Budget Overview

Fiscal year 2023/24 - 2024/25

This section is meant to provide the reader with a summary of significant budgetary items and budgetary trends. The information below presents the four staff reports presented to the City Council during the budget development process. The first of these reports outlines and confirms the City Council's strategic budget priorities for the upcoming two-year budget cycle. The second report outlines the preliminary operating budget. The third report outlines the preliminary two-year and seven-year Capital Improvement Plan budget. Finally, the fourth report explains any adjustments made between the preliminary budget and the final proposed budget.

Strategic Budget Priorities Staff Report - Presented April 4, 2023

RECOMMENDATION

It is recommended that the City Council:


1. Reaffirm the City’s Strategic Plan Core Strategies as overarching budget guidelines; and

2. Provide direction to staff regarding any specific programs, services, staffing, or capital spending that should be prioritized as staff prepares the draft two-year budget for fiscal years 2023/24 and 2024/25 for the Council’s consideration.

BACKGROUND

On March 17, 2020, the City Council adopted Resolution No. 2020-5659, approving the 2020 Yorba Linda Strategic Plan. The Strategic Plan identified a mission statement, vision statement, guiding values, a strategic plan theme and six core strategies. Furthermore, the Strategic Plan identified 30 separate goals in support of the 6 core strategies and 97 specific actions with key performance indicators that have been set to assist in achieving these goals.


The Mission Statement, Vision Statement, Guiding Values, Strategic Plan Theme and Six Core Strategies are outlined below for Council’s reference.


Mission Statement: The City of Yorba Linda enhances quality of life by providing exceptional services and amenities in a transparent and financially responsible manner that responds to and exceeds community expectations.

Vision Statement: The City of Yorba Linda is a welcoming, gracious and prestigious community that remains safe and financially sound, where families and businesses thrive.

Guiding Values:

o Excellence – Exceeding the standard and striving to maximize performance.

o Honesty and Integrity – Displaying honesty, ethics, and good character while always demonstrating sound judgement.

o Stewardship – Managing resources and assets of the City in a responsible, accountable and transparent manner.

o Dependability and Dedication – Being reliable and committed to serving others.

o Professionalism – Exhibiting professional conduct and carrying out duties that display technical and interpersonal excellence in a manner that exceeds the community’s expectations.

o Caring and Kindness – Commitment to serve the community by displaying compassion and empathy in a friendly and manner.


Strategic Plan Theme: Yorba Linda…Exceptional!


Six Core Strategies

o Strategy 1: Deliver exceptional City services in a customer-friendly manner.

o Strategy 2: Maximize and strengthen the image, visual quality, and brand of the City.

o Strategy 3: Sustain and enhance the City’s long-term financial position.

o Strategy 4: Ensure a safe community through continued public safety efforts.

o Strategy 5: Foster long-term prosperity through economic growth and support of a vibrant business community.

o Strategy 6: Improve and expand City infrastructure, facilities and amenities.

DISCUSSION


It is commonplace in local government for budget documents to tie spending at the department level to a set of overarching organization-wide goals. While staff believes that the six core strategies listed above still support the City’s vision, mission and values are still applicable in the same or slightly modified form for the upcoming Two-Year Budget cycle, staff wished to receive the City Council’s feedback regarding proposed revisions or additions to these strategies. This list can easily be modified if the Council identifies other strategic budget priorities.


In crafting a two-year budget for fiscal years 2023/24 and 2024/25, staff wishes to address the City Council's spending priorities to the extent that resources are available. While the core strategies above are a good set of broad organizational priorities for the upcoming two-year budget, there may be more specific priorities that the Council wishes to see addressed for programs, services, staffing or capital spending. Staff recommends the Council provide feedback regarding this issue so that any such requests can be costed out and/or incorporated, to the extent feasible, into the upcoming draft two-year budget.


As staff begins preparation of the new two-year budget we plan to be before Council at different times to present the revenues, expenditures, reserves and capital projects and to seek Council’s input prior to recommending adoption of the budget in June.


FISCAL IMPACT


The fiscal impacts of any spending priorities identified by the City Council will be incorporated into the upcoming two-year budget discussion.


Preliminary Review of Fiscal Year 2023/24 & Fiscal Year 2024/25 Two-Year Operating Budget - Presented May 16, 2023

RECOMMENDATION

It is recommended that the City Council:


1. Receive and file staff’s presentation regarding the proposed Fiscal Year 2023/24 and 2024/25 Two-Year Operating Budget; and

2. Provide feedback to staff regarding any changes to the proposed Two-Year Operating Budget that the City Council would like to see incorporated into the final version of the budget.

BACKGROUND

On April 4, 2023, staff presented a report to reaffirm the City’s Strategic Plan Core Strategies and sought direction from the City Council regarding any specific programs, services, staffing or capital spending that should be prioritized as staff set out to prepare the draft two-year budget for fiscal years 2023/24 and 2024/25. The City Council reiterated its commitment to public safety being a top priority for the City of Yorba Linda. This preliminary operating budget was prepared in line with the six core strategies, thirty separate goals and ninety-seven specific actions outlined in the City’s Strategic Plan.


DISCUSSION


The City’s operating budget includes the City’s General Fund, which is the primary operating fund of the City, as well as all other City funds. The primary funds in addition to the General Fund are the Library Fund, the LMAD fund and the Black Gold Golf Course Fund. Other funds include the Capital Improvement Fund, various funds that are primarily utilized to hold restricted revenues, and the funds for Successor Agency and Affordable Housing expenditures.


The Council’s approval of the operating budget provides staff with authorization for all expenditures during the fiscal period that it covers. Pursuant to City Council Policy A-3, the City adopts a Two-Year Budget, and staff prepares the budget as balanced, with revenues equaling or exceeding expenditures and no required usage of General Fund Operating Reserves. Accordingly, the budget presented in this report reflects an operating surplus in each of its two years.


Proposed General Fund Revenue Budget


The City has for several years utilized HdL Companies as its property tax and sales tax consultant. HdL provides the City with a multi-year forecast for both revenue sources, which considers trends in the broader economy as well as unique factors impacting these revenue sources in Yorba Linda. Utilization of this consultant improves the accuracy of the City’s revenue forecast on the City’s two largest revenue sources. Staff maintains a conservative, yet realistic view on revenues, and in some cases has chosen to reflect a lower number in the proposed revenue budget for certain, more volatile revenue sources such as property transfer tax and building, planning, and engineering permits and fee revenues.


Property tax revenue is the General Fund’s largest revenue source, making up 52.7% (in FY 2023/24) and 53.3% (in FY 2024/25) of total General Fund operating revenue. For fiscal year 2023/24, growth is projected at 3.7% and growth of 3.2% is projected for fiscal year 2024/25. It is anticipated that the slowdown in the real estate market that the region has experienced over the last several months will impact the second year of this two-year budget.


HdL is projecting a bit of a slowdown in the economy during the latter half of fiscal year 2023/24 which will impact sales tax revenue. Sales tax revenue is projected to remain flat in fiscal year 2023/24 and increase by 2.3% in fiscal year 2024/25.


Franchise taxes are projected to grow 2.2% for fiscal year 2023/24 and 1.4% for fiscal year 2024/25. Franchise taxes include utility franchise revenues from gas, water, and electric utilities, as well as revenues from the City’s cable, trash disposal and pipeline franchises. Other taxes, which include TOT revenue, property transfer taxes and business licenses are expected to remain flat when compared to the current year’s revenue.


Building permit revenue is projected to decline in fiscal year 2023/24 and increase slightly in fiscal year 2024/25. The Building Department has seen a slowdown in permit activity during the current fiscal year and anticipates that it will continue into the next fiscal year.


Parks & Recreation revenue is seeing a slight increase in both years. Administrative charges are increasing due to a comprehensive examination of the cost of services provided by General Fund departments to other funds of the City. Other revenue is going up in FY 2023/24 primarily due to one-time money related to a grant for housing element related services and the sale of a property in Town Center. Also included in other revenue is the grant for public safety costs.


Interfund transfers into the General Fund include routine transfers from the Gas Tax, Traffic Safety and COPS funds that occur each year. There is also a transfer from the Special Reserve Fund for anticipated payments to Brea for ongoing workers’ compensation costs associated with the City’s prior Police Services contract, as well as anticipated payouts for accrued leave liabilities.


Proposed General Fund Expenditure Budget


When embarking on the budget preparation process, a thorough review was performed by all departments to determine a realistic work plan over the next two years that supports the City of Yorba Linda Strategic Plan. Although the overall budget is fairly flat, there is no reduction in service in the proposed budget. The following are notable changes to the General Fund expenditures:


1. Administration – The projected increase in FY 2024/25 is due primarily to the General Election and Measure B Election which will occur in November 2024.

2. Parks & Recreation – The projected increase is due to the opening of Adventure Playground. Part-time staffing has been increased by 9,300 hours and costs related to the operation of the park are higher due to year-round operations.

3. Police Services – The projected increase to the existing Sheriff’s contract is approximately $1,396,800 over the two fiscal years this budget covers. Also added to each fiscal year is the inclusion of an additional Community Resource Officer. This adds approximately $129,500 in FY 2023/24 and $135,975 in FY 2024/25, which is included in the numbers above. It should be noted that the Orange County Sheriff’s Department is currently in negotiations with the various bargaining units and these figures account for potential cost increases due to labor negotiations. Actual costs could change once they are completed. If the change is material, staff will come back to Council with that information. Additionally, the City has learned that the North Orange County Public Safety Collaboration grant has been renewed and is included in this budget for a total of $325,000 across both years. This grant is used to fund a Deputy Sheriff position targeting youth violence prevention in our local schools that has been included in this budget.


Anticipated General Fund Reserve Balance


Based on the proposed revenue and expenditure budgets, staff are forecasting a surplus of $796,364 in fiscal year 2023/24 and $558,377 in fiscal year 2024/25. Operating reserves would be 53.3% in both years. Final uses of General Fund funds for CIP projects are currently being calculated and will be added to the final report presented to Council in June 2023.

Proposed Staffing Changes


Attachment 1 to this report lists all the currently authorized City staff positions and the changes proposed by staff to the City’s staffing during the two fiscal years covered by the proposed two-year budget.


The reasons for the proposed position changes are as follows:


1. IT Technician (full time) – Two existing part time IT Technician positions will be eliminated to create a single, full time IT Technician position. A single full-time position will allow for more integrated service provision overall operating hours and will aid in the attraction and retention of candidates.

2. Senior Building Permit Technician (full time) – The reclassification of one existing Building Permit Technician to a Senior Building Permit Technician will allow direct oversight and supervision of the building permit counter staff and allow the Building Official to focus more time on higher level duties. This classification also creates career advancement opportunities for long-term existing staff to aide in retention.

3. Office Assistant I (part time) – The addition of a part time Office Assistant I position to the Parks & Recreation Department will provide public counter coverage at City Hall for a full-time position that will be moved to Recreation operations to provide full time support to new and enhanced programs. There is a reduction in the number of Senior Recreation Leader (part time) hours to offset the cost of adding the Office Assistant I position.

4. Senior Recreation Leader (part time) – Additional hours for Adventure Playground.

5. Recreation Leader (part time) - Additional hours for Adventure Playground.

6. Senior Librarian Assistant (full time) – The reclassification of a Permanent Part Time (30-hour) position to a full-time position is intended to meet the additional programming requirements of the Library due to continuing high demand.

7. Library Assistant (part time) – There is an additional 520 hours being added to this existing classification.

8. The following positions are being eliminated as part of a clean-up of the authorized position list because the positions are unfunded and unfilled:

a. Building Inspector <1.00>

b. Maintenance Worker Trainee <0.87>


Proposed Budget for Other Primary Funds


Since the General Fund is the main operating fund of the City, it has been the primary focus of this report. However, in addition to the General Fund, the Library, LMAD and Black Gold Golf Club Funds merit additional comment. As the CIP budget has not yet been reviewed by the City Council, these attachments do not yet reflect any expenditures or transfers associated with CIP projects. A revised version of these attachments will be provided to the City Council with the final proposed budget at the second Council meeting in June.


Library

Almost the entire Library budget is funded from property tax, with minor additional revenue coming from interest earnings, grant funds, fines and other fees charged to Library customers. Revenue for FY 2023/24 totals $8,236,223 and $8,498,577 for FY 2024/25. Expenses for the Library include the annual debt service payments on the Lease Revenue Bonds issued in 2018, which total approximately $1.1 million per year. Also included in the proposed budget is a transfer of $250,000 in FY 2023/24 and $300,000 in FY 2024/25 to the Library Capital Reserve Fund in order to fund future repairs and/or capital improvements on the Library building. Expenditures and transfers total $8,184,199 in FY 2023/24 and $8,418,740 in FY 2024/25. After accounting for higher operating expenditures, debt service payments and the transfer to reserves, the Library Fund projects a surplus of $52,024 in FY 2023/24 and $79,837 in FY 2024/25.


LMAD

The budget for the LMAD Fund is based on the Engineer’s Report that is on the Council agenda this evening. If there are any changes to that report, there will be updates to the budget. Any required changes will be reflected in the final proposed budget presented to Council at the second Council meeting in June. Revenue for FY 2023/24 totals $10,966,965 and $11,340,752 in FY 2024/25. Operating expenditures for FY 2023/24 total $10,677,966 and $11,212,500 in FY 2024/25. Currently, the LMAD Fund is showing an operating surplus of $289,000 in FY 2023/24 and $128,250 in FY 2024/25. Additionally, reserves are being used in the amount of $1,194,550 in FY 2023/24 and $1,000,000 in FY 2024/25 for capital improvement projects. These projects include irrigation/smart controllers, fence rehabilitation, trail surface improvements, landscape renovation/drought tolerant upgrades, drains/drainage, median renovation, and electrical upgrades.

Golf Course

The Black Gold Golf Club Fund is an enterprise fund, which means the financial statements for the golf course are prepared in a similar fashion to a private business with depreciation and other non-cash expenses reflected in the financial statements. The budget for the golf course, however, is prepared on a cash basis and the bottom line generally reflects the anticipated increase or decrease in cash resulting from the golf course’s annual operations. Revenue for FY 2023/24 totals $9,590,977 with operating expenditures totaling $8,679,032 for a gross profit of $911,945. Other expenditures including capital improvements and debt service total $850,000 for a positive cash flow of $61,945 in fiscal year 2023/24. Revenue for FY 2024/25 totals $9,883,278 with operating expenditures totaling $8,939,403 for a gross profit of $943,875. Other expenditures including capital improvements and debt service total $868,300 for a positive cash flow of $75,575 in fiscal year 2024/25. These numbers take into account the golf course operations managed by Kemper, as well as expenses recorded by the City, and are inclusive of any proposed capital improvement projects.


Review of Capital Improvement Program and Next Steps


Staff are currently finalizing the Capital Improvement Program (CIP) for the City Council’s preliminary consideration on June 6, 2023. At this time, staff do not anticipate that any additional material impacts on the General Fund will result from approval of the CIP, based on the City’s practice of using special revenue funds for capital projects. Approved CIP projects will be incorporated into the budget and staff will return with the final budget for the Council’s consideration on June 20, 2023.


Components of the CIP have also been presented to the Parks & Recreation Commission and the Traffic Commission. Additionally, it will be presented to the Planning Commission later this month to determine that the CIP is consistent with the General Plan per the requirements of Government Code Section 65402.


FISCAL IMPACT


As currently presented, the proposed General Fund budget reflects an operating surplus in both fiscal years as do the budgets for the Library, LMAD and Black Gold Golf Club Funds.



ALTERNATIVES


The City Council could choose to modify the budget and/or request additional funding for programs or services of interest to the Council. Staff will return to the Council on June 20, 2023, with any requested changes incorporated into the final proposed budget.



Preliminary Review of Fiscal Year 2023/24 & Fiscal Year 2024/25 Two-Year Capital Improvement Plan Budget and Fiscal Year 2023/24 - 2029/30 Seven-Year Capital Improvement Plan Budget - Presented June 6, 2023

RECOMMENDATION

It is recommended that the City Council:


1. Receive and file staff’s presentation regarding the proposed FY 2023/24 – 2029/30 Seven-Year Capital Improvement Program (CIP); and

2. Provide feedback to staff regarding any changes to the list of proposed Tier 1 CIP projects (Attachment 1) that the City Council would like to see incorporated into the final version of the CIP; and

3. Concur with staff’s changes to the list of Tier 2 CIP projects (Attachment 2) and provide feedback to staff regarding any changes that the City Council would like to see incorporated into the final version of the CIP; and

4. Provide feedback to staff regarding any changes to the list of proposed projects identified on the 7-Year CIP list (Attachment 3).

BACKGROUND

On May 16, 2023, staff presented an initial overview of the proposed Fiscal Year 2023/24 and 2024/25 Two-Year Operating Budget to the City Council and received the Council’s feedback regarding the proposed budget. This report seeks the Council’s feedback on the proposed CIP in a similar fashion, which will be incorporated into the final CIP to be presented to the Council on June 20, 2023. At that time, staff will also present the final Two-Year Budget, which will incorporate appropriations of the funding required for the first two years of the CIP.


DISCUSSION


Each year, staff prepares a CIP that lists the capital projects planned for the following seven-year period. Those projects for which funding has been identified are categorized as Tier 1 projects and scheduled for implementation once approved by the City Council, while projects of a lesser priority are categorized as Tier 2 projects and remain unfunded. Attached to this report are detailed lists of the Tier 1 and Tier 2 projects proposed for inclusion in the CIP.


The projects listed in Attachment 1 include both proposed new projects as well as carryover projects from previous years. Staff are requesting appropriations for all projects for FY 2023/24 and FY 2024/25. At the end of FY 2024/25 the total funds required to carry over any unfinished projects into the next two-year budget cycle will be determined and reappropriated at that time.


Tier 1 CIP Projects

The Tier 1 CIP as proposed totals $138.0 million, of which $46.5 million relates to the first two years and is proposed for inclusion in the Two-Year Budget. Included in Tier 1 CIP by project category, are 1) funds anticipated to be carried forward from prior budgets for projects that are not yet complete, 2) funds proposed for inclusion in the Two-Year Budget to fund projects in the first two years of the CIP, and 3) funds tentatively recommended for inclusion in future budgets in the five years following the period covered by the Two-Year Budget.


A. Municipal Buildings and Facilities Projects – The CIP includes several routine and/or recurring projects that fund facility projects, parking lot maintenance, ADA improvements and other similar items. The proposed municipal buildings and facilities projects identified in Attachment 1 are citywide projects that are not reviewed or prioritized by the Parks and Recreation Commission. For FY 2023/24, the Susanna Bixby Bryant Ranch Museum Slope Stabilization project and Parking Lot Maintenance projects are both carryover projects that have been delayed due to the design process taking longer than anticipated. The Parking Lot Maintenance project includes slurry seal, ADA improvements, and other repairs at the following sites: Yorba Linda Community Center, Thomas Lasorda Jr. Field House, Quarter Horse Staging Area, Arroyo Park, Bryant Ranch Park, Phillip S. Paxton Equestrian Center, Casino Ridge Staging Area, City Hall (front and back), Eastside Community Park, Hurless Barton Park, Las Palomas Tennis Park, Shapell Park, Travis Ranch Youth Park and Veterans Park. In addition, a new project includes similar parking lot repairs at Black Gold Golf Club. Most of the other projects on the FY 2023/24 list are repairs to facilities and buildings. For FY 2024/25, playground safety surfacing maintenance is needed at Rio del Oro Park, Arroyo Park, Jessamyn West Park and Travis Ranch Youth Park. In addition, replacement of the picnic shelter roof is needed at Hurless Barton Park as well as roof replacement at the Susanna Bixby Bryant Ranch Museum. Other projects are related to renovation and repairs in buildings and facilities.


B. Street Improvement Projects – There are two categories of Street Improvement Projects Included in the CIP – those that are recurring in nature and one-time capacity improvements. In the recurring project category, funding has been budgeted for routine work repairing sidewalks, curb, and gutter, maintaining bridges, continuing implementation of ADA improvements and other similar work. In addition to these routine projects, several non-routine projects are proposed for inclusion in the Tier 1 CIP. Staff have conducted a comprehensive review of these projects and are recommending moving the following projects forward:


Carryover (Previously Approved) Projects


SI201001 – Yorba Linda Blvd. Widening – Imperial Hwy to Lakeview Ave. (Environmental/PS&E)

This project includes the environmental activities as well as development of plans, specifications, and estimates for the Yorba Linda Blvd. Widening from Imperial Highway to Lakeview Ave. The segment of Yorba Linda Blvd. between Imperial Highway and Lakeview Ave. has been identified as a high-priority improvement that will improve overall turn movements. The City was awarded OCTA competitive grant funding for the design and environmental document phase of the project.


SI201002 – Lakeview Ave./Buena Vista Ave. Intersection (Study)

This project provides study level services for traffic control improvements at the intersection of Lakeview Ave. and Buena Vista Ave. The eventual scope potentially involves construction of a traffic signal, grade changes, and related right-of-way acquisition. The project includes analysis of the options for this intersection. The construction phase of this improvement, along with a related project to widen Lakeview Ave. from Yorba Linda Blvd. to the southerly city limits, is included on the Tier 2 CIP.


SI201005 – Yorba Linda Blvd. Widening – La Palma to SR-91

This project will evaluate alternatives to alleviate traffic congestion along La Palma Avenue to Gypsum Canyon Road related to cut through traffic from SR-91. The current scope of the project is non-construction and primarily includes engineering study level activities.


SI201007 – Bridge Maintenance Program (Study)

This project provides engineering study level services for the City's Bridge Maintenance program to develop a maintenance plan. The scope includes gathering information on the City's bridges that will help determine what maintenance/repair work each of the bridges needs and whether the work is potentially eligible for reimbursement from the State.


SI201008 – ADA Transition Plan (Study)

This study level project will develop a Citywide ADA Transition Plan to document accessibility barriers to the City’s programs, services, and activities and to outline a schedule and plan of which the City shall follow to transition any existing barriers.


SI211001 – Savi Ranch Pkwy. Improvements – Yorba Linda Blvd. to Mirage St. (PS&E)

This project develops plans, specifications and estimates that will improve the traffic circulation in the Savi Ranch area. The project is receiving OCTA competitive grant funds for the design phase.


SI21002 – Yorba Linda Blvd. Widening – La Palma Ave. to Santa Ana Canyon Rd. (PS&E)

The Yorba Linda Blvd. Widening project from La Palma Ave. to Santa Ana Canyon Rd. develops plans, specifications, and estimates in partnership with the City of Anaheim. This project will improve the traffic circulation near Savi Ranch on Yorba Linda Blvd. OCTA competitive grant funds were awarded in the amount of 75% for the design of this project. The City of Anaheim would also contribute their fair share to the project.


SI221002 – Town Center Specific Plan Improvements (Imperial Highway – PS&E/Construction)

This project provides for the final design of the landscape and streetscape improvements to meet the Town Center Specific Plan. The project includes design and construction components. Remaining segments within this Specific Plan include Lemon Drive and Olinda Street.


SI221004 – Bastanchury Road Median Modification (Fairmont to Village Center Drive) – Design

This project allows for design of the Bastanchury Road Median Project from Fairmont Boulevard to Village Center Drive. The project will provide an additional lane of traffic in each direction within the project limits – resulting in two travel lanes in each direction with bicycle lanes within the existing street width. The project also requires reducing the existing landscaped median width.


SI231002 – La Palma Ave. Improvement Project – West City Limit to 1,350 W/O Old Village Rd.

This project includes costs for both design and construction phases for the slurry treatment of the La Palma Avenue Street Improvement Project from West City Limit to 1,350 Feet West of Old Village Road. The project includes CRRSAA funds granted to Orange County local agencies for local streets and roads rehabilitation and maintenance projects through the 2021 Pavement Management Relief Funding (PMRF) Program.


SI231003 – Ongoing Street Maintenance Program/APPP – Zone 5/6B (PS&E/Construction)

The Annual Pavement Preservation Project delivers slurry seal treatment, ADA improvements, and overlay of streets within the City's various maintenance zones to maintain our City's Pavement Condition Index (PCI) to be consistent with our Strategic Plan. The overlay portion, where applicable, focuses on street overlays and localized asphalt repairs to the poorer rated sections of streets within the same maintenance zone. Upon completion of the slurry seal effort, this will complete the maintenance treatment for Zone 5 (and 6B) of the City.


Carryover (Previously Approved) Projects – Requesting Additional Funding


SI201003 – Lakeview Ave. Widening – Oriente to Bastanchury (PS&E/Construction)

The Lakeview Ave. Widening - Oriente Dr. to Bastanchury Rd. project will add an additional through lane in each direction of Lakeview Ave. and has received OCTA competitive grant funding in the amount of 75% of the total construction cost. This project will include development of plans, specifications and estimates as well as eventual construction costs.


SI221005 – Bastanchury Road Widening – Casa Loma Ave. to Eureka Ave. (Construction)

The Bastanchury Rd. Widening from Casa Loma Ave. to Eureka Ave. project provides construction of the last missing segment of Bastanchury Rd. that has not yet been widened to four lanes. This project has been identified as a high priority improvement. OCTA competitive grant funding was awarded for the construction phase.


SI231001 – Lakeview Ave. Widening – Lemon Dr. to Oriente (PS&E/Environmental)

This project will add an additional through lane in each direction on Lakeview Ave. The project scope includes environmental analysis as well as PS&E. Staff is looking to seek OCTA funding for this gap closure upon completion of construction along Lakeview from Bastanchury to Oriente and preliminary design for this segment.


New Projects


Citywide ADA Ramp Program (Construction)

The Citywide ADA Ramp Program systematically aims to install curb ramps where none exist. The project also replaces existing damaged ramps or to retrofit existing curb ramps to meet Americans with Disabilities Act (ADA). The construction-based efforts often occur in tandem with the annual sidewalk, curb and gutter repair program on an as-needed basis.


Sidewalk, Curb and Gutter Repair Program (Construction)

This project includes the installation of missing sidewalk gaps, repairs to uneven sidewalks, curb, gutters, cross-gutters, or other concrete infrastructure on an as-needed basis.

Miscellaneous Street Improvements (Construction)

This project allows for the City's use of an On-Call Asphalt Maintenance Contractor to complete smaller scale street improvements, removal, and replacement of failed section of roadways and pothole repairs on an as-needed basis.


APPP Zone 5/6/7 and ADA Ramp Improvements (Misc.)

The Annual Pavement Preservation Project delivers slurry seal treatment, ADA improvements, and overlay of streets within the City's various maintenance zones to maintain our City's Pavement Condition Index (PCI) to be consistent with our Strategic Plan. This iteration of the annual/recurring project is less expansive and will focus on segments of Zone’s 5 and 6 that presented challenges in previous years. This effort will also proactively include portions of Zone 7, prior to the larger APPP Zone 7 project, which is budgeted in the subsequent fiscal year.


Yorba Linda Blvd. & Valley View ADA Improvements

This project proposes to implement ADA improvements at the intersection of Yorba Linda Blvd. and Valley View. The project would bring the ramps within the scope of the project into ADA compliance.


Pavement Management Plan (Study)

This study level project serves to develop a citywide Pavement Management Plan (PMP). Implementation of annual pavement projects in the City are based on pavement condition analysis from the PMP Report. Based upon the PMP staff can move forward with preservation, repair, and improvement of the local, collector and arterial streets in the City.


APPP/ADA Ramp Improvements – Zone 7

The Annual Pavement Preservation Project delivers slurry seal treatment, ADA improvements, and overlay of streets within the City's various maintenance zones to maintain our City's Pavement Condition Index (PCI) to be consistent with our Strategic Plan. The overlay portion, where applicable, focuses on street overlays and localized asphalt repairs to the poorer rated sections of streets within the same maintenance zone. Upon completion of the annual effort, this will complete the maintenance treatment for Zone 7 of the City.


Yorba Linda Blvd. Widening – Imperial Hwy. to Lakeview Ave. (ROW)

This proposed project is the Right-of-Way phase of prior year project SI201001, for the Yorba Linda Blvd. Widening from Imperial Highway to Lakeview Ave. The segment of Yorba Linda Blvd. between Imperial Highway and Lakeview Ave. was identified as a high-priority improvement that will improve left turn movements.


Savi Ranch Pkwy. Improvements – Yorba Linda Blvd. to Mirage St. (ROW)

This proposed project is the Right-of-Way phase of the prior year project SI211001, for the Savi Ranch area circulation improvements from Yorba Linda Blvd.to Mirage St. Preliminary implementation of this project will begin as the design and environmental stages are completed.

C. Traffic Improvements – The proposed CIP for Traffic Control Projects was reviewed by the Traffic Commission in May. The traffic improvement projects are shown below:


Carryover (Previously Approved) Projects


TC201001 – Imperial Highway/SR-90 Corridor (Construction)

This multi-agency project scope will synchronize traffic signals along the Imperial Highway/SR 90 corridor within the Cities of Brea, Fullerton, La Habra and Yorba Linda. The Project corridor includes 46 traffic signals and will install numerous traffic monitoring cameras (CCTV) that will share the new fiber optic communications and integrate the camera video feeds. The City of La Habra is the lead agency for this project.


TC 201003 – Traffic Signal – Bastanchury Rd. at Eureka Ave. (Construction)

This project will install a traffic signal at the intersection of Bastanchury Rd. and Eureka Ave. The Bastanchury Road/Eureka Avenue and Bastanchury Road/Casa Loma Avenue intersections were the highest ranking in the citywide traffic signal priority study because of existing sight distance issues and the benefit of signal coordination along the Bastanchury Road corridor. This project is being constructed alongside the Bastanchury Road Widening Project.


TC201004 – Traffic Signal – Bastanchury Rd. at Casa Loma Ave. (Construction)

This project will install a traffic signal at the intersection of Bastanchury Rd. and Casa Loma Ave. The Bastanchury Road/Eureka Avenue and Bastanchury Road/Casa Loma Avenue intersections were the highest ranking in the citywide traffic signal priority study because of existing sight distance issues and the benefit of signal coordination along the Bastanchury Road corridor. This project is being constructed alongside the Bastanchury Road Widening Project.


TC201005 – Traffic Signal – Lakeview Ave. at Oriente Dr. (Design)

This traffic signal design project is for the eventual installation of a signal at the intersection of Lakeview Ave. and Oriente Dr. The project is proposed to eventually be constructed after Lakeview Avenue between Oriente Drive and Lemon gap closure effort.


TC221001 – Active Transportation Plan (Study)

The City of Yorba Linda as lead agency, in conjunction with the City of Placentia and the Placentia-Yorba Linda Unified School District (PYLUSD) are developing an Active Transportation plan with Caltrans STPG grant funding. The comprehensive ATP will incorporate identified bicycle and pedestrian improvements, Safe Routes to School (SRTS) and multi-use trail plans.


TC221002 – Orangethorpe/Esperanza Corridor Traffic Signal Synchronization (PS&E/Construction)

The approximate 17.27-mile project segment covers 57 traffic signals between the West County Limits by Orangethorpe Avenue/Walker Street in the City of La Palma through the Cities of Buena Park, Fullerton, Anaheim, Placentia, and the County of Orange, to Esperanza Road/New River Road in the City of Yorba Linda. The City of Yorba Linda has five (5) traffic signals on this corridor and will be receiving controller/cabinet and traffic management center upgrades. In addition, the project includes 24-month signal timing optimization and maintenance/monitoring support. The City of Fullerton is the lead agency for this project.


TC221003 – Tustin Avenue/Rose Drive TSS (PS&E/Construction)

The approximate 11 .4-mile project segment covers 55 traffic signals from First Street in Santa Ana to Wabash Avenue in Yorba Linda. The City of Yorba Linda has four (4) traffic signals on this corridor and will be receiving controller/cabinet, signal interconnect and traffic management center upgrades. In addition, the project includes a 3-year support on signal timing optimization and maintenance/monitoring. The City of Orange is the lead agency for this project.


TC231003 – Yorba Linda Boulevard Corridor Traffic Signal Synchronization (PS&E/Construction)

The Yorba Linda Boulevard Corridor (RTSSP) project is a multi-agency project funded in part through competitive OCTA funding. The project includes the synchronization of traffic signals on the Yorba Linda Boulevard/Weir Canyon Road Corridor. The approximate 12-mile project segment covers 48 traffic signals from State College Boulevard in the City of Fullerton, through the Cities of Placentia and Yorba Linda and culminates at Oak Canyon Drive in the City of Anaheim. City of Yorba Linda will serve as lead agency.


SI221003 – La Palma Avenue Improvement Feasibility Study

This study level project will analyze, collect data, and forecast traffic and operations for La Palma Ave. between Yorba Linda Blvd and Gypsum Canyon Rd. The study will also develop feasible improvement alternatives that would alleviate congestion in the area.


New Projects


Traffic Calming/Safety/Operations Improvements (Study/Design/Construction)

This project provides miscellaneous professional transportation engineering services that improve traffic operations and safety throughout the City. This project includes studies, as well as minor design and construction efforts pertaining to traffic safety and operations citywide.


Traffic Signal Timing (Design & Construction)

This annual project allows for smaller scale traffic signal timing efforts, both in the design and construction phases, for locations and projects that otherwise are not included in larger traffic CIP projects. This project also includes professional engineering services utilized to supplement staff efforts on an as-needed basis.


Citywide Traffic Signal Modification/Rehabilitation (Construction)

The scope of this project includes funding for the rehabilitation and modification of existing traffic signals within the City on an annual basis. Services included in this project scope include design review services, traffic signal project plan check and project support tasks.


Citywide Engineering & Traffic Survey

This project provides engineering and traffic survey (ET&S) services that are required to be undertaken every five (5) years. This project will deliver information that establishes/justifies posted speed limits on city streets.


D. Landscaping Projects – The proposed projects in this category are LMAD landscaping projects. As included in prior years, the proposed budget includes funding for both years for renovation of existing landscape areas throughout the LMAD in various arterial and local zones. Landscaping improvements include the following projects:


Carryover (Previously Approved) Projects


LI201002 – Entry Monument Landscaping and Lighting Renovation/Enhancement

This carryover project dedicates funding to the improvement of prioritized entry monument refurbishment within the LMAD. The project will focus on the aesthetic upgrade of intersection monuments at highly visible community entrance points within given zones. Monument lighting replacements will be incorporated where applicable.


Carryover (Previously Approved) Projects – Requesting Additional Funding


LI221007 – Yorba Linda Fuel Reduction Project

The Yorba Linda Fuel Reduction project is funded through a Cal Fire Community Fire Prevention Grant. The multi-year project focuses on integrated fuel reduction in seven (7) strategic sites within the City for the purpose of reducing the risk of wildfire to State Responsibility Areas including Chino Hills State Park. The integrated project includes goat grazing, hand crews, and mechanical abatement in addition to community outreach and awareness efforts.


New Projects


LMAD Capital Improvement Renovation (Annual Project)

The LMAD Capital Improvement Renovation project represents the cumulative annual CIP funding proposed for improvements within the various landscaping zones in the City. The project is comprised of many proposed projects based upon need and funding availability. Improvement types include renovation of existing landscape areas throughout the LMAD in various arterial and local zones, including water-wise irrigation, fencing, trails, and climate-adapted landscape. Individual project segments are identified as part of the Capital Improvement Program that is included with the annual LMAD Engineer's Report.


Arterial Landscape Improvement Project

This proposed Landscape Improvement project will allow for design, construction support and construction of landscape renovation efforts within the Arterial Landscape Zones of the LMAD. The project will deliver landscape and irrigation improvements along medians and/or parkways adjacent to arterial streets within the City, with a prioritization of underfunded zones.


E. Storm Drain Improvements – the following projects are scheduled in this category:


Carryover (Previously Approved) Projects


SD231001 – Bastanchury Rd./Rose Dr. Storm Drain Improvement

This project provides for the rehabilitation and/or replacement of existing storm drain infrastructure at Bastanchury Rd. and Rose Dr. Construction of these improvements will allow for improved drainage for stormwater runoff.


LI221001 – Local Zone L2-F Live Oak Drainage Construction

This project involves the construction/installation of storm drain infrastructure at Live Oak. The project will include installation of storm drainpipe, catch basin construction, concrete removals, inlet removals, water siphon, roadway excavation, concrete curb and gutter construction, asphalt pavement section construction, and pavement striping.


SD231002 – Rio Del Oro Drainage Facility

The proposed project scope includes the replacement of deteriorated 18-inch corrugated metal pipe (CMP) within the Rio Del Oro Drainage Facility. The existing drainage facility infrastructure is located within the greenbelt area.


Carryover (Previously Approved) Projects – Requesting Additional Funding


MS231002 – Black Gold Emergency Storm Drain Repair

This emergency storm drain project is for repair of drainage infrastructure at the Black Gold Golf Course. The County of Orange declared an emergency due to the extensive rainfall received in early 2023. This emergency caused damage to drainage facilities at the golf course, which will need to be repaired or replaced. The project is funded with master plan of drainage funding and initially included the removal of soil deposit with the 48-inch storm drainpipe. Subsequent work and inspections determined that several sections of pipe will need to be removed or repaired or re-lined.


New Project


Camino De Bryant MPD Improvement (PS&E)

The proposed project will provide storm drain capacity improvement along Camino De Bryant and will be funded with Master Plan of Drainage funds.


F. Miscellaneous Public Works Projects – the following projects are scheduled in this category:


Carryover (Previously Approved) Projects


MS221001 – Cal-Recycle Grant – SB1383 Organics

This project is funded via an SB 1383 Local Assistance Grant awarded by CalRecycle to the City of Yorba Linda. The grant project will allow for improved implementation of regulation requirements associated with SB 1383 and includes tasks such as capacity planning, education and outreach and enforcement/inspection.


New Project


Fiber Optic Gap Closures

This project is intended to provide new fiber capacity between City Hall and the intersection of New River Rd and Yorba Linda Blvd. This will be the backbone for future fiber connections to various City facilities, including the Travis Ranch Activity Center and the Police Services building. The addition of City owned fiber to these facilities will limit the need for data circuits provided by a third-party Internet Service Provider (ISP). The City will be able to provide additional services, such as video and web applications. Having fiber at City facilities is also preparing for future technologies that may not have been developed yet.


The requested budget will be used in connection with the Traffic Signaling project, which covers the same stretch along Yorba Linda Blvd. The funding for the Fiber Optic Gap Closure project will be used to increase the number of fiber strands installed during the Traffic Signaling project.


G. Parks and Recreation Projects – Many Parks and Recreation CIP projects are funded through park in-lieu fees paid by developers. The park in-lieu fees collected by the City are $16,716 per single family dwelling unit (per lot) and $10,718 for a multi-family dwelling unit (per unit). CIP projects are also funded through building and facility reserves, General Fund, grants, statewide park bonds and other sources.


The proposed CIP projects were reviewed by the Parks and Recreation Commission on March 16, 2023, and were prioritized in the following order:


1. Vista Del Verde Park Basketball Court Project

2. Bryant Ranch Park Basketball Court Project

3. Travis Ranch Irrigation Replacement

4. Yorba Linda Community Center Event Plaza Project

5. Eastside Park Lot Project

6. Vista Del Verde Park Phase II (Wedaa Park) Design and Construction


Due to deadlines associated with the Prop 68/State grant funded projects, the Vista Del Verde Basketball Court Project and the Bryant Ranch Basketball Project received the highest priority. The Travis Ranch Youth Park Irrigation Replacement, YLCC Event Plaza, and Vista Del Verde Park Phase II (Wedaa Park) Design and Construction are proposed to be funded through park in-lieu funds, when they become available. The Eastside Parking lot project will be funded through Park In-Lieu funds received from the County of Orange as part of the Cielo Vista Project


In addition to Tier I projects, there are Tier II projects that have not been approved for funding by the City Council but remain on the list to be considered at another time. These projects include Eastside Park Phase III and Bryant Ranch Park Phase II.


Funding for Tier 1 CIP Projects

The projects proposed for inclusion in the Tier 1 CIP are funded from a variety of funding sources. The table below shows the amounts required from the Two-Year Budget for the projects included in the first two years of the CIP.


Gas Tax......................................................$8,179,025

Measure M2 Fund........................................4,517,548

RMRA Fund..................................................3,545,045

Traffic Mitigation Fund.....................................486,352

Master Plan of Drainage Fund......................1,785,288

Lighting & Signal Fund..................................1,250,221

Traffic Signal Improvement Fund......................220,000

Building & Facilities Special Reserves...........2,277,350

Infrastructure Special Reserves.....................9,237,465

LMAD Fund...................................................2,219,500

Black Gold Golf Club Fund...............................225,000

General Fund................................................2,328,133

Subtotal City Funds $36,270,927

Competitive Grants................ .....................10,094,518

CDBG Funds........................... ........................160,564

Total Project Expenditures* $46,526,009

*Carryover/Previously Approved Amount = $27,402,565

Projects are first funded from restricted funds on hand that are dedicated to specific purposes, such as Gas Tax, Measure M2, RMRA and other similar funds for Street Improvements and Traffic Control Projects. Next, competitive grant funds are identified to further offset costs. As a last resort, General Fund resources are utilized to fund any remaining project costs for high-priority projects such as the Ongoing Street Maintenance Program to maintain the City’s strategic plan goal of keeping the PCI at 80 or better.


Tier 2 Projects

The Tier 2 CIP as proposed totals $37.4 million and includes 13 projects. The following table summarizes the Tier 2 CIP by category.


Street Improvements............................$23,148,451

Traffic Control Improvements...................1,350,000

Miscellaneous PW Improvements................250,000

Parks & Recreation Improvements..........12,650,000

Total Project Expenditures $37,398,451


Tier 2 CIP projects can be found listed in Attachment 2. No funding is currently identified for the Tier 2 CIP projects. Some projects will likely move to the Tier 1 CIP in the future as non-General Fund resources become available, while others would require specifically identified new funding or General Fund resources be viable. As part of the Two-Year Budget process, staff have comprehensively reviewed the Tier 2 CIP to identify projects for which funding is now likely to be available. During this two-year budget cycle, no Tier 2 projects have been reclassified to Tier 1 projects. There has been one street improvement project which was moved from Tier 1 to Tier 2 which is the Lakeview Ave. Sidewalk Project. Lakeview Sidewalk project design phase has been substantially completed; however, the finalization and construction are being put on an indefinite hold. The project was initially classified as a “traffic” project per the request of a constituent as a safe route to school but was later reclassified (and expanded) to the more appropriate “street” classification to include fiber optic installation and landscape/irrigation restoration. The project is being requested for reclassification to Tier 2 for the construction phase to make funding available for priority projects since the budgeted funds will not be sufficient to complete the project as currently designed.


There are four Parks & Recreation projects that were previously categorized as Tier 1 projects but are unfunded. The current CIP list proposes moving those projects to the Tier 2 list. They are as follows:


1. Travis Ranch Irrigation Project

2. Yorba Linda Community Center Wedding & Event Plaza

3. Eastside Park Lot Project

4. Vista Del Verde Park Phase II (Wedaa Park) Construction


Should Council wish to add or remove additional Tier 2 projects, staff is able to update the schedule prior to anticipated budget adoption on June 20, 2023.


Seven-Year CIP

The City has prepared a Seven-Year Capital Improvement Program for many years to provide a better long-term view towards planning for improvements that will likely happen during that period. Attachment 3 reflects a seven-year view of the projects that will likely be completed during that period. While some of these projects are subject to the availability of competitive grant funds, staff believe that they are feasible presuming that these grant funds are obtained.


Next Steps

Funding required for CIP projects recommended for the next two fiscal years will be incorporated into the Two-Year Budget when staff return with the final budget for the Council’s consideration on June 20, 2023.


FISCAL IMPACT


Sufficient resources are available to proceed with the proposed Tier 1 CIP projects outlined in this report subject to the award of any required competitive grant funds. If planned grant funding is not obtained, staff will return to the City Council to seek direction on how to proceed with the related project(s).


ALTERNATIVES


The City Council could choose to add, remove, or modify projects included in the Tier 1 and/or Tier 2 CIP.

Budget Adoption and Capital Improvement Plan Approval - Presented June 20, 2023

RECOMMENDATION

It is recommended that the City Council:


1. Approve the Two-Year Budget for fiscal years 2023/24 and 2024/25 as detailed in Attachment 1, approve the staffing authorizations set forth in the Authorized Positions Listing as shown in Attachment 2, approve the revised Salary Schedule as shown in Attachment 3 and adopt Resolution No. 2023-5854 (Attachment 4) approving the Two-Year Operating Budget for Fiscal Years 2023/24 and 2024/25; and


2. Approve the Seven-Year Capital Improvement Program (CIP) for fiscal years 2023/24 through 2029/30 as detailed in Attachment 6, including 1) the Tier 1 projects for fiscal years 2023/24 and 2024/25 in the Two-Year Budget (Attachment 5) and 2) approval of the projects for fiscal years 2025/26 through 2029/30 and the currently unfunded Tier 2 projects in order to remain in compliance with the Orange County Transportation Authority’s Measure M2 Guidelines, and adopt Resolution No. 2023-5855 (Attachment 8) approving the CIP and Two-Year Capital Budget for Fiscal Years 2023/24 and 2024/25; and


3. Approve the Capital Improvement Program (CIP) Database submittals required by OCTA (Attachment 7); and


4. Determine that the proposed CIP is exempt from California Environmental Quality Act (CEQA) review pursuant to Section 158061(b)(3) as it can be seen with certainty that there is no possibility that this consistency finding will have a significant effect on the environment; and


5. Authorize the carryover from the fiscal year 2022/23 budget to the fiscal year 2023/24 budget of 1) unspent CIP project budgets, 2) funds encumbered for outstanding purchase orders, and 3) certain unspent operating budget account balances, and direct staff to return to the City Council with a final list of carryovers for review and final approval after the books for FY 22/23 are closed.


It is recommended that the City Council acting as the Successor Agency Board:


1. Adopt Successor Agency Resolution No. 2023-22 approving the Two-Year Operating Budget for Fiscal Years 2023/24 and 2024/25 (Attachment 9); and


2. Adopt Successor Agency Resolution No. 2023-23 approving the Two-Year Capital Budget for Fiscal Years 2023/24 and 2024/25 (Attachment 10).

BACKGROUND

On May 16, 2023, staff presented the proposed Two-Year Budget to the City Council for preliminary review and discussion. A copy of the staff report is included as Attachment 11 to this report. On June 6, 2023, staff presented the proposed Capital Improvement Program (CIP) budget to the City Council for preliminary review and discussion. A copy of the staff report is included in Attachment 12. These staff reports provide greater detail regarding the significant changes, new positions/reclassifications and capital projects included in the operating and capital budgets proposed for adoption by the City Council.


Pursuant to Government Code Sections 65103(C) and 65401, the Planning Commission is also required to review the proposed CIP budget. Accordingly, the CIP was reviewed and deemed in conformance with the City’s General Plan by the Planning Commission on May 24, 2023.

DISCUSSION


Staff have incorporated final adjustments submitted by City Departments for approval. Several of the various attachments to this report summarize this information.


Revised General Fund Revenue and Expenditure Budgets


The net changes made between the preliminary operating budget and this final budget resulted in excess resources over appropriations lower by $57,040 in FY 2023/24 and $25,815 in FY 2024/25. The details of the changes are explained after the table below.

General Fund revenue is lower by $54,040 in FY 2023/24 and $24,040 in FY 2024/25. This is primarily due to the removal of the proceeds from the sale of vehicles that were originally purchased with AQMD funds. The City must return the proceeds of the sale to the AQMD Fund rather than the General Fund.


General Fund expenditures include:


• An increase of $3,000 in FY 2023/24 and $1,775 in FY 2024/25 due to a small change to an IT software subscription cost.

• The Parks & Recreation budget in FY 2022/23 is higher by $25,000 due to a minor budget adjustment.


The inclusion of the transfer from General Fund reserves to the Capital Improvement Project Fund in the amount of $2,253,133 in FY 2023/24 and $75,000 in FY 2024/25 are as a result of the projects discussed at the June 6, 2023, Council meeting where the CIP budget was presented. While the addition of these figures reduces General Fund reserves, it does not impact the net operating surplus for each fiscal year. It should also be noted that $2.0 million in FY 2023/24 represents carryover projects from FY 2022/23.


Based on the proposed revenue and expenditure budgets, including all requested budget enhancements, staff are forecasting a surplus of $739,324 in fiscal year 2023/24 and $532,562 in fiscal year 2024/25. Operating reserves as shown in the General Fund Budget table would represent 52.9% and 52.6% respectively.


Proposed Budget for Other Funds and CIP

There have been no changes to the proposed budgets for the Library and CIP funds since the preliminary review of those funds. LMAD had minor adjustments pursuant to the final Engineer’s Report. Expenditures for Black Gold are lower by the debt service payment because it was reclassified from an expenditure/transfer account to a due to/due from account on the balance sheet which does not affect the expenditures. Additionally, Black Gold Golf Club detail pages in Attachment 1 include transfers and CIP expenditures that were not previously mentioned in the prior report. Attachment 1 includes the detailed budgets for these funds in addition to the rest of the Special Revenue Funds and the Successor Agency Fund.


Budget Carryover Process

Staff is also requesting the Council’s approval for carrying forward certain budgeted amounts included in the fiscal year 2022/23 budget that have not been spent but are still required. These include funds budgeted for capital projects, funds encumbered for purchase orders and a limited number of additional amounts designated for specific purposes. Absent this action, these appropriations would lapse at the conclusion of the current fiscal year. Staff will assemble a final list of the specific amounts and purposes for funds to be carried over into fiscal year 2023/24 budget and will provide this information to the Council via a staff report once the books have been preliminarily closed for fiscal year 2022/23.


FISCAL IMPACT


As currently presented, the proposed General Fund budget is balanced, with a budget surplus projected for both fiscal years. The budgets for the Library, LMAD and Black Gold Golf Club Fund reflect an operating surplus in both fiscal years. Resources available in all other funds included in the proposed budget are sufficient to cover all requested expenditures in both fiscal years.


ALTERNATIVES


The City Council could choose to modify the proposed budget and CIP as presented and/or request additional funding for programs or services of interest to the Council.