1 city manager’s proposed budget for fiscal years 2010 and 2011 city of palo alto finance...

21
1 City Manager’s Proposed Budget for Fiscal Years 2010 and 2011 City of Palo Alto Finance Committee May 13, 2009 General Fund Capital Improvement Program Public Works Department – General Fund Administrative Service Department

Upload: eugenia-parker

Post on 28-Dec-2015

213 views

Category:

Documents


0 download

TRANSCRIPT

1

City Manager’s Proposed Budget for Fiscal Years 2010 and 2011

City of Palo AltoFinance Committee

May 13, 2009

General Fund Capital Improvement ProgramPublic Works Department – General FundAdministrative Service Department

2

Proposed Budget FY 2010 & 2011 CIP Committee Process

CIP Committee began meetings in September 2009 Identified completed projects in the current year that

had remaining appropriations that could be returned to reserves $4.5 million returned to reserves $2.9 million returned to Infrastructure Reserve

Reviewed prioritization criteria Reviewed of projected Infrastructure Reserve

Balance Reviewed current capacity-staff’s ability to start and

complete projects as budgeted

3

Proposed Budget FY 2010 & 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

4

Proposed Budget FY 2010 & 2011

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

When new projects are added other projects are deferred

5

Proposed Budget FY 2010 & 2011

FY 2010 General Fund CIP Budget

Buildings and Facilities $ 5.3 million Parks and Open Space $ 0.7 million Street and Sidewalks $ 2.1 million Miscellaneous $ 2.9 million

Total FY 2010 General Fund Projects $ 11.0 million (includes $55.8 million reimbursements) Proposed Project Budgets $ 67.2 million Less reimbursements ($ 56.2 million)

Total Net General Fund CIP $ 11.0 million

6

Proposed Budget FY 2010 & 2011

FY 2011 General Fund CIP Budget

Buildings and Facilities $ 6.3 million Parks and Open Space $ 2.0 million Street and Sidewalks $ 2.5 million Miscellaneous $ 2.2 million

Total FY 2011 General Fund Projects $ 13.0 million (includes $4.5 million reimbursements) Proposed Project Budgets $ 17.5 million Less reimbursements ($ 4.5 million)

Total Net General Fund CIP $ 13.0 million

7

Proposed Budget FY 2010 & 2011 Infrastructure Reserve (IR) Five year projection

Infrastructure Reserve Projected Balance

-2,000,0004,000,0006,000,0008,000,00010,000,00012,000,00014,000,000

2010 2011 2012 2013 2014

Fiscal Year

Bal

ance

8

Proposed Budget FY 2010 & 2011

Major Projects - FY 2010 Downtown Library Improvements (Measure N): $3.5 million

Mitchell Park Library & Community Ctr(Measure N): $47 million

Civic Center Improvements: $4.2 million

Annual Street Maintenance: $1.8 million

Annual Sidewalk Repairs: $0.8 million

Jr. Museum & Zoo New Bobcat Habitat: $0.5 million

Downtown Tree Grates: $0.3 million

Ventura Community Ctr. & Park: $0.2 million

Rinconada Pool Plaster: $0.2 million

Baylands Emergency Access Levy Repair $ 0.2 million

9

Proposed Budget FY 2010 & 2011

FY 2010 - Other General Fund Projects Art in Public Places - $50,000

Fire Apparatus Equipment - $69,000

Replacement of Gym B Bleachers (Cubberley) - $56,000

Building System Improvements - $100,000

Dimmer and Lighting System Replacements - $145,000

Children’s Theater Audio/Visual/Monitoring System Replacements - $100,000

Roofing Replacements - $150,000

Ted Thompson Garage Improvements - $67,000

Open Space Lakes/Ponds/Trails Maintenance - $166,000

Street Light Improvements - $120,000

Los Altos Treatment Plant site 3rd and final payment -$2.2 million

10

Proposed Budget FY 2010 & 2011

Proposed Project Funding Sources FY 2010 Measure N Library Bonds: $50.5 million General Fund: $3.7 million Infrastructure Reserve: $11.0 million Enterprise Funds: $0.1 million Gas Tax: $0.8 million California Ave Parking District: $0.1 million Others: $0.6 million

11

Proposed Budget FY 2010 & 2011 Infrastructure Reserve

FY 2010 General Fund contributions - $10.9 million $8.7 million for on-going replacement and rehabilitation

$2.5 million designated for individual projects $1.2 for Salary and Benefits

$2.2 million for 3rd and last payment on LATP site

FY 2011 General Fund contributions - $10.2 million $10.2 million for on-going replacement and rehabilitation

$0.5 million designated for individual projects $1.2 for Salary and Benefits

IR can support the current five-year plan $1 million year end budgeted transfer suspended in FY 2009 and

FY 2010, resumes in FY 2011 Infrastructure Reserve is projected to be below $3 million in FY

2011

12

Proposed Budget FY 2010 & 2011

Update to Backlog Report Initial Backlog Report

Total Backlog (20 years) $ 455,220 2008-12 GF CIP appropriations ($ 50,622) Total Unfunded Backlog 2008-12 $ 404,598

Updated Backlog Report Total Backlog (20 years) $ 449,949 2009-13 GF CIP appropriations ($ 64,164) Total Unfunded Backlog 2009-13 $ 385,785

13

Proposed Budget FY 2010 & 2011

Questions

14

Proposed Budget FY 2010 & 2011 Department Changes

Public Works DepartmentRevenue Increase Plan Check Fee: $ 52,500 Increase Building/New construction permit revenue $ 30,000 Decrease street opening permit revenue ($122,000) Allocated Revenue Decrease in FY 2010 ($138,000) and increases in

FY 2011 $46,000

15

Proposed Budget FY 2010 & 2011 Department Changes

Public Works DepartmentCitywide Changes

Personnel Benefits Costs increasing $325,000 in FY 2010 and $178,000 in FY 2011

Allocated charges decrease ($304,000) in FY 2010 and increase $106,000 in FY 2011

Expense Reallocate 4.0 FTE to Capital and Storm Drain Fund

($414,000) Increase salary/benefits expense 0.24 FTE ASD personnel

reallocated to PWD $ $32,000 Increase supplies/materials for graffiti removal $4,000 Increase facility maintenance for backflow device testing &

repair $15,000 Increase facility maintenance supplies $67,500

16

Proposed Budget FY 2010 & 2011 Department Changes

Public Works DepartmentService Level Reductions

Elimination of 1.9 FTE Engineer, Engineering Technician III ($226,000) Savings strategy#1 Impact: Service level impacts for these eliminations are expected to be

mitigated by reduced service demands due to the current recession

Second Tier Reductions Elimination Tree Trimming Contract ($379,000)

Impact: May result in transferring responsibility for routine tree trimming in parking strips to property owners. Would require a change to policy and municipal code. This would not impact Utilities line clearing or emergency tree trimming/clearing

OR Contract Out Tree Trimming

Net Expense Reduction: ($46,000) Elimination of 1 FTE

17

Proposed Budget FY 2010 & 2011 Department Changes

Administrative Services Citywide Changes Cost Plan Revenue decreasing ($588,000) in FY 2010 and

increasing $131,000 in FY 2011 Personnel Benefits Costs increasing $134,000 in FY 2010 and

$128,000 in FY 2011 Expense Eliminate 2 FTE –Accounting Specialist & Storekeeper

($177,000)- Savings strategy#1 Reallocate 5.2 FTE to Enterprise Funds ($625,000) Increase temporary salaries $30,000 Decrease non-salary expense ($101,000)–Savings strategy #1

18

Proposed Budget FY 2010 & 2011 Department Changes

Administrative Services Printing and Mailing Internal Service Fund

Citywide Changes Cost Plan expense decreasing ($17,000) Personnel Benefits Cost decreasing ($49,000)

Revenue Decrease printing/mailing service revenue ($52,000)

19

Proposed Budget FY 2010 & 2011 Department Changes

Administrative Services Technology Internal Service FundCitywide Changes Cost Plan Expense decreasing ($49,000) in FY 2010 and

($84,000) in FY 2011 Personnel Benefits Costs increasing $33,000 in FY 2010 and

$5,000 in FY 2011 Revenue Increase reimbursements from City departments $217,000 Reimbursements for CIP decreases ($6.1 million) in FY 2010 and

increases $1.1 million in FY 2011Expense CIP expense decreases $2.8 million in FY 2010 and increases

$2.5 million in FY 2011 Decrease in non-salary expense ($531,000)-Savings strategy#1

20

Proposed Budget FY 2010 & 2011 Department Changes

Administrative ServicesGeneral Benefits/Insurance and Retiree Health

Internal Service Funds

Increase in pension expense $0.5 million Increase in medical expense $1.2 million Increase in other benefits $0.5 million Increase in citywide retiree medical $0.7 million

General Fund contribution suspended $ 2.1 million in FY 2010 and resumes in FY 2011

21

Proposed Budget FY 2010 & 2011

Next Meetings

May 19 – Public Works Enterprise Funds, Attorney’s Office, PWD Internal Service Funds, and related CIP

May 26 – Municipal Fee Schedule, Contracts greater than $85k , Wrap-up