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HomeMy WebLinkAbout8.1 Fiscal Year 2023-24 4th Quarter Financial Review and Additional Special Designations of General Fund Reservesr DUBLIN CALIFORNIA STAFF REPORT CITY COUNCIL Agenda Item 8.1 DATE: TO: FROM: SUBJECT: November 5, 2024 Honorable Mayor and City Councilmembers Colleen Tribby, City Manager Fiscal Year 2023-24 4th Quarter Financial Review and Additional Special Designations of General Fund Reserves Prepared by: JayBaksa, Finance Director EXECUTIVE SUMMARY: The City Council will receive a financial report on the fourth quarter of Fiscal Year 2023-24 and consider amendments to the General Fund reserve designations. STAFF RECOMMENDATION: Adopt the Resolution Authorizing Additional Special Designations of General Fund Reserves for Fiscal Year 2023-24 and confirm additional General Fund reserve designations as of June 30, 2024. FINANCIAL IMPACT: City Council confirmation of General Fund reserve designations will not alter amounts received or spent but will allow Staff to close the Fiscal Year 2023-24 financial books. Total General Fund reserves are projected at $286.2 million as of June 30, 2024, with $51.1 million in the unassigned cash flow reserve, representing 5.6 months of the Fiscal Year 2024-25 Adopted General Fund Budget. DESCRIPTION: This report transmits the preliminary financial results of the Fiscal Year 2023-24 year-end, focusing on the General Fund. At this time, the numbers are essentially final, and though adjustments may happen as the audit is finalized, Staff does not expect substantial changes from the numbers in this report. The Annual Comprehensive Financial Report, which will be presented to the City Council at the second meeting in December, will contain the final audited results. Page 1 of 7 1 General Fund Overview General Fund operating revenues totaled $134.5 million in Fiscal Year 2023-24, an increase of $9.7 million over the prior year. Total revenues, including an accounting adjustment of unrealized gains and transfers in, were $141.7 million, an increase of $19.9 million from the prior year. General Fund operating expenditures totaled $94.9 million, an increase of $6.4 million from the prior year. Total expenditures, including contributions to other funds, and transfers out, were $101.2 million, an increase of $5.3 million over the prior year. Contributions to capital projects, and other funds totaled $6.3 million, a decrease of $1.1 million from the prior year. The resulting impact from operations on total General Fund Reserves was an increase of $40.5 million, with the overall increase to General Fund reserves increasing $36.4 million from the prior year, after transferring funds from the Advance to Public Facility Fee Reserve to the Public Facility Fee Funds, as shown in Table 1. The year -over -year variances are explained in greater detail below. Table 1: General Fund Summary FY 2022-23 FY 2023-24 Total Reserves, Beginning of Year $223,857,505 $249,736,608 Revenues 124,787,119 134,468,344 Expenditures (88,523,802) (94,909,329) Net Operating Budget Impact 36,263,317 39,559,015 Transfers In 109,014 227,051 Unrealized Gain/Loss/Adjustments (3,053,407) 7,022,273 Transfers Out/Contribution to Other (7,439,821) (6,322,616) Reserve Transfer to Public Facility Fee (4,042,819) Total Reserves, End of Year $249,736,608 $286,179,512 Change from Prior Year $36,442,903 Specific revenue and expenditure changes (+/-$250,000 compared to Fiscal Year 2022-23 actuals and to the Fiscal Year 2023-24 amended budget) are discussed below. The General Fund Summary (Attachment 2) presents this data by major category. Revenues Property Tax (+$2,911,518 vs. prior year / + $2,071,658 vs. budget) Property Tax revenue in Fiscal Year 2023-24 increased along with a gain in net assessed valuation by $1.20 billion (5.7%) over the prior year. Current Property Tax revenue was $832k higher than the Amended Budget, due to stronger than anticipated property sales in the second part of the fiscal year. Supplemental Property Tax payments came in $608k higher than the Amended Budget due to development projects coming online. Sales Tax (+$2,391,643 vs. prior year / +$1,297,807 vs. budget) It was originally projected that overall consumer spending would slow in Fiscal Year 2023-24, with growth resuming the second half of Fiscal Year 2024-25. However, while globally there was some slowing, Dublin businesses remained strong, and sales activity continued to outpace forecasts. Additionally, a change was made by the state in how certain auto sales are reported, Page 2 of 7 2 resulting in the reallocation of $2.5 million in auto sales tax to Dublin in Fiscal Year 2023-24. Development Revenue (-$1,730,994 vs. prior year /-$109,365 vs. budget) This category includes revenues associated with permits for new development (primarily building permits) as well as tenant improvements on current structures. It also includes fees for City services, most typically zoning and plan checking services. The year -over -year decrease is due to a lower level of activity on development projects than in the previous year. Other Taxes (+$450,879 vs. prior year / +$866,971 vs. budget) The net increase in Other Taxes over the prior year and current year budget was related to an increase in the garbage franchise tax, driven primarily by an increase in construction activity. Additionally, the City had increases in both the electric and gas franchise fees, due to rate increases. Lastly, the City saw an increase in property transfer tax, which fluctuates with the real estate market. This increase was offset by a decrease in Cable Franchise fees, which has been steadily decreasing since 2016, as people have shifted toward alternate forms of television subscriptions. Interest (+$3,136,384 vs. prior year / +$2,999,829 vs. budget) Interest earnings came in significantly higher than the prior year, due to the Federal Reserve raising interest rates 11 times between March 2022 and July 2023. Overall, the Federal Funds Rate has stayed between 5.25% to 5.50% for the majority of Fiscal Year 2023-24. In addition to the higher interest rate, the City maintained a higher than anticipated General Fund cash balance that was the result of the operating budget's revenues exceeding expenditures by $39 million, as well as the timing of expenditures on capital projects. In Fiscal Year 2023-24 there was $51.2 million from the General Fund appropriated for Capital Improvement Projects, of which $4.3 million was spent. The combined effect resulted in interest revenue coming in $3.0 million higher than the Amended Budget. Rental & Leases (-$21,777 vs. prior year / +$524,025, vs. budget) The decrease in revenue from the prior year is due to an accounting change, as prescribed by the Governmental Accounting Standards Board, which requires a portion of revenue received from long-term leases to be classified as interest. Overall Rental & Leases revenue remained strong, with rental revenue reaching a new high in facility, field, and sports court rentals as well as picnic area rentals. Charges for Services (+$1,030,064 vs. prior year / +$2,288,698 vs. budget) The increase in Fiscal Year 2023-24 is attributed to a significant increase in Parks and Recreation programming revenue, specifically in aquatics and family programs. Overall Dublin Parks and Community Services programs continued to see high demand. In addition, the annual Santa Rita Services payment was approximately $550,000 higher than the prior year and $996,000 higher than the Amended Budget. This revenue is a reimbursement for the cost of Alameda County Fire's response to service calls from the Santa Rita Jail. A change in this program was implemented midyear in Fiscal Year 2023-24, which is anticipated to decrease the number of service calls and reimbursement revenue starting in Fiscal Year 2024-25. Other Revenue (+$1,617,866 vs. prior year / +$2,551,513 vs. budget) Page 3 of 7 3 Many revenues in this category are non -recurring in nature, such as community benefit payments. The increase in Fiscal Year 2023-24 is due to the receipt of funds from a legal settlement, reimbursement of the City's annual fire services retiree health payment (the plan is super funded) and a community benefit payment from the Francis Ranch development. Additionally, the City received funds for the reimbursement of multiple insurance claims, including damage to police vehicles by third parties. Expenditures Salaries and Wages (+$782,752 vs. prior year /-$641,888 vs. budget) Staffing costs came in lower than the Amended Budget due to a number of vacant positions and the timing of hiring. The increase from the prior fiscal year was due to revisions to the City's Salary Plan based on a classification study done as part of the Employee Process. The Employee Process is undertaken every five years and includes discussions between the City Manager and City employees regarding salaries and health and welfare benefits. Benefits (-$280,988 vs. prior year /-$885,569 vs. budget) Like salaries and wages, benefit costs came in lower than the budget because of vacant positions, and due to lower retirement costs for new employees who are in the new tier of the California Public Employees' Retirement System. Services and Supplies (+$1,288,423 vs. prior year /-$713,474 vs. budget) Expenditures for services and supplies in Fiscal Year 2023-24 were higher than the prior fiscal year due mainly to the increased cost of insurance provided through the City's Plan Joint Powers Agreement. Additionally, the City had increased expenses related to expanding recreation programming which had offsetting additional revenue as previously discussed. The City experienced savings from the Amended Budget due to lower -than -anticipated costs for repairs and maintenance of City -owned vehicles and facilities and for fuel. Internal Service Funds (+$511,428 vs. prior year / +$252 vs. budget) Internal Service Fund charges increased from the prior fiscal year mainly due to increased costs in the Information Technology Fund with the addition of new software, as well as an increase in Information Technology staffing costs, as the City continues to modernize services and expand security initiatives. Utilities (-$395,070 vs. prior year /-$1,296,415 vs. budget) Utilities were lower both from the prior year and from the Amended Budget. Staff had anticipated overall double-digit growth in utilities costs due to significant increases in electric and gas rates, however, year -over -year expenditures for both utilities decreased. The amount spent on water was also lower, as the region experienced a wet and rainy winter. Contracted Services (+$4,002,010 vs. prior year /-$4,218,625 vs. budget) Compared to the prior year, contract expenditures came in higher mainly due to planned increases in police services, fire services, and maintenance contract costs. In addition, police dispatch costs came in higher than anticipated, and other contracted services increased due to the continued expansion of recreation programs. Page 4 of 7 4 Capital Outlay (+$268,350 vs. prior year /-$79,704 vs. budget) Capital Outlay expenditures are typically one-time in nature, and they vary from year to year. Fiscal Year 2023-24 expenditures were higher year -over -year, due to approximately $355,000 being carried over from the prior year to complete furniture and vehicle purchases that were in the process of being made at the year end. Transfers Out for Capital Improvement Program (CIP) Projects The General Fund transferred out $4.3 million in Fiscal Year 2023-24 for capital project expenditures; of that amount, $3.7 million was covered by Committed/Assigned Reserves. $46.9 million in unspent capital project budgets will be carried over to Fiscal Year 2024-25. Table 2 shows the actual expenditures on CIP projects funded by the General Fund. Table 2: General Fund CIPs Project Amount Committed/Assigned Citywide Signal Communication Upgrade $773 Civic Center Rehabilitation 722,132 Cultural Arts Center 2,736,207 Dublin Irrigation System Upgrades 22,000 Electric Vehicle (EV) Charging Stations 20,456 Green Stormwater Infrastructure 60,130 IT Infrastructure Improvement 1,300 Maintenance Yard Facility 81 Public Safety Complex - Police Services Building 1,022 Village Parkway Reconstruction 156,543 Subtotal - Committed/Assigned $3,720,645 Undesignated Alamo Creek Park & Assessment Dist. Fence Replacement $3,994 Audio Visual System Upgrade 18,288 Citywide Energy Improvements 64,132 Downtown Dublin Street Grid Network 246 Downtown Dublin Town Square Park 122 Dublin Standard Plans Update 56,744 Financial System Replacement 141,275 Imagine Playground at Dublin Sports Grounds 5,546 Kolb Park Renovation 493 Marquee Signs 237 Municipal Fiber 246 Resiliency and Disaster Preparedness 302,161 Restrooms Replacement 6,441 Parks Playground Replacement 82 Page 5 of 7 5 San Ramon Road Landscape Renovation 1,214 Situational Awareness Camera 750 Subtotal - Undesignated $601,971 Total - General Fund Transfers Out to CIPs $4,322,616 Reserves (Attachment 3) In June 2024, based on estimated revenue and expenditures at that time, the City Council approved allocations to specific Committed and Assigned Reserves, shown in Table 3 below. Table 3. Committed/Specific Assigned Reserve Recommendations Reserve Category FY 23-24 June 2024 Total Adjustment Approval Q4 Adjustment Adjustment Type Committed Downtown Public Improvement Lease Revenue Bond Payment Assigned Dublin Blvd Extension Advance Fiscally Responsible Adjustment Contribution to ISF Village Parkway Reconstruction $4,000,000 1,000,000 7,000,000 (325,000) (1,500,000) $10,000,000 10,000,000 5,000,000 $14,000,000 1,000,000 17,000,000 (325,000) (1,500,000) 5,000,000 Add Add Add Transfer Transfer Add With the close of the financial books, Staff is recommending additional allocations as described below, which support specific objectives in the City's Two -Year Strategic Plan. This Staff Report also transmits a Resolution (Attachment 1) which confirms designations of additional Committed Reserves for Fiscal Year 2023-24, as City Council approval of Assigned Reserves is not necessary by resolution. Committed Reserves Downtown Public Improvement Reserve - Increase $10,000,000 With the additional designation, the total set aside for the Downtown Public Improvement Reserve will be $36.1 million. Assigned Reserves Dublin Boulevard Extension Advance - Increase $10,000,000 The reserve is a cash flow advance to the Eastern Dublin Transportation Impact Fee program and the General Fund will be reimbursed by the fee program. With the additional designation, the total set aside for the Dublin Boulevard Extension Advance Reserve will be $59.5 million. Page 6 of 7 6 Village Parkway Pavement Reconstruction Reserve - Increase $5,000,000 As presented to the City Council on February 20, 2024, the cost to reconstruct Village Parkway is estimated to be between $30 and $50 million. Staff recommends adding $5 million to the reserve, bringing the total to $20.7 million. Staff also anticipates a grant of $9.2 million from the State Transportation Improvement Program and is continuing to seek additional funding from grant sources for the project. STRATEGIC PLAN INITIATIVE: Strategy 1: Economic Development, Small Business Support, and Downtown Dublin Objective B: Work with ARA and Hines on the development of the Dublin Commons project, including associated public improvements, relocation of tenants, development agreement and appropriate incentives to effectuate physical changes to the area, as well as support for small businesses. Strategy 5: Long -Term Infrastructure and Sustainability Investments Objective B: Focus on major street improvements to assist in improving safety and traffic movement, including Village Parkway, Tassajara Road, and Dublin Boulevard extension. NOTICING REQUIREMENTS/PUBLIC OUTREACH: The City Council Agenda was posted. ATTACHMENTS: 1) Resolution Authorizing Additional Special Designations of General Fund Reserves for Fiscal Year 2023-24 2) General Fund Summary FY 2023-24 3) General Fund Reserves Summary FY 2023-24 Page 7 of 7 7 Attachment I RESOLUTION NO. XX — 24 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN AUTHORIZING ADDITIONAL SPECIAL DESIGNATIONS OF GENERAL FUND RESERVES FOR FISCAL YEAR 2023-24 WHEREAS, the City's Fund Balance and Reserves Policy requires special fund balance allocations to be adopted by the City Council, and allows the City Council to take action prior to the end of the fiscal year to direct a specific assignment of the fund balance; and WHEREAS, Staff reviewed updated information regarding fund balance and estimated one-time revenues during the preparation of the Fiscal Year 2024-25 and 2025-26 Budget; and WHEREAS, the City Council approved allocations to specific Committed Reserves and Assigned Reserves on June 25, 2024, based on estimated revenues and expenditures at that time. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does hereby make additional special allocation of the Fiscal Year 2023-24 year-end balance to the Committed fund balance as follows: • Increase the Downtown Public Improvement reserve by $10,000,000 BE IT FURTHER RESOLVED that any net resources remaining after special designations will be left in the Unassigned (Available) Reserve. PASSED, APPROVED AND ADOPTED this 5th day of November 2024, by the following vote: AYES: NOES: ABSENT: ABSTAIN: Mayor ATTEST: City Clerk Reso. No. XX-24, Item X.X, Adopted XX/XX/2024 Page 1 of 1 8 Attachment 2 GENERAL FUND SUMMARY - Q4 FY 2023-24 Actual Adopted 2022-23 2023-24 Amended 2023-24 Actual 2023-24 R.. Property Tax Sales Tax Sales Tax Reimbursements Development Revenue Transient Occupancy Tax Other Taxes Licenses & Permits Fines & Penalties Interest Earnings Rentals and Leases Intergovernmental Charges for Services Other Revenue Subtotal Revenues - Operating Transfers In Unrealized Gains/Losses/Adjustments Total Revenues $59,056,139 59,896,000 59,896,000 61,967,658 28,902,065 27,000,000 29,995,900 31,293,707 (321,750) (375,000) (375,000) (390,267) 8,588,005 7,172,669 6,966,376 6,857,011 1,533,093 1,500,000 1,500,000 1,481,868 7,196,591 6,780,500 6,780,500 7,647,471 323,098 223,577 223,577 230,552 80,117 50,000 50,000 98,693 5,363,445 2,510,000 5,500,000 8,499,829 2,193,822 1,648,021 1,648,021 2,172,046 352,165 290,000 405,000 441,518 8,648,315 7,389,682 7,389,682 9,678,380 2,872,013 1,806,412 1,938,367 4,489,879 $124,787,119 $115,891,861 $121,918,423 $134,468,344 $109,014 $56,600 $129,582 $227,051 (3,053,407) 7,022,273 $121,842,727 $115,948,461 $122,048,005 $141,717,668 Expenditures Salaries & Wages Benefits Services & Supplies Internal Service Fund Charges Utilities Contracted Services Capital Outlay Debt Service Payment Contingency & Miscellaneous Subtotal Expenditures - Operating Operating Impact (REV-EXP) Transfer Outs & Contributions to Other Funds Transfers Out (CIPs) - Com./Assig. Reserve Transfers Out (CIPs) - Undesignated Contribution to OPEB/PERS Contribution to ISF & Other Subtotal - Transfers Out & Contributions $12,725,756 4,781,703 4,543,179 4,932,571 2,997,652 57,001,245 194,558 1,333,050 14,088 $88,523,802 $36,263,317 937,641 1,018,802 3,460,000 2,023,378 $7,439,821 $14,150,396 5,386,283 6,238,992 5,443,747 3,898,997 62,778,423 120,625 1,331,850 223,910 $99,573,224 $16,318,637 7,195,281 10,734,612 1,000,000 2,000,000 $20,929,893 $14,150,396 5,386,283 6,545,077 5,443,747 3,898,997 65,221,880 542,612 1,331,850 223,910 $102,744,752 $19,173,670 33,935,110 17,272,644 1,000,000 2,000,000 $54,207,754 $13,508,508 4,500,714 5,831,603 5,443,999 2,602,582 61,003,255 462,908 1,331,850 223,910 $94,909,329 $39,559,015 3,720,645 601,971 2,000,000 $6,322,616 Total Expenditures GF Impact (Include CIP & Transfers) $95,963,623 $25,879,104 $120,503,117 $156,952,506 $101,231,945 ($4,554,656) ($34,904,501) $40,485,722 Contracted Services Detail Police Services Fire Services Maintenance Services (MCE) Development (CDD and PW) Other Contracted Services Actual 2022-23 $23,229,695 15,223,132 7,149,032 3,360,003 8,039,383 Adopted 2023-24 $24,835,923 16,313,430 7,925,056 3,606,108 10,097,906 Amended 2023-24 $24,927,246 16,313,430 8,036,896 3,992,132 11,952,176 Actual 2023-24 $25,092,500 16,226,491 7,878,305 3,050,460 8,755,499 Total Contracted Services $57,001,245 $62,778,423 $65,221,880 $61,003,255 9 Attachment 3 FISCAL YEAR 2023-24 GENERAL FUND RESERVES SUMMARY RESERVE DESCRIPTION Actual 2022-23 Increase 2023-24 Decrease 2023-24 Net Change 2023-24 Projected 2023-24 Non -Spendable $4,859 $49,849 $49,849 $54,709 Prepaid Expenses 4,859 49,849 49,849 54,709 Restricted $4,324,132 $126,103 $126,103 $4,450,235 Cemetery Endowment 60,000 60,000 Developer Contribution - Downtown 1,490,000 1,490,000 Developer Contribution - Heritage Park 19,000 19,000 Developer Contribution - Nature Park 60,000 60,000 Section 115 Trust - Pension 1,945,132 126,103 126,103 2,071,235 Heritage Park Maintenance 750,000 750,000 Committed $76,016,420 $15,000,000 ($6,800,976) $8,199,024 $84,215,443 Advance to Public Facility Fee 10,747,169 (4,042,819) (4,042,819) 6,704,350 Downtown Public Improvement 22,139,587 14,000,000 (21,097) 13,978,903 36,118,491 Economic Stability 8,000,000 8,000,000 Emergency Communications 532,113 532,113 Fire Services Pension/OPEB 2,211,094 2,211,094 Innovations and New Opportunity 894,498 894,498 One -Time Initiative - Capital 1,918,620 (773) (773) 1,917,848 One -Time Initiative - Operating 503,860 503,860 Public Safety Reserve 4,600,000 4,600,000 Specific Committed Reserves Contribution to Public Facility Fee 6,000,000 6,000,000 Cultural Arts Center (CIP) 7,139,197 (2,736,207) (2,736,207) 4,402,990 Don Biddle Park (CIP) 675,193 675,193 Fallon Sports Park III Contingency 100,000 100,000 Lease Revenue Bond Payoff 7,000,000 1,000,000 1,000,000 8,000,000 Maintenance Facility (CIP) 55,089 (81) (81) 55,008 Utility Undergrounding (CIP) 3,500,000 3,500,000 Assigned Accrued Leave $125,043,297 $39,851,345 ($11,492,058) $28,359,287 216,917 $153,402,584 1,301,506 216,917 1,518,423 Catastrophic Loss 17,714,064 17,714,064 CIP Carryovers 6,535,032 16,670,673 (6,535,032) 10,135,641 16,670,673 Fiscally Responsible Adjustment 325,000 (325,000) (325,000) 0 Municipal Regional Permit 1,869,152 (60,130) (60,130) 1,809,022 Non -Streets CIP Commitments 3,276,777 (23,291) (23,291) 3,253,486 Operating Carryovers 2,014,571 963,754 (2,014,571) (1,050,817) 963,754 Parks and Streets Contingency 201,270 201,270 Pension and OPEB 18,000,000 18,000,000 Relocate Parks Department 500,000 500,000 Service Continuity 3,150,000 3,150,000 Dublin Blvd Extension Advance 42,500,000 17,000,000 17,000,000 59,500,000 Specific Assigned Reserves ARPA Revenue Replacement 990,187 990,187 Climate Action Plan 2,823,760 (154,335) (154,335) 2,669,424 Contribution to ISF 1,500,000 (1,500,000) (1,500,000) 0 Facade Improvement Grants 429,972 429,972 Library Tenant Improvement 1,000,000 1,000,000 Civic Center Improvements (CIP) 3,010,829 (722,132) (722,132) 2,288,697 Pavement Management 2,000,000 2,000,000 Public Safety Complex (CIP) 1,022 (1,022) (1,022) 0 Village Parkway Pavement Reconstruction 15,900,156 5,000,000 (156,543) 4,843,457 20,743,613 Unassigned $44,347,900 $14,250,215 ($14,541,575) ($291,360) $44,056,540 Unassigned -Unrealized Gains (14,061,701) 7,022,273 0 7,022,273 (7,039,428) Unassigned (Available) TOTAL RESERVES 58,409,602 $249,736,608 $69,277,512 (532,834,609) $36,442,903 51,095,968 $286,179,512 10 FY 2023-24 4th Quarter Financial Review and Additional Special Designation of General Fund Reserves November 5, 2024 DUBLIN CALIFORNIA 11 General Fund • Revenues = $134.5 Million ($12.5 Million over budget) • Expenditures = $94.9 Million ($7.8 Million under budget) • Transfers Out = $6.3 Million Table 1: General Fund Summary FY 2022-23 FY 2023-24 Total Reserves, Beginning of Year 223,857,505 249,736,608 Revenues 124,787,119 134,468,344 Expenditures (88,523,802) (94,909,329) Net Operating Budget Impact 36,263,317 39,559,015 Transfers In 109,014 227,051 Unrealized Gain/Loss/Adjustments (3,053,407) 7,022,273 Transfers Out/Contribution to Other (7,439,821) (6,322,616) Reserve Transfer to Public Facility Fee (4,042,819) Total Reserves, End of Year 249,736,608 286,179,512 Change from Prior Year 36,442,903 VM DUBLIN CALIFORNIA 12 GF Revenue Summary Revenues -$12.5 Million over budget • Property Tax (+$2. 1 Million) — Assessed Value (AV) increase of $ I.2 Billion (5.7%) — Strong Sales in Q3-Q4 — Supplement Property Tax higher than budgeted • Sales Tax (+$I3 Million) — Sales remained stronger than forecasts — State reporting change of auto sales • Other Taxes (+$O.1 Million y — Franchise Taxes — Property Transfer Taxes GF Revenue Summary Revenues -$12.5 Million over budget • Interest Earnings (+$3.0 Million) - Rates (5.25%-5.50%) - Portfolio MarketYield Increase - Cash Balance • Rental & Leases (+$O.5 Million) - Facilities/Fields - Sports Courts - Picnic Areas 14 GF Revenue Summary Revenues -$ 12.5 Million over budget • Charges for Services (+$2.i Million) — Rec Programing (Aquatics) — Rec Programing (Family) — Santa Rita • Other Revenue (+$2.5 Million) — Community Benefit Payment — Fire Retiree Health — Legal Settlement 15 Expenditure Summary Expenditures - $7.8 Million Under Budget • Salaries and Wages (-$O.b Million) — Vacant Positions — HiringTiming • Benefits (-O.J Million) — Lower Retirement Tier • Services and Supplies (-$O.7 Million) — Lower Repair and Maintenance Costs 16 Expenditure Summary Expenditures - $7.8 Million Under Budget • Utilities k-$ i .3 Million) — Higher Rates Offset by Lower Utilization • Contracted Services (-4)4.2 Minion) — Development Contracts Transfers Out • Total GF Transfers Out = $6.3 Million — Designated Reserves = $3.7 Million — Unassigned Reserves = $0.6 Million — Other (Pension/ISF) = $2.0 Million Transfer Outs & Contributions to Other Funds Transfers Out (CfPs) - Com./Assig. Reserve Transfers Out (CIPs) - Undesignated Contribution to OFEB ,PERS C o ntribution to ISF & Other Subtotal - Transfers Out & Contributions Amended Actual 2023-24 2023-24 Difference 33,935,110 3,720,645 17,272,644 601,971 1,000,000 2,000,000 2,000,000 $54,207,754 $6,322,616 30,214,465 16,670,673 1,000,000 $47,885,138 DUBLIN CALIFORNIA 18 GF Reserves Recommendations - Based on Strategic Objectives • Downtown Public Improvement Reserve — Increase $10 Million — New Balance = $36.1 Million • Dublin Boulevard Extension Advance — Increase $10 Million — New Balance = $59.5 Million • Village Parkway Pavement Reconstruction Reserve — Increase $5 Million — New Balance = $20.7 Million GF Reserves • Total Reserves = $286 Million — Includes GF Reserve Transfer to Public Facilities Fee of $4.042 Million — $51.1 Million Unassigned Cashflow Reserve • 5.6 months of operating expenses • Policy calls for 2-4 months Staff Recommendations • Adopt the Resolution Authorizing Additional Special Designations of General Fund Reserves for Fiscal Year 2023-24 and confirm additional General Fund reserve designations as of June 30, 2024. 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