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2019-09-17 CC Agenda Packet - ITEM #C14 - PRESENTATION - Proposed FY 2019-2020 BudgetCity of EI Segundo Public Hearing & Adoption f the Proposed FY 2019-20 Budget � - O INCON PO RA;Ep S'� Gv'1s q 0 TM MUM "qyl,�Wnwl, I=FqMM FY 2018-19 Adopted % of Total FY 2019-20 Proposed % of Total No. Fund Name Budget Budget Budget Budget 1 General Fund $ 79,068,984 57.5% $ 80,782,540 58.6% 2 Water Fund 30,645,150 22.2% 29,622,670 21.5% 3 Equip. Rep. Fund 81123,097 5.9% 7,849,761 5.7% 4 Wastewater Fund 51110,042 3.7% 5,235,334 3.8% 5 Worker's Comp Fund 21932,453 2.1% 2,934,272 2.1% 6 CIP Fund 31130,000 2.3% 21749,000 2.0% 7 Transportation Funds 21933,757 2.1% 21284,527 1.7% 8 General Liability Fund 11854,128 1.3% 11783,333 1.3% 9 Public Safety Sp. Rev. Funds 11235,073 0.9% 11661,565 1.2% 10 Golf Fund 11692,814 1.2% 11417,800 1.0% 11 Other Special Rev. Funds 3111000 0.2% 5781806 0.4% 12 Debt Service Fund 5451000 0.4% 5451000 0.4% 13 Solid Waste Fund 0 0.0% 2301000 0.2% 14 Senior Housing Fund 271000 0.0% 741113 0.1% $ 137,608,498 100.0% $ 13717481721 100.0% 1 Transient Occupancy Tax $141500,000 $151200,000 2 Business License Tax 11,800,000 121510,000 3 Sales Tax 11,900,000 111500,000 4 Property Tax 81057,164 81816,500 5 Utility Users Tax 519351000 614501000 6 Tax Resolution Agreement 518001000 516001000 7 Charges for Service 513931625 512981845 8 Other Revenues 215201400 312181995 9 Franchise Tax 319001000 312001000 10 Intergovernmental Revenues 118491347 118511490 11 License & Permits 11668388 11688358 12 Interest & Rentals 13 Fines & Forfeitures 1 a TrancfArc -in 824,000 317,700 824,000 412,020 1 4n_nnn $700,000 710,000 (400,000) 759,336 515,000 (200,000) (94,780) 698,595 (700,000) 2,143 19,970 94,320 140.000 3 Top General Fund Revenues Total Estimated General Fund Revenues $76,,710,, Charges for Services Tax Resolution Agreement $5.,298.,845..7% $S$5,600,000,7 % USU.. $6,4500, 9% er Revenues ,734,863, 14 Property Tax $9,416,500, 12% T.O.T. $15,200,000, 20% Business Tax $12,510,000,16% Sales Tax $11,500,000, 15% $16,000,000 $14,000,000 $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $0 Five -Year Tax Revenue Overview of Top Six General Fund Revenue Sources FY 2014/15 FY 2015/16 Property Tax Sales & Use Tax UUT FY 2016/17 FY 2017/18 Estimated FY Projected FY 2018/19 2019/20 Other Taxes Transient Occupancy Tax Business License 5 I Police 2 Fire 3 Public Works 4 Parks & Rec 5 Nondepartment 6 Planning & Building 7 Information System 8 City Manager 9 Library 10 Finance 11 Human Resources 12 City Clerk 13 City Attorney 14 City Treasurer 15 City Council 16 Transfers Out $ 21,746,192 16,401,982 8,507,761 6,688,627 8,251,373 2,830,338 2,059,988 2,039,236 2,363,788 2,331,337 1,004,459 513,901 611,250 312,273 288,541 3,130,000 $ 23,175,793 17,015,860 8,098,326 7,190,768 5,743,964 3,192,691 2,774,264 2,526,032 2,489,245 2,422,565 1,430,937 722!1838 585,450 345,375 319,432 2,749,000 $ 1,429, 601 613,878 (409,435) 502, 141 (2,507,409) 362,353 714,276 486,796 125,457 91,228 426,478 208,937 (25,800) 33,102 30,891 (381,000) ►1 .6. 6.6% 3.7% -4.8% 7.5% -30.4% 12.8% 34.7% 23.9% 5.3% 3.9% 42.5% 40.7% -4.2% 10.6% 10.7% -12.2% Workers' OPEB & Otheiompensation, 5% Benefits, 1% Group Insurance, 12% Retirement CaIPERS, 22% General Fund Salaries & Benefits - FY 2019-2020 � FICA., 2% Salaries, 58% Reduce General Fund reserve from 19% to 17% Place the 2% reduction (^'$1,560,000) into the pension trust Complete Fresh Start (Refinance) of Police Classic Pension Plan to a 20 year amortization will save $2.71 million in interest payments Complete Fresh Start of Fire Classic Pension Plan to a 20 year amortization will save $2.53 million in interest payments pital Improvement Program Project (new Funding No. I Wastewater (Sewer) Enterprise Fund 1(a) Acacia Park Construction $200,000 Gas Tax/ Prop C / SB 1/ Measure R/ Measure M 2 Roadway Rehabilitation (Annual Program) 7001000 3 EI Segundo Blvd. Improvements 5001000 4 Sidewalk Improvement and Construction (Annual Program) 300,000 Other Grant or Special Funds 1(b) Acacia Park Construction - Prop 68 Grant - (CIPAC Rank: #2) 200,000 S FCA - Park Vista Senior Housing Plumbing (Senior Housing Funds) 60,000 6 ADA Ramp Improvements - CDBG Funds 500000 10 No. General Fund 7 Teen Center Upgrades Including Skate Park and Basketball Court (CIPAC Rank: #6) 8 City Hall Windows Replacement 9 Fiber Vault Lids Replacements 1(c ) Acacia Park Construction (CIPAC Rank: #2) (rolling over $1,150,000 allocated in FY 2018- 19) 10 Rec Park Restroom Rehabilitation 11 Police Firing Range Remodel — (PD Developer Impact Fee reserves): rolling over $41,000 previously allocated in FY 2018-19 12 City Hall Security Improvements 13 Library Park Project (CIPAC Rank: #7) 14 Fitness Trail at Memory Row (CIPAC Rank: #4) 15 Catch Basin Inserts Installations (CIPAC Rank: #3) — 800,000 500,000 300,000 300,000 200,000 204,000 125,000 120,000 100,000 100,000 11 Total CIP budget of $9,980,000 for FY 2019-20 (attachment A) $5,221,000 carryover projects $4,759,000 proposed appropriations $2,749,000 proposed General Fund appropriations $2,010,000 proposed Special Revenue Fund appropriations D Total Transportation appropriations: $2,284,527 Total Public Safety Special Revenue appropriations: $1,661,565 Total Other Special Revenue Funds appropriations: $578,806 Total Senior Housing Fund appropriations: $74,113 Debt Service Funds Debt Service (202) $ 183,600 Enterprise Funds Water (501) 31,281,360 Wastewater (502) 31886,200 Golf Course (503)* 1,450,667 Solid Waste (505) OTotal Enterprise Funds --d' A * Golf Course has $5.7M loan payable to the Equipment Replacement Fund $ 545,000 $ - 27,812,670 1,810,000 4,175,334 1,060,000 1,417,800 - 230,000 - $ 545,000 29,622,670 5,235,334 1,417,800 230,000 14 Estimated Beginning Fund Fund Balance Equipment Replacement $ 61389,026 General Liability Insurance 831598 Workers Compensation (41681,875) Total $ 1,790,749 Estimated Revenues FY 19-20 $ 21089,441 1,914,179 2,975,035 $ 6,978,655 Proposed Budget FY 19-20 $ 71849,761 1,783,333 2,934,272 12,567,366 Estimated Fund Balance 9/30/20 $ 628,706 214,444 (41641,112) $ (3,797,962) Worker's Compensation Program City's Annual premium increased by 18% or ^'$149,000: $834,905 in FY 2018-19 to $984,001 in FY 2019-20 IL5 0 CL General Liability Insurance City's Annual premium decreased by 11% or($115,000): $1,077,250 in FY 2018-19 to $962,485 in FY 2019-20 Excess coverage for the risk pool increased from a maximum of $27 million to $37 million in FY 2019-20 1` F'21TTq X171 fTi VA :J • A 'esl i Auto Physical Damage Program (annual premium of $36,121) Crime Program (annual premium of $1,159) Terrorism Program (annual premium of $3,316) .tnQOro I@]IIkILTM;jd• Cyber Program (annual premium of $6,044) Property Program (annual premium of $59,333, a decrease of $6,200 compared to the prior year) Funding for infrastructure and facilities Rising service costs Rising retirement costs General Fund subsidies of other funds Potential recession 88, 000, 000 86,000,000 84,000,000 82,000,000 80,000,000 78,000,000 76,000,000 74,000,000 72,000,000 70,000,000 GENERAL FUND (excluding transfers -out in the "estimated" years) FY 18/19 FY 19/20 FY 20/21 FY 21/22 Projected Proposed estimated estimated --s—Revenues }Expenditures FY 22/23 FY 23/24 estimated estimated Will be developed during FY 2019-20 22 Questions?