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Home My WebLink About06-03-2020 - Agenda Pkg - CC Adjourned MeetingCity Council City of Hermosa Beach Adjourned Meeting Agenda - Final City Hall 1315 Valley Drive Hermosa Beach, CA 90254 Mayor Mary Campbell Mayor Pro Tem Justin Massey Councilmembers Hany S. Fangary Michael Detoy Stacey Armato 6:00 PMWednesday, June 3, 2020 Fiscal Year 2020-21 Budget Workshop (Virtual Meetings held pursuant to Executive Order N-29-20 issued by Governor Gavin Newsom on March 17, 2020) Duly Posted 5/28/20 by E.S. 1 June 3, 2020City Council Adjourned Meeting Agenda - Final *************************************************************************************************************** MEETINGS ARE HELD PURSUANT TO EXECUTIVE ORDER N-29-20 ISSUED BY GOVERNOR GAVIN NEWSOM ON MARCH 17, 2020. ANY OR ALL COUNCILMEMBERS MAY ATTEND AND PARTICIPATE BY TELECONFERENCE/VIRTUAL MEETING. MEMBERS OF THE PUBLIC MAY PARTICIPATE BY TELECONFERENCE. *************************************************************************************************************** Public Participation City Hall will be closed to the public until further notice. Virtual Meetings are held pursuant to Executive Order N-29-20 issued by Governor Gavin Newsom on March 17, 2020. Members of the public may email comments to anny@hermosabeach.gov or submit eComments until 4:00 p.m. on the meeting date. Members of the public may also participate by phone. JOIN THE VIRTUAL MEETING AT: https://us02web.zoom.us/j/89628256317 OR PARTICIPATE BY PHONE: 1. Email Esarmiento@hermosabeach.gov to be added to the speaker list. Please indicate which item you would like to speak on. 2. Dial-in to meeting: •Toll Free: (888) 475-4499 •Meeting ID: 896 2825 6317, then # •Participant ID: press # to bypass 3. ATTENDEES WILL BE MUTED UNTIL THE PUBLIC PARTICIPATION PERIOD IS OPENED. When you are called on to speak, press * 6 to unmute your line. Comments from the public are limited to 3 minutes per speaker. Submit Supplemental eComments in three easy steps: Note: Your comments will become part of the official meeting record. You must provide your full name, but please do not provide any other personal information (i.e. phone numbers, addresses, etc) that you do not want to be published. 1. Go to the Agendas/Minutes/Video webpage and find the meeting you’d like to submit comments on. Click on the eComment button for your selected meeting. 2. Find the agenda item for which you would like to provide a comment. You can select a specific agenda item/project or provide general comments under the Oral/Written Communications item. 3. Sign in to your SpeakUp Hermosa Account or as a guest, enter your comment in the field provided, provide your name, and if applicable, attach files before submitting your comment. Oral and Written Communication Written materials pertaining to matters listed on the posted agenda received after the agenda has been posted will be added as supplemental materials under the relevant agenda item on the City's website at the same time as they are distributed to the City Council by email. Supplemental materials may be submitted via eComment (instructions above) or emailed to Esarmiento@hermosabeach.gov. Supplemental materials must be received before 4:00 p.m. on the date of the meeting to ensure Council and staff have the ability to review materials prior to the meeting. Supplemental materials submitted after 4:00 p.m. on the date of the meeting or submitted during the meeting will be posted online the next day. Page 2 City of Hermosa Beach Printed on 4/2/2024 2 June 3, 2020City Council Adjourned Meeting Agenda - Final 6:00 P.M. – STUDY SESSION CALL TO ORDER PLEDGE OF ALLEGIANCE ROLL CALL ANNOUNCEMENTS PUBLIC PARTICIPATION City Hall will be closed to the public until further notice. Virtual Meetings are held pursuant to Executive Order N-29-20 issued by Governor Gavin Newsom on March 17, 2020. Members of the public may email comments to Esarmiento@hermosabeach.gov or submit eComments until 4:00 p.m. on the meeting date. Members of the public may also participate by phone. JOIN THE VIRTUAL MEETING AT: https://us02web.zoom.us/j/89628256317 OR PARTICIPATE BY PHONE: 1. Email Esarmiento@hermosabeach.gov to be added to the speaker list. Please indicate which item you would like to speak on. 2. Dial-in to meeting: •Toll Free: (888) 475-4499 •Meeting ID: 896 2825 6317, then # •Participant ID: press # to bypass 3. ATTENDEES WILL BE MUTED UNTIL THE PUBLIC PARTICIPATION PERIOD IS OPENED. When you are called on to speak, press * 6 to unmute your line. Comments from the public are limited to 3 minutes per speaker. OPENING REMARKS (City Manager Suja Lowenthal) 1. OVERVIEW OF BUDGET (Finance Director Viki Copland): ·COVID-19 Impacts on 2019-20 Budget ·Overview of the 2020-21 Budget o How the Budget is Balanced o Revenue o Appropriations o Highlights o Capital Improvement Plan 20-0314 QUESTIONS/COMMENTS FROM COUNCILMEMBERS PUBLIC PARTICIPATION Page 3 City of Hermosa Beach Printed on 4/2/2024 3 June 3, 2020City Council Adjourned Meeting Agenda - Final ADJOURNMENT Page 4 City of Hermosa Beach Printed on 4/2/2024 4 June 3, 2020City Council Adjourned Meeting Agenda - Final FUTURE MEETINGS AND CITY HOLIDAYS CITY COUNCIL MEETINGS: June 9, 2020 - Tuesday - 6:00 PM - Closed Session, 7:00 PM - City Council Meeting June 23, 2020 - Tuesday - 6:00 PM - Closed Session, 7:00 PM - City Council Meeting July 1, 2020 - Wednesday - Adjourned Regular Meeting: 6:00 PM - Study Session July 14, 2020 - Tuesday - 6:00 PM - Closed Session, 7:00 PM - City Council Meeting July 23, 2020 - Thursday - Adjourned Regular Meeting: 7:00 PM - Joint Meeting with all Boards/Commissions July 28, 2020 - Tuesday - 6:00 PM - Closed Session, 7:00 PM - City Council Meeting August 11, 2020 - Tuesday - No Meeting (Dark) August 25, 2020 - Tuesday - 6:00 PM - Closed Session, 7:00 PM - City Council Meeting September 2, 2020 - Wednesday - Adjourned Regular Meeting: 6:00 PM - Study Session September 8, 2020 - Tuesday - 6:00 PM - Closed Session, 7:00 PM - City Council Meeting September 22, 2020 - Tuesday - 6:00 PM - Closed Session, 7:00 PM - City Council Meeting October 7, 2020 - Wednesday - Adjourned Regular Meeting: 6:00 PM - Study Session October 13, 2020 - Tuesday - 6:00 PM - Closed Session, 7:00 PM - City Council Meeting October 27, 2020 - Tuesday - 6:00 PM - Closed Session, 7:00 PM - City Council Meeting November 4, 2020 - Wednesday - Adjourned Regular Meeting: 6:00 PM - Study Session November 10, 2020 - Tuesday - 6:00 PM - Closed Session, 7:00 PM - City Council Meeting November 12, 2020 - Thursday - Adjourned Regular Meeting: 6:00 PM - Appointment of Mayor & Mayor Pro Tem November 24, 2020 - Tuesday - 6:00 PM - Closed Session, 7:00 PM - City Council Meeting December 2, 2020 - Wednesday - Adjourned Regular Meeting: 6:00 PM - Study Session December 8, 2020 - Tuesday - 6:00 PM - Closed Session, 7:00 PM - City Council Meeting December 22, 2020 - Tuesday - No Meeting (Dark) Page 5 City of Hermosa Beach Printed on 4/2/2024 5 June 3, 2020City Council Adjourned Meeting Agenda - Final BOARDS, COMMISSIONS AND COMMITTEE MEETINGS: June 16, 2020 - Tuesday - 7:00 PM - Planning Commission Meeting July 7, 2020 - Tuesday - 7:00 PM - Parks and Recreation Advisory Commission Meeting July 15, 2020 - Wednesday - 7:00 PM - Public Works Commission Meeting July 21, 2020 - Tuesday - 7:00 PM - Planning Commission Meeting August 4, 2020 - Tuesday - 7:00 PM - Parks and Recreation Advisory Commission Meeting August 18, 2020 - Tuesday - 7:00 PM - Planning Commission Meeting September 1, 2020 - Tuesday - 7:00 PM - Parks and Recreation Advisory Commission Meeting September 15, 2020 - Tuesday - 7:00 PM - Planning Commission Meeting September 16, 2020 - Wednesday - 7:00 PM - Public Works Commission Meeting October 6, 2020 - Tuesday - 7:00 PM - Parks and Recreation Advisory Commission Meeting October 20, 2020 - Tuesday - 7:00 PM - Planning Commission Meeting November 5, 2020 - Thursday - 7:00 PM - Parks and Recreation Advisory Commission Meeting November 17, 2020 - Tuesday - 7:00 PM - Planning Commission Meeting November 18, 2020 - Wednesday - 7:00 PM - Public Works Commission Meeting December 1, 2020 - Tuesday - 7:00 PM - Parks and Recreation Advisory Commission Meeting December 15, 2020 - Tuesday - 7:00 PM - Planning Commission Meeting CITY OFFICES CLOSED FRIDAY-SUNDAY AND ON THE FOLLOWING DAYS: September 7, 2020 - Monday - Labor Day November 11, 2020 - Wednesday - Veteran's Day November 26, 2020 - Thursday - Thanksgiving Day Page 6 City of Hermosa Beach Printed on 4/2/2024 6 City of Hermosa Beach Staff Report City Hall 1315 Valley Drive Hermosa Beach, CA 90254 Staff Report 20-0314 Honorable Mayor and Members of the Hermosa Beach City Council Budget Study Session of June 3, 2020 ·COVID-19 Impacts on 2019-20 Budget ·Overview of the 2020-21 Budget o How the Budget is Balanced o Revenue o Appropriations o Highlights o Capital Improvement Plan City of Hermosa Beach Printed on 5/3/2022Page 1 of 1 powered by Legistar™7 1 2020-21 Budget Workshop June 3, 2020 8 Agenda Opening Comments, City Manager Overview of the Budget, Finance Director Covid-19 Impacts on 2019-20 Budget Overview of the 2020-21 Budget How the Budget is Balanced Revenue Appropriations Highlights Capital Improvement Plan Councilmembers Questions/Comments 2 9 Opening Comments City Manager 3 10 4 2019-20 Covid-19 Impacts 11 General Fund 2019-20 Year End Revenue Assumptions 5 Major revenue assumptions used in the Covid-19 2019-20 Year End Estimates are as follows: Taxes Sales Tax – ($354,545) or 11% Forecasted by the City’s consultant based on a review of each business type and each quarter Transient Occupancy Tax (TOT) – ($1,136,639) or 32% 30% occupancy is assumed through June 30, 2020 Business Licenses – ($447,091) or 38% Based on the suspension of fees though June 30, 2020 Licenses and Permits Building Permits – ($429,500) or 46% 15% reduction of original year end estimate Fines and Forfeitures Court Fines/Parking – ($243,856) or 11% Due to suspension of street sweeping violations and reduction of other parking fines. 12 General Fund 2019-20 Year End Revenue Assumptions 6 Major revenue assumptions (continued) Use of Money and Property Community Center Leases, Rentals, and Theatre – ($89,513) or 29% No events through June 30, 2020 Plaza Promotions- Decrease by – ($30,000) or 100% Due to the cancellation of events through June 30, 2020 Film Permits- Decrease by – ($19,232) or 26% Due to the cancellation of events through June 30, 2020 Service Charges General Plan Maintenance Fees and Plan Check Fees – ($112,450) or 52% Estimate a 15% reduction of original year end estimate Encroachment Permits – ($86,400) or 30% Due to the suspension of outdoor dining permits through June 30, 2020 13 General Fund 2019-20 Year End Revenue Assumptions 7 Major revenue assumptions (continued) Service Charges Parking Meters – ($512,248) or 24% 80% reduction through April- June 2020 Lot A – ($153,985) or 30% Based on March 2020 revenue assumed for April-June Parking Structure Revenue – ($198,687) or 30% Due to closure in March 2020 Contract Recreation Classes and Other Recreation Programs – ($185,110) and ($133,781) or 39% and 55% respectively Assumes cancellation of classes through June 30, 2020 14 2019-20 General Fund Estimated Deficit 8 Estimated Revenue 19-20 Budget $42,681,855 Less: Estimated Revenue Year End $37,819,760 Revenue Decrease ($4,862,095) Estimated Appropriations 19-20 Budget $41,568,323 Less: Initial 19-20 Year End Expenditure Estimate $38,684,983 Appropriations Decrease $2,883,340 CIP Carry Forward ($367,439) Changes in Fund Balance $32,212 Estimated 2019-20 Year End Deficit ($2,313,982) -5.4% 15 2019-20 General Fund Summary of Budget Balancing Actions 9 Changes in Appropriations Department Reductions (page 435) $204,501 Department Reductions- Personnel (page 435) $72,657 Freeze 12 Vacant Positions (page 452) $551,479 Use of Funds Transferred Previously from the General Fund Reserve for Capital Improvements $200,000 General Fund Excess to Capital Improvement Fund- Midyear $393,000 Amount over $3 Million Goal in Insurance Fund- Midyear Estimate $816,750 Estimated Reduction to Worker’s Compensation Claims $500,000 Change in Fund Balance Reserves Use of Chamber Donation for Holiday Decorations $30,091 Prospective Expenditures Carryover to 20-21 ($100,000) Total Changes to Appropriations and Fund Balance $2,668,478 Balance Projected for 6/30/2020 $354,496 16 Personnel Changes The following 12 vacant positions were frozen for 2019-20: Deputy City Clerk (City Clerk’s Office) Senior Office Assistant 1(City Clerk’s Office) Deputy City Manager (City Manager’s Office) Management Analyst (City Manager’s Office) Police Captain(Police Department) (2) Police Officer (Police Department) Police Service Officer (PSO) Supervisor (Police Department) Assistant Engineer (Public Works) Public Works Superintendent (Public Works) Crew Supervisor (Public Works) Geographic Information System (GIS) Analyst 1 (Public Works) 1 Approved to be filled with temporary staff 10 17 2019-20 General Fund How the Budget is Balanced 11 Revenue $37,819,760 Appropriations $37,856,346 Transfers In $2,312,672 Transfers Out $2,318,562 Current Year Revenue $40,132,432 Current Year Appropriations $40,174,908 Changes to Fund Balance: CIP Carryforward from 18-19 ($398,559) Unspecified Contingencies ($550,769) Prop A Exchange Funds ($120,806) Reserve For Fire Facility Costs ($363,672) CIP Carryforward to 20-21 $367,439 Prospective Expenditures Carryforward $100,000 Fund Balance Carryforward to 20-21 $354,496 Change in Fund Balance Commitments ($205,723 Total Changes to Fund Balance ($42,476) Total Appropriations and Changes to Fund Balance $40,132,432 18 12 2020-21 Budget Overview 19 General Fund Revenue Overview Top Tax Revenue Sources Amount % Change % of Total Secured Property Tax $15.9m + 4.8% 44% Sales Tax $2.8m -13% 8% Utility Users Tax (UUT) $2.1m 0% 6% Transient Occupancy Tax(TOT) $1.4m -59% 4% Top Tax Total $22.2m 62% 13 20 14 General Fund Revenue Overview Secured Property Tax FY Amount 2011-12 $9,159,137 2012-13 $9,568,603 2013-14 $10,128,092 2014-15 $10,809,315 2015-16 $11,339,888 2016-17 $12,282,442 2017-18 $13,587,043 2018-19 $14,428,526 2019-20 $15,119,753 2020-21 $15,939,215 $0 $2,000,000 $4,000,000 $6,000,000 $8,000,000 $10,000,000 $12,000,000 $14,000,000 $16,000,000 $18,000,000 Secured Property Tax 2011-21 $9,159,137 2011-12 $15,939,215 2020-21 Secured Property Tax- No impact from Covid-19 is anticipated in 2020-21 21 15 General Fund Revenue Overview Hermosa Beach Median Home Prices Hermosa Beach Moving Average* $0 $300,000 $600,000 $900,000 $1,200,000 $1,500,000 $1,800,000 $2,100,000 $2,400,000 $2,700,000 $3,000,000 Mar-1 9 Arp-1 9 May-1 9 Jun-1 9 Jul-1 9 Aug-1 9 Sep-1 9 Oct-1 9 Nov-1 9 Dec-1 9 Jan-2 0 Feb-2 0 Mar-2 0 $1,500,000 $2,010,000 $1,576,250 $1,437,500 $1,759,500 $1,288,750 *A simple moving average (SMA) calculates the average of a selected range of prices, by the number of periods in that range. 22 General Fund Revenue Overview 16 Sales Tax FY Amount 2011-12 $2,474,651 2012-13 $2,598,751 2013-14 $2,600,000 2014-15 $2,653,361 2015-16 $2,865,697 2016-17 $2,900,000 2017-18 $3,151,207 2018-19 $3,133,311 2019-20 $2,791,797 2020-21 $2,750,820 Sales Tax 2011-21 $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000 $3,500,000 2011-122012-13 2013-142014-152015-16 2016-172017-18 2018-19 2019-20 Est2020-21 Est$2,474,651 2011-12 $2,750,820 2020-21 -13% forecasted by the City’s consultant for each business type and each quarter 23 General Fund Revenue Overview 17 Utility Users Tax FY Amount 2011-12 $2,495,895 2012-13 $2,503,265 2013-14 $2,500,000 2014-15 $2,443,000 2015-16 $2,455,484 2016-17 $2,375,579 2017-18 $2,229,906 2018-19 $2,195,815 2019-20 $2,147,057 2020-21 $2,147,057 Utility User Tax 2011-21 0300,000 600,000900,0001,200,0001,500,000 1,800,0002,100,0002,400,000 2,700,0003,000,000 2011-12 2012-13 2013-142014-15 2015-16 2016-172017-18 2018-192019-20 Est2020-21 Est$2,495,895 2011-12 $2,147,057 2020-21 No change from 2019-20. No impact from Covid-19 is anticipated in 2020-21 24 General Fund Revenue Overview Transient Occupancy Tax 18 FY Amount 2011-12 $1,884,020 2012-13 $1,996,173 2013-14 $2,154,315 2014-15 $2,204,420 2015-16 $2,295,470 2016-17 $2,920,369 2017-18 $3,295,207 2018-19 $3,251,349 2019-20 $2,348,487 2020-21 $1,440,460 Transient Occupancy Tax 2011-21 $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000 $3,500,000 2011-12 2012-13 2013-142014-15 2015-16 2016-172017-18 2018-19 2019-20 Est2020-21 Est$1,689,356 2010-11 $$1,440,460 2020-21 April 2020 revenue is $14,505. Occupancy for April 2020 is 20.8% compared to 75.3% in April 2019. The 2020-21 revenue assumption is based on 30% occupancy due to Covid-19 25 General Fund Revenue Overview (Continued) General Fund % of Total % Change Other Taxes $4.9m 2% 15% Licenses/Permits $795 3% 2% Fines/Forfeitures $2.7m 6% 8% Use/Money Prop $870 5% 3% Intergovt/State $97 (-19%) 0% Service Charges $6.2m <1% 18% Other Revenue $150 (-77%) 0% TOTAL REVENUE 1% 19 Revenue Sources Amount % Change % of Total Other Taxes $6m -5% 17% Licenses/Permits $0.9m -25% 3% Fines/Forfeitures $1m -56% 3% Use/Money and Property $0.8m -20% 2% Intergovt/State $0.1m 13% 0% Service Charges $4.7m -38% 13% Other Revenue $0.1m -60% 0% $13.6m 38% Total General Fund Revenue $35.8m -16% 26 General Fund Revenue Assumptions 20 Major Non-tax revenue assumptions include: Licenses and Permits Building Permits – ($307,843) or 26.8% Estimating a 30% reduction of baseline permits Fines and Forfeitures Court Fines/Parking – ($1,248,086) or 55% Due to suspension of street sweeping violations and reduction of other parking fines Use of Money and Property Community Center Leases, Rentals, and Theatre – ($143,220) or 47% No events through December 31st Special Events- Decrease by – ($47,460) or 47.5% Cancellation of events through December 31st 27 General Fund Revenue Assumptions 21 Major revenue assumptions (continued) Service Charges Plan Check Fees – ($156,000) or 38% Estimated at 60% of baseline fees Encroachment Permits – ($288,000) or 100% No revenue budgeted due to uncertainty of payments due to closures Parking Meters – ($875,970) or 41.9% 80% reduction through December 2020 Lot A – ($272,692)or 52% Based on second half of 2018-19 Parking Structure Revenue – ($334,472) of 50% Due to closure through December 2020 Contract Recreation Classes and Other Recreation Programs – ($203,430) and ($91,190) or 43% and 37% respectively Assumes cancellation of classes through December 31st 28 2020-21 General Fund Estimated Deficit 22 Estimated Revenue 19-20 Budget $42,681,855 Less: Estimated Revenue 20-21 Budget $35,870,352 Revenue Decrease ($6,811,503) Transfers In 19-20 Budget $402,922 Less: Estimated Transfers In 20-21 Budget $396,734 Transfers In Decrease ($6,188) Estimated Appropriations 19-20 Midyear Budget $40,939,034 Less: Initial 20-21 Appropriations $41,326,719 Appropriations Decrease ($387,685) Transfer Out 19-20 Budget $2,318,562 Less: Estimated Transfers Out 20-21 Budget $1,788,970 Transfers In Decrease $529,592 CIP Carry Forward $367,439 Changes in Fund Balance $100,324 Estimated 20-21 Deficit ($6,208,021) -15% 29 2020-21 General Fund Summary of Budget Balancing Actions 23 Changes in Appropriations Department Reductions (page 435) $935,575 Department Reductions- Personnel (page 435) $146,443 Reduce CIPs from General Fund (page 435) $219,165 Freeze 10 Vacant Positions (page 452) $1,288,531 Add Essential Supplemental Requests (page 443) ($148,703) Add Essential Part-time Staff (page 450) ($304,280) Reduction to Insurance Allocation to Dept. $80,000 Increase Prospective Expenditures ($44,914) Use Capital Facility Reserve for Fire Facility Payment $363,672 Use of Funds Transferred Previously from the General Fund- Return 14-15 Sewer Fund Transfer $3,000,000 Changes in Fund Balance Fund Balance Carryforward 19-20 $354,496 Use Verizon PEG Funds for CIP $26,932 Reduction to Required Contingency Balance $291,104 Total Changes to Appropriations, Transfers, and Fund Balance $6,208,021 Balance Projected for 6/30/2021 $0 30 Personnel Changes Vacant staff positions were reviewed and the following ten positions were frozen for 2020-21: Deputy City Clerk (City Clerk’s Office) Senior Office Assistant 1(City Clerk’s Office) Deputy City Manager (City Manager’s Office) Management Analyst (City Manager’s Office) Police Captain(Police Department) Police Officer (Police Department) Police Service Officer (PSO) Supervisor (Police Department) Assistant Engineer (Public Works) Crew Supervisor (Public Works) Geographic Information System (GIS) Analyst 1 (Public Works) 1 Approved to be filled with temporary staff 24 31 2020-21 General Fund How the Budget is Balanced 25 Revenue $35,870,352 Appropriations $39,008,408 Recurring Transfers Out: Transfers In $3,396,734 Storm Water Fund Operations $700,000 Debt Service Oil $785,699 Lighting Fund $291,002 Current Year Revenue $39,267,086 Current Year Appropriations $40,785,109 Changes to Fund Balance: Funding carried over from 19-20 CIPs ($367,439) Contingencies (16% of Operating Budget) ($291,104) Fund Balance Carryforward from 2019-20 ($354,496) Prop A Exchange Funds ($123,645) Change in Fund Balance Commitments ($381,339) Total Changes to Fund Balance ($1,518,023) Total Appropriations and Changes to Fund Balance $39,267,086 32 Salary and Benefit Assumptions No new full-time permanent positions were added or reclassified. Essential ongoing part-time, temporary staff positions are recommended to be filled. Two part-time temporary positions were eliminated (Public Works Intern and Senior Account Clerk) and one was added (Digital Communications Intern). Salary increases are included for three labor groups for the second year of three year Memorandums of Understanding (MOUs). Labor negotiations are currently underway for three other bargaining groups. The only other salary increases included are step increases for employees with less than 5 years service and whose performance meets expectations. Employee benefits (Effective January 1) 9% increase on health and 7% on dental 26 33 General Fund Appropriations 27 Expenditures % of Total Full-Time Salaries 35% Part-Time Salaries 1% Retirement 13% Benefits 6% Retiree Heath (OPEB) 1% Medicare <1% Salaries and Benefits Subtotal 56% 34 General Fund Appropriations (Continued) 28 Expenditures % of Total Contract Services- Private 11% Contract Services- Government 18% Supplies, Maintenance, Utilities 4% Equipment Purchases <1% Equip Replacement/Building Maintenance/Insurance Charges 11% Building Improvements 0% Capital Improvement (Prior Year Carryforward) <1% 44% Total General Fund Appropriations 100% 35 General Fund Appropriations (Continued) 29 Expenditures % Change Full-Time Salaries -1% Part-Time Salaries -25% Retirement 0% Benefits -6% Retiree Health Benefits (OPEB) 15% Medicare -5% Salaries and Benefits -2% 36 General Fund Appropriations 30 Expenditures % Change Contract Services Private -26% Capital Improvement Projects (CIP) -56% Government <1% Materials/Supplies/Other -1% Equipment Furniture -57% Buildings/Improvements -100% Total Appropriations -6.1 % 37 Budget Highlights Presentation of a Capital Improvement Plan for 2020-21 and Five Year Capital Improvement Program to identify the City’s longer term infrastructure needs. A total of $17.8 million is funded of which $7.6 is new funding. Funds of final design and Phase I construction for the new City Yard are appropriated as a part of the 2019-20 Capital Improvement Plan. $953,000 is reserved in the Capital Improvement Fund for the remaining construction and project contingency. 31 38 Budget Highlights Payments to L.A. County Fire for fire facility renovation and equipment conversions. $363,672 is budgeted for facility payment. Payments started January 2019 and costs are spread over 5 years. (Capital Facilities Reserve in the Capital Improvement Fund) $43,062 is budgeted for fire equipment conversion payments. Payments started in January 2018 and costs are spread over 5 years. (Fire Protection Fund) $785,712 is transferred from the General Fund for debt service related to the oil settlement (2015 Lease Revenue Bonds). (General Fund/Lease Revenue Bond Fund) 32 39 Budget Highlights $77,262 remains from funds set aside in 2017-18 for required radio upgrades as part of the South Bay Regional Public Communication Authority upgrade for dispatching. Project completion is anticipated in 2020-21. (Equipment Replacement Fund) One new undersea cables are anticipated to be operational in 2020-21. One-time payments of $253,000 will be received in the RTI Fund and $184,000 will be received in the RTI Tidelands Fund for cable 3. Quarterly payments of $27,000 ($108,000 annually) will be received for the first two cables. (RTI Fund) 33 40 Budget Highlights $105,000 for the North School Neighborhood Transportation Management Plan and Safe Routes to School Programs. (Capital Improvement Fund) Replacement of seven electric vehicle chargers in various locations and a three year maintenance and support subscription. (Air Quality Management District Fund) 300 new smart meters will be purchased to replace yellow posted meters. The exact locations for installation have not been determined. Commercial areas, which have silver posted meters already have smart meters in place. (Equipment Replacement Fund) 34 41 Budget Highlights Updating of the Zoning Ordinance, as part of the General Plan implementation will continue to be funded, along with new funding for the Housing Element Update. (Funded from General Plan Maintenance Fees in the General Fund) Purchase of new holiday decorations using the balance of previous donation of $50,000 from the Chamber of Commerce. Additional donations will be sought to cover the balance. (General Fund) Update of the Continuity of Operations Plan for Emergency Operations, which must be updated every three years. (Capital Improvement Fund) Operational supplies are funded (General Fund), along with an ongoing capital improvement project to make the Emergency Operations Center more functional. (Capital Improvement Fund) 35 42 Budget Highlights The following technology upgrades are budgeted: Public Records Request Software, City Clerk’s Office (General Fund) Software for 3D Model Design, Drafting, Creating and Editing Plans, and Presentations, Public Works (Equipment Replacement Fund) Public Stuff, Customer Relationship Management Software, Citywide (Equipment Replacement Fund) Active Directory Security and Modernization (Equipment Replacement Fund) Intrusion Testing, Citywide (Equipment Replacement Fund) Microsoft One Drive/Team Projects, Citywide (Equipment Replacement Fund) Purchase of ballistic shields for patrol vehicles, TASER conducted energy weapon replacements, and gas mask replacements for the Police Department. (Supplemental Law Enforcement Services Fund ) 36 43 37 Capital Improvement Program 44 Capital Improvement Program 38 Total: $17,843,308 45 Capital Improvement Program Street & Highway Improvements- $4,000,680 Bus Stop Improvements PCH Mobility Improvement Project (On Hold) Hermosa Avenue Green Street Street Improvements- Various Locations Strand Bikeway and Walkway Improvements a 35th Street Annual Street Improvements (CIP 190) Annual Street Improvements (CIP 191) Annual Striping Improvements (New) Pedestrian Crossing Safety Improvements (New) 39 46 Capital Improvement Program Sewer/Storm Drain Improvements- $5,375,749 Storm Drain Improvements- Various Locations Storm Drain Pipe Screens Annual Sewer Improvements (CIP 421) Annual Storm Drain Improvements (CIP 422) Annual Sewer Improvements (CIP 423) Annual Storm Drain Improvements (CIP 424) 40 47 Capital Improvement Program Park Improvements The two projects are on hold and listed on the Five Year Capital Improvement Program. Clark Stadium Bleachers (On hold) Fort Lots-Of-Fun Improvements (On hold) 41 48 Capital Improvement Program Public Buildings and Ground Improvements- $7,773,051 Prospect Ave Curb Ramps City Wide ADA Improvements (New) Downtown Lighting Improvements Downtown Strategic Plan Implementation New Corporate Yard Facilities Municipal Pier Structural Assessment and Repairs Municipal Pier Electrical Repairs City Park Restrooms and Renovation City Chamber Audiovisual Improvements Parking Lot D Improvements 42 49 Capital Improvement Program Public Buildings and Ground Improvements- Continued Emergency Operations Center Renovation Clark Building Renovations 14th Street Beach Restroom Construction Parking Lot A Improvements Police Station Basement Restroom Improvements ADA Improvements 43 50 Capital Improvement Program Studies- $693,828 Stakeholder- Public Works: Hermosa Ave Greenwich Village Street Realignment Assessment Sea Level Rise Risk Assessment (New) Greenbelt Accessible Path Assessment (On hold) Parking Structure (Lot C) Structural Assessment Stakeholder- Community Resources: Citywide Park Master Plan Library Community Project Phase II Assessment (On hold) Community Center Theater Needs Assessment 44 51 City Council Questions/Comments 45 52