HomeMy WebLinkAbout2009-02-03 - AGENDA REPORTS - FY 2009 2010 BUDGET (2)Agenda liem :--L.
CITY OF SANTA CLARITA
INTEROFFICE MEMORANDUM
TO: Mayor Ferry and Members of the City Council
Chair Kennedy and Members of the Planning Commission
Char Redd and Members of the Parks, Recreation &
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FROM: ty anager
DATE; February 3, 2009
SUBJECT: FISCAL YEAR 2009-2010 BUDGET
RECOMMENDED ACTION
Community Services
City Council, Planning Commission and Parks, Recreation & Community Services Commission
receive the presentation on the state of the budget including the budget message, the City's fiscal
status and outlook.
BACKGROUND
Each year the City goes through a budget process to develop the annual budget. The process is about
six months, usually beginning in January and culminating in June with the adoption of a balanced
annual budget. The budget process involves the City Council, the Executive Team, all City
departments, and the community.
Information on the budget process is being presented to the Council, the Planning Commission, and
the Parks, Recreation & Community Services Commission for review and discussion.
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S \MS\Budget 07-08\Budget 09-10\2-3-09 Study Session memo doe
Fiscal Year 2009-2010
Budget Study Session
City Council
Planning Commission
Parks, Recreation and Community Services Commission
Tuesday, February 3, 2009
A
Meeting Purpose
• Discuss state of the national economy and
impacts to the City's budget
• Present current and future year's revenues
• Introduce the Fiscal Year 2009-2010 priorities
and budget strategy
• Budget Calendar Highlights
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2
Toxic Combination of
Inconceivable Troubles
• Ripple effect of
sub -prime
mortgage crisis
• Credit Crisis
• Soaring
unemployment rate
Current Fiscal Year
Revenues (08-09)
-Revenues adjusted during mid -year to reflect a
decrease
-Sales Tax (-4.8%)
-Property Tax (-3.7%)
-Development Revenues (-1%)
-VLF (-32.6%)
-Transfers In /Traffic Safety Revenue (22.8%)
M
General Fund Revenues
Fiscal Year 2009-2010
Sales 1
Reimbursements
Transfers 1.
State Re,
Code Fines
Other
Interest Incorne
Parks &
VLF TOT Rec.
Real Prop.
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property
pop Tax
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Franchise
Fees
General Fund Expenditures
Fiscal Year 2009-2010
• GF Expenditures Include:
$79,394,116 Base Budget for operations
15 frozen positions ($1.3m savings)
No contribution to Capital Projects
Budget is balanced
Strategy for New Fiscal Year
• It is not an option to spend above our means.
• Departments will provide 3 budget scenarios:
• Flat Budget
• 3% cut
• 5% cut
• Scenarios will have minimal impacts to the
community and ensure high standard for
customer service.
i
Projects that will Continue
• Cemex
• Cross Valley Connector
• Newhall Library and Streetscape
• Design of Central Park Expansion
• Open Space Acquisition
Recovery Prospects Bleak
1. Consumer pullback is severe & enduring
2. Warehouses are filling up quickly
3. Companies have slashed capital spending
4. GDP numbers may get worse
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Local Business Support
• Shop Local Program VSA
• Partnership with VIA,
Chamber, and
College of the
Canyons
• Improvements to the
Building Permit
Process
• Adaptive Reuse of
Commercial Quarters CD
I
Next Step
Subcommittee Meeting — April 28
Study Session — May 5
Subcommittee Meeting — May 19
Optional Study Session — June 2
Planning Commission Presentation — June 2
PRCS Commission Presentation — June 4
City Council Budget Hearing — June 9
City Council Budget Adoption — June 24