANAGER FROM: COMMUNITY SERVICES DEPARTMENT SUBJECT: FEEDBACK FOUNDATION REQUEST FOR FUNDING, 1991/92 BUDGET Pleasure of the Council. PIANO A-0- ; 1. Approve supplemental budget request for $18,917 to fund both congregate site and home delivered meals for seniors and home bound citizens with the recommended conditions. 2. Fund only $9,986 for congregate site meals with the recommended conditions. 3. Fund only home delivered meals for $8,932 with the recommended conditions. 4. Deny funding for both programs. FISCAL IMPACT: As the Council is aware, no funding for the Feedback Foundation is in the 1991/92 Budget. If the Council wishes to fund both programs, a supplemental budget request of $18,917 would have to be approved. •�: e�: • u.�� Feedback provides a daily hot meal program for Seniors at the Tustin Area Senior Center and delivers meals to seniors and homebound people in Tustin. There is currently no funding proposed in the 1991/92 Budget for either program. -Last year the Council appropriated $16,376 to the Feedback Foundation to provide services for the Tustin Seniors at home and at the Senior Center. An additional $2,300 was raised for the program by the Congregate Site Manager. . 96 V- The Feedback Foundation met with staff on June 11, 1991 regarding a request for funding for 1991/92. The request from Tustin is as follows: $9,986 for congregate site $8,932 for home delivered meals $18,917 total requested Staff feels support of the program is justified, and suggests that controls over distribution of the money be w the the e following Staff recommends that the funding be granted conditions: 1. Staff suggests that the amount be divided up over a 12 month period and that payments would be made on a y basis, and based upon the actual meals served. The current reporting format used for the congregate site, adequately documents the program activity on a monthly basis. However, the home delivered meals component has had no previous relationship in reporting to the staff. This should be a requirement. 2. More detailed reports for home delivered meals should be given to staff and include the following information: the number of clients; the number of new clients each month; the number of total meals delivered; the number of clients receiving more than 1 meal per day. 3. Staff should have the opportunity to review and comment on information outlining home delivered meals procedure. The necessary information should include eligibility criteria, assessment methods, and discharge protocols. The Feedback Foundation should also consult the Congregate Site Manager regarding discharge of home delivered people, and subsequent integration of these people into the Senior Center based program. SUMMARY: : While the Feedback Foundation has clearly expressed that a lump sum payment is much preferred to payments in arrears, staff iiscal solvency and s concerned about the Organization's that funds provided in advance could be forfeited if the Foundation defaults. By paying on a monthly basis, the staff could prevent unnecessary loss of money. This program is vital to senior well being and is an important part of the Senior Program. Staff is willing to work with Feedback regarding implementation of the conditions and feels confident the suggested guidelines will insure and protect the City's investment. Susan M. Jones Roylee A. White, Director Recreation Superintendent Commu t & Administrative Services SMJ/svr PROJECT T L L OR4 Sponsored by COUNTY Inc• Feedbag. Foundation' -- 1200 N. KNOLLWOOD CIRCLE • ANAHEIM, CA 92801 • (714) 220-0224 June 19, 1991 it U IV r,. AO Royleen White, Director Administrative Services `_:i`;��^ City of Tustin 15222 Del Amo Tustin, CA 92680 RE: Request for Financial Assistance for Congregate and Home Meals Program FY 91-92 Dear Royleen: Thank you for presenting our request to Tustin City Council for financial assistance for 1990-91 Project TLC's nutrition and supportive services provided to Tustin seniors. Your efforts on behalf of both the Home Meal and Congregate Program are appreciated by our staff and the participants who benefit from your support. As it was so late when we finalized our funding for Tustin FY 1990-91, we are only now able to approach our fiscal year 1991-1992 program operation in Tustin -- Home and Congregate Services. Without_ the necessary operational funds we would have had to seriously curtail or shut down one or both programs. It made no sense to request funding for 91-92 until we knew where we stood in 1990-91. As we indicated previously, in order to continue to provide these services, Feedback has had to look for a broader base of financial support than just Federal support, participant donations, and community fund raising. We do recognize the pressures on each city to support programs and services with limited resources. However, in order to continue both programs we, too, are requesting funding from the City of Tustin as we have from all host cities for fiscal year 1991-1991. The total amount requested for both the Congregate and Home Meal Program is $18,918.00. This amount represents 13% of the total program costs of $144,187.00 for nutrition and supportive services for the Tustin senior population. Tustin is being asked to provide 574- per meal for the projected 33,400 meals to be served next year. Of the 315 unduplicated seniors Royleen White June 19, 1991 Page 2 of 2 who will receive services, over 90%. are considered to be in the moderate or lower income range of which 75% are living at or below SSI income level of $7,800.00 a year. Thirty-eight per cent are 75 years of, age or over and 5% are ethnic minority. As each program serves a somewhat different senior population I have included two attachments which clarify the funding requested and projected services by individual program. The budget for Tustin, as with our total Congregate and Home Services Program reflects staff cuts and reductions, again, in order to curtail our rising costs from sources we cannot control i.e., raw food costs, paper products, gas, maintenance and repair. We are operating on a "bare bones budget" with regards to staff. We feel that we are lucky to have very dedicated staff who are continually asked to do more with less. As I am unsure of the avenue through which to make this request, I am addressing it -to you with a copy to City Council members. If you have any questions or need further information, please call Sharon Phelps or Ron Gray at (714) 220-0224. Respectfully, FEEDBACK FOUNDATION, INC. .46hjum.si(9 Sharon S. Phelps Operations Manager SSP/np Encl. (2) cc: Mayor Charles Puckett Council members Jim Potts,, Leslie Pontious , Earl Prescott, Richard B. Edgar 'EEDBACK FOUNDATION, INC. CITY OF TUSTIN Project TLC Budget (Nutrition & Supportive Services) JULY 1. 1991 --> JUNE 30, 1992 Tota 1 EXPENSES: Hone Neal Congregate Nutrition Costs Amount Requested Program Costs Program Costs Program 15,400 Meals 182000 Meals 33,400 Meals City of TUSTIN TUSTIN TUSTIN TUSTIN )IRECT COSTS: Salaries & Benefits/Site-- $ 4,070 Site Manager .....••..•.......•• $ $ 13,011 $ 13,011 51916 5,916 Site Aide ..................... 59916- 21575 0 Delivery of Meals ............. 21575 0 Telephone... 480 480 Caseworker - home meals........... 3,167 3,167 11947 Delivery - home meals.........'... 6,985 6,985 63,985 SUBTOTAL DIRECT COSTS .••..••••••$ 10,152 $ 212982 $ 32,134 $ 18,918 ADMINISTRATION/KITCHEN COSTS: Personnel .......................$ 122987 122088 259075 - 0 Contract Payroll ................ 929 19272 2,201 0 Rent & Utilities ................ 61302 71131 13,333 0 Building Repair & Maintenance ... 12190 1,456 2,646 0 Vehicle Operations: .as & Repairs .................. 11863 21377 43240 0 .surarce ....................... 1,352 13568 21920 0 Raw Food &Meal Related Supplies ............... 28,028 24,120 523148 0 Co=unications .................. 127 215 342 0 Office Supplies ................. 319 588 907 0 Equip-me^t Lease ................. 23508 2,911 51419 0 Other Operating Expenses -- Audit, Travel, Volunteer hxpenses, Etc . ................. 1,272 1,450 2,722 0 SUBTOTAL ADMIN/KIT. COSTS ..... $ 56,877 $ 559176 $112,053 $ 0 TOTAL PROGRAM COSTS ...............$ 67,029 $ 77,158 $144,187 189918 (Cost Per Meal) .................$ 4.35 $ 4.29 $ 4.32 $ .57 I I . INCO?E : Federal Grant ...................$ 38,184 $ 30,692 $ 68,876 USDA ............................ 8,741 10,217 18,958 Senior Donations ................ 10,164 259737 35,901 Other Donations & Fundraising ... 1,007 527 1,534 **City of i'-;!�tin................... 8,933 9,985 18,918 L INCOME ......................$ 67,029 $ 77,158 S144,187 S **In addition, the Citv of Tustin rrc•:ides the facility and utilities for .the Corlrel..:c ''eal Prr_ 7n. O .-i 4-) 4-) O � O N U •ri i4 O �x o (z rd U 4-) Q1 O S4 r. 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V -rq 00H a O V ro A a a ani a W h a N 0 E-+ .Q o a U w O �4 N •� h 4-) b5 ro C4 En ?� U S4 E{ -- a� 044) >1 a~ � O N E 4J 4J H 3-1 cn O o b •ra W U o P i 4 ?+ W b J~ • N O H O O ro .. +J O O -r-i f~ cd O UI .J T3 cd 3 00 x z cd z r -i p U) N U O%. .,A O� > .r{ ►4 t— O U UI •ri N a Sa r -i V)- 4-) -r-I (Z +) (n ?+ a �v E r-+ 3 ro n� • O 4-) (13 ::J-4 Ln Q) M U > awUwar- wro to b � •ra w O .-i 4-) 4-) O � O N U •ri i4 O �x o (z rd U 4-) Q1 O S4 r. UI � r• -I U � f� fd : 4-) �4 4-) O N P4-)4 o 4-) •� N M >~ 4-) �4 N -r•t U) 04 W U] 5 ``'' • r'1 4-) •� a� 4-3 r-qroa)ul -H > -r-I •ri U) �4 O r -i U) b 4 040 O ra U) r -i N - R'S 44 3 -ri � O -N O ms~a cn O cn cd U O N N ��� 4-) a� 0) (1) 44 s4 4-J r+ o U) 4-) U ::3 N 4a O o r-+ O ,U a� a� m a� •ri �4 O b �4 S4 S4 U b O O 44 • r♦ r -'i O RS 3icnO .C2 -r-i M•ra4-) Q -ri �4 4-3 cn r--1 -ri -ri �4 (Z 4-J w a) E , XE: July 10 1991 Inter -Com TO: WILLIAM A. HUSTON, CITY MANAGER FROM: COMMUNITY SERVICES DEPARTMENT SUBJECT: 1991/92 FUNDING REQUEST FOR CONSOLIDATED TRANSPORTATION SERVICE AGENCY (CTSA) RECOMIENDATION: Pleasure of the Council. 1. Provide only the funding proposed in the 1991/92 budget ($5,455), and reduce service. 2. Approve supplemental funding request of $1,840 to provide full service for the entire contract amount of $7,295. FISCAL IMPACT: This year's CTSA contract fee is $7,295. Only $5,455 is proposed in the 1991/92 Budget. To continue full service, the Council must approve a supplemental budget request of $1,840. Consolidated Transportation Service Agency (CTSA) provides transportation for senior adults to attend programs at the Senior Center. This year the Agency is requesting $7,295 which is a 30 percent increase. CTSA is requesting an additional $1,840 this year to cover increased operational costs and to provide additional service. Since only a portion of the money has been budgeted, to continue full service the Council would have to approve a supplemental budget request. Staff has contacted CTSA regarding what the consequences would be if the full amount was not funded. The Agency reported there would be a reduction in service. There could be some flexibility. The City could determine how the service would be reduced. Those cutbacks could include reducing one day of service per week, or to only provide service through a portion of the year, approximately 9 months. Staff feels comfortable that they can work with the Agency to work out the details. Approximately 31000 seniors are transported each year to programs at the Center. Staff feels that support of the program is justified, however, periodic reports should be given to staff. Currently reports are only sent annually. CTSA has the computer capabilities to provide more data,and have agreed to do so. Staff needs a decision quickly as the Agency is requesting that all contracts be in as soon as possible. The Agency has provided a certificate of insurance in the proper amount naming the City as additional insured. Susan M. Jones Recreation Superintendent Royleen A. White, Director of Community and Administrative Services