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File #: 23-0210    Version: 1
Type: Gen. Bus. - Staff Report Status: Agenda Ready
In control: City Council Regular Meeting
On agenda: 5/16/2023 Final action:
Title: Presentation of the Proposed 5-Year Capital Improvement Program (Fiscal Years 2023-2024 Through 2027-2028) and Fiscal Year 2023-2024 Proposed Operating Budget (Public Works Director Lee and Finance Director Charelian). (Estimated Time: 30 Mins.) DISCUSS AND PROVIDE DIRECTION
Attachments: 1. Budget - Links to Attachments, 2. CIP - Links to Attachments
TO:
Honorable Mayor and Members of the City Council

THROUGH:
Bruce Moe, City Manager

FROM:
Erick Lee, Public Works Director
Steve S. Charelian, Finance Director
Katherine Doherty, City Engineer
Libby Bretthauer, Financial Services Manager
Marcelo Serrano, Budget & Financial Analyst

SUBJECT:Title
Presentation of the Proposed 5-Year Capital Improvement Program (Fiscal Years 2023-2024 Through 2027-2028) and Fiscal Year 2023-2024 Proposed Operating Budget (Public Works Director Lee and Finance Director Charelian).
(Estimated Time: 30 Mins.)
DISCUSS AND PROVIDE DIRECTION
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Recommended Action
RECOMMENDATION:
Staff recommends that the City Council receive this report on the Proposed 5-Year Capital Improvement Program (Fiscal Years 2023-2024 through 2027-2028) and Proposed Operating Budget for Fiscal Year (FY) 2023-2024 and provide direction.

FISCAL IMPLICATIONS:
The Proposed Budget for FY 2023-2024 includes revenues and expenditures for all of the City's Funds. The document includes conservative estimates for ongoing operations as well as planned projects in the Capital Improvements Plan (CIP).

The FY 2023-2024 General Fund Proposed Budget originally had a projected surplus of $485,017. However, with the addition of $10,000 on May 9, 2023, for advertising Older Adults Programs, the revised projected surplus is $475,017.

Revenues $93,300,981
Expenditures $92,825,964
FY 2023-2024 Revised Budget Surplus $ 475,017

The City's current Financial Policy reserve is 20% of operating expenditures, or about $18.6 million in FY 2023-2024, which is greater than the Government Finance Officers' Association (GFOA) recommendation of "no less than two months (17%) of regular general fund operating revenues or regular general fund operating expenditures." In addition, the City Council has set aside $4.0 million as an "Economic Uncertainty" reserve.

After taking into account the projected ope...

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