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HomeMy WebLinkAbout2004-11-17 - AGENDA REPORTS - FY 2004-05 MIDYEAR BUDGET (2)Agenda Item CITY OF SANTA CLARITA INTEROFFICE MEMORANDUM TO: Mayor Kellar & Councilmembers FROM: Ken Pulskamp, City Manager �, q DATE: November 17, 2004 SUBJECT: FISCAL YEAR 2004-05 MIDYEAR BUDGET REVIEW RECOMMENDED ACTION City Council review and discuss the "Unmet Priorities List," as well as look at other priorities that need to be addressed through the midyear process, and their impact on the City's General Fund. BACKGROUND Each year at this time, City staff takes the opportunity to evaluate the adopted budget and the economic outlook for the remainder of the year. It is critical to perform the midyear review of the budgetary and financial position to ensure that any deviations from the initial budget projections are addressed in a manner which is proactive rather than reactive. It is also at this time that staff reviews its priorities and requests appropriations for activities that have become a priority, but are not currently funded. During the last budget process, the City went through its budget process faced with uncertainties with regard to the state's budget crisis. Due to those uncertainties, the City Council adopted a conservative budget, with the assumption that $6.0 million in general fund revenues were at risk. Since budget adoption, we now have a clearer picture of our revenue outlook for the remainder of the year. The state has adopted its budget, and Proposition 1 A passed by an overwhelming margin. Through the 2004-05 budget process, an "Um -net Priorities List" was developed. This list represented projects and programs that would be recommended for funding once we had a handle on how the state's budget woes would impact Santa Clarita. Now that we know where we stand, I am recommending the City Council fund most of the projects on that list. KP,P:BB:hds D�en\FY 2004-05 Budget Review