TO:
Honorable Mayor and Members of the City Council
THROUGH:
Bruce Moe, City Manager
FROM:
Steve S. Charelian, Finance Director
Libby Bretthauer, Financial Services Manager
Julie Bondarchuk, Financial Controller
Marcelo Serrano, Management Analyst
SUBJECT:Title
Discussion of the Fiscal Year 2021-2022 Proposed Operating Budget (Finance Director Charelian).
DISCUSS AND PROVIDE DIRECTION
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Recommended Action
RECOMMENDATION:
Staff recommends that the City Council discuss the Proposed Operating Budget for Fiscal Year (FY) 2021-2022 and provide direction.
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FISCAL IMPLICATIONS:
Fiscal implications are included in the FY 2021-2022 Proposed Budget document (available at www.citymb.info/Budget <http://www.citymb.info/Budget>). The Budget was discussed during the May 11 and May 25, 2021, Budget Study Sessions.
BACKGROUND:
During the May 11, 2021, Budget Study Session, staff presented an overview of the FY 2021-2022 Budget as well as more specific presentations for each department. Department presentations included an overview of their operations, highlights of recent accomplishments, objectives for the coming fiscal year, and significant personnel and budgetary changes. A follow-up discussion of controllable cost line-items occurred during the May 25, 2021, Budget Study Session.
DISCUSSION:
Documents for the FY 2021-2022 Proposed Budget are available on the City’s budget webpage (www.citymb.info/Budget <http://www.citymb.info/Budget>). The FY 2021-2022 Proposed Budget includes the City’s Manager’s Budget Message, which provides an overview of the document and process, as well as department overviews with narratives on service level trends, key initiatives, and performance measures. The Budget document also includes a Five-Year Forecast and Capital Budget Summary.
Comprehensive line item detail reports for all Proposed Budget Revenue and Expenditure accounts are available on the City’s budget webpage (www.citymb.info/Budget <http://www.citymb.info/Budget>). During the Budget Study Session on May 25, 2021, the City Council reviewed a listing of controllable cost line items over $1,000 in descending order and discussed priorities and objectives.
It should be noted that nearly $1.4 million in General Fund expenditure reductions approved by the City Council for FY 2020-2021 were maintained in the FY 2021-2022 Proposed Budget. In the Comprehensive Line Item reports, these reductions are shown as negative amounts in the line item detail to offset the original line item amounts. Staff maintained these negative line items to easily identify and reference the reductions.
Budget Process and Opportunities for Community Input
The budget@citymb.info email option has been useful for gathering input from the community, and it remains active throughout the budget process in order for the community to communicate budget priorities to staff.
Budget meetings were advertised in The Beach Reporter. Future budget discussions are scheduled as follows:
Tuesday, June 15 Regular City Council Meeting - 6:00 PM
Topic: Public Hearings and Budget and CIP Adoption
PUBLIC OUTREACH:
Past and future opportunities for public input are described above.
ENVIRONMENTAL REVIEW:
The City has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is necessary.
LEGAL REVIEW:
The City Attorney has reviewed this report and determined that no additional legal analysis is necessary.