HomeMy WebLinkAbout2004-04-20 - AGENDA REPORTS - PROPOSED FY 2004-2005 BUDGET (2)./
CITY OF SANTA CLARITA
INTEROFFICE MEMORANDUM
TO:%en
Ke ar, Councilmembers d the Santa Clarita Redevelopment Agency
FROM: ska p, i� eager
DATE: April 20, 2004
SUBJECT: PROPOSED FISCAL YEAR 2004-2005 ANNUAL OPERATING BUDGET
AND CAPITAL IMPROVEMENT PROGRAM
RECOMMENDED ACTION
City Council/Redevelopment Agency review and comment on the proposed Fiscal Year (FY)
2004-2005 Annual Operating Budget and Five -Year Capital Improvement Program.
BACKGROUND
Each year, the City undergoes a budget process to develop the annual budget. This budget
process is about six months, usually beginning in January and culminating in June with the
adoption of a balanced annual budget. This year, the Council Budget Subcommittee's guidance
and leadership forged the framework for staff during this six-month process.
Similar to last year, we are faced with a number of uncertainties with the State budget deficit.
Despite the passages of Propositions 57 and 58, the State is still facing an estimated $15 billion
shortfall for FY 2004-05. We know from experience the State will look to local revenues to
solve its budget crisis. We believe our Vehicle License Revenues (VLF) continue to be at risk
and are developing a proposed budget that is very conservative in our VLF estimates for the
coming fiscal year.
Overall, the proposed General Fund portion of the budget (for both operating and capital
budgets) remains virtually unchanged from the FY 2003-04 adopted budget, at just over $59
million. The General Fund operating budget is proposed to increase by approximately 1.4%,
with the General Fund contribution to the capital budget proposed to decrease by 32% from
2003-04, at just over $3.0 million.
Tonight, staff will provide the Council with an overview of the budget, including revenues, new
programs, and the Five -Year Capital Improvement Program.
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Sia11d,ts\bud,t04-05.1.dy sevwNswdy session agenda item 4-20-04. doc
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