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2022-10-18 CC Agenda Packet - PRESENTATION - ITEM D13 - FY 2021-22 Budget Year-End ReportOctober 18, 2022 CITY OF ELSEGUNDO 1 Sales Tax $12, 250, 000 $131374, 232 $ 1,124, 232 109% 2 Business License Tax $11, 750, 000 $11, 616, 606 $(133, 394) 99% 3 Property Tax $9, 882, 525 _ $10, 008, 587 _ $1261062 101 % 4 Transient Occupancy Tax $814207000 $12,267,534 $3,847,534 146% 5 Chevron Tax Reso Agree $6, 600, 000 $7, 322, 517 $722, 517 _ 111 % 6 Utility Users Tax $632891500 $81541,409 $27251,909 136% 7 Charges for Service $4,755,511 $5,286,054 $5301543 111 % 8 Transfers -in $47013, 235 $2, 011, 733 $(2, 001, 502) 50% 9 _ _ Franchise Tax $31000,000 $318537865 $8531865 128% 10 Other Revenues $21817, 770 $21.606, 891 $(210, 879) 93% 11 I ntergovern Revenues_ _ $2,178, 909 $2.1641809 $(14,100) 99% 12 License & Permits $1,825,000 $1,910,715 105% 13 Interest & Rentals $7267250 $118957153 _$85715 $1,1681903 261 % 14 Fines & Forfeitures $2943000 $373,425 $79,425 127% Total General Fund Revenue $74,8029700 $83,233,531 $8,430,831 111.27% $85,000,000.00 $80,000,000 00 $76,607,906 $75,000,000.00 $70,000,000 00 $65,000,000.00 Total General Fund Revenue: Last 5 Years 3,233,531.00 $60,000,000.00 2018 2019 2020 2021 2022 Police $19,436,175 18,859,873 Fire 13,782,667 14,495,035 Transfers Out 10,538,908 11,340,949 Public Works 8,695,404 8,617,357 Nondepartment 5,904,993 6,189,736 Rec/Park/Library 5,878,231 4,907,558 Dev Services 3,098,785 2,630,101 Information Tech 3,023,930 2,665,027 City Manager 2,453,282 2,326,656 Finance/Treasury 2,412,820 2,235,094 Human Resources 977,063 1,240,818 City Attorney 561,950 752,602 City Clerk 530,749 453,884 City Council 356,596 335,424 COVID-19 Response 0 463,649 Social Justice Protests 0 89 Total $77,651,553 $77,513,852 Beginning Fund Balance on June 30, 2021 Revenues for FY 2021-2022 Expenditures for FY 2021-2022 Ending Fund Balance on June 30, 2022 Adopted Revenues for FY 2022-23 Adopted expenditures for FY 2022-23 Estimated Ending Fund Balance on June 30, 2023 20% General Fund Reserve Unassigned reserves for FY 2022-2022 Adopted Budget Year-end estimate (Unaudited) $ 27,8989675 $ 27,898,675 $ 75,207,165 $ 83,233,531 -79,244,524-77.513.852 1 $ 235861,316 $ 33,618,354 $ 81, 750, 522 $ 81, 750, 522 -85,941,128-85.941,128 � $19,670,710 $ 299427,748 -17.188,225-17,188,225 $ 2,482,485 $ 12,239,493 Economic Uncertainty Reserve Economic Uncertainty Reserve Fiscal Year Reserve Balance Reserve Policy Reserve Deficit $100,000,000 $90,000,000 $80,000,000 $ 70, 000, 000 $60,000,000 $50,000,000 $40,000,000 $30,000,000 $20,000,000 $10,000,000 General Fund (excluding Transfers -out in the estimated years) FY 20 - 21 FY 21 - 22 FY 22 - 23 FY 23 - 24 FY 24 - 25 FY 25 - 26 FY 26 - 27 FY 27 - 28 FY 28 - 29 FY 29 - 30 —Revenues —Expenditures —Fund Balance a POBs issued for 95% of the City's unfunded actuarial liability with CalPERS $143.5 million taxable pension obligation bond issuance City was rated AA+ by Standard & Poor (excellent credit rating) • Interest rate of 2.568% (2nd lowest market rate on a POB at time of issuance) Ob POBs will save $84.3M over the next 19 years beginning with FY 2021-22 ® As of the July 2022 CalPERS actuary report, the City's various plans are funded anywhere from 105%-109% CalPERS investment portfolio return for June 30, 2022, is -6.1 %. • The CalPERS discount rate for June 30, 2022, was 6.8%. The difference between the expected return and actual return results in an actuarial loss of-12.9%. • This actuarial loss will be reflected on the July 2023 CalPERS actuary reports. The actuarial loss of -12.9% is expected to result in the City's various pension plans to be funded at a 92% - 96% level. This is still very strong. ® The City was awarded $3,973,465 in American Rescue Plan (ARPA) Funds The first ARPA payment of $1,986,733 was received mid -July 2021 (FY 2021-2022 revenue) The second and final payment of $1,986,733 was received in mid -July 2022 (FY 2022-2023 revenue) 0 $11,280 in FEMA dollars were received in FY 2021-2022 Reimbursement to the City for COVID related expenditures incurred $1.68M pending in FEMA reimbursements ® Approximately $60,000 in Coronavirus State & Local Fiscal Recovery Funds (State Water Resources Control) were received in FY 2021-2022 OtherFunds Enterprise Funds Water Fund FY 2021-22 Budget FY 2021-22 Actuals (unaudited) variance Revenues — Water Expenses Enterprise Funds —Wastewater Wastewater Fund Revenues Expenses FY 2021-22 Budget FY 2021-22 Actuals (unaudited) variance FY 2021-22 Actuals (unaudited) $3,275,665.74 $216421267.45 variance $245,665.74 $552,038,55 FY 2021-22 Budget FY 2021-22 Actuals (unaudited) 377051062 $2, 824, 738 variance $579.688 $666� ,237 * FY 2021-22 Budget Audited Annual Financial Report Presentation (December 2022) ® FY 2022-23 Budget Citywide Budget Mid -Year Report (February 2023) 11 FY 2023-24 Budget Development Budget Kickoff meeting with staff (January 2023) Strategic Planning Study Session (March 2023) Proposed Budget Study Session(s) (April &May 2023) Proposed Budget Public Hearing &Adoption (June 6, 2023) Ij 7 1 1 1 Wrap-up & Questions �t ,ri..a .sir_-•� - � _ x_ }r��C Fa IN Ala Jl T.