RPVCCA_CC_SR_2015_03_03_E_FY_2014-15_Midyear_Financial_ReportCITY OF tiRANCHO PALOS VERDES
MEMORANDUM
TO: HONORABLE MAYOR & CITY COUNCIL MEMBERS
FROM: KATHRYN DOWNS, ACTING FINANCE DIRECTOR
DATE: MARCH 3, 2015
SUBJECT: FY14-15 MIDYEAR FINANCIAL REPORT
REVIEWED: CAROLYNN PETRO, DEPUTY CITY MANAGE
RECOMMENDATION
1) Receive and file the FY14-15 Midyear Financial Report; and
2) ADOPT RESOLUTION NO. 2015- , A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF RANCHO PALOS VERDES, AMENDING RESOLUTION 2014-41, THE
BUDGET APPROPRIATION FOR FY14-15, TO ADJUST THE BUDGET IN VARIOUS
FUNDS OF THE CITY.
EXECUTIVE SUMMARY
The updates and recommendations included in this report are mostly favorable.
Revenues continue to exceed expectations, and staff vacancies have contributed to
significant expenditure savings.
If City Council adopts the attached resolution, the revised estimate of Excess General
Fund Reserves would be $2,604,795 at June 30, 2015. This estimate includes proposed
budget adjustments on the February 17, 2015 City Council agenda under separate cover.
Current estimates of fund balances at June 30, 2015 exceed all City Council policy
reserve thresholds.
A summary of the FY14-15 General Fund budget follows.
E-1
FY14-15 Midyear Financial Report
March 3, 2015
Page 2 of 11
A summary of revised estimated fund balances as of June 30, 2015 has been prepared
(see Attachment A). During the 2015 budget process, Staff will analyze impacts discussed
in this report, the accompanying proposed FY14-15 budget adjustments, and revenue
trends and changes.
BACKGROUND
The Municipal Code of the City of Rancho Palos Verdes requires that a midyear review
of the annual budget be presented to the City Council. Based upon Staff's analysis of the
City's financial activities during the first half of FY14-15, there are a number of items for
which the operating budget should be adjusted, as described in this report. Like previous
years, midyear adjustments are a routine practice in conjunction with this report. If the
activity of a particular fund, department or program is not discussed, there is nothing
significant to report and revenues and expenditures are not expected to materially deviate
from the amounts budgeted.
The Summary Schedule of General Fund Revenue is presented below. It is important to
understand that these revenue estimates are based upon Staff's analysis using trend
comparisons with previous years, and reports provided by state, county and local
agencies. It should be noted that future economic activity, legislation and policy decisions,
as well as any other unforeseen circumstances could affect the City's revenue stream for
the remainder of FY14-15. The midyear financial report also includes discussion and
analysis of anticipated expenditure variances and other relevant developments related to
the FY14-15 budget.
Staff has included the "FY14-15 Combined Summary of Funds - Midyear Financial
Report" (Attachment A) to summarize the estimated FY14-15 activity and ending fund
balances for all funds within the City. The schedule includes revised revenue and
expenditure estimates based on the adjustments proposed in this report and other Staff
reports on the February 17, 2015 City Council agenda.
E-2
Original
Current
Proposed
FY14-15
Budget
Budget
Revised
Beginning Fund Balance
13,839,226
13,839,226
13,839,226
Revenues
26, 548, 561
25, 777, 961
27,186, 961
Expenditures
(20,487,439)
(20,566,037)
(20,254,842)
Net Transfers
(7,376,506)
(6,605,906)
(8,039,129)
Ending Fund Balance
121523,842
12,445,244
12,732,216
Reserve Policy (50% of
budgeted expenditures)
10,243,720
10,283,019
10,127,421
Excess Reserve
2,280,123
2,162,226
2,604,795
A summary of revised estimated fund balances as of June 30, 2015 has been prepared
(see Attachment A). During the 2015 budget process, Staff will analyze impacts discussed
in this report, the accompanying proposed FY14-15 budget adjustments, and revenue
trends and changes.
BACKGROUND
The Municipal Code of the City of Rancho Palos Verdes requires that a midyear review
of the annual budget be presented to the City Council. Based upon Staff's analysis of the
City's financial activities during the first half of FY14-15, there are a number of items for
which the operating budget should be adjusted, as described in this report. Like previous
years, midyear adjustments are a routine practice in conjunction with this report. If the
activity of a particular fund, department or program is not discussed, there is nothing
significant to report and revenues and expenditures are not expected to materially deviate
from the amounts budgeted.
The Summary Schedule of General Fund Revenue is presented below. It is important to
understand that these revenue estimates are based upon Staff's analysis using trend
comparisons with previous years, and reports provided by state, county and local
agencies. It should be noted that future economic activity, legislation and policy decisions,
as well as any other unforeseen circumstances could affect the City's revenue stream for
the remainder of FY14-15. The midyear financial report also includes discussion and
analysis of anticipated expenditure variances and other relevant developments related to
the FY14-15 budget.
Staff has included the "FY14-15 Combined Summary of Funds - Midyear Financial
Report" (Attachment A) to summarize the estimated FY14-15 activity and ending fund
balances for all funds within the City. The schedule includes revised revenue and
expenditure estimates based on the adjustments proposed in this report and other Staff
reports on the February 17, 2015 City Council agenda.
E-2
FY14-15 Midyear Financial Report
March 3, 2015
Page 3 of 11
DISCUSSION
General Fund Revenue
Some revenue sources are difficult to estimate such as franchise taxes and permit fees.
These types of revenues are predicated on conditions outside the City's control. As an
example, planning and building permit revenues will fluctuate with the economy and
housing activity, as well as other conditions such as the weather. Additionally, several
significant franchise tax revenues are received annually after preparation of the midyear
report. For these revenues, Staff has either reported FY14-15 estimated revenues as the
budgeted amount or a conservative figure based on the amount of information currently
available.
Summary Schedule of General Fund Revenue:
Revenue Type
FY13-14
Actual
FY14.16
Budget
FY14-15
Estimated
Estimate vs.
Budget
. Variance
Property tax $
6,751,036
$ 6,863,100
$ 7,033,676
$ 170,576
Property tax in lieu of vehicle license fees
3,890,110
4,024,200
4,061,474
37,274
Property tax in lieu of sales tax
536,579
544,300
540,610
(3,690)
Property transfer tax
385,600
416,900
393, 000
(23, 900)
Sales tax
1,642,381
1,671,500
1,710,655
39,155
Transient occupancy tax
4,250,086
4,024,500
4,670,086
645,586
Franchise taxes
1,998,213
1,813,200
2,065,919
252,719
Utility user taxes
2,509,524
1,889,500
1,897,570
8,070
Business license tax
764,494
728,700
777,490
48,790
Golf tax
439,166
411,800
435,400
23,600
Planning, building & safety, and other permits
1,950,736
1,862,400
2,067,6351
205,235
Fines and forfeitures
128,747
117,600
130,000
12,400
Interest earnings
38,168
26,940
40,000
13,060
Other use of money and property (rents & leases)
759,489
730,000
752,000
22,000
Charges for services
264,047
308,800
223,800
(85,000)
Intergovernmental (grants & vehicle license fees)
32,083
-
17,837
17,837
Other revenue
1,489,330
344,521
493,604 Iq
149,083
Total General fund revenues $
27,826,789
$25,777,961
$27,310,757
$ 1,532„796
Overall, General Fund revenue is expected to exceed the current FY14-15 budget by
about $1.5 million. Prior year revenue included one-time miscellaneous payments such
as the settlement from Southern California Edison. Discussion and analysis regarding
General Fund revenues is presented below. Staff does not recommend budget
adjustments for immaterial anticipated variances. If a particular revenue source is not
discussed, there is nothing significant to report and anticipated revenues are not expected
to materially deviate from the FY14-15 budget.
Property Tax
Based on an analysis of property transfers for Jul 2013 -Mar 2014, Staff estimated that
E-3
FY14-15 Midyear Financial Report
March 3, 2015
Page 4 of 11
property assessments would increase by about 3.45% from FY13-14 to FY14-15. Each
August, after the budget has been prepared and adopted, the County sends information
about the property assessments for the new fiscal year. Based on information from the
County provided in August 2014, assessed values increased by 4.3% for FY14-15.
Therefore, Staff expects that actual FY14-15 property tax will exceed the budget by about
$170,000, and recommends an adjustment accordingly.
Transient Occupancy Tax (TOT)
Staff proposed a conservative FY14-15 budget for TOT revenue; which was based upon
a projection from the Congressional Budget Office that the Consumer Price Index (CPI)
would increase by 1.9%. The FY14-15 budget was calculated by applying the expected
1.9% CPI increase to expected FY13-14 actual revenue of $3.95 million. Actual FY13-
14 TOT revenue was $4.25 million.
The TOT revenue received for the first half of FY14-15 is tracking to exceed FY13-14 by
15%; therefore, Staff expects that FY14-15 TOT revenue from will approximate $4.67
million. Staff recommends a budget increase of $645,000 for the expected favorable
variance, as well as a corresponding General Fund transfer to the CIP Reserve for
infrastructure funding according to City Council policy.
Franchise Taxes
Current year franchise tax revenue is tracking to exceed prior year levels by about 3%.
The FY14-15 budget was prepared prior to receipt of certain significant annual franchise
tax payments near the end of FY13-14, which exceeded FY13-14 budget expectations.
Staff recommends a revenue budget increase of $250,000 for franchise tax revenue.
Permit Revenue
For the first half of the fiscal year, building permit revenue is tracking to exceed the prior
year by 42%. Although activity levels are consistent with last year, there are some larger
than normal projects generating larger permit fees. Staff recommends a revenue budget
increase of $200,000 directly related to building permit revenue.
Other Revenue
In recent years, the City has received retrospective refunds from the California Joint
Powers Insurance Authority (CJPIA) related to actual claims experience for general
liability coverage. The FY13-14 refund was $231,606. Recent calculations released by
the CJPIA indicate that the City will recognize a retrospective refund of about $344,000
in FY14-15. The FY14-15 budget included an allocation of about $200,000. Therefore,
Staff recommends an increase to the miscellaneous revenue budget in the amount of
$144,000.
E-4
FY14-15 Midyear Financial Report
March 3, 2015
Page 5 of 11
Revenue Adjustment Summary
Staff recommends revenue adjustments totaling $1,409,000, which would increase the
General Fund revenue budget to $27.2 million (a 5.5% increase to the current budget,
and 2.3% decrease from FY13-14).
General Fund Expenditures & Transfers
Per the City's Municipal Code (section 3.32.080), budgetary compliance is determined by
program. There are 33 expenditure programs in the General Fund budget. As there are
a number of programs with expenditures that fluctuate with unforeseen circumstances
(e.g. weather, claims and litigation), there has been a long-standing practice to prepare
conservative expenditure budgets, which generally results in overall favorable budget
variances each year. The City Council's Reserve Policy requires transfer of favorable
General Fund expenditure variances to the Capital Improvement Projects (CIP) Fund
Reserve, to provide an additional funding source for the City's infrastructure needs.
Staff has analyzed FY14-15 General Fund expenditures to date, and has determined that
a number expenditure budgets warrant adjustment. A discussion of proposed
adjustments follows.
Salaries and Personnel
Various full-time positions have been vacant during the fiscal year. Staff expects the
following vacancies will contribute to a favorable budget variance:
• The City Manager position was budgeted for 10 months (to begin September 1,
2014), but remained vacant for 6 of those months (September 2014 through
February 2015). The resulting expenditure savings is $124,500.
• Two professional engineering positions have been vacant at various points
throughout the year, resulting in total savings of about $136,350.
• The Senior Accountant position has been vacant since mid-September 2014. Staff
hopes to fill the position by July 1St, resulting in total savings of about $100,000.
• Staff does not expect to fill the Council Liaison position before fiscal year end,
resulting in total savings of $85,200.
• Employee compensation savings as a result of the Finance Director leaving the
City is expected to be about $80,000 during FY14-15.
• The Information Technology Manager requests funding for one part-time position
to assist with research, purchasing, training, and website updates. The estimated
additional cost is $6,000.
• Recreation Staff requests funding for one additional part-time position to keep up
with administration demands such as the Parks Master Plan effort. The estimated
additional cost is $14,000.
Staff expects an overall $506,050 favorable variance for employee compensation,
primarily driven by vacancies; and recommends a decrease to the General Fund budget.
E-5
FY14-15 Midyear Financial Report
March 3, 2015
Page 6 of 11
As a housekeeping matter, Staff requests to transfer the budget from one program to
another for two employees, as follows.
• The Senior Administrative Analyst position previously shared by the City Manager
and Finance has been transferred Recreation Administration. There is no fiscal
impact for the recommended budget program transfer of $126,800.
• A Recreation part-time employee was previously budgeted in the Point Vicente
Interpretive Center (PVIC) program, and has been partially supporting Recreation
administration at City Hall. There is no fiscal impact for the recommended budget
program transfer of $14,100.
Parks, Trails & Open Space Maintenance
Public Works Staff was able to secure an additional $184,855 of restricted Measure A
funding for PVIC facility maintenance and trail work in the Forrestal Nature Preserve.
There is no fiscal impact from the requested adjustment, as the expenditure would be
offset by a funding transfer from the Measure A Fund,
Recreation Administration
The City has begun using ActiveNet for online event registration and payment; however
the FY14-15 budget did not include an allocation for transaction fees. Staff requests a
budget increase of $10,000 to cover these fees.
Non -Departmental
The City settled litigation related to improvements on 41 Cherryhill Lane for $35,000. Staff
requests a budget adjustment to provide for the settlement payment.
General Fund Transfers to Other Funds
Per the City Council's Reserve Policy, Staff recommends an adjustment to increase the
transfer amount from the General Fund to the CIP Reserve by $645,000 to coincide with
the additional expected Transient Occupancy Tax noted above, and $973,078 for the
FY13-14 favorable General Fund expenditure variance.
Summary of Proposed General Fund Adjustments
Revenue adjustments
$ 1,409, 000
Salary & personnel expenditure adjustments
506,050
Increase of transfer from Measure A
184,855
Other expenditure adjustments
(229,855)'
Increase of transfer to CIP Reserve
(1,618,078)
Net Increase to General Fund Reserve
$ 251,972
E-6
FY14-15 Midyear Financial Report
March 3, 2015
Page 7 of 11
OTHER FUNDS OF THE CITY
This section discusses other revenues and expenditures of the City. Each of the following
recommended adjustments has been incorporated in the FY14-15 Combined Summary
of Funds — Midyear Financial Report (see Attachment A), which includes the revised fund
balance estimates for June 30, 2015. Again, if the activity of a particular fund is not
discussed, there is nothing significant to report and actual activity is expected to
approximate the FY14-15 budget.
Street Maintenance Fund
The League of California Cities has released a revised estimate of FY14-15 Highway
Users Tax revenue for cities. The revised revenue estimate is about $145,000 more than
originally budgeted. Staff requests an adjustment accordingly.
Public Works Staff was able to secure an additional $7,000 of Cal -Recycle money for
right-of-way litter abatement. Staff requests expenditure and a funding transfer budget
adjustments accordingly.
Traffic signal maintenance performed by the California Department of Transportation is
tracking to be about $17,000 more than the approximate $6,000 that was billed to the City
in FY13-14. Staff requests a budget increase of $17,000.
When the FY14-15 budget was originally adopted by City Council on June 17, 2014, the
budget resolution cited total Street Maintenance Fund expenditures of $1,782,579. This
total was incorrect, as it included Street Maintenance Fund and 1972 Act Fund
expenditures. However, the budget document included the correct total Street
Maintenance Fund expenditures amount of $1,704,279. As a housekeeping matter only,
Staff requests to memorialize the correct expenditure amount in the attached proposed
resolution (a decrease of $78,300). The correction does not change the fiscal impact to
the Street Maintenance Fund, as the accompanying budget document was correctly
stated.
The net fiscal impact of the recommended adjustments to the Street Maintenance Fund
is favorable by $128,000.
Waste Reduction Fund
As described above, Staff requests a $7,000 revenue budget adjustment and
corresponding funding transfer to the Street Maintenance Fund for the additional Cal -
Recycle money available to the City.
Ginsburg Cultural Arts Building Fund
The Ginsburgs authorized an additional transfer of $18,000 from this fund to the Palos
E-7
FY14-15 Midyear Financial Report
March 3, 2015
Page 8of11
Verdes Peninsula Land Conservancy. Staff recommends an appropriation to provide for
the transfer, which will reduce the estimated fund balance to $101,421 at June 30, 2015.
Measure A Maintenance Fund
As noted above, additional Measure A funding of $184,855 was secured for PVIC facility
maintenance and trail work in the Forrestal Nature Preserve. Staff requests adjustments
to increase the revenue budget and the transfers -out budget in this fund. The additional
revenue would be transferred to the General Fund to provide for an expenditure in the
Parks, Trails & Open Space Maintenance program. There is no net fiscal impact from the
requested adjustments.
Abalone Cove Sewer District Fund
Additional repair and replacement of grinder pumps in the Abalone Cove Sewer District
is necessary. Staff requests an additional appropriation of $50,000 from the available
Abalone Cove Sewer District fund balance.
Donor Restricted Contributions Fund
The Donor Restricted Contributions Fund collects donations for PVIC honored with
walkway whale plaques. The current balance of donations is approximately $116,000.
Staff requests a budget appropriation of $5,000 from this balance to pay for the fabrication
and installation of the whale plaques at PVIC.
This fund also includes a contribution of $392,000 restricted for landscaping at PVIC.
Staff requests a budget appropriation of $10,000 for the Native Plant Society to maintain
landscaping at PVIC, which is an allowable use of the restricted funding.
Community Development Block Grant (CDBG) Fund
As a housekeeping item only, Staff requests to transfer the revenue and expenditure
budget of $197,687 from one program to another within the CDBG fund for Palos Verdes
Drive West improvements to improve compliance with the Americans with Disabilities Act
(ADA). There is no fiscal impact as a result of the requested budget program transfer.
Capital Improvement Projects (CIP) Fund
Public Works Staff presented a status of projects to City Council on February 17, 2015.
Staff requests an appropriation increase of $250,000 for the Palos Verdes Drive East
arterial street rehabilitation project. The appropriation would be funded by the CIP
Reserve and used for post -construction improvements including construction of the
Conestoga equestrian trail gap closure, ancillary landscaping and traffic safety
improvements, replacement of minor retention walls in areas where the roadway was
FY14-15 Midyear Financial Report
March 3, 2015
Page 9 of 11
widened, and vegetation removal.
Public Works Staff is recommending a provision for Green Street runoff treatment and
permeable pavement for the Hesse Park Parking Lot project, which is currently
appropriated for $210,000. Staff recommends increasing this appropriation by $140,000,
for a total project cost of $350,000 to be funded from the CIP Reserve.
Appropriations continued from FY13-14 included $1,556,465 for the FY12-13 residential
street rehabilitation project. The correct amount available for carryover was $1,579,465.
Staff requests a $23,000 budget increase to account for the additional FY13-14
appropriation that was available to carryover to FY14-15.
Additional improvements are needed in the John C. McTaggart Memorial Hall & City
Council Chambers. Emergency lighting, refinishing of roll -up doors, electrical work, and
additional doors and equipment would be funded from the CIP Reserve. Staff requests
an adjustment of $52,000 for these additional improvements.
As discussed in a previous report to City Council, Public Works Staff has determined that
sewer capacity projects previously appropriated are not necessary; and requests an
adjustment of $1,780,000 to reduce the CIP budget.
The FY14-15 budget included funding transfers totaling $835,000 for projects that were
substantially completed prior to receiving Quimby revenue intended as the funding
source. Considering the timing of the revenue, Staff recommends reducing the budgeted
funding transfers from the Quimby Fund, as follows:
• Abalone Cove Shoreline Park parking lot $332,000;
• Ryan Park parking lot $400,000; and
• Salvation Army Trail $103,000.
These projects have been funded by the CIP Reserve.
The net fiscal impact of the recommended adjustments to the CIP Fund is favorable by
$480,000,
Funding Transfers for Projects Continued from FY13-14
With City Council approval on September 2, 2014, a number of FY13-14 projects were
carried forward to FY14-15 as a matter of routine. Some of these projects are to be
funded with restricted monies transferred from other funds. Staff recommends the
following housekeeping adjustments to the FY14-15 transfer budget to reflect the
restricted sources associated with each project.
➢ Transfer $473,690 from the Beautification Fund to the CIP Fund for Palos Verdes
Drive West Median Improvements.
➢ For the Palos Verdes Drive East (PVDE) arterial street rehabilitation project,
transfer:
o $956,743 from the Proposition C Fund;
E-9
FY14-15 Midyear Financial Report
March 3, 2015
Page 10 of 11
o $564,000 from the Measure R Fund;
o $362,360 from the Water Quality Flood Protection Fund for drainage
improvements related to the project; and
o $412,000 from the Proposition A Fund.
➢ Transfer $70,000 from the Proposition C Fund to the CIP Fund for design of the
Miraleste arterial street rehabilitation project.
➢ Transfer $50,000 from the Environmental Excise Tax Fund to the CIP Fund for the
Blackhorse ADA Transition Plan project.
➢ Transfer $50,000 from the Quimby Fund to the CIP Fund for the Bronco,
Martingale & Grayslake trails design.
➢ Transfer $300,000 from the Environmental Excise Tax Fund for ADA Transition
Plan projects.
Budget adjustments for these funding transfers will not impact estimated fund balances.
Grant Revenue for Projects Continued from FY13-14
Staff recommends the following housekeeping adjustments to the FY14-15 revenue
budget to reflect the grant revenue associated with the following projects carried forward
from FY13-14:
➢ Federal Highway Safety Improvement Program grants of $659,082 for the
Hawthorne Blvd Traffic Signal Synchronization project and $244,982 for the PVDE
Early Action Safety improvements project;
➢ Metro Transportation Improvement Program grants of $961,071 for the Hawthorne
Boulevard Pedestrian Access project and $627,552 for the PVDS Bikeway Safety
project;
➢ Land and Water Conservation Fund grant of $204,915 for Abalone Cove Shoreline
Park improvements;
➢ Federal CDBG grant of $68,190 for ADA Transition Plan projects; and
➢ California Proposition 1E grant of $1,387,967 for completion of the San Ramon
Canyon stabilization project.
Budget adjustments for these revenues will not impact estimated fund balances.
RESERVE POLICIES
The following chart summarizes the status of the City's reserves. All reserve balances
are estimated to exceed policy levels.
E-10
FY14-15 Midyear Financial Report
March 3, 2015
Page 11 of 11
Fund
Policy
50% of budgeted annual
General Fund
expenditures
One year of Portuguese Bend road
Street Maintenance
maintenance
Emergency projects of $50,000 and
future maintenance endowment of
Habitat Restoration
$95,206
Subregion 1
Developer endowment
CIP
Emergency or future projects
Estimated replacement cost of
Equipment Replacement
assets held
Amount'
10,127,421
526,000
155,436
750,000
3,000,000
1,773,704
12,732,216 2,604,795
978,378 452,378
1,445,462 1,290,026
802,168 52,168
10,418,791 7,418,791
1,852,612 78,908
The Habitat Restoration Fund balance includes $1.2 million of the litigation settlement
received from Southern California Edison during FY13-14.
Staff expects that the estimated excess CIP Reserve of $7.4 million will be consumed
with infrastructure projects programmed over the next five years. As reported to City
Council on February 17, 2015, the City is currently updating its Parks Master Plan,
Drainage Master Plan and Trails Network Plan. Proposed projects will be presented to
City Council as part of the 2016 budget process; therefore, the CIP Reserve will likely
continue to carry a large estimated excess balance until June 30, 2016.
FISCAL IMPACT
Except as discussed above, all other estimated revenues and expenditures are expected
to approximate the budget in all funds of the City for FY14-15. The estimated fund
balances presented in Attachment A includes the effects of the budget adjustments
recommended within this report, as well as those proposed under separate cover on the
February 17, 2015 City Council agenda.
Attachments
Resolution No. 2015- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
RANCHO PALOS VERDES, AMENDING RESOLUTION 2014-41, THE BUDGET
APPROPRIATION FOR FY14-15, TO ADJUST THE BUDGET IN VARIOUS FUNDS OF
THE CITY
A — FY14-15 Combined Summary of Funds — Midyear Financial Report
E-11
RESOLUTION NO. 2015-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS
VERDES, AMENDING RESOLUTION 2014-41, THE BUDGET APPROPRIATION
FOR FY14-15, TO ADJUST THE BUDGET IN VARIOUS FUNDS OF THE CITY
WHEREAS, on June 17, 2014, the City Council of the City of Rancho Palos Verdes
adopted Resolution 2014-41, approving a spending plan and authorizing a budget
appropriation for FY14-15: and
WHEREAS, certain FY14-15 revenues, expenditures and operating transfers, as
described in the Midyear Financial Analysis and identified below, are expected to
deviate from the amount budgeted; and
WHEREAS, the City Council desires that the FY14-15 budget be adjusted.
BE IT, THEREFORE, RESOLVED BY THE CITY COUNCIL OF THE CITY OF
RANCHO PALOS VERDES:
The following adjustments are made to the FY14-15 budget:
General Fund Revenue Adjustments
101-6000-311-10-00
170,000
Property Tax
101-6000-314-10-00
645,000
Transient Occupancy Tax
101-6000-317.10-00
36,000
Franchise Tax / Water
101-6000-317.20-00
28,000
Franchise Tax / Electricity
101-6000-317.30-00
25,000
Franchise Tax / Gas
101-6000-317.40-20
22,000
Franchise Tax / UWS
101-6000-317.40-25
8,000
Franchise Tax / UWS Storm Water
101-6000-317.40-30
12,000
Franchise Tax / Various Commercial Refuse
101-6000-317.40-40
26,000
Franchise Tax / Edco Disposal
101-6000-317.40-45
12,000
Franchise Tax / Edco Storm Water
101-6000-317.50-00
50,000
Franchise Tax / Cable
101-6000-317.60-00
31,000
Franchise Tax / Verizon
101-4002-323-20-00
200,000
Building Permit Revenue
101-6000-369-10-00
144,000
Miscellaneous Revenue
Revenue Increase
1,409,000
E-12
General Fund Employee Compensation Adjustments
101-1002-411-11-00 (103,020) City Manager Salary
101-1002-411-29-00
(21,480) City Manager Benefits
101-3001-431-11-00
(100,050) Engineer Salary
101-3001-431-29-00
(36,300) Engineer Benefits
101-2020-411-11-00
(77,000) Senior Accountant Salary
101-2020-411-29-00
(23,000) Senior Accountant Benefits
101-1002-411-11-00
(63,000) City Council Liaison Salary
101-1002-411-29-00
(22,200) City Council Liaison Benefits
101-2020-411-11-00
(61,000) Finance Director Salary
101-2020-411-29-00
(19,000) Finance Director Benefits
101-2030-411-12-00
5,500 Information Technology Part -Time Wages
101-2030-411-29-00
500 Information Technology Part -Time Benefits
101-5010-451-12-00
13,000 Recreation Part -Time Wages
101-5010-451-29-00
1,000 Recreation Part -Time Benefits
101-2020-411-11-00
(50,400) Senior Administrative Analyst Salary
101-2020-411-29-00
® (13,000) Senior Administrative Analyst Benefits
101-1002-411-11-00
(50,400) Senior Administrative Analyst Salary
101-1002-411-29-00
(13,000) Senior Administrative Analyst Benefits
101-5010-451-11-00
100,800 Senior Administrative Analyst Salary
101-5010-451-29-00
26,000 Senior Administrative Analyst Benefits
101-5010-451-12-00
12,000 Recreation Part -Time Wages
101-5010-451-29-00
2,100 Recreation Part -Time Benefits
101-5060-451-12-00
(12,000) Recreation Part -Time Wages
101-5060-451-29-00
(2,100) Recreation Part -Time Benefits
Other General Fund Expenditures and Transfers
101-3009-391-10-00
184,855
Parks/Trails/Open Space transfer from Measure A
101-3009-431-43-00
184,855
Parks/Trails/Open Space Maintenance
101-5010-451-68-00
10,000
Active Net Transaction Fees
101-6000-411-69-00
35,000
Miscellaneous Expenditure
101-6000-491-10-00
645,000
General Fund Transferto CIP for TOT
101-6000-491-10-00
973,078
General Fund Transfer to CIP for FY13-14 Variance
Street Maintenance Fund Adjustments
202-3003-335-30-50
50,000
Highway Users Tax Section 2105
202-3003-335-30-70
95,000
Highway Users Tax Section 2107
202-3003-431-43-00
7,000
Right -of -Way Litter Abatement
202-3003-391-10-00
7,000
Street Maintenance Transfer from Waste Reduction
202-3004-431-41-30
17,000
Traffic Signal Maintenance
202 -3003 -431 -XX -XX
(78,300)
Street Maintenance Expenditures
E-13
Waste Reduction Fund Adjustments
213-3013-334-10-00 7,000 Cal -Recycle Grant
213-3013-491-10-00 7,000 Waste Reduction Transfer to Street Maintenance
Dr. Allen & Charlotte Ginsburg Cultural Arts Building Fund Adjustments
227-3027-431-69-00 18,000 Ginsburg Transfer to Land Conservancy
Measure A Fund Adjustments
224-3024-491-91-00 184,855 Measure A Transfer to Parks/Trails/Open Space
224-3024-337-10-00 184,855 Measure A Revenue
Abalone Cove Sewer District Fund Adjustments
225-3025-431-43-00 50,000 Abalone Cove Sewer District Maintenance
Donor Restricted Contributions Fund Adjustments
228-5028-451-61-00 5,000 Donor Restricted Contribution Supplies
228-5028-451-43-00 10,000 Donor Restricted Contribution Maintenance
Community Block Grant Fund Adjustments --
310-3097-331-10-00 (197,687) CDBG Revenue
310-3097-461-73-00
(197,687) CDBG ADA Improvements
310-3093-331-10-00
197,687 CDBG Revenue
310-3093-461-73-00
197,687 CDBG ADA Improvements
310-3097-331-10-00
68,190 CDBG Revenue
E-14
Capital Improvement Projects (CIP) Fund Adjustments
330-3031-461-73-00
250,000
Street Improvements
330-3031-461-73-00
23,000
Street Improvements
330-3033-461-73-00
140,000
Park Improvements
330-3036-461-73-00
52,000
Building Improvements
330-3035-461-73-00
(1,780,000)
Sewer Improvements
330-3033-391-10-00
(835,000)
CIP Transferfrom Quimby for Park Projects
330-3031-391-10-00
473,690
CIP Transferfrom Beautification for Medians
330-3031-391-10-00
956,743
CIP Transfer from Prop C for PVDE Arterial Rehab
330-3031-391-10-00
564,000
CIP Transfer from Measure R for PVDE Arterial Rehab
330-3031-391-10-00
362,360
CIP Transferfrom WQFP for PVDE Arterial Rehab
330-3031-391-10-00
412,000
CIP Transferfrom Prop A for PVDE Arterial Rehab
330-3031-391-10-00
70,000
CIP Transfer from Prop C for Miraleste Arterial Rehab
330-3036-391-10-00
50,000
CIP Transferfrom EET for ADA project
330-3033-391-10-00
50,000
CIP Transferfrom Quimby for Trails design
330-3036-391-10-00
300,000
CIP Transferfrom EETfor ADA projects
330-3031-331-10-00
659,082
Federal Grant for Hawthorne Traffic Signal Synch
330-3031-331-10-00
244,982
Federal Grant for PVDE Traffic Safety
330-3031-331-10-00
961,071
Metro TIP grant for Hawthorne Pedestrian Access
330-3031-331-10-00
627,552
Metro TIP grant for PVDS Bikeway Safety
330-3033-331-10-00
204,915
Land & Water grant for Ab Cove Shoreline Park
330-3030-391-10-00
645,000
CIP transferfrom General Fund for TOT
330-3030-391-10-00
973,078
CIP transfer from General Fund FY13-14 Exp Variance
Quimby frund Adjustments
334-3034-491-10-00 (835,000) Quimby transfer to CIP for park projects
Water Quality Flood Protection (WQFP) Fund Adjustments
501-3052-334-10-00 1,387,967 State Grant Revenue for San Ramon
PASSED, APPROVED, AND ADOPTED THE 3rd DAY OF MARCH 2015,
ATTEST:
CITY CLERK
State of California )
County of Los Angeles )ss
City of Rancho Palos Verdes )
MAYOR
E-15
I, CARLA MORREALE, City Clerk of The City of Rancho Palos Verdes, hereby certify
that the above Resolution No. 2015- was duly and regularly passed and adopted by
the said City Council at regular meeting thereof held on March 3, 2015.
CITY CLERK
CITY OF RANCHO PALOS VERDES
E-16
FY14-15 COMBINED SUMMARY OF FUNDS - MIDYEAR FINANCIAL REPORT
FYI 4-16, Estimated -Sources
c ua
Transfers In
Fund Balance
_ Fund
6130/2014
Unrestricted
690
GENERAL
13,839,226
Restricted by Council Action
910,500
BEAUTIFICATION FUND
793,921
CIP
18,011,254
EQUIPMENT REPLACEMENT
2,915,898
BUILDING REPLACEMENT
942,609
EMPLOYEE BENEFITS
149,347
Subtotal
22,843,029
Restricted by Law or External Agencies
334,548
STREET MAINTENANCE
1,271,895
1972 ACT
62,663
EL PRADO LIGHTING
21,180
CDBG
(68,671)
1911 ACT
1,756,659
WASTE REDUCTION
397,798
AIR QUALITY MANAGEMENT
86,277
PROPOSITION C
1,317,793
PROPOSITION A
441,525
PUBLIC SAFETY GRANTS
20,570
MEASURE R
1,250,257
HABITAT RESTORATION
1,443,461
SUBREGION 1 MAINTENANCE
821,968
MEASURE A
(47,633)
ABALONE COVE SEWER DISTRICT
58,235
GINSBURG CULTURAL ARTS BUILDING
119,161
DONOR RESTRICTED CONTRIBUTIONS
865,681
QUIMBY
57,861
LOW -MOD INCOME HOUSING
23,520
AFFORDABLE HOUSING IN LIEU
499,928
ENVIRONMENTAL EXCISE TAX
413,184
BIKEWAYS
72
WATER QUALITY/FLOOD PROTECTION
5,317,323
IMPROV AUTH - PORTUGUESE BEND
362,456
IMPROV AUTH - ABALONE COVE
1,081,548
Subtotal
17,574,7.11
GRAND10TAL
54,226,966
FYI 4-16, Estimated -Sources
Revenues
Transfers In
27186,961
392,855
690
-
3,255,485
12,655,077
910,500
-
2,100
2,151, 690
1,517,690
6,320,465
12,655,077
1,270,262
1,103, 000
258,140
-
1,940
334,548
(99,000)
528,500
(57,000)
229,800
50,210
(1,717,743)
612,479
(460,000)
737,443
(100,000)
100,040
(1,564,000)
460,273
-
4,690
157,000
1,700
46,000
337,588
-
55,160
50,700
260
-
1,850
(50, 000)
827,924
(450,000)
1,090
(362,360)
297,579
2,744,167
820,000
640
40,000
2,300
35,000
8,868,583
2,251,706
42,366,009
15,299,632
FY14 15 Estimated Uses,
Ex enditures
Transfers Out:
26,254,842
(8,431,984
(697,690)
(22,683,025)
(820,000)
(1,973,786)
(2,151, 450)
(26;808;261)
1,517,690
(2,666,779)
(78,300)
(200,000)
(1,000)
(265,877)
(464,100)
(99,000)
(200,162)
(57,000)
(50,000)
-
(1,717,743)
(687,539)
(460,000)
(100,000)
(1,564,000)
(159, 689)
(67,500)
(289,855)
(155,700)
(18,000)
(39,000)
(50, 000)
(450,000)
(7,655,282)
(362,360)
(122,600)
(70,300)
(12;701','828),
5,349,958'
59,764,931
15,299,632'
Attachment A
96.921
10,418,791
1,852,612
944,709
149,587
978,378
42,503
22,120
0
1,722,059
370,436
86,487
212,529
31,429
20,610
146,530
1,445,462
802,168
100
8,395
101,421
828,531
835,785
23,520
501,018
260,763
72
863,848
280,496
1,048,548
E-17