HomeMy WebLinkAbout2008 02 26NOTICE AND CALL
OF A
SPECIAL MEETING
OF THE
CITY COUNCIL
COMMUNITY DEVELOPMENT COMMISSION
HOUSING AUTHORITY
TO THE MEMBERS OF THE AFOREMENTIONED AGENCIES AND THE CITY CLERK OF
THE CITY OF BALDWIN PARK
NOTICE IS HEREBY GIVEN that a Special Meeting is hereby called to be held on
TUESDAY, FEBRUARY 26, 2008 AT 6:00 PM at City Hall — 3rd Floor, Room 307, 14403 E.
Pacific Avenue, Room 307, Baldwin Park, CA 91706.
Said Special Meeting shall be for the purpose of conducting business in accordance with
the attached Agenda.
NO OTHER BUSINESS WILL BE DISCUSSED
Dated: February 21, 2008
AFFIDAVIT OF POSTING
"original signed"
Manuel Lozano
Mayor
I, Laura M. Nieto, Deputy City Clerk of the City of Baldwin Park, certify that I caused the
aforementioned Notice and Call of a Special Meeting to be delivered via email (hard copy to
follow) to each Member and to the San Gabriel Valley Tribune, and that I posted said notice as
required by law on February 21,2008.
Laura M. Nieto
Deputy City Clerk
City Council, Community Development Commission & Housing Authority
Special Meeting Agenda — February 26, 2008
CITY OF BALDWIN PARK
AGENDA FOR THE
SPECIAL MEETING
OF THE
CITY COUNCIL
COMMUNITY DEVELOPMENT COMMISSION
HOUSING AUTHORITY
FEBRUARY 26, 2008
6:00 PM
CITY HALL —3rd Floor, Room 307
14403 E. PACIFIC AVENUE
BALDWIN PARK, CA 91706
(626) 960 -4011
BA
P1,
Manuel Lozano
Anthony J. Bejarano
Marlen Garcia
Monica Garcia
Ricardo Pacheco
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A I v X
Mayor /Chair
Mayor Pro TemNice Chair
Council Member /Member
Council Member /Member
Council Member /Member
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QPS! GBV APS! EF! BQBHBS! TVT! UFM= GP OPT! DFMVM3SFT !Z!CFFQFST!EVSBOUF!M3!KVOUB!
PUBLIC COMMENTS
The public is encouraged to address the City
Council or any of its Agencies listed on this
agenda on any matter posted on the agenda or
on any other matter within its jurisdiction. If you
wish to address the City Council or any of its
Agencies, you may do so during the PUBLIC
COMMUNICATIONS period noted on the
agenda. Each person is allowed five (5) minutes
speaking time. A Spanish- speaking interpreter is
available for your convenience.
COMENTARIOS DEL PUBLICO
Se invita al publico a dirigirse al Concilio o cualquiera
otra de sus Agencias nombradas en esta agenda,
para hablar sobre cualquier asunto publicado en la
agenda o cualquier tema que este bajo su jurisdiccion.
Si usted desea la oportunidad de dirigirse al Concilio o
alguna de sus Agencias, podra hacerlo durante el
periodo de Comentarios del Publico (Public
Communications) anunciado en la agenda. A cada
persona se le permite hablar por cinco (5) minutos.
Hay un interprete para su conveniencia.
City Council, Community Development Commission & Housing Authority
Special Meeting Agenda — February 26, 2008
CITY COUNCIL
COMMUNITY DEVELOPMENT COMMISSION
HOUSING AUTHORITY
SPECIAL MEETING — 6:00 PM
CALL TO ORDER
ROLL CALL:
Council members /Members: Marlen Garcia, Monica
Garcia, Ricardo Pacheco, Mayor Pro Tem/Vice Chair
Anthony J. Bejarano and Mayor /Chair Manuel Lozano
PUBLIC COMMUNICATIONS
Five (5) minute speaking time limit
Cinco (5) minutos sera el limite para hablar
THIS IS THE TIME SET ASIDE TO ADDRESS THE CITY COUNCIL
PLEASE NOTIFY THE CITY CLERK IF YOU REQUIRE THE SERVICES OF AN INTERPRETER
No action may be taken on a matter unless it is listed on the agenda, or unless certain emergency or special
circumstances exist. The legislative body or its staff may: 1) Briefly respond to statements made or questions
asked by persons; or 2) Direct staff to investigate and /or schedule matters for consideration at a future meeting.
[Government Code §54954.2]
ESTE ES EL PERIODO DESIGNADO PARA DIRIGIRSE AL CONCILIO
FAVOR DE NOTIFICAR A LA SECRETARIA SI REQUIERE LOS SERVICIOS DEL INTERPRETE
No se podra tomar accion en alg(in asunto a menos que sea incluido en la agenda, o a menos que exista alg(Ina
emergencia o circunstancia especial. El cuerpo legislativo y su personal podran: 1) Responder brevemente a
declaraciones o preguntas hechas por personas; o 2) Dirigir personal a investigar y/o fijar asuntos para tomar en
consideracion en juntas proximas. [Codigo de Gobierno §54954.2]
REPORTS OF OFFICERS
1. 2007 -08 MID YEAR BUDGET WORKSHOP
ADJOURN TO CLOSED SESSION OF THE CITY COUNCIL & COMMUNITY DEVELOPMENT
COMMISSION
2. PUBLIC EMPLOYEE PERFORMANCE EVALUATIONS (GC §54957)
Title: Chief Executive Officer
Title: Recreation & Community Services Director
Title: Public Works Director
Title: Human Resources Manager
3. CONFERENCE WITH LABOR NEGOTIATORS (GC §54957.6)
A) Agency Negotiator: Manuel Lozano, Mayor
Unrepresented Employee: Vijay Singhal, Chief Executive Officer
B) Agency Negotiator: Vijay Singhal, Chief Executive Officer
Unrepresented Employees: Recreation & Community Services Director
Public Works Director
Human Resources Manager
City Council, Community Development Commission & Housing Authority
Special Meeting Agenda — February 26, 2008
4. PUBLIC EMPLOYEE APPOINTMENT (GC §54957)
A) Interim Chief of Police
B) Chief of Police
RECONVENE IN OPEN SESSION
REPORT FROM CLOSED SESSION
ADJOURNMENT
CERTIFICATION
I, Laura M. Nieto, Deputy City Clerk of the City of Baldwin Park hereby certify under penalty of perjury
under the laws of the State of California, that the foregoing agenda was posted on the City Hall bulletin
board not less than 24 hours prior to the meeting. Dated February 21, 2008.
Laura M. Nieto
Deputy City Clerk
PLEASE NOTE. Copies of staff reports and supporting documentation pertaining to each item
on this agenda are available for public viewing and inspection at City Hall (14403 E. Pacific
Avenue), 2nd Floor Lobby Area or at the Los Angeles County Public Library (4181 Baldwin Park
Blvd.) in the City of Baldwin Park. For further information regarding agenda items, please
contact the office of the City Clerk at 626.960.4011, ext. 108 or 626.960.4011, ext. 466 or via e-
mail at Egutierrez@baldwinpark.com orInieto@baldwinpark.com
In compliance with the Americans with Disabilities Act, if you need special assistance to
participate in this meeting, please contact the Public Works Department or Risk Management at
626.960.4011. Notification 48 hours prior to the meeting will enable staff to make reasonable
arrangements to ensure accessibility to this meeting. (28 CFR 34.102.104 ADA TITLE 11)
City Council, Community Development Commission & Housing Authority
Special Meeting Agenda — February 26, 2008
F a f CITY OF BALDWIN PARK STAFF REPORT
BALDWI
P -A - R- K
TO: Honorable Mayor and City Council Members
FROM: Vijay Singhal, Chief Executive Office
David A. Bass, Finance Consultant
DATE: February 26, 2008
SUBJECT: 2007/2008 Midyear Budget Update
PURPOSE
To discuss the Mid Year budget performance for the City for the Fiscal Year 2007/2008
BACKGROUND & DISCUSSION
For FY 2007 -2008 the City adopted its budget at $43,047,000 with the General Fund
budget at $23,274,100. The General Fund budget was balanced with revenues
exceeding expenditures (after transfers) by $240,000. The budget provided funding
for numerous programs including funding for 192 positions. The current year has
witnessed several issues such as a slowdown of the economy, lower home prices
and home sales, potential for foreclosures and lower consumer spending. As a result
the State of California is expecting budget deficits of enormous proportions. Many
cities and counties are also expecting significant budget constraints due to economic
slowdown and lower tax revenues. While our City is also impacted by these factors
causing our revenues to be lower than budgeted, we are in a better position then
many due to our proactive strategy over the past year. Additionally we have been
monitoring our revenues and expenditures on a regular basis.
Mid year gives us an opportunity to evaluate our actual revenue and expenditure
trends compared to the budget and recommend changes if any. Due to the condition
of the economy this Mid year review will also provide us an opportunity to look at the
next year's budget, evaluate trends, and take necessary steps to change strategy if
necessary in a timely manner.
This report consists of following components:
M1Tl11."•\YTTiff4iL'P
(a) General Fund and Departmental trends
(b) Trends for other funds
2. Outlook for the next fiscal year including preliminary budget projections
Mid Year Update Feb 26, 2008
General Fund Mid Year Trends
The Mid -year trends suggest that our revenues are likely to be lower than budget
primarily due to lower tax revenues and lower revenues from traffic violations
including redflex cameras. However, these revenue shortfalls will be offset by
expenditure savings giving us an overall positive performance. It is anticipated
that the General Fund and its supported funds will end another year (second
year) in the black. The primary reason for lower expenditures is personnel cost
savings due to vacancies. We have approximately 15 vacancies contributing to a
potential salary and benefits savings for the year of $900,000.
Based on Mid Year trends it is expected that overall General Fund performance
will be positive as shown in the table below:
General fund includes Traffic Safety Fund also
As shown in the table the General Fund is expected to end the year with an
overall saving of approximately $600,000, which is about $232,000 greater than
the adopted budget. This amount is higher than the approved budget amount
especially in view of the fact that the approved budget did not include the full
impact of labor negotiations, which were concluded after the adoption of the
budget. The savings are however one time savings because they are the result
of vacancies. As these positions are filled the savings would not be there.
General Fund Revenues:
For the fiscal year the total General Fund revenues are expected to be
approximately 2.5% or $635,700 lower than budget. As shown in the following
table, based on current trends at mid year several revenues are likely to be lower
than budget. The primary reasons for revenues being lower than budget are;
slower economy, lower consumer spending and impact of housing market.
Annual Budget
Projected
Projected
Annual
Variance
Variance %
Revenues
25,550,400
24,914,700
(635,700)
(2.49 %)
Expenditures
(23,336,200)
(22,383,500)
952,700
4.08%
Transfers In /(Out)
(1,974,200)
(1,923,800)
50,400
2.55%
Totals
240,000
607,400
367,400
General fund includes Traffic Safety Fund also
As shown in the table the General Fund is expected to end the year with an
overall saving of approximately $600,000, which is about $232,000 greater than
the adopted budget. This amount is higher than the approved budget amount
especially in view of the fact that the approved budget did not include the full
impact of labor negotiations, which were concluded after the adoption of the
budget. The savings are however one time savings because they are the result
of vacancies. As these positions are filled the savings would not be there.
General Fund Revenues:
For the fiscal year the total General Fund revenues are expected to be
approximately 2.5% or $635,700 lower than budget. As shown in the following
table, based on current trends at mid year several revenues are likely to be lower
than budget. The primary reasons for revenues being lower than budget are;
slower economy, lower consumer spending and impact of housing market.
Mid Year Update Feb 26, 2008
General Fund relies heavily on taxes and sources, which are not in city's control
as shown in the following chart"
2007/2008 Budgeted General Fund Revenues
Charges for Others Fines
service 1% 8%
A of
Licenses &
Permits
�o
Taxes
83%
Due to reliance on sources beyond our control our budgets have greater
volatility. Following table shows the trends of major revenue sources:
Projected Projected
Annual Annual
Revenues Budget Revenues Variance Variance o
Property Taxes
Sales Tax
Utility Users Tax
Motor Vehicle Fees
Franchise Fees
Business License
Construction Permits
Motor Vehicle Fines
Various Other Revenues
Totals
3,216,600
3,109,700
(106,900)
-3%
6,050,000
5,900,000
(150,000)
-2%
2,420,000
2,429,100
9,100
0%
6,648,300
6,530,000
(118,300)
-2%
1,578,400
1,518,200
(60,200)
-4%
678,700
583,200
(95,500)
-14%
510,000
350,000
(160,000)
-31%
1,475,000
1,235,000
(240,000)
-16%
2,973,400
3,259,500
286,100
10%
25,550,400 24,914,700 (635,700) -2%
Note: Includes traffic safety fund revenue
3
Mid Year Update Feb 26, 2008
It is important to evaluate some revenue sources:
• Sales Tax: Based on data from the State the midyear trends indicates that the
Sales Tax revenue is up by only 2% compared to the prior year, however, the
budget anticipated a growth of approximately 5 %. Additionally we anticipate
lower sales tax due to closure of Altman's RV and lower sales tax from home
improvement stores.
• Property Tax: Similarly property taxes were budgeted to grow at 5% even
though they had been growing at 10% in prior years. As a result of the condition
of the housing market, which is impacted by delinquencies the growth in property
tax collections is not expected to be more than 2 %.
• Motor Vehicle License Fees: (the non - property tax portion) are down by
out 12% giving an overall shortfall of 2% compared to budget.
• Real Property Transfer Tax: which is collected on sale of properties is
significantly lower than budgeted due to lower home sales (almost 50 %).
• Construction permits are also significantly lower.
• Police revenues from moving violations (which includes redflex) are also coming
in lower than budget. The citations due to red light violations have been trending
downward.
These projections are based on midyear trends any further deterioration in the economy
could cause greater adverse impacts on our revenues.
General Fund Expenditures:
The revenue shortfall in the General Fund will be offset by lower than expected
expenditures. Based on Midyear trends it is anticipated that General Fund expenditures
will be lower than budget by approximately $953,000. Following tables show General
Fund projections both by expenditure category as well as by department:
Expenditures
Annual Budget
Projected
Expenditures
s ima e
Annual
Variance
Variance as %
of Budget
Personnel
17,245,100
16,314,900
930,200
5%
Maintenance
1,280,850
1,082,700
198,150
15%
Contractual
2,640,800
2,531,300
109,500
4%
Capital
67,550
62,800
4,750
7%
Internal Service
2,400,000
2,391,800
8,200
0%
Management Resource
298,100
-
298,100
-100%
Total
23,336,200
22,383,500
952,700
4%
% of Annual Budget
100%
96016
4%
Mid Year Update Feb 26, 2008
The primary reason for lower expenditures is salary savings due to vacant
positions. The following table shows General Fund expenditures by department:
Expenditures
Annual Budget
Projected
Expenditures
Estimated
Annual
Variance
Variance as %
of Budge
Administration
894,300
772,600
121,700
14%
Legal
274,300
400,900
(126,600)
-46%
Community Development
1,134,700
1,066,200
68,500
6%
Police
15,705,700
15,080,700
625,000
4%
Finance & Non Dept.
1,317,400
1,302,300
15,100
1%
Public Works
706,200
563,300
142,900
20%
Recreation
3,303,600
3,197,500
106,100
3%
Total
23,336,200
22,383,500
952,700
4%
of Annual Budget
100%
96%
4%
All departments with the exception of Legal costs are significantly under budget.
The reason for legal costs being higher is unanticipated litigation.
Departmental Trends
Information on revenues and expenditures for each department is attached as
`Attachment- I ". With the exception of some revenues tied to housing and economy
such as construction permits, planning fees, engineering fees and police fines
departments are ok on revenues. With respect to expenditures, departments are within
budget.
1(b) Trends for Other City Funds:
Other city funds can be categorized into two categories: those supported /subsidized
by the General Fund. While any shortfall in these funds must be paid for by the
General Fund any savings are retained in these funds for future expenditures. These
funds include funds such as Gas Tax, Prop A, Park Maintenance Assessment District
and Street Lighting and Landscape Maintenance Fund. Based on midyear projections
these funds are also within budget. Another set of funds represents restricted funds,
where the funds are subject to restrictions for example; Asset seizure, grant funds and
funds which have legal or other restrictions. No adverse trends are noted in these
funds either. `Attachment -II' includes a summary of all city funds except CDC and their
projections. No major adverse trends are noted in these restricted funds.
Mid Year Update Feb 26, 2008
2. Outlook for the next fiscal year
While the current Fiscal Year looks good the next year poses some challenges. In
order to have a good perspective of our fiscal future it is important to consider the past.
The City has experienced good revenue growth over the past five years, which was
attributable to good economic growth fueled by a housing boom and redevelopment
projects such as Walmart, Smart and Final that increased both sales tax and property
tax revenues. However, this revenue growth was not enough to keep pace with the
growing expenditures.
In order to maintain essential services and to stay competitive the city invested the
revenue increases in providing services to the community. It must be noted that the
City of Baldwin Park has a rather smaller tax base compared to many other cities. Our
per capita revenues for the General Fund are significantly lower than many cities in the
region. Further a significant portion of our General Fund is committed for essential
services such as public safety. Our personnel costs also account for a very large
portion of the total General Fund budget. This structure makes it very hard for the city
to manage big downward swings in revenues without creating service impacts. In the
past the city had to use reserves to maintain essential services in times of lower
revenue growth.
In 2005/2006 General Fund Revenues grew by less than 5% and the city had to take
several proactive steps to balance expenditures with revenues. Measures
implemented by the city included a restructuring plan, implementation of new revenues
as well as measures to keep our spending low. City also had to reduce staffing and
budgets for most departments. Compared to actual spending of 2005/2006 the
2007/2008 budget reduced staffing and budgets for many departments. Departments
such as Administration, Community Development and Public Works saw staffing
reductions of about 20% or more. Despite staffing reductions the budgets for essential
services such as public safety programs were preserved or were higher. Staff was also
able to identify and implement several creative ideas to improve efficiency of
operations and maintain and improve service levels despite staffing and budget
reductions. As a result of these measures we are in a better shape than many.
Even though our fiscal performance has improved and is better than budget, there are
numerous challenges on the horizon created by worsening economic environment.
This economic downturn, which has impacted states, cities and private enterprises
alike is likely to impact us as well. Following are some of the challenges that we will
face in the next year:
Mid Year Update Feb 26, 2008
Potential Impact of State's budget problems
The State is anticipating a $14 billion budget deficit, Governor's proposed budget
proposes 10% across the board cuts including cuts in essential services. The budget
also includes a provision to delay payment of Gas Tax to Cities. Impact on Baldwin
Park of this proposal would be delay in receipt of approximately $600,000. It is not
known when this money will be repaid and if there will be any additional impacts.
Proposition IA approved by California Voters prevents the State from taking money
from cities to balance its budget as it has done in the past, however it allows the State
to borrow money, which it is supposed to pay back within a certain period of time. It is
possible that the State may do so and if so it is not known what the impacts would be.
If this were to happen the city must have sufficient reserves to cover this payment.
Based on audit for the year ended June 30, 2007 the unreserved /unrestricted fund
balance (reserves) for General Fund and funds supported and subsidized by the
General Fund including risk management fund was only $2,000,000 (including
$1,000,000 for the lock box reserve). This is not a significant amount for a city our
size.
Even though this fund balance is available for spending (as it represents net assets
after setting money aside for all obligations) it should not be spent. The city uses the
fund balance for its working capital needs to maintain operations during the months of
July to January when it does not receive enough tax payments. This reserve is also
supposed to protect the city in case of emergencies and allow time to react to fiscal
emergencies such as loss of revenues to state of for other reasons. Any payment to
the State is likely to cause some hardships and is not factored into midyear
projections.
Desire and ability to maintain competitiveness in the market
The City also has to deal with the challenge of staying competitive in the market for its
recruitment and retention needs. Absent significant revenue growth or in times of
declining revenues as is the situation currently our expenditure growth must not
exceed the revenue growth. Therefore we must find innovative ways to provide service
and reevaluate our business processes. Additionally use of technology and process
simplification must be embraced. Furthermore importance of increasing revenues
cannot be overemphasized. While these mean change these are essential in order to
generate resources to stay competitive.
During the past years most departments have been successful in increasing revenues
and reducing costs. We plan to continue our quest to identify creative ways to reduce
spending with out impacts and increase revenues to generate resources to hire and
retain good staff and stay competitive.
Impact of fiscal outlook on 2008/2009 budget
Mid Year Update Feb 26, 2008
Given the current economic scenario we expect a growth of no more than 1 -2 %. (could
be lower if the economic outlook worsens).
Based on these projections a preliminary look at 2008/2009 suggests that if we were
to budget for all authorized positions, the city would need to either generate new
revenues or reduce expenditures to balance the budget. The following table shows the
potential impact of slower economy on city's budget.
2008/2009 Preliminary General Fund Projections
The above table shows that if all vacancies were to be kept vacant we would have a
balanced budget. However, there still would not be any amounts for cost of living
increases or to restore programs and positions. The city cannot keep all vacant
positions vacant because some of the vacancies are in process of being filled and
some such as sworn positions are important and need to be filled.
Staff therefore needs to identify additional options to not only balance the budget but
to generate resources to allow the city to stay competitive for its staffing needs.
Additionally efforts to balance the budget must also balance the need to maintain
services. Since significant staffing and budget reductions have already been made in
many departments in the prior years accomplishing further reductions without
generating impacts is a very challenging task.
While this is a very tough challenge we are very hopeful that we will be able to
generate innovative ideas, revamp business processes, identify new revenue sources
and implement technology supported programs to generate efficiencies and balance
the budget while maintaining the quality and level of service.
Annual Budget
(Based on no
vacancies)
Annual Budget
(with current
vacancies)
Revenues
25,537,800
25,537,800
Expenditures
(24,203,200)
(23,446,500)
Transfers In /(Out)
(2,019,200)
(2,019,200)
Totals
(684,600)
72,100
The above table shows that if all vacancies were to be kept vacant we would have a
balanced budget. However, there still would not be any amounts for cost of living
increases or to restore programs and positions. The city cannot keep all vacant
positions vacant because some of the vacancies are in process of being filled and
some such as sworn positions are important and need to be filled.
Staff therefore needs to identify additional options to not only balance the budget but
to generate resources to allow the city to stay competitive for its staffing needs.
Additionally efforts to balance the budget must also balance the need to maintain
services. Since significant staffing and budget reductions have already been made in
many departments in the prior years accomplishing further reductions without
generating impacts is a very challenging task.
While this is a very tough challenge we are very hopeful that we will be able to
generate innovative ideas, revamp business processes, identify new revenue sources
and implement technology supported programs to generate efficiencies and balance
the budget while maintaining the quality and level of service.
Mid Year Update Feb 26, 2008
Staff is already working on exploring following options:
♦ Evaluate and freeze non -sworn vacancies
♦ Identify and implement recommendations to increase revenues
♦ Prioritize and evaluate the operations and implement ways to eliminate
redundancy, waste and non essential functions
We expect to bring a balanced budget for Council review in April 2008.
FISCAL IMPACT
No fiscal Impact at this time
RECOMMENDATION
It is recommended that the City Council review the information and provide directions as
deemed appropriate.
ATTACHMENTS
City of Baldwin Party
Mid Year Budget Review
Fiscal Year 2001 -OS
Big Picture
*State facing a deficit of $14 billion (Governor in Jan)
or $16 billion (Leg Analyst in February)
+LA County — deficit of more than $1 billion
*City of LA — deficit of $75 million
+City of West Covina -- deficit of $2 million
+City of Vallejo on verge of declaring bankruptcy
+And many others
2007 -2008 Midyear Performance
Baldwin Park
♦ Adopted Budget provided for a budget "surplus" of $240,000 in the
General Fund
♦ General Fund revenues projected to be about $500,000 below budget
• Sales tax increasing at less than 2% (budget projected 5% growth)
Property tax likely to have increased delinquency in this fiscal year and lower
future increases
♦ Decrease in sales of new vehicles (impacts City's share of motor vehicle license
fee revenue)
♦ Reduced real estate transfer fees
Reduced construction permit fees (and other building related fees)
♦ General Fund expenditures — savings of about $900,000
City has refrained from filing several staff vacancies
♦ Some reduction in contract service expenditures
2
Expenditure Highlights
♦ Personnel Costs
♦ Down by $ 930,200
♦Current number of vacancies =15
♦ Retiree Medical
♦FY 2004 -05 (actual) $362,655
♦FY 2007 -08 (projected) $ 546,000
*Increase due to:
♦ additional retirees
♦ Increased health insurance premiums
General Fund Performance
Annual Budget
Projected
Projected
Annual
Variance
Variance %
Revenues
25,550,400
24,914,700
635,700
-2%
Expenditures
23,336,200
22,383,000
953,200
4%
Transfers In! Out
1,974,200
1,923,800
50,400
3%
Totals
240,000
607,900
1 367,900
Trend of Mayor Revenues
Revenues
Budget
Projected
Annual
Revenues
Projected
AnnualI
Variance! Variance
lProperty Taxes
3,216,600
3,109700
I
(106
Sales Tax
I 6,050,000
5,900,000;
(150'900)
000)' -2 %I
Utility Users Tax
2,420,000
2,4291001
9,100,
,Motor Vehicle Fees
6,648 300
I 6,530,0001
(118 300) 2 %1
--_._.._,
Franchise Fees
1,578,400
1 518 200
(60,200)! 4%
,Business License
678,700
583 200'
(95,500)1 14 %01
Construction Permits
I 510 000
j 350 000
(160 000) 31%
Motor Vehicle Fmes
! 1,475,000
.
1,235 000
__... (240 000)i 16%
Various Other Revenues
i ........
2,973 400
3,259 500
°
286 1001 10%1
25.55 400
]3 24 914 700
/635 700 2 10
Totals
GF Expenditures by Category
Expenditures
Annual Budget
Projected
Expenditures
Estimated
Annual
Variance
Variance as
%of Budget
Personnel
17,245,100
16,314,900
930,200
5%
Maintenance
1,280, 850
1,082, 700
198,150
15%
Contractual
2,640,800
2,531,300
109,500
4%
Capital
67,550
62,800
4,750
7%
Internal Service
2,400,000
2,391,800
8,200
0%
Management Resource
(298,100)
-
(298,100)
-100%
Total
23,336,200
22,363,500
952,700
41/a
% of Annual Budget
100%
96%
4%
GF Expenditures by Department
Expenditures
Annual Budget
Projected
Expenditures
Estimated
Annual
Variance
Variance as
%of Budget
Administration
894,300
772,600
121,700
14%
Legal
274,300
400,900
(126,600)
-46%
Community Development
1,134,700
1,066,200
68,500
6%
Police
15,705,700
15,080,700
625,000
4%
Finance & Non Dept.
1,317,400
1,302,300
15,100
1%
Public Works
706,200
563,300
142,900
20%
Recreation
3,303,600
3,197,500
106,100
3%
Total
23,336,200
1 22,383,500
1 952,700
4%
% of Annual Budget
100%
96%
4%
VEMINIIIII
Revenues
General Fund
Fees for Services Other
Fines & Penalties
8%
Licenses &
Permits
2%
)Taxes
83 °k
Revenue Highlights [cont.]
♦Real Property Transfer Tax
♦Down 48% FY to date vs, same period prior year
*Motor Vehicle License fees
♦Down 12% FY to date vs, same period prior year
*Moving Violation
*Officer written tickets — no change
♦RedFiex revenue down 26%
Expenditures
by Category (General Fund)
internai zme
11 °/a
Maintenance
b%
Contract
71%
Personnel
73%
Excludes transfers
........ - - - - -. -
Expenditures
by Department [General Fund)
Administration Comm Develop
Recreation 4% 6%
T
ance
Public Work�0
3%
Legal
1%
Police
67 °/°
Excludes transfers
A Glimpse at
2008 -2009
and Beyond
The Fiscal Environment Impacting
Baldwin Park
*Historical
*Future
Historical Fiscal Environment
*City of Baldwin Park has operated in rather
challenging fiscal environment in the past.
+Despite these challenges the city has done a
good job in providing essential services
Per Capita GF Revenues
Baldwin Park --------- - - - - --
315
Monrovia -------------- - - - - --
624
West Covina --------- - - - - --
433
Covina ---------------- - - - - --
561
El Monte -------------- - - - - --
449
Arcadia --------------- - - - - --
720
Azusa ----------------- - - - - --
639
Glendora ------------ - - - - --
452
Per Capita GF Revenues
Baldwin Park --------- - - - - -- 315
Average ------------- - - - - -- 554
Baldwin Park as % of 57%
Average
01
Revenue Highlights
*Sales Tax
♦Per Capita (July — Sept 2007)
*City $ 21.17
♦County $ 33.62
♦State $ 37.91
*Baldwin Park is 62% of County Average and 55%
of State average
i
Police Dept Expenditures
as a percent of General Fund revenue
Baldwin Park --------- - - - - -- 67%
Monrovia -------------- - - - - -- 52%
West Covina --------- - - - - -- 46%
Covina ---------------- - - - - -- 44%
El Monte -------------- - - - - -- 35%
Arcadia --------------- - - - - -- 34%
10
J2 nj!
5 Year History- Revenues
General Fund [net of dept. revenues)
FY 2001 -02 FY 2006 -07 Dollar Change
Taxes 13,506,973 20,373,832 6,866,859
Charges for Services 683 682 (1)
Licenses & Permits 470 2,750 2,280
Use of Money &
Property 166,525 112,074 (54,451)
Other 15,072 35,548 20,476
Internal Services 27,554 30,230 2,676
Totals 13,717,277 20,555,116 6,837,839
J2 nj!
5 Year History - Expenditures
General Fund (net of dept, revenues)
DEPARTMENT FY 2001 -02 FY 2006 -07 Dollar Change
Administration 237,873 308,337 70,464
Legal Services 111,214 386,527 275,313
City Clerk 167,444 161,422 (6,022)
Human Resources 109,839 260,991 151,152
Finance 526,128 711,000 184,872
Police 8,574,794 12,769,997 4,195,203
Community Develop (116,192) (60,186) 56,006
Public Works 270,320 266,246 (4,074)
Recreation 1,741,061 2,107,034 365,973
Non - Departmental 601,407 754,493 153,086
Net Transfers 379,624 1,733,706 1,354,082
Totals 12,603,512 19,399,567 6,796,055
11
Annual Growth in Personnel Costs
(General Fund)
♦Increases from FY 03 -04 to FY 07 -08
♦Regular pay - 13% (up $892,906)
♦Retirement - 86% (up $1,451,105)
♦Medical - 70% (up $992,584)
12
Staffing and Personnel Costs
$19,000,000
—. �_ _ _ _ __ __M _W . _. -_._. ------ _ ---------- . -.._.
225
220
215
$16,000,000
_
210
— - --
205
200
195
$13,000,000
- -
190
185
$10,000,000 180
Actual 2003 - Actual 2004- Actual Budget 2006- Proposed
04 05 2005 -06 07 2007 -08
--Cost Employees
Annual Growth in Personnel Costs
(General Fund)
♦Increases from FY 03 -04 to FY 07 -08
♦Regular pay - 13% (up $892,906)
♦Retirement - 86% (up $1,451,105)
♦Medical - 70% (up $992,584)
12
Future Challenges
*Slowing economy which is reducing many revenues
Money for pay increases
*Increasing costs for retiree medical
♦Uncertainty about the economy
+Impact of State Budget
♦Delay in Gas Tax remittances, Leg, Analyst proposes
elimination of COPS and Prop 172 funding
♦ Potential for additional takeaways
13
Preliminary Outlook FY 08 -09
2 General Fund Pro actions
Annual Budget
(Based on no
vacancies)
Annual Budget
(with current
vacancies)
Revenues
25,537,800
25,537,800
Expenditures-----A24,203.200
23,446,500
Transfers Inl Out
2,019,200
2,019,200
Totals
(684,600)
72,100
13
Options to Balance FY 08 -09 Budget
*Evaluate and freeze non -sworn positions
♦ Identify and implement recommendations to
increase revenues
♦Prioritize and evaluate the operations and
implement ways to eliminate redundancy, waste
and non - essential functions
Next Step
*While the environment is challenging, we are
hopeful that we will be able to present to the City
Council a balanced budget in April 2008
14
Questions
15
P • A, R• K
TO: Honorable Mayor and City Council Members
FROM: Vijay Singhal, Chief Executive Office p
David A. Bass, Finance Consultant K,
DATE; February 26, 2008
SUBJECT: 2007/2008 Midyear Budget Update
PURPOSE
To discuss the Mid Year budget performance for the City-for the Fiscal Year 2007/2008
BACKGROUND & DISCUSSION
For FY 2007 -2008 the City adopted its budget at $43,047,000 with the General Fund
budget at $23,274,100. The General Fund budget was balanced with revenues
exceeding expenditures (after transfers) by $240,000. The budget provided funding
for numerous programs including funding for 192 positions. The current year has
witnessed several . issues such as a slowdown of the economy, lower home prices
and home sales, potential for foreclosures and lower consumer spending. As a result
the State of California is expecting budget deficits of enormous proportions. Many
cities and counties are also expecting significant budget constraints due to economic
slowdown and lower tax revenues. While our City is also impacted by these factors
causing our revenues to be lower than budgeted, we are in a better position then
many due to our proactive strategy over the past year. Additionally we have been
monitoring our revenues and expenditures on a regular basis.
Mid year gives us an opportunity to evaluate our actual revenue and expenditure
trends compared to the budget and recommend changes if any. Due to the condition
of the economy this Mid year review will also provide us an opportunity to look at the
next year's budget, evaluate trends, and take necessary steps to change strategy if
necessary in a timely manner.
This report consists of following components:
1. Mid Year Trends
(a) General Fund and Departmental trends
(b) Trends for other funds
2. Outlook for the next fiscal year including preliminary budget projections
Mid Year Update Feb 26, 2008
General Fund Mid Year Trends
The Mid -year trends suggest that our revenues are likely to be lower than budget
primarily due to lower tax revenues and lower revenues from traffic violations
including redflex cameras. However, these revenue shortfalls will be offset by
expenditure savings giving us an overall positive performance. It is anticipated
that the General Fund and its supported funds will end another year (second
year) in the black. The primary reason for lower expenditures is personnel cost
savings due to vacancies. We have approximately 15 vacancies contributing to a
potential salary and benefits savings for the year of $900,000.
Based on Mid Year trends it is expected that overall General Fund performance
will be positive as shown in the table below:
General fund includes Traffic Safety Fund also
As shown in the table the General Fund is expected to end the year with an
overall saving of approximately $600,000, which is about $232,000 greater than
the adopted budget. This amount is higher than the approved budget amount
especially in view of the fact that the approved budget did not include the full
impact of labor negotiations, which were concluded after the adoption of the
budget. The savings are however one time savings because they are the result
of vacancies. As these positions are filled the savings would not be there.
General Fund Revenues;
For the fiscal year the total General Fund revenues are expected to be
approximately 2.5% or $635,700 lower than budget. As shown in the following
table, based on current trends at mid year several revenues are likely to be lower
than budget. The primary reasons for revenues being lower than budget are;
slower economy, lower consumer spending and impact of housing market.
2
Annual Budget
Projected
Projected
Annual
Variance
Variance %
Revenues
25,550,400
24,914,700
635,700
2.49%
Expenditures
(23,336,200
(22,383,500
952,700
4.08%
Transfers In/ (Out)
1,974,200
1,923,800
50,400
2.55%
Totals
240,000
607,400
367,400
General fund includes Traffic Safety Fund also
As shown in the table the General Fund is expected to end the year with an
overall saving of approximately $600,000, which is about $232,000 greater than
the adopted budget. This amount is higher than the approved budget amount
especially in view of the fact that the approved budget did not include the full
impact of labor negotiations, which were concluded after the adoption of the
budget. The savings are however one time savings because they are the result
of vacancies. As these positions are filled the savings would not be there.
General Fund Revenues;
For the fiscal year the total General Fund revenues are expected to be
approximately 2.5% or $635,700 lower than budget. As shown in the following
table, based on current trends at mid year several revenues are likely to be lower
than budget. The primary reasons for revenues being lower than budget are;
slower economy, lower consumer spending and impact of housing market.
2
Mid Year Update Feb 26, 2008
General Fund relies heavily on taxes and sources, which are not in city's control
as shown in the following chart"
2007/2008 Budgeted General Fund Revenues
Charges for Others Fines
service
1% 8%
cot
Licenses &
Permits
Taxes
83%
Due to reliance on sources beyond our control our budgets have greater
volatility. Following table shows the trends of major revenue sources:
Projected Projected
Annual Annual
Revenues Budget Revenues Variance Variance °/
Property Taxes
3,216,600
3,109,700
(106,900)
-3%
Sales Tax
6,050,000
5,900,000
(150,000)
-2%
Utility Users Tax
2,420,000
2,429,100
9,100
0%
Motor Vehicle Fees
6,648,300
6,530,000
(118,300)
-2%
Franchise Fees
1,578,400
1,518,200
(60,200)
-4%
Business License
678,700
5831200
(95,500)
-14%
Construction Permits
510,000
350,000
(160,000)
-31%
Motor Vehicle Fines
1,475,000
1,235,000
(240,000)
-16%
Various Other Revenues
2,973,400
3,259,500
286,100
10%
Totals
25,550,400
24,914,700
(635,700)
-2%
Note: Includes traffic safety fund revenue
3
Mid Year Update Feb 26, 2008
It is important to evaluate some revenue sources:
• Sales Tax: Based on data from the State the midyear trends indicates that the
Sales Tax revenue is up by only 2% compared to the prior year, however, the
budget anticipated a growth of approximately 5 %. Additionally we anticipate
lower sales tax due to closure of Altman's RV and lower sales tax from home
improvement stores.
• Property Tax: Similarly property taxes were budgeted to grow at 5% even
though they had been growing at 10% in prior years. As a result of the condition
of the housing market, which is impacted by delinquencies the growth in property
tax collections is not expected to be more than 2 %.
• Motor Vehicle License Fees: (the non - property tax portion) are down by
about 12% giving an overall shortfall of 2% compared to budget.
• Real Property Transfer Tax: which is collected on sale of properties is
significantly lower than budgeted due to lower home sales (almost 50 %).
Construction per mits are also significantly lower.
• Police revenues from moving violations (which includes redflex) are also coming
in lower than budget. The citations due to red light violations have been trending
downward.
These projections are based on midyear trends any further deterioration in the
economy could cause greater adverse impacts on our revenues.
General Fund Expenditures:
The revenue shortfall in the General Fund will be offset by lower than expected
expenditures. Based on Midyear trends it is anticipated that General Fund expenditures
will be lower than budget by approximately $953,000. Following tables show General
Fund projections both by expenditure category as well as by department:
Expenditures
Annual Budget
Projected
Expenditures
Estimated
Annual
Variance
Variance as %
of Budget
Personnel
17,245,100
16,314,900
930,200
5%
Maintenance
1,280,850
1,082,700
198,150
15%
Contractual
2,640,800
2,531,300
109,500
4%
Capital
67,550
62,800
4,750
7%
Internal Service
2,400,000
2,391,800
8,200
0%
Management Resource
298,100
-
298,100
-100%
Total
23,336,200
22,383,500
952,700
4%
% of Annual Budget
100%
96%
4%
Mid Year Update Feb 26, 2008
The primary reason for lower expenditures is salary savings due to vacant
positions. The following table shows General Fund expenditures by department:
Expenditures
Annual Budget
Projected
Expenditures
Estimated
Annual
Variance
Variance as %
of Budget
Administration
894,300
772,600
121,700
14%
Legal
274,300
400,900
126,600)
-46%
Community Development
1,134,700
1,066,200
68,500
6%
Police
15,705,700
15,080,700
625,000
4%
Finance & Non Dept.
1,317,400
1,302,300
15,100
1%
Public Works
706,200
563,300
142,900
20%
Recreation
3,303,600
3,197,500
106,100
3%
Total
23,336,200
22,383,500
952,700
4%
% of Annual Budget
100%
96%
4%
All departments with the exception of Legal costs are significantly under budget.
The reason for legal costs being higher is unanticipated litigation.
Departmental Trends
Information on revenues and expenditures for each department is attached as
`Attachment- I ". With the exception of some revenues tied to housing and economy
such as construction permits, planning fees, engineering fees and police fines
departments are ok on revenues. With respect to expenditures, departments are
within budget.
1(b) Trends for Other Cily Funds:
Other city funds can be categorized into two categories: those supported /subsidized
by the General Fund. While any shortfall in these funds must be paid for by the
General Fund any savings are retained in these funds for future expenditures. These
funds include funds such as Gas Tax, Prop A, Park Maintenance Assessment District
and Street Lighting and Landscape Maintenance Fund. Based on midyear projections
these funds are also within budget. Another set of funds represents restricted funds,
where the funds are subject to restrictions for example; Asset seizure, grant funds and
funds which have legal or other restrictions. No adverse trends are noted in these
funds either. 'Attachment -II' includes a summary of all city funds except CDC and their
projections. No major adverse trends are noted in these restricted funds.
Mid Year Update Feb 26, 2008
2. Outlook for the next fiscal year
While the current Fiscal Year looks good the next year poses some challenges. In
order to have a good perspective of our fiscal future it is important to consider the
past.
The City has experienced good revenue growth over the past five years, which was
attributable to good economic growth fueled by a housing boom and redevelopment
projects such as Walmart, Smart and Final that increased both sales tax and property
tax revenues. However, this revenue growth was not enough to keep pace with the
growing expenditures.
In order to maintain essential services and to stay competitive the city invested the
revenue increases in providing services to the community. It must be noted that the
City of Baldwin Park has a rather smaller tax base compared to many other cities. Our
per capita revenues for the General Fund are significantly lower than many cities in
the region. Further a significant portion of our General Fund is committed for essential
services such as public safety. Our personnel costs also account for a very large
portion of the total General Fund budget. This structure makes it very hard for the city
to manage big downward swings in revenues without creating service impacts. In the
past the city had to use reserves to maintain essential services in times of lower
revenue growth.
In 2005/2006 General Fund Revenues grew by less than 5% and the city had to take
several proactive steps to balance expenditures with revenues. Measures
implemented by the city included a restructuring plan, implementation of new
revenues as well as measures to keep our spending low. City also had to reduce
staffing and budgets for most departments. Compared to actual spending of
2005/2006 the 2007/2008 budget reduced staffing and budgets for many
departments. Departments such as Administration, Community Development and
Public Works saw staffing reductions of about 20% or more. Despite staffing
reductions the budgets for essential services such as public safety programs were
preserved or were higher. Staff was also able to identify and implement several
creative ideas to improve efficiency of operations and maintain and improve service
levels despite staffing and budget reductions. As a result of these measures we are in
a better shape than many.
Even though our fiscal performance has improved and is better than budget, there are
numerous challenges on the horizon created by worsening economic environment.
This economic downturn, which has impacted states, cities and private enterprises
alike is likely to impact us as well. Following are some of the challenges that we will
face in the next year:
Mid Year Update Feb 26, 2008
Potential Impact of State's budget problems
The State is anticipating a $14 billion budget deficit, Governor's proposed budget
proposes 10% across the board cuts including cuts in essential services. The budget
also includes a provision to delay payment of Gas Tax to Cities. Impact on Baldwin
Park of this proposal would be delay in receipt of approximately $600,000. It is not
known when this money will be repaid and if there will be any additional impacts.
Proposition IA approved by California Voters prevents the State from taking money
from cities to balance its budget as it has done in the past, however it allows the State
to borrow money, which it is supposed to pay back within a certain period of time. It is
possible that the State may do so and if so it is not known what the impacts would be.
If this were to happen the city must have sufficient reserves to cover this payment.
Based on midyear estimates the 2007/2008 yearend unreserved /unrestricted fund
balance (reserves) for General Fund and funds supported and subsidized by the
General Fund including risk management fund is expected to be only $2,000,000
(including $1,000,000 for the lock box reserve). This is not a significant amount for a
city our size.
Even though this fund balance is available for spending (as it represents net assets
after setting money aside for all obligations) it should not be spent. The city uses the
fund balance for its working capital needs to maintain operations during the months of
July to January when it does not receive enough tax payments. This reserve is also
supposed to protect the city in case of emergencies and allow time to react to fiscal
emergencies such as loss of revenues to state of for other reasons. Any payment to
the State is likely to cause some hardships and is not factored into midyear
projections.
Desire and ability to maintain competitiveness in the market
The City also has to deal with the challenge of staying competitive in the market for its
recruitment and retention needs. Absent significant revenue growth or in times of
declining revenues as is the situation currently our expenditure growth must not
exceed the revenue growth. Therefore we must find innovative ways to provide service
and reevaluate our business processes. Additionally use of technology and process
simplification must be embraced. Furthermore importance of increasing revenues
cannot be overemphasized. While these mean change these are essential in order to
generate resources to stay competitive.
During the past years most departments have been successful in increasing revenues
and reducing costs. We plan to continue our quest to identify creative ways to reduce
spending with out impacts and increase revenues to generate resources to hire and
retain good staff and stay competitive.
Mid Year update Feb 26, 2008
Impact of fiscal outlook on 2008/2009 budget
Given the current economic scenario we expect a growth of no more than 1 -2 %.
(could be lower if the economic outlook worsens).
Based on these projections a preliminary look at 2008/2009 suggests that if we were
to budget for all authorized positions, the city would need to either generate new
revenues or reduce expenditures to balance the budget. The following table shows the
potential impact of slower economy on city's budget.
2008/2009 Preliminary General Fund Projections
The above table shows that if all vacancies were to be kept vacant we would have a
balanced budget. However, there still would not be any amounts for cost of living
increases or to restore programs and positions. The city cannot keep all vacant
positions vacant because some of the vacancies are in process of being filled and
some such as sworn positions are important and need to be filled.
Staff therefore needs to identify additional options to not only balance the budget but
to generate resources to allow the city to stay competitive for its staffing needs.
Additionally efforts to balance the budget must also balance the need to maintain
services. Since significant staffing and budget reductions have already been made in
many departments in the prior years accomplishing further reductions without
generating impacts is a very challenging task.
While this is a very tough challenge we are very hopeful that we will be able to
generate innovative ideas, revamp business processes, identify new revenue sources
and implement technology supported programs to generate efficiencies and balance
the budget while maintaining the quality and level of service.
Annual Budget
(Based on no
vacancies)
Annual Budget
(with current
vacancies)
Revenues
25,537,800
25,537,800
Expenditures
24,203,200
23,446,500
Transfers In /(Out )
2,019,200
(2,019,200)
Totals
(684,600)
72,100
The above table shows that if all vacancies were to be kept vacant we would have a
balanced budget. However, there still would not be any amounts for cost of living
increases or to restore programs and positions. The city cannot keep all vacant
positions vacant because some of the vacancies are in process of being filled and
some such as sworn positions are important and need to be filled.
Staff therefore needs to identify additional options to not only balance the budget but
to generate resources to allow the city to stay competitive for its staffing needs.
Additionally efforts to balance the budget must also balance the need to maintain
services. Since significant staffing and budget reductions have already been made in
many departments in the prior years accomplishing further reductions without
generating impacts is a very challenging task.
While this is a very tough challenge we are very hopeful that we will be able to
generate innovative ideas, revamp business processes, identify new revenue sources
and implement technology supported programs to generate efficiencies and balance
the budget while maintaining the quality and level of service.
Mid Year Update Feb 26, 2008
Staff is already working on exploring following options:
♦ Evaluate and freeze non -sworn vacancies
♦ Identify and implement recommendations to increase revenues
♦ Prioritize and evaluate the operations and implement ways to eliminate
redundancy, waste and non essential functions
We expect to bring a balanced budget for Council review in April 2008.
FISCAL IMPACT
No fiscal Impact at this time
RECOMMENDATION
It is recommended that the City Council review the information and provide directions
as deemed appropriate.
ATTACHMENTS
9
EXPENDITURES
ADMINISTRATION
GENERALFUND
OTHER FUNDS
VARIANCE
W /BUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
OBJECT CLASS NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
CAPITAL
127,517
450
500
(50)
CONTRACTUAL.
119,401
153,900
122,200
31,700
INTERNAL SERVICES
171,455
147,700
147,700
0
MAINTENANCE
56,171
69,550
57,700
11,850
MANAGEMENT RES
0
(8,200)
0
(8,200)
PERSONNEL
383,723
530,900
444,500
86,400
Grand To #al
730,750
1 300
772,600
121,700
OTHER FUNDS
LEGAL SERVICES
GENERALFUND
VARIANCE
WIBUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
OBJECT CLASS NAME
ACTUAL
BUDGET'
PROJECTED
(NEGATIVE)
CAPITAL
127,517
0
100
(100)
CONTRACTUAL
57,499
92,600
10,000
82,600
DEBT SERVICE
857,787
1,054,700
948,500
106,200
INTERNAL SERVICES
1,396,780
1,726,800
1,724,500
2,300
MAINTENANCE
306,500
331,200
364,400
(33,200)
MANAGEMENT RES
0
0
PERSONNEL
849,970
885,800
726,000
158,700
Grand Total
3,596,053
4,091,100
3,773,500
316,500
LEGAL SERVICES
GENERALFUND
11
VARIANCE
WBUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
OBJECT CLASS NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
CONTRACTUAL
385,345
275,000
399,800
(124,800)
INTERNAL SERVICES
0
0
MAINTENANCE
1,182
1,300
1,100
200
MANAGEMENT RES
0
2,000
0
2,000)
Grand Total
386,527
274,3001
400,900
(126,600)
11
EXPENDITURES
FINANCE & NON - DEPARTMENTAL
GENERALFUND
OTHER FUNDS
VARIANCE
W /BUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
OBJECT CLASS NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
CAPITAL
0
0
CONTRACTUAL
323,321
186,500
255,800
(69,300)
INTERNAL SERVICES
216,486
145,400
145,400
0
MAINTENANCE
99,500
121,300
97,000
24,300
MANAGEMENT RES
0
(68,200)
0
(68,200)
PERSONNEL
826,186
932,400
804,100
128,300
Grand Total
1,465,4931
1.317,4001
1,302,3001
15,100
OTHER FUNDS
12
VARIANCE
WIBUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
OBJECT CLASS NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
CAPITAL
0
0
CONTRACTUAL
69,587
48,600
79,900
(31,300)
DEBT SERVICE
684,342
1,309,300
1,224,900
84,400
INTERNAL SERVICES
43,415
49,600
49,600
0
MAINTENANCE
20,500
21,600
16,300
5,300
MANAGEMENT RES
(20,500)
0
(20,500)
PERSONNEL
461,331
472,850
258,000
214,850
Grand Total
1,279,175
1,881,4501
1,628,700
252,750
12
REVENUES
COMMUNITY DEVELOPMENT
GENERALFUND
ACCOUNT NAME
FY 2007
ACTUAL
FY 2008
BUDGET
FY 2008
PROJECTED
VARIANCE
W /BUDGET
POSITIVE/
(NEGATIVE)
BLDNG - PLAN CHECK FEES
304,164
225,000
380,000
155,000
CODE ENFORCEMENT CITES
18,472
16,000
22,000
6,000
CONSTRUCTION PERMITS
529,737
510,000
350,000
(160,000)
PERMIT ISSUANCE FEE
33,095
0
91,500
91,500
PLANNING - PLAN CK FEES
18,623
15,000
20,200
5,200
PUBLIC ART FEE
53
0
0
0
SUBDIVISION FEES
81,544
50,000
125,000
75,000
ZONING FEES
38,681
30,000
55,800
25,800
Grand Total
1,024,369
1 846,000
1,044,5001
198,500
OTHER FUNDS
13
VARIANCE
WIBUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
ACCOUNT NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
CAL HOME STATE REVENUE
55,257
375,000
0
(375,000)
CDBG ENTITLEMENT
2,116,771
1,524,300
1,357,200
(167,100)
GENERAL PLAN FEE
147,696
140,000
105,000
(35,000)
HOME CARRY OVER
(253,524)
1,307,500
956,000
(351,500)
HOME PROG ENTITLEMENT
119,893
503,300
503,000
(300)
LOAN INTEREST
18,059
6,000
21,100
15,100
LOAN PRINCIPAL RECEIVED
512,200
235,000
318,700
83,700
PEG - ADELPHIA GRANT
0
0
21,500
21,500
RSDNTL DEVELOPMENT TA�
62,250
96,200
11,400
(84,800)
Grand Total
1 2,778,602
4,187,300
3,293,900
(893,400
13
EXPENDITURES
COMMUNITY DEVELOPMENT
GENERALFUND
OTHER FUNDS
VARIANCE
WIBUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
OBJECT CLASS NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
CAPITAL
3,750
0
1,800
0
CONTRACTUAL
49,664
58,400
57,000
1,400
INTERNAL SERVICES
184,251
202,400
194,200
0
MAINTENANCE
18,054
62,600
28,900
27,300
MANAGEMENT RES
0
(10,100)
0
(10,100)
PERSONNEL
712,214
821,400
786,100
35,300
Grand Total
964,183
1,134,7001
1,066,200
53,900
OTHER FUNDS
14
VARIANCE
WIBUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
OBJECT CLASS NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
CAPITAL
3,750
1,000
1,800
(800)
CONTRACTUAL
208,008
1,154,680
477,900
676,780
DEBT SERVICE
156,304
2,481,400
1,383,700
1,097,700
INTERNAL SERVICES
347,181
380,200
393,800
(13,600)
MAINTENANCE
67,416
156,720
58,400
98,320
MANAGEMENT RES
(233,100)
0
(233,100)
PERSONNEL
803,561
1,127,470
847,300
280,170
Grand Total
1,586,220
5,068,370
3,162,900
1,905,470
14
REVENUES
POLICE
GENERALFUND
ACCOUNT NAME
FY 2007
ACTUAL
FY 2008
BUDGET
FY 2008
PROJECTED
VARIANCE
W /BUDGET
POSITIVE/
(NEGATIVE)
COMMUNICATION LS AGRMNT
53,409
50,000
55,600
5,600
COURT REFERRAL FEE
32
100
0
(100)
FALSE ALARMS
6,751
10,000
4,000
(6,000)
JAIL FEE REVENUE
4,875
25,000
16,800
(8,200)
JAIL PUBLIC PHONES REV
4,981
1,200
3,000
1,800
LA IMPACT
18,049
11,000
27,900
16,900
OTHER FINES
10,637
43,000
25,900
(17,100)
PARKING CITATIONS
463,585
460,000
473,000
13,000
POLICE CHARGES
44,766
55,000
42,700
(12,300)
POLICE OVERTIME REIMB
96,192
35,000
132,900
97,900
VEHICLE CODE FINES
1,353,135
1,475,000
1,235,000
(240,000)
VEHICLE RELEASE
99,319
110,000
123,200
13,200
WITNESS FEES
1,713
1,500
1 ,700
200
Grand Total
2,157,444
2,276,800
2,141,700
(135,100)
OTHER FUNDS
15
VARIANCE.
WBUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
ACCOUNT NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
911 EMERGENCY GRANT
22,476
0
0
0
ASSET FORFEITURES
430,385
355,000
318,800
(36,200)
BULLET PROOF VEST GRANT
2,663
0
0
COPS (AB3229 SLESF)
157,629
150,000
156,000
6,000
HOMELAND SECURITY GRANT
0
0
200,000
200,000
LOCAL LAW ENF BLOCK GRANT
0
0
23,400
23,400
OTS GRANT
102,464
196,400
155,300
41,1 fl0
Grand Total
715,617
701,400
853,500
152,100
15
EXPENDITURES
POLICE
GENERALFUND
OTHER FUNDS
VARIANCE
W /BUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
OBJECT CLASS NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
CAPITAL
161
0
200,000
0
CONTRACTUAL
1,351,764
1,505,300
1,306,100
199,200
DEBT SERVICE
44,803
53,600
53,600
0
INTERNAL SERVICES
1,339,285
1,417,300
1,417,300
0
MAINTENANCE
283,388
300,300
224,900
75,400
MANAGEMENT RES
0
(172,100)
0
(172,100)
PERSONNEL
11,908,040
12,601,300
12,078,800
522,500
Grand Total
14,927,441
15,705,700
15,080,700
1 625,000
OTHER FUNDS
16
VARIANCE
W /BUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
OBJECT CLASS NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
CAPITAL
34,801
200,000
200,000
0
CONTRACTUAL
163,337
269,200
229,300
39,900
INTERNAL SERVICES
46,127
55,200
55,200
0
MAINTENANCE
29,322
169,600
21,000
148,600
PERSONNEL
43,816
154,200
115,400
38,8fl0
Grand Total
317,403
848,200
620,900
227,300
16
REVENUES
PUBLIC WORKS
GENERALFUND
ACCOUNT NAME
FY 2007
ACTUAL
FY 2008
BUDGET
FY 2008
PROJECTED
VARIANCE
W /BUDGET
POSITIVE/
(NEGATIVE)
BILLBOARDS REVENUE
126,000
150,000
126,000
(24,000)
CONSTRUCTION & DEMO ADMIN FEEE
0
25,000
31,000
6,000
DESIGN REVIEW FEES
39,285
25,000
31,100
6,100
ENGINEERING FEES
47,713
45,000
26,600
(18,400)
NPDES CHARGES
0
0
2,100
2,100
PVMNT RESTORATION FEES
0
2,000
0
(2,000)
SEWER CONNECTION FEES
20,800
15,000
22,000
7,000
STREET & CURB PERMITS
102,934
75,000
98,800
23,800
Grand Total
336,732
337,000
337,600
600
OTHER FUNDS
ACCOUNT NAME
FY 2007
ACTUAL
FY 2008
BUDGET
FY 2008
PROJECTED
VARIANCE
W /BUDGET
POSITIVE/
(NEGATIVE)
AB 939 FEE
346,545
405,100
316,900
(88,200)
BICYCLE AND PEDESTRIAN
76,300
42,000
42,000
0
C &D PROCESSING FEE
6,075
0
31,000
31,000
CA CLEAN WTR GRANT
1,599,765
0
0
0
GAS TAX 2105 -PROP 111
492,990
598,000
486,900
(111,100)
GAS TAX 2106
292,772
350,000
283,900
(66,100)
GAS TAX 2107
658,903
688,000
652,500
(35,500)
GAS TAX 2107.5
7,500
7,500
7,500
0
INDUSTRIAL WASTE FEES
17,325
17,000
37,100
20,100
NPDES CHARGES
749
3,000
0
(3,000)
OIL RCYCLNG GRANT
40,166
23,500
21,000
(2,500)
OPPORTUNITY GRANT
(14,108)
12,000
0
(12,000)
OTHER GRANTS
166,715
0
0
0
PEOPLE ON THE MOVE
3,102
0
6,900
6,900
PROP A ALLOCATION
1,300,195
1,487,300
1,297,900
(189,400)
PROP C ALLOCATION
1,079,852
1,279,700
1,080,000
(199,700)
RECYCLING GRANT
21,795
23,100
21,500
(1,600)
STORM DRAIN FEES
122,168
184,000
17,300
(166,700)
SURFACE TRANSP PROGRAM
407,705
270,000
56,400
(213,600)
TRAFFIC CONGESTION FEES
9,1751
3,0001
900
2,100
Grand Total
6,635,689
1 5,393,200
1 4,359,700
1,033,500
17
EXPENDITURES
PUBLIC WORKS
GENERALFUND
OTHER FUNDS
VARIANCE
WIBUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
OBJECT CLASS NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
CAPITAL
5,253,417
0
874,100
0
CONTRACTUAL
58,850
139,100
49,000
90,100
INTERNAL SERVICES
296,993
314,800
314,800
0
MAINTENANCE
24,308
27,700
14,500
13,200
MANAGEMENT RES
0
(7,000)
0
(7,000)
PERSONNEL
222,827
231,600
185,000
46,600
Grand Total
602,978
706,200
563,300
142,900
OTHER FUNDS
18
VARIANCE
WIBUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
OBJECT CLASS NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
CAPITAL
5,253,417
600,800
874,100
(273,300)
CONTRACTUAL
1,821,304
1,938,200
1,466,000
472,200
DEBT SERVICE
155,763
156,800
155,800
1,000
INTERNAL SERVICES
804,153
877,200
881,600
(4,400)
MAINTENANCE
802,533
899,700
786,000
113,700
PERSONNEL
2,016,316
1,953,200
1,625,100
328,100
Grand Total
10,853,486
6,425,900
5,788,600
637,300
18
REVENUES
RECREATION
GEN£RALFUND
OTHERFUNDS
VARIANCE
WIBUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
ACCOUNT NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
FACILITY RENTAL
92,076
109,000
109,000
0
LATCH -KEY CHILD CARE
378,264
380,000
380,000
0
OTHER FEES AND CHARGES
695
1,000
800
(200)
OTHER REVENUE
167,808
10,000
10,000
0
RECREATION FEES
62,376
62,000
62,000
0
RENTAL ALLOCATION - HOUSING
0
30,000
30,000
0
Grand Total
701,219
592,000
591,800
(200)
OTHERFUNDS
11 ull
VARIANCE
WIBUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
ACCOUNT NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
PROP A PARKS
0
13,000
63,000
50,000
PUBLIC ART FEE
19,011
10,000
83,900
73,900
ROBERT Z -BERG GRANT
0
50,000
21,200
(28,800)
SUMMER LUNCH PROGRAM
122,124
180,000
1.80,000
0
QUIMBY FEES
50,433
25,000
375,000
350,000
Grand Total
191,568
278,000
723,100
445,100
11 ull
EXPENDITURES
RECREATION
GENERALFUND
OTHER FUNDS
VARIANCE
W /BUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
OBJECT CLASS NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
CAPITAL
1,939
0
165,000
0
CONTRACTUAL
350,455
322,600
341,400
(18,800)
DEBT SERVICE
12,545
13,500
8,700
4,800
INTERNAL SERVICES
157,407
172,400
172,400
0
MAINTENANCE
570,658
698,100
658,600
39,500
MANAGEMENT RES
0
(30,500)
0
(30,500)
PERSONNEL
1,715,249
2,127,500
2,016,400
111,100
Grand Total
2,808,253
3,303,600
1 3,197,500
106,100
OTHER FUNDS
20
VARIANCE
W /BUDGET
FY 2007
FY 2008
FY 2008
POSITIVE/
OBJECT CLASS NAME
ACTUAL
BUDGET
PROJECTED
(NEGATIVE)
CAPITAL
223,751
314,100
165,000
149,100
CONTRACTUAL
361,935
437,900
323,500
114,400
DEBT SERVICE
71,091
222,900
212,800
10,100
INTERNAL SERVICES
125,506
130,600
130,600
0
MAINTENANCE
908,617
1,116,600
952,500
164,100
MANAGEMENT RES
0
0
PERSONNEL
478,104
431,500
522,800
91,300
Grand Total
2,169,004
2,653,600
1 2,307,200
1 346,400
20
City of Baldwin Park
Fiscal Year 2007 -2008 Budget
Projected Fund Balance
General Fund Supported:
102 Housing Clearing
105 Trap Officer
108 Summer Lunch Program
110 Traffic Safety
114 Gasoline Tax
121 street Lighting and Landscape
127 Parks Maintenance Assessment District
130 Fleet Services
131 Information and Support services
Subtotal - Supported Funds
Subtotal - General Fund & General Fund Supported
General Fund Subsidized:
117 Proposition A
126 Proposition A - Parks
Subtotal - General Fund, Supported, & Subsidized Funds
132 Internal brsumnce **
0
711,500
711,500
0
0
Budgeted
Fund
Fund Balance
0
0
86,500
Fund Balance
Number Name
6130/2007
Revenues Expenditures
Transfers In
Transfers Out
6/30/2008
General Fund:
100 General Fund*
3,040,415
24,872,100 22,383,500
207,400
2,181,200
3,555,215
101 CRA Clearing
0
0 820,400
820,400
0
0
Subtotal - General Fund
3,040,415
24,872,100 23,203,900
1,027,800
2,181,200
3,555,215
General Fund Supported:
102 Housing Clearing
105 Trap Officer
108 Summer Lunch Program
110 Traffic Safety
114 Gasoline Tax
121 street Lighting and Landscape
127 Parks Maintenance Assessment District
130 Fleet Services
131 Information and Support services
Subtotal - Supported Funds
Subtotal - General Fund & General Fund Supported
General Fund Subsidized:
117 Proposition A
126 Proposition A - Parks
Subtotal - General Fund, Supported, & Subsidized Funds
132 Internal brsumnce **
0
711,500
711,500
0
0
0
1,500
85,000
0
0
86,500
0
0
180,000
220,200
40,200
0
0
0
0
0
0
0
0
0
1,430,800
1,416,700
0
0
14,100
27,419
1,693,700
1,560,600
0
0
160,519
0
585,400
1,074,000
488,600
0
0
51,178
1,197,900
1,263,400
14,300
0
(22)
252,252
962,200
862,000
0
0
352,452
332,349 6,846,500 7,108,400 543,100 86,500 527,049
3,372,764 31,718,600 30,312,300 1,570,900 2,267,700 4,082,264
0 1,367,000 1,304,600 0 0 62,400
0 63,000 74,200 11,200 0 0
0 1,430,000 1,378,800 11,200 0 62,400
3,372,764 33,148,600 31,691,100 1,582,100 2,267,700 4,144,664
(2,550,168) 2,827,800 2,545,800 0 0 (2,268,168)
Restricted:
103
AB 1693 Business improvement Fees
159,857
76,400
13,000
0
0
223,257
106
Prop 172 - Public Safety Augmentation
0
274,400
153,500
0
120,900
0
107
Oil Recycling Grant
0
21,000
22,400
0
0
(1,400)
109
Air Quality Management
272,202
78,000
19,600
0
0
330,602
111
AB3229 Supplemental Law Enforcement Services
32,176
158,000
0
0
0
190,176
112
Federal Asset Forfeiture
1,486,075
345,400
88,000
0
0
1,743,475
113
Surface Transportation Program
(60,636)
56,400
1,800
0
0
(6,036)
115
State Asset Forfeiture
212,945
5,400
0
0
0
218,345
116
Bicycle and Pedestrian Safety
0
42,500
0
0
0
42,500
119
Proposition C
1,270,490
1,105,000
288,300
0
0
2,087,190
119
Economic Development Act Revolving Loan
1,574,960
27,600
12,500
0
0
1,590,060
120
Community Development Black Grant
(43,100)
1,438,300
1,395,200
0
0
0
122
H2O.M.E. (Home Investment Partnership Program)
0
1,700,600
1,700,600
0
0
0
123
Assessment District
273,683
27,400
0
0
0
301,083
124
COP Lease Payment
0
30,000
676,400
676,400
0
30,000
125
Building Reserve * **
307,957
120,000
0
676,400
676,400
427,957
129
AB939Integrated Waste Management
237,397
390,400
217,800
0
0
409,997
133
Residential Development Fee
9,141
12,400
0
0
0
21,541
135
Traffic Congestion Relief
1,024,616
22,900
15,000
0
0
1,032,516
136
Energy Conservation
0
0
130,100
130,100
0
0
137
Local Law Enforcement Block Grant
(54,911)
23,800
0
0
0
(31,111)
138
Economic Development Administration Grant
441
0
0
0
0
441
139
Stato Grants
4,854
675,000
632,300
0
0
47,554
142
Park Land and Public Art Fees
283,118
458,900
0
0
0
742,018
143
Storm Drains NPDS
323,187
69,400
61,900
0
0
330,687
144
CAL Home
48,240
800
0
0
0
49,040
145
General Plan Fees
147,696
105,000
0
0
0
252,696
Subtotal
Restricted Funds
7,362,692
7,160,000
5,428,400
1,482,900
797,300
9,779,892
GRAND TOTAL - ALL FUNDS
8,332,984
43,241,400
39,665,300
3,065,000
3,065,000
11,909,084
* Unreserved fund balance
** includes noncurrent liabilities of $5.2 million at 6130107
* ** excludes amounts due from other funds
21