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HomeMy WebLinkAboutItem 10- Budget AdoptionFiscal Years 2025-2027 Budget Adoption June 3, 2025 Agenda 10-Year Fiscal Sustainability Strategy (FY 25/26 — FY 36/37) Projected New Revenue — Not Included in Budget Year 1 and Year 2 General Fund Reserves and Land Sale Proceeds Fund z General Fund Major Revenue and Expenditure Overview 5. Capital Improvement Program Summary 6. Recommendations Fiscal SustainabiLity Strategy 10-year Plan (FY 25/26 — FY 36/37) GOAL: To achieve sustainable alignment of on -going revenues with on -going expenses within 10-years OBJECTIVES: Increase on -going General Fund Revenues Advance development of City owned property to generate additional recurring sales tax and property tax revenues Decrease on -going General Fund expenses Achievement of UAL paydown policy goal and reduce expenses Utilize projected one-time revenues to fund: a) General Fund Reserves minimum 15% fund balance level b) Paydown of unfunded pension liabilities c) Operations and programs, if needed to maintain existing service leve is Projected New Revenue Not included in proposed budget Confluent Senior Care (6 acres) 150 E. 1st Street (0.4 acres) Pacific Center East (11 acres) N-G Residential (61 acres) Cornerstone II (52 acres) FY 25-26 FY 26-27 FY 28-29 FY 27-28 FY 28-29 Proceeds may be a potential replenishment to the General Fund's reserves. New developments generate additional recurring revenues for the General Fund to support on -going City programs. WOMIM Beginning Fund Balance GENERAL FUND LAND SALE $ 29,387 $ 85,954 Operating Revenue 95,345 2,000 Operating Expenditures 98,890 7,524 (3,545) (5,524) Net Operating Change YEAR 1.Non-Recurring Items: ARPA Funding 708 FY25�26 Land Sale Proceeds Capital Improvement Projects (CIP) 42,100 (22,277) Furniture and Fixtures (132) Transfer -in From Land Sale Proceeds Fund to Maintain 20% Reserve Level 5,260 (5,260) Budget Optional Pension and OPEB (4,320) Required Pension UAL (7,205) Temporary Emergency Shelter (1,485) PD Mobile Digital Computers (MDC) (234) PD Body-Worn/In-Car Cameras (900) PD Locker Room Remodel (1,000) GF Reserve % to Operatina Expenditures 20% YEAR 2:0 FY 26-27 Budget FY 2026-2027 Proposed Fund :. • & Land Sale Proceeds• • GENERAL FUND LAND SALE $ 21,088 $ 90,439 Beginning Fund Balance Operating Revenue 98,161 2,000 Less: Operating Expenditures 104,708 6,942 (6,548) (4,942) Net Operating Change Non -Recurring Items: Capital Improvement Projects (CIP) (8,125) Water Loan Repayment 714 Furniture and Fixtures (77) Vehicles and Equipment (1,000) Transfer -in From Land Sale Proceeds Fund to Maintain 20% Reserve Level 6,835 (6,835) Required Pension UAL (7,709) Temporary Emergency Shelter (1,557) PD CAD/RMS Dispatch System (1,300) PD Body-Worn/In-Car Cameras (600) PD Locker Room Remodel (1,000) GF Reserve % to Operating Expenditures 20% Year 1 General Fund Revenues Other Revenue. Non -Recurring, $6.0 , YEAR 2 General Fund Revenues Non -Recurring, YEAR 1m. General Fund Expenditures Recurring Expenditures: PArcnnnal — 0,al nriAc and Nan -Recurring, YEAR 2m. General Fund Expenditures Recurring Expenditures: Nan -Recurring, Capital Improvement Program Overview FY 25-26 CIP budget $58 million, 35 projects FY 26-27 CIP budget $32 million, 17 projects. Project details can be found in CIP section of budget book Capital Improvement Program (in millions) $25.8 8" $6.3 $1.7 $1.6 __M a_ FACILITIES PARKS TRAFFIC/STREETS WATER LEGACY FY 25-26 FY 25-27 UNFUNDED Recommendations Adopt year 1 (FY 25-26) of the Biennial Budget for FY 25-27 Adopt FY 25-26 GANN limit 3. Adopt FY 25-26 Housing Authority's budget 4 Update the related citywide salary schedule and position control /OOOOO—=MWO= N UJII Remembering what connects us. Thank You! 4 w ie