CC SR 20160621 01 - Draft BudgetCITY OF kbok RANCHO PALOS VFRDES
PUBLIC HEARING
Date: June 21, 2016
Subject: Consideration and Possible Action to Conduct a Public Hearing
and Adopt the Fiscal Year 2016-2017 Budget
Subject Property: Citywide
1. Report of Notice Given: City Clerk Morreale
2. Request for Staff Report: Mayor Dyda
3. Staff Report & Recommendation: Director of Finance Cullen
4. Council Questions of Staff (factual only, no opinions):
5. Declare the Hearing Open: Mayor Dyda
6. Public Testimony: Mayor Dyda invites brief comments from the public.
Appellant: N/A
Applicant: N/A
8. Rebuttal: N/A
9. Declare Hearing Closed: Mayor Dyda
10. Council Deliberation: Questions of staff in response to testimony
11. Council Action:
1
RANCHO PALOS VERDES CITY COUNCIL MEETING DATE: 06/21/2016
AGENDA REPORT AGENDA HEADING: Public Hearing
AGENDA DESCRIPTION:
Consideration and possible action to conduct a public hearing and adopt the Fiscal Year
2016-2017 Budget.
RECOMMENDED COUNCIL ACTION:
(1) Open public hearing;
(2) ADOPT RESOLUTION NO. 2016- , A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF RANCHO PALOS VERDES APPROVING A
BUDGET APPROPRIATION AND ADOPTING THE OPERATING AND CAPITAL
IMPROVEMENT BUDGET FOR FISCAL YEAR 2016-2017; and,
ADOPT RESOLUTION NO. 2016-, A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF RANCHO PALOS VERDES REVISING THE
SALARY AND HOURLY SCHEDULE FOR THE COMPETITIVE,
CONFIDENTIAL, MANAGEMENT AND PART-TIME POSITIONS, BY
APPLYING THE COST OF LIVING ADJUSTMENT AGREED UPON WITH
THE RANCHO PALOS VERDES EMPLOYEE ASSOCIATION; MAKING
MISCELLANEOUS AMENDMENTS APPROVED BY CITY COUNCIL; AND
RESCINDING RESOLUTION NO. 2015-112
FISCAL IMPACT: Proposed Budget total revenues of $39,853,000 and total
expenditures of $44,197,500, excluding Improvement Authorities. Total General Fund
revenues of $28,614,000 and expenditures of $28,433,900.
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): N/A
ORIGINATED BY: Trang Nguyen, Deputy Director of Finance.!,
REVIEWED BY: Deborah Cullen, Director of Finance
APPROVED BY: Doug Willmore, City Manager:!"""
ATTACHED SUPPORTING DOCUMENTS:
A. June 6th Agenda Report (page A-1)
B. Resolution No. 2016- (page B-1)
C. Resolution No. 2016- (page C-1)
BACKGROUND AND DISCUSSION:
The draft FY16-17 Budget includes City Council direction provided on April 11, 2016,
May 31, 2016 and June 6, 2016. Each City Council Member has separately received a
2
copy of the draft budget document that has been available at City Hall, and on the City's
website for review since June 15, 2016 (the preliminary document has been available
since June 6, 2016). Notice of tonight's public hearing was published in the Palos
Verdes Peninsula News on June 2, 2016 and June 9, 2016.
The Preliminary Budget is detailed in the June 6th agenda report and, at that meeting,
Council did not request any modifications or changes.
As described in the June 6th Staff report and included in the FY16-17 budget, employee
salaries will be increased July 1, 2016, based on provisions in the RPVEA MOU 2014-
2017 adopted by City Council on December 15, 2016. This provision ties the cost -of -
living adjustment (COLA) increase to the Consumer Price Index -Urban (CPI -U) as of
March 31, 2016. The March 31, 2016, CPI -U was 1.7%.
There is one ministerial change to the Salary Schedule to clarify the Recreation Program
Supervisor I and II levels to be consistent with Staff positions and the approved Koff study
classifications. Existing Staff have the title of Recreation Program Supervisor II but the
existing salary schedules do not reflect the correct title. There were Recreation Program
Supervisor I positions in the past so this is an administrative clean-up item that has been
identified.
In summary, the FY16-17 Adopted Budget for the General Fund and the Capital
Program Fund is as follows:
• General Fund Revenues of $28,804,000
• General Fund Expenditures of $28,433,900
• Capital Program Fund Revenues of $6,254,400
• Capital Program Fund Expenditures of $6,902,500
FY16-17 Adopted Budget Citywide Revenues are $39,853,000 and Expenditures are
$44,197,500.
9
RANCHO PALOS VERDES CITY COUNCIL
MEETING DATE: 06/06/2016
AGENDA REPORT AGENDA HEADING: Regular Business
AGENDA DESCRIPTION:
Consideration and possible action regarding the Fiscal Year 2016-17 Preliminary
Budget and Capital Improvement Program including discussion and possible direction
regarding all City revenues and expenditures.
RECOMMENDED COUNCIL ACTION:
(1) Receive Staff presentation of FY 2016-17 Preliminary Budget and Capital
Improvement Program;
(2) Determine that the utility users' tax (UUT) rate of 3% continues to be necessary
revenue source for the City's operating and capital improvements, and that the
current rate of 3% should be maintained;
(3) Schedule public hearing and budget adoption for June 21, 2016.
FISCAL IMPACT: Proposed Budget total revenues of $39,895,500 and total
expenditures of $44,362,000. Total General Fund revenues of $28,614,000 and
expenditures of $28,433,900.
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): N/A
ORIGINATED BY: Trang Nguyen, Deputy Director of Finance',;'
REVIEWED BY: Deborah Cullen, Director of Finances--
APPROVED
inances -APPROVED BY: Doug Willmore, City Manager.'P
ATTACHED SUPPORTING DOCUMENTS:
A. FY 2016-17 Preliminary Budget
B. FY 2016-17 Preliminary CIP Budget
C. FY 2016-17 CIP New Projects
BACKGROUND AND DISCUSSION:
FY 2016-17 Budget
The City started the budget process with the first Budget Workshop held on April 11,
2016. During this session, staff presented year-end estimates for FY 15-16 and
A-1
assumptions and estimates that would be used to develop the FY 2016-17 Operating
Budget. Additional items for funding consideration were also presented and discussed.
Based on Council's direction, a second budget workshop was scheduled on May 31,
2016. At this workshop staff presented changes to the FY 16-17 Preliminary Budget for
consideration and updated FY 15-16 year-end estimates. Additionally, Public Works
presented the Five- Year Capital Improvement Program.
Staff presented an updated Operating Budget, focused on the General Fund and the
Capital Program Fund. The total FY 2016-17 Citywide Preliminary Revenues are
currently estimated to be $39,657,800 and Expenditures are estimated to be
$44,384,300. The General Fund Preliminary Revenues are estimated to be
$28,804,000 (Table 1) and estimated Expenditures of $28,333,900 (Table 2).
FY 2016-17 General Fund Budget Assumptions
General Fund Revenues
Staff is projecting an increase of $732,000 or 2.6% in General Fund operating revenues,
net of transfers in, for FY 2016-17 as compared to FY 2015-16 Adopted Budget.
Revenues are projected to end FY 2015-16 slightly higher than the Adopted Budget of
$27.9M by $475,000 or 1.7% and staff is expecting this growth to continue into FY
2016-17.
Listed below is a summary of the major revenue assumptions as compared to FY 2015-
16 adopted budget:
General Taxes — expected net increase of approximately $504,000 or 2.5%:
a. Property Tax projected to decrease ($47,000) based on FY15-16 actuals and
estimates from the City's Property Tax consultant.
b. Property Transfer Tax - projected to increase by $12,000 based on FY15-16
actuals.
c. Sales Tax - expected to increase by $54,000 based on FY15-16 actuals and
revenue estimate provided by MuniServices.
d. Transient Occupancy Tax (TOT) — expected to increase $468,000 based on
growth trend the past three years and industry information.
e. Business License Tax — expected to increase by $17,000 based on historical
trends.
2. Other Taxes — expected net increase of approximately $49,000 or 1.1 % based
on historical and industry estimates:
a. Franchise Taxes is projected to increase by $26,000.
b. Utilities User Taxes is projected to increase by $120,000.
c. Golf Taxes is projected to decrease by ($97,000)
3. Other Revenues — expected net increase of approximately $179,000 or 5.2%
primarily in these categories:
A-2
a. Licenses and Permits are projected to increase by $56,000 based Community
Development projection of activities for FY 2016-17.
b. Use of Money and Property revenue is projected to increase by $48,000
based on FY15-16 actuals and an increase in facility rental.
c. Miscellaneous Revenues — is expected to increase by $142,000 based on the
estimates for Redevelopment Agency loan payment.
Below is the summary of the FY 2016-17 General Fund Revenues as compared to the
FY 15-16 Adopted Budget and FY 15-16 ear -end estimates.
Table 1
FY 2016-17 PRELIMINARY REVENUES BUDGET
Property Tax
Property transfer tax
Sales Tax
TOT
Franchise taxes
UUT
Business license tax
Golf tax
Licenses and Permits
Fines and forfeitures
Interest earnings
Other use of money and property (rents & leases)
Charges for services
Intergovernmental (grants & vehicle license fees)
Other revenue
TOTAL PRELIMINARY OPERATING
REVENUES
TRANSFER IN
FY 2016
FY 2016
FY 2017
ADOPTED
YEAR-END
PRELIMINARY
BUDGET
EST
BUDGET
11,755,555
11,350,626
11,708,600
395,000
430,432
406,900
2,068,936
2,075,602
2,122,800
5,026,400
5,149,029
5,495,000
2,101,000
2,043, 393
2,127,100
1,862,000
1,663,644
1,981,900
777,490
825,650
794,500
447,900
377,850
350,500
2,160,100
2,630,846
2,215,800
120,000
108,961
121,500
121,220
51,687
53,800
742,500
1,255,721
790,200
228,800
332,979
230,200
-
20,902
-
7r, Qr)7
nn nF7
OIG Onn
27,882,208 28,357,779 28,614,000
,3nQ nnn Ir,7 AoQ ion nnn
TOTAL PRELIMINARY REVENUES 28,090,208 28,515,477 28,804,000
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General Fund Expenditures
Staff is projecting an increase of $2M or 9.4% in General Fund operating expenditures,
net of transfers out, for FY 16-17.
Listed below is a summary of the expenditure assumptions as compared to FY 15-16
Adopted Budget:
4. Salaries — increase of $600,000 or 9.3% due to:
f. Equity adjustments based on the compensation study-- $44,000
g. COLA increase (January 2016) of $150,000
h. COLA increase (July 2016) of $78,000
i. Average merit increase (July 2016) of $73,000
j. Additional part-time for Recreation and Parks $235,000
k. Position reclassification Manager to Deputy -- $20,000
5. Benefits — increase of $159,000 or 7.5% due to:
d. CalPERS pension rate increase totaling $89,000
e. Health benefits increase $47,000
f. Other benefits increase $23,000
6. Public Safety — increase of $883,000 or 16.7% due to:
a. Annual Sheriff contract increase $141,000
b. Sheriff General Liability increase $177,000
c. Preserve Enforcement increase $436,000
d. New position added --Administrative Analyst II $92,000
e. Animal Control $29,000
f. Operating Supplies $8,000
7. City Attorney — decrease of $90,000 or -8.7% due to savings from professional
technical.
8. Non -Department — increase of $179,000 or 27.3% due to:
a. Vacation buyout for separation of employment or excess leave balance
$25,000
b. Contract with HDL for Property Tax audit $13,000
c. Unemployment claims and additional retiree benefit payments $41,000
d. Phase 2 —security cameras on Western Ave. $100,000
9. Other non -personnel — increase of $241,000 or 4.4%
a. Dual system maintenance for financial software $52,000
b. New security cameras and archives $46,000
c. Update General Plan $110,000
d. Miscellaneous professional technical services and utilities $33,000
i
Table 2
FY 2016-17 PRELIMINARY EXPENDITURES BUDGET
TOTAL PRELIMINARY OPERATING BUDGET 21,014,448.00 20,862,810.00 22,987,900.00
TOT TRANSFER OUT 5,026,400.00 5,026,400.00 5,200,000.00
OTHER TRANSFER OUT 3,390,903.00 5,435,469.00 246,000.00
TOTAL PRELIMINARY BUDGET 29,431,751.00 31,324,679.00 28,433,900.00
A-5
FY 2016
FY 2017
ADOPTED
FY 2016 YEAR-
PRELIMINARY
BUDGET
END EST
BUDGET
SALARY & WAGES - FULLTIME
5,617,244.00
5,415,201.00
6,060,100.00
SALARY & WAGES - OVERTIME
35,254.00
23,280.00
24,000.00
SALARY & WAGES - PARTTIME
772,686.00
804,724.00
941,300.00
EMP BENEFITS ALLOCATION
2,105,353.00
2,132,383.00
2,264,700.00
TOTAL PERSONNEL EXPENSES
8,530,537.00
8,375,588.00
9,290,100.00
MEETINGS & CONFERENCES
86,700.00
87,012.00
125,800.00
MILEAGE REIMBURSEMENT
7,650.00
6,545.00
8,500.00
TRAINING
49,600.00
35,920.00
68,600.00
TOTAL TRAVEL & CONFERENCES
143,950.00
129,477.00
202,900.00
TOTAL OP SUPPLIES/MINOR EQUIP
469,680.00
567,784.00
576,500.00
TOTAL PROF/TECH SERVICES
2,269,900.00
2,311,138.00
2,432,500.00
ADVERTISING
58,600.00
80,703.00
94,500.00
MAINTENANCE SERVICES
1,403,491.00
1,403,940.00
1,593,500.00
MEMBERSHIP&DUES
76,090.00
73,967.00
82,100.00
MISC EXPENSES
235,100.00
244,809.00
220,000.00
POSTAGE
8,050.00
7,815.00
8,500.00
PRINTING & BINDING
72,600.00
65,162.00
88,600.00
PUBLICATIONS
13,350.00
13,462.00
12,300.00
RENTALS
26,600.00
24,183.00
27,300.00
UTILITY SERVICES
406,600.00
290,404.00
309,600.00
INTERFUND CHARGES
332,700.00
332,700.00
109,400.00
OTHER EXPENSES
2,633,181.00
2,537,145.00
2,545,800.00
PUBLIC SAFETY/LAW ENFORCEMENT
5,279,500.00
4,946,530.00
6,163,000.00
CITY ATTORNEY
1,030,000.00
1,046,185.00
940,000.00
NON -DEPARTMENT
657,700.00
948,963.00
837,100.00
TOTAL PRELIMINARY OPERATING BUDGET 21,014,448.00 20,862,810.00 22,987,900.00
TOT TRANSFER OUT 5,026,400.00 5,026,400.00 5,200,000.00
OTHER TRANSFER OUT 3,390,903.00 5,435,469.00 246,000.00
TOTAL PRELIMINARY BUDGET 29,431,751.00 31,324,679.00 28,433,900.00
A-5
As presented at the second Budget Workshop on May 31 st and shown in the table
below, the General Fund estimated ending fund balance for FY 15-16 is $12.2 million.
After applying Council's reserve policy, the General Fund has an estimated unrestricted
surplus of $1.7 million. (Table 3)
Table 3
-General Fund (in millions)
Estimated Beginning Fund Balance $15.1
Add: Revenues (including transfers in)
Less: Year-end Estimated Expenditures
Less: TOT Transfers Out
NM
Subtotal 43.6
Less: Prior Year Favorable Expenditure Variance (Transferred to
CIP)
Less Other Transfers Out
Estimated General Fund Balance 6/30/2016
i.
ow
sirna#ed Unrestricted Surplus/(Deficit) Fund Balanc
-20.9
-5.0
-2.2
-3.3
12.2
-10.5
General Fund estimated fund balance for FY 16-17 is $12.6 million with $1.1 million of
estimated unrestricted surplus after applying Council's reserve policy. (Table 4)
Table 4
Estimated Beginning Fund Balance $12.2
Add: Revenues (including transfers in) 28.8
Subtotal 41.0
Less: FY 2016-17 Projected Expenditures, net of transfers out (23.0)
Less: TOT Transfers out (5.2)
Less: Other transfers out (0.2)
Estimated General Fund Balance 6/30/2017 12.6
Less: 50% Policy Reserve (11.5)
UnrestrictedEstimated Surplus/(Def icitt
Table 5
SUMMARY OF EXPENDITURES BY CATEGORY
SALARIES
BENEFITS
7,097,100.00
2,285,300.00
NON -PERSONNEL 13,605,500.00
TRANSFERS OUT 5,446,000.00
TOTAL PRELIMINARY BUDGET 28,433,900.00
Chart 1
FY 2016-17 General Fund Preliminary Expenditures by Category
$28.4 million
TRANSFERS OUT SALARIES
A-7
Table 6
SUMMARY OF EXPENDITURES BY DEPARTMENT
CITY ATTORNEY
PUBLIC SAFETY
CITY ADMINISTRATION
FINANCE
COMMUNITY DEVELOPMENT
PUBLIC WORKS
RECREATION AND PARKS
NON -DEPARTMENT
TOT TRANSFERS OUT
OTHER TRANSFERS OUT
TOTAL PRELIMINARY BUDGET
Chart 2
NON -
DEPARTMENT
3% or $0.8M
940, 000.00
6,163,000.00
3,669,000.00
1,296,900.00
3,140,900.00
4,677,100.00
2,263,900.00
837,100.00
5,200,000.00
246,000.00
28,433,900.00
FY 2016-17 General Fund Preliminary Expenditures by Department
$28.4 million
RECREATION ANC
8% or $2.31
OTHER TRANSFERS OUT CITY ATTORNEY
1% or $0.2M 3% or $0.9M
•
FY 2016-17 Preliminary Budget for Other Funds (Table 7)
Capital Improvement Project Fund
During the May 31, 2016 City Council workshop on the proposed capital improvement
budget for FY 16-17, a detailed review of the draft proposal prepared by Public Works
was made. The following modification was made to that plan, which is reflected in the
draft capital budget attached hereto:
The proposed marquee signage at Upper Point Vicente Park will be pursued at a
later date pending the outcome of the master planning process for the Civic
Center. Signage options for Hesse Park (including low-key features consistent
with the semi -rural character of the City) will be investigated by City personnel
and will be followed up on at a later date. No new or additional funding is
included in the draft FY 16/17 budget for marquee signage.
The City Council also discussed developing further a comprehensive arterial roadway
median beautification program. The attached draft capital budget table (Attachment B)
shows all projects that have continuing appropriations, are re -budgeted and/or require
new funding or are new projects. A brief description of the proposed new projects is
shown in (Attachment C).
Capital Improvement Project (CIP) Fund continues to operate with a balance budget.
The estimated ending fund balance for FY 15-16 is $24.2 million. This is an increase in
fund balance of almost $4 million due to the favorable variance transfer from the
General Fund of $2.2 million and one-time transfer of $1.2 million from the excess
reserve in the General Fund during the year. Public works is expecting to add another
thirteen (13) capital projects in FY 16-17 for an estimated total of $6.9 million. The CIP
Fund is estimating to receive a little a million, $1,054,400, in grants, in addition to a
transfer in from General Fund of $5.2 million from Transient Occupancy Taxes.
Equipment Replacement Fund
Equipment Replacement Fund continues to operate with a balance budget. This fund is
used to accumulate funding to replace equipment, furniture and vehicles at the end of
the life cycle. With the plan to replace the current financial system and other annual
equipment replacement, the estimated expenditures for FY 16-17 are $687,000. Based
on the current Equipment Replacement Schedule, the estimated inter -fund charges are
$132,000 for FY 16-17. The maintenance budget for vehicles and equipment were re -
budgeted in the General Fund under Non -Department as it is used to support City-wide
operation.
Me
Water Qualitv/Flood Protection Fund
The Water Quality/Flood Protection Fund will begin the fiscal year with an estimated
$2.5M fund balance. There will be no additional revenue added to this fund balance
due to the sun -setting of the Storm Drain User Fee. Public Works is purposing three (3)
new projects in FY 16-17 for a total of $2.2 million. This fund is currently operating from
fund balance and is expected to exhaust the remaining fund balance by FY
17-18.
All Other Special Revenue Funds
All other Special Revenue Funds continue to operate with a balance budget and are
forecasted to continue into the next fiscal year with positive fund balances with one
exception, the Street Maintenance Fund.
The Street Maintenance Fund revenue is generated from the motor vehicle fuel tax.
This source of revenue has been declining since FY 13-14, revenues collected that year
totaled approximately $1.3 million. The City received $990,000 in FY 14-15, a decrease
of slightly more than $300,000 or 26% from FY 13-14. The estimated revenue for FY
15-16 is $823,000, another decrease of $167,000 or 20%. Public Works is estimating
the annual needs for street maintenance is approximately $1.6 million for FY 16-17 and
estimated the annual revenue for motor vehicle fuel tax at $823,000. The fund has
some fund balance to meet the need for FY 16-17.
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Table 7
FY16-17 Estimated Appropriations
Fund Balance
FY16-17 Estimated Resources
Fund
6/30/2016
Revenues Transfers In
Restricted by Council Action
19,569,407
BEAUTIFICATION FUND
1,255
900 -
CIP
20,397,307
1,054,400 5,200,000
EQUIPMENT REPLACEMENT
2,865,804
132,030 -
BUILDING REPLACEMENT
-
-
EMPLOYEE BENEFITS
-
- -
Subtotal
23,264,366
1,187,330 5,200,000
Restricted by Law or External Agencies
25,510
STREET MAINTENANCE
952,336
842,600 -
1972 ACT
27,898
260,200
EL PRADO LIGHTING
24,010
2,300
CDBG
-
192,400
1911 ACT
1,784,350
555,600
WASTE REDUCTION
436,067
208,100
AIR QUALITY MANAGEMENT
103,382
50,300
PROPOSITION C
304,998
649,100
PROPOSITION A
381,666
781,300
PUBLIC SAFETY GRANTS
27,202
100,200
MEASURE R
1,631,622
489,600
HABITAT RESTORATION
1,444,712
4,900
SUBREGION 1 MAINTENANCE
798,296
2,700
MEASURE A
-
90,000 -
ABALONE COVE SEWER DISTRICT
98,024
55,400 208,000
GINSBURG CULTURAL ARTS BUILDING
102,329
300 -
DONOR RESTRICTED CONTRIBUTIONS
873,200
2,800
QUIMBY
2,431,981
5,900
LOW -MOD INCOME HOUSING
55,519
44,300
AFFORDABLE HOUSING IN LIEU
589,132
1,900
ENVIRONMENTAL EXCISE TAX
139,348
23,200
BIKEWAYS
97
82,500
WATER QUALITY/FLOOD PROTECTION
2,526,248
8,000
IMPROV AUTH - PORTUGUESE BEND
279,509
1,100 -
IMPROV AUTH - ABALONE COVE
1,034,006
3,400 38,000
Subtotal of Other Restricted Funds
16,045,932
4,458,100 246,000
GRAND TOTAL
39,310,298
5,645,430 5,446,000
FY16-17 Estimated Appropriations
Fund Balance
6130/2017
Expenditures TransfersOut
2,155
(6,877,500)
19,569,407
(687,000)
2,310,834
0
0
(7,564,500)
21,882,396
(1,635,500)
159,436
(241,500)
46,598
(800)
25,510
(192,400)
0
(487,000)
1,852,950
(278,600)
365,567
(50,000)
103,682
(550,000)
404,098
(638,300)
524,666
(100,000)
27,402
2,121, 222
(166, 500)
1,283,112
(44,800)
756,196
(90,000)
0
(223,100)
138,324
102,629
(460,000)
416,000
(575, 000)
1, 862,881
99,919
591,032
162,548
(82,500)
97
(2,343,800)
190,448
(114,900)
165,709
(74,600)
-
1,000,806
(8,159,300)
(190,000)
12,400,832
(15,723,800)
(190,000)
34,283,228
Compliance with Utility Users Tax Legislative Review Requirements
Municipal Code Section 3.30.190 requires that the City Manager submit to the City
Council an analysis of the revenues derived from the Utility User Tax (UUT) annually.
Based on the needs of the City, the City Council shall determine if any modification to the
tax rate is appropriate or if the UUT is unnecessary. The tax rate cannot be increased
without a majority vote of the residents of the City during a Municipal Election.
The current estimate of FY16-17 UUT revenue is approximately $2 million (or
approximately 7% of total General Fund revenue). Based upon the operating and capital
needs of the City, Staff recommends that the current UUT rate of 3% continues to be a
necessary General Fund revenue source to provide current program service levels and
CIP funding.
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Summary
Overall, the General Fund continues to operate with a balance budget. Per Council
Policy No. 45, recurring revenues of $28.7 million continue to support recurring
expenditures of $28.2 million. Combining the recurring revenues and expenditures with
one-time revenues and expenditures, the General Fund has a surplus of $370,000 in FY
16-17 (Table 8). The General Fund is also expected to meet Council Policy No. 41,
Fund Balance Reserve Policy in FY 16-17 (Table 4).
The next step in FY 16-17 budget process is to open a Public Hearing and Council
adoption of FY 16-17 Preliminary Budget at the next Council Meeting on June 21, 2016.
Table 8
FY 2016-17 RECURRING VS. ONE-TIME REVENUES AND EXPENDITURES
Revenue Type
Recurring
One-time Total
Property Tax
12,088,500
27,000 12,115,500
Sales Tax
2,122,800
2,122,800
TOT
5,495,000
5,495,000
Franchise taxes
2,127,100
2,127,100
UUT
1,981,900
1,981,900
Business License or Golf Tax
1,145,000
1,145,000
Charges for services
2,567,500
2,567,500
Other revenue
1,021,200
38,000 1,059,200
Transfers in
190,000
- 190,000
TOTAL REVENUES 28,739,000 65,000 28,804,000
Expenditure by Program
Recurring
One-time
Total
City Council
126,500
-
126,500
City Attorney
940,000
-
940,000
Public Safety/Law Enforcement
6,163,000
-
6,163,000
City Administration
3,444,200
98,300
3,542,500
Finance
1,296,900
1,296,900
Community Development
3,140,900
-
3,140,900
Public Works
4,677,100
-
4,677,100
Recreation & Parks
2,218,900
45,000
2,263,900
Non -department
737,100
100,000
837,100
TOT Transfer Out
5,200,000
-
5,200,000
Transfers out
246,000
-
246,000
TOTAL EXPENDITURES 28,190,600 243,300 28,433,900
SURPLUS/(DEFICITS) 548,400 (178,300) 370,100
A-12
RESOLUTION NO. 2016-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO
PALOS VERDES APPROVING A BUDGET APPROPRIATION AND
ADOPTING THE OPERATING AND CAPITAL IMPROVEMENT BUDGET
FOR FISCAL YEAR 2016-2017.
WHEREAS, on June 21, 2016, the City Council conducted an advertised Public
Hearing to receive public input regarding the draft budget for FY16-17;
BE IT, THEREFORE, RESOLVED BY THE CITY COUNCIL OF THE CITY OF
RANCHO PALOS VERDES:
Section 1: That a revenue and expenditure/expense budget is hereby adopted. The
adopted budget, by fund, is per Exhibit A with a total Estimated Ending Fund Balance of
$45,839,454 for all City funds as of June 30, 2017, exclusive of the City's Improvement
Authority.
A. The City Manager is authorized to transfer certain Budget Appropriation
Balances within functions and/or programs when deemed necessary to do so in
accordance with Chapter 3.32 of the Rancho Palos Verdes Municipal Code.
B. City Council approval will be required for any significant changes involving
increased or decreased service levels.
C. The Director of Finance shall be responsible for constant monitoring of the
budget and shall establish and implement appropriate control mechanisms necessary for
said purpose, after approval by the City Manager.
Section 2: The FY16-17 Revenue Budget is hereby adopted, establishing the
following revenue and internal service fund contribution levels:
GENERAL
$28,614,000
BEAUTIFICATION FUND
900
C I P
1,054,400
GAS TAX
842,600
1972 ACT
260,200
EL PRADO LIGHTING
2,300
1911 ACT
555,600
WASTE REDUCTION
208,100
AIR QUALITY MANAGEMENT
50,300
PROPOSITION C
649,100
PROPOSITION A
781,300
PUBLIC SAFETY GRANTS
100,200
MEASURE R
489,600
HABITAT RESTORATION
4,900
SUBREGION 1 MAINTENANCE
2,700
MEASURE A
90,000
ABALONE COVE SEWER DISTRICT
55,400
GINSBURG CULTURALARTS BUILDING
300
DONOR RESTRICTED CONTRIBUTIONS
2,800
QU I M BY
5,900
LOW -MODERATE INCOME HOUSING
44,400
AFFORDABLE HOUSING IN LIEU
1,900
ENVIRONMENTAL EXCISE TAX
23,200
COMMUNITY DEVELOPMENT BLOCK GRANT
192,400
BICYCLE & PEDESTRIAN ACCESS
82,500
WATER QUALITY/FLOOD PROTECTION
8,000
TOTAL GOVERNMENTAL& ENTERPRISE FUND REVENUES
$34,123,000
EQUIPMENT REPLACEMENT $ 132,000
TOTAL INTERNAL SERVICE FUND REVENUES $ 132,000
Section 3: The FY15-16 Budget is hereby adopted, establishing the following
transfers into the following funds:
3ENERAL $ 190,000
lip
5,200,000
4BALONE COVE SEWER DISTRICT 208,000
*TOTAL OPERATING TRANSFERS IN $ 5,598,000
*Does not include $38,OOOtransfer in for Improvement Authority - Abalone Cove
Section 4: The FY15-16 Budget is hereby adopted, establishing the following
transfers from the following funds:
GENERAL $ 5,446,000
PUBLIC SAFETY GRANTS 100,000
MEASURE A 90,000
TOTAL OPERATING TRANSFERS OUT $ 5,636,000
Section 5: The FY15-16 Operating and Capital Improvement Budget Programs are
hereby adopted, establishing the following allocations.
City Council
$ 126,500
City Manager
795,700
Legal Services
940,000
City Clerk
575,900
Community Outreach
81,500
RPV TV
228,400
Personnel
417,400
Finance
1,296,900
Information Technology - Data
1,133,500
Information Technology - Voice
105,000
Public Safety - Sheriff Services
5,369,200
Special Safety Programs
676,800
Animal Control
117,000
Emergency Preparedness
205,100
Public Works Administration
2,282,200
Traffic Management
298,000
Storm Water Quality
579,600
Public Building Maintenance
578,700
Parks Maintenance
869,600
Sewer Maintenance
69,000
Planning
1,545,600
Building & Safety Services
886,800
Code Enforcement
136,300
View Restoration/Preservation
347,200
N CC P
75,000
Geology
150,000
Recreation Administration
838,000
Other Recreation Facilities
214,000
Fred Hesse Jr. Park
186,900
Robert E. Ryan Park
110,600
Ladera Linda Community Center
90,600
Abalone Cove Shoreline Park
105,800
Special Events
216,700
Point Vicente Interpretive Center
375,700
REACH
41,300
Recreation Support Services
84,300
Non -departmental
837,100
SUBTOTAL GENERAL FUND EXPENDITURES
$22,987,900
Street Maintenance - Pavement Management $ 245,000
Street Maintenance - Non -Pavement 1,380,500
Traffic signal maintenance 10,000
SUBTOTAL GAS TAX FUND EXPENDITURES $ 1,635,500
CIP
$ 6,902,500
1972 ACT
241,500
EL PRADO LIGHTING
800
1911 ACT
487,000
WASTE REDUCTION
278,600
AIR QUALITY MANAGEMENT
50,000
PROPOSITION C
538,000
PROPOSITION A
638,300
HABITAT RESTORATION
166,500
SUBREGION 1 MAINTENANCE
44,800
ABALONE COVE SEWER DISTRICT
249,400
DONOR RESTRICTED CONTRIBUTIONS
460,000
COMMUNITY DEVELOPMENT BLOCK GRANT
192,400
QU I M BY
575,000
BICYCLE & PEDESTRIAN ACCESS
82,500
WATER QUALITY/FLOOD PROTECTION
2,343,800
SUBTOTAL OTHER FUNDS EXPENDITURES
$13,251,100
EQUIPMENT REPLACEMENT $ 687,000
SUBTOTAL INTERNALSERVICE FUNDS EXPENDITURES $ 687,000
PASSED, APPROVED and ADOPTED the 21 t" day of June 2016.
ATTEST:
CITY CLERK
State of California )
County of Los Angeles )
City of Rancho Palos Verdes )
MAYOR
I, CARLA MORREALE, City Clerk of The City of Rancho Palos Verdes, hereby certify that
the above Resolution No. 2016-_ was duly and regularly passed and adopted by the said
City Council at regular meeting thereof held on June 21, 2016.
CITY CLERK
CITY OF RANCHO PALOS VERDES FY 16-17 FUND SUMMARY Exhibit
Y16-17 Estimated Resource
Fund Balance
Fund
6/30/2016
General Fund Balance
12,224,036
Restricted Amount (Policy Reserve)
(10,531,405)
GENERAL FUND Unrestricted Surplus
1,692,631
Restricted by Council Action
132,030
BEAUTIFICATION FUND
1,255
CIP
20,402,507
EQUIPMENT REPLACEMENT
2,865,804
BUILDING REPLACEMENT
-
EMPLOYEE BENEFITS
-
Subtotal
23,269,566
Restricted by Law or External Agencies
208,100
STREET MAINTENANCE
952,336
1972 ACT
27,898
EL PRADO LIGHTING
24,010
CDBG
-
1911 ACT
1,784,350
WASTE REDUCTION
436,067
AIR QUALITY MANAGEMENT
103,382
PROPOSITION C
304,998
PROPOSITION A
381,666
PUBLIC SAFETY GRANTS
27,202
MEASURE R
1,631,622
HABITAT RESTORATION
1,444,712
SUBREGION 1 MAINTENANCE
798,296
MEASURE A
-
ABALONE COVE SEWER DISTRICT
55,929
GINSBURG CULTURAL ARTS BUILDING
102,329
DONOR RESTRICTED CONTRIBUTIONS
873,200
QUIMBY
2,431,981
LOW -MOD INCOME HOUSING
55,519
AFFORDABLE HOUSING IN LIEU
589,132
ENVIRONMENTAL EXCISE TAX
139,348
BIKEWAYS
97
WATER QUALITY/FLOOD PROTECTION
2,526,248
Subtotal
14,690,322
Subtotal for City's Funds
50,183,924
Improvement Authorities
IMPROV AUTH - PORTUGUESE BEND
279,509
IMPROV AUTH - ABALONE COVE
1,034,006
Subtotal
1,313,515
GRAND TOTAL
51,497,439
Y16-17 Estimated Resource
Revenues
Transfers In
28,614,000
190,000
900
-
1,054,400
5,200,000
132,030
-
1,187,330
5,200,000
842,600
-
260,200
2,300
192,400
555,600
208,100
50,300
649,100
781,300
(100,000)
100,200
489,600
4,900
(90,000)
2,700
90,000
-
55,400
208,000
300
-
2,800
5,900
(190,000)
44,400
(5,636,000)
1,900
23,200
82,500
8,000
-
4,453,700
208,000
34,255,030
5,598,000
1,100
-
3,400
38,000
4,500
38,000
34,259,530
5,636,000
FY16-17 Estimated Appropriations
Expenditures
Transfers Out
(22,987,900)
(5,446,000)
(6,902,500)
(687,000)
(7,589,500)
(1,635,500)
(241, 500)
(800)
(192,400)
(487,000)
(278,600)
(50,000)
(538,000)
(638, 300)
(100,000)
(166, 500)
(44,800)
(90,000)
(249,400)
(460,000)
(575,000)
(82,500)
(2,343,800)
(7,984,100)
(190,000)
(38,561,500)
(5,636,000)
(114, 900)
(74,600)
(189,500)
(38,751,000)
(5,636,000)
Fund Balance
6/30/2017
12,594,136
(11,443,950
1,150,186
2,155
19,754,407
2,310,834
22,067,396
159,436
46,598
25,510
0
1,852,950
365,567
103,682
416,098
524,666
27,402
2,121,222
1,283,112
756,196
0
69,929
102,629
416,000
1,862,881
99,919
591,032
162,548
97
190,448
11,177, 922
165,709
1,000,806
1,166,515
47,005,969
RESOLUTION NO. 2016-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO
PALOS VERDES REVISING THE SALARY AND HOURLY SCHEDULE
FOR THE COMPETITIVE, CONFIDENTIAL, MANAGEMENT AND PART-
TIME POSITIONS, BY APPLYING THE COST OF LIVING ADJUSTMENT
AGREED UPON WITH THE RANCHO PALOS VERDES EMPLOYEE
ASSOCIATION; MAKING MISCELLANEOUS AMENDMENTS
APPROVED BY CITY COUNCIL; AND RESCINDING RESOLUTION NO.
2015-112
WHEREAS, the City Council now desires to amend the City's Salary Schedule to
reflect new salary ranges based on cost of living adjustments (COLAs) set forth in the
Memorandum of Understanding between the City of Rancho Palos Verdes and the
Rancho Palos Verdes Employees Association for the period of July 1, 2014 through June
30, 2017 (RPVEA MOU 2014-2017) that was adopted by Resolution No. 2015-110; and,
WHEREAS, the City Council now desires to amend the salary range for
Information Technology Manager by providing an equity adjustment to align it with other
similarly -situated positions within the same pay grade; and,
WHEREAS, the City Council now desires to add a full-time Geographic Information
Systems (GIS) Coordinator position and corresponding salary range; and,
WHEREAS, the City Council now desires to reclassify the Recreation Services
Manager to a Deputy Director of Parks and Recreation and add the corresponding salary
range; and,
WHEREAS, the City Council now desires to reclassify the Staff Assistant in the
City Clerk's Department to Administrative Assistant to be consistent with the approved
Koff Study classifications; and,
WHEREAS, the City Council now desires to clarify the Recreation Program
Supervisor I and II levels to be consistent with existing Staff positions and the approved
Koff Study classifications; and
WHEREAS, in order to amend the City's Salary Schedule changes must be made
via Resolution; and,
NOW, THEREFORE THE CITY COUNCIL OF THE CITY OF RANCHO PALOS
VERDES DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:
Section 1: The salary and hourly ranges for City job classifications as set forth in
Exhibit "A" which are attached hereto and incorporated herein by this reference, are
adopted and are effective as of July 1, 2016.
C-1
Section 2: Resolution No. 2015-112 is hereby rescinded and replaced by this
resolution.
PASSED, APPROVED and ADOPTED this 21St day of June 2016.
Mayor
Attest:
City Clerk
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss
CITY OF RANCHO PALOS VERDES )
I, Carla Morreale, City Clerk of the City of Rancho Palos Verdes, hereby certify that
the above Resolution No. 2016-_ was duly and regularly passed and adopted by the
said City Council at a regular meeting thereof held on June 21, 2016.
City Clerk
C-2
C _ as of Ju ly 1, 2016
Salary and Hourly Schedule for the
Resolution No. 2016-_
Competitive, Confidential,
Management, and Part -Time Positions
Exhibit
1of 2
Monthly Salary Range
Annual Salary
Range
Hourly Range
BOTTOM
TOP
BOTTOM
TOP BOTTOM
TOP
COMPETITIVE POSITIONS
Finance:
Account Clerk
3,936 --
5,110
47,229 --
61,319
22.7063 --
29.4801
Accounting Technician
4,455 --
5,788
53,461 --
69,452
25.7023 --
33.3902
Accountant
5,755 --
7,475
69,066 --
89,703
33.2047 --
43.1263
Accounting Manager
7,467 --
9,698
89,607 --
116,378
43.0802 --
55.9512
Senior Accounting Technician
4,990 --
6,482
59,876 --
77,786
28.7865 --
37.3970
Senior Accountant
6,331 --
8,223
75,973 --
98,678
36.5255 --
47.4414
City Clerk:
Deputy City Clerk
5,196 --
6,750
62,353 --
81,005
29.9772 --
38.9446
Community Development:
Principal Planner
7,639 --
9,921
91,674 --
119,052
44.0740 --
57.2366
Senior Planner
7,006 --
9,100
84,079 --
109,203
40.4228 --
52.5016
Associate Planner
6,090 --
7,909
73,078 --
94,914
35.1337 --
45.6317
Assistant Planner
5,359 --
6,960
64,310 --
83,527
30.9184 --
40.1574
Planning Technician
4,587 --
5,954
55,042 --
71,454
26.4623 --
34.3531
Building Inspector II
5,788 --
7,516
69,452 --
90,199
33.3902 --
43.3649
Building Inspector 1
5,168 --
6,710
62,021 --
80,522
29.8179 --
38.7126
Permit Technician
4,407 --
5,721
52,881 --
68,652
25.4236 --
33.0058
Senior Code Enforcement Officer
5,750 --
7,467
68,997 --
89,607
33.1717 --
43.0802
Code Enforcement Officer
5,134
6,667
61,608 --
80,011
29.6194 --
38.4670
Information Systems:
Geographic Information Systems Coordinator
6,392 --
8,303
76,703 --
99,633
36.8765 --
47.9007
Senior Information Technician
6,825 --
8,862
81,900 --
106,342
39.3751 --
51.1259
Public Works:
Assistant Engineer
6,393 --
8,302
76,717 --
99,629
36.8833 --
47.8984
Associate Engineer
7,104 --
9,225
85,250 --
110,698
40.9858 --
53.2203
Engineering Technician
4,873 --
6,329
58,479 --
75,945
28.1149 --
36.5119
Lead Worker
4,514 --
5,863
54,165 --
70,353
26.0408 --
33.8238
Maintenance Superintendent
7,443 --
9,666
89,318 --
115,999
42.9414 --
55.7687
Maintenance Worker
3,454 --
5,099
41,452 --
61,193
19.9290 --
29.4197
Open Space & Trails Manager
6,820 --
8,858
81,845 --
106,301
39.3485 --
51.1064
Permit Clerk
3,861 --
5,014
46,334 --
60,174
22.2758 --
28.9298
Senior Engineer
7,956 --
10,332
95,479 --
123,988
45.9033 --
59.6097
Traffic Engineering Technician
4,873 --
6,329
58,479 --
75,945
28.1149 --
36.5119
Parks & Recreation:
Recreation Program Supervisor 1
4,399 --
5,712
52,785 --
68,543
25.3775 --
32.9532
Recreation Program Supervisor 11
5,574 --
7,239
66,893 --
86,874
32.1602 --
41.7661
Recreation Services Manager
6,531 --
8,480
78,379 --
101,757
37.6823 --
48.9216
Support:
Senior Administrative Analyst
6,599 --
8,571
79,185 --
102,858
38.0696 --
49.4510
Administrative Analyst 11
5,094 --
7,652
61,126 --
91,826
29.3874 --
44.1472
Administrative Analyst II (Records Management)
5,094 --
7,652
61,126 --
91,826
29.3874 --
44.1472
Administrative Analyst
5,094 --
6,615
61,126 --
79,378
29.3874 --
38.1624
Executive Staff Assistant
5,190 --
6,742
62,284 --
80,908
29.9442 --
38.8980
Administrative Assistant
4,399 --
5,712
52,785 --
68,543
25.3775 --
32.9532
Staff Assistant 11
3,830 --
4,974
45,962 --
59,691
22.0969 --
28.6978
Staff Assistant 1
3,369 --
4,377
40,434 --
52,527
19.4392 --
25.2532
C _ as of Ju ly 1, 2016
Salary and Hourly Schedule for the Resolution No. 2016-_
Competitive, Confidential, Management, and Part -Time Positions Exhibit
2of 2
Monthly Salary Range Annual Salary Range Hourly Range
BOTTOM TOP BOTTOM TOP BOTTOM TOP
CONFIDENTIAL POSITIONS
Accounting Supervisor
7,280 --
9,457
87,364 --
113,483 42.0017 --
54.5591
Human Resources Analyst
5,093 --
7,652
61,120 --
91,829 29.3845 --
44.1486
MANAGEMENT POSITIONS
City Manager *
17,917 --
17,917
215,000 --
215,000
Deputy City Manager
8,963 --
15,228
107,553 --
182,733
Director of Community Development
8,963 --
15,228
107,553 --
182,733
Director of Finance
8,963 --
15,228
107,553 --
182,733
Director of Parks & Recreation
8,963 -
15,228
107,553 --
182,733
Director of Public Works
8,963 --
15,228
107,553 --
182,733
Deputy Director of Community Development
7,869 --
13,323
94,418 --
159,866
Deputy Director of Finance
7,869 --
13,323
94,418 --
159,866
Deputy Director of Public Works
7,869 --
13,323
94,418 --
159,866
Deputy Director of Parks & Recreation
7,869 --
13,323
94,418 --
159,866
Human Resources Manager
7,869 --
13,323
94,418 --
159,866
Building Official
7,367 --
12,474
88,402 --
149,684
City Clerk
7,367 --
12,474
88,402 --
149,684
Information Technology Manager
7,367
12,474
88,402 --
149,684
Principal Civil Engineer
7,367 --
12,474
88,402 --
149,684
Assistant to the City Manager
7,391 --
9,597
88,690 --
115,171
*The position of City Manager is set by contract agreement adopted by City Council.
HOURLY RANGE
PART-TIME POSITIONS
BOTTOM
TOP
Auto Allowance
MONTHLY
Administrative/Public Works/Cable Intern
11.84 --
28.53
City Manager
700
GIS Coordinator
36.88 --
47.90
Deputy City Manager
150
Park Ranger
16.38 --
21.28
Director of Community Development
150
Permit Clerk
20.78 --
26.99
Director of Finance
150
Recreation Leader
11.70 --
13.29
Director of Public Works
150
Recreation Leader II
13.26 --
16.30
Director of Parks &
Recreation
150
Recreation Specialist
16.38
21.28
Staff Assistant 1
19.43 --
25.25
Staff Assistant II
22.10 --
28.70
Television Producer
15.79 --
31.59
C-4 As of July 1, 2016