HomeMy WebLinkAboutItem 8.2 - 1385 Fiscal Year 2017-18 Budget Update
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STAFF REPORT
CITY COUNCIL
DATE: April 4, 2017
TO: Honorable Mayor and City Councilmembers
FROM:
Christopher L. Foss, City Manager
SUBJECT:
Study Session: Fiscal Year 2017-18 Budget Update
Prepared by: Colleen Tribby, Director of Administrative Services
EXECUTIVE SUMMARY:
The City Council will review the Fiscal Year 2017 -18 Budget Update, focusing on the
General Fund. This is the second year of the City's two-year budget, thus the report
highlights changes from budget numbers presented to the City Council in June 2017.
Changes to the Five-Year Capital Improvement Program are also noted herein, and an
update on Staff's progress towards the City Council's fiscal sustainability initiative is
included. There are no significant budget changes in other funds.
STAFF RECOMMENDATION:
Receive the report and provide direction to Staff related to the Budget Hearing
scheduled for May 16, 2017.
FINANCIAL IMPACT:
The Budget Update results in an increase to revenues of $4,242,875 and an increase to
expenditures of $1,821,342 in the General Fund, over the prior year projection. Total
General Fund reserves are projected at $115,657,803, an increase of $6,375,288, over
Fiscal Year 2016-17.
DESCRIPTION:
The City of Dublin utilizes a biennial budget process, in which a comprehensive budget
document is prepared that establishes high-level priorities and specific departmental
goals for a two-year period. The second year of the cycle is the “Update” year, in which
projections are revised and significant changes highlighted, while the original document
continues to serve as the guiding financial plan.
In analyzing the Fiscal Year 2017-18 Preliminary Budget, referred to in this report as the
“Budget Update,” Staff is comparing the updated numbers to the numbers provided in
June 2016. As in prior years, this report focuses on the General Fund, as there are no
major budgetary changes in other funds. This report discusses updates to the City’s
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major revenue categories reflecting the most recent information, refines expenditure
projections, and highlights changes to the Five-Year Capital Improvement Program. It
also updates the City Council on the progress being made toward the goal of fiscal
sustainability.
High Level Summary
The Budget Update (Attachment 1) projects an operating surplus in the General Fund
(revenues less expenditures) of $8,815,917, which is $2,421,533 (37.9%) higher than
the prior projection. Revenues increased $4,242,875 over the projection, due primarily
to higher property tax and development-related revenue, but also to incorporating gains
in transient occupancy tax and interest income that the City continued to experience into
the current year. Expenditures increased $1,821,342 over prior projections: those
changes are explained in the section below.
Forecast
2017-18
Update
2017-18
$
Change
%
Change
Revenue 79,538,966$ 83,781,841$ 4,242,875$ 5.3%
Expenditures (73,144,582)$ (74,965,924)$ (1,821,342)$ 2.5%
Operating Impact 6,394,384$ 8,815,917$ 2,421,533$ 37.9%
The following is a summary of the net changes reflected in the Budget Update as
compared to the Fiscal Year 2017-18 Forecast (+/- $200,000):
Revenue Changes
Property Tax - Increased $1,001,790
The current budget was adjusted upwards $9 05,876 in the first quarter to account for
higher-than-anticipated growth in citywide assessed values (AV). That growth has been
carried into Fiscal Year 2017-18, and added to a revised estimate of the restoration of
AV previously reduced via Proposition 8.
Development Revenues - Increased $2,101,116
The Building, Planning and Engineering Divisions have updated their projections of
development-related revenues and expenditures in Fiscal Year 2017 -18. These are
related to the pace of project activity; as a reminder, accelerated development in the
short term corresponds to less revenue in the latter part of the 10-Year Forecast.
Charges for Services - Increased $486,280
This increase is primarily due to higher revenues expected from aquatics programs
offered at The Wave ($366,413), as well as revenues from family programs ($66,480).
Minor increases have also been applied to sports program revenue and to various
development-related fire service charges.
Other Taxes (Transient Occupancy Tax, TOT) - Increased $400,000
This change reflects actual TOT receipts over the last two years.
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Interest - Increased $410,120
After weathering the recession of 2009, the City has been slowly rebuilding investment
income via its contract with Chandler Asset Management. Staff feels comfortable
adjusting interest income up to $876,000 for Fiscal Year 2017 -18, which while
conservative, is roughly double the income earned in Fiscal Year 2013 -14 ($422,980).
While the growth is positive, given the new economic environment, Staff doe s not
expect to return to the high earnings of Fiscal Year 2006 -07 ($2,620,610) in the
foreseeable future.
Expenditure Changes
Salaries and Wages - Increased $443,551
The Budget Update includes a new Plans Examiner position ($178,074 in the
Community Development Department), as well as an increase to the Finance
Technician position from 0.75 to 1.0 Full Time Equivalent (minor net increase, as the
position was filled at the entry-level grade). In addition, vacant positions are budgeted at
the top step in the range, and as there have been a number of vacancies in the current
year, the budget reflects an increase.
Benefits - Increased $296,565
The increased budget for employee benefits is the net result of several changes from
the Fiscal Year 2017-18 Forecast. The increases are related to the new and shifted
positions described above, but also to a recommended increase of $485,000 to pen sion
funding, in response to CALPERS’ new discount rate (discussed in the Short Term
Priorities section below).
Decreases can be primarily attributed to the City paying off the bulk of the PERS Side
Fund obligation (which was roughly $385,000 annually) in the current fiscal year, thus
lowering expenditures in Fiscal Year 2017 -18. Furthermore, the budget for group
insurance is lower than was anticipated last year, as insurance rates stayed relatively
flat.
Services and Supplies - Increased $248,821
The Budget Update includes minor increases in operating supplies and training across
departments over prior projections. Larger variances are attributed to recreational
operating supplies (increased $33,821), public liability insurance costs in the Police
Services contract (increased $132,690), an additional budget to cover City insurance
claims (increased $20,000), and increases in vehicle maintenance and repair for Police
vehicles as well as City-operated vehicles (increased $50,000 combined).
Contracted Services – Increased $721,120
The City’s three largest single service contracts are for Police Services (40% of total
contracted services), Fire Services (27%), and Maintenance Services (11%). These
have been kept relatively flat in the Budget Update. It is important to note that while the
current proposal for Police Services from the Alameda County Sheriff’s Office includes
an increase of $168,674 for personnel costs and a risk management contingency, Staff
has not yet concluded budget negotiations. In fact, in response to specific feedback
from the community throughout the last year, and moving towards serving a growing
population, the City Manager is currently scrutinizing the existing City position allocation
plan, including current and expected vacancies, to find the means to expand the Police
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Services but contain the overall budget. Staff expects to bring the final Police Ser vices
proposal to the City Council at the Budget Hearing in May.
The largest non-safety contracted service change from prior projection is the increase
by $416,158 in the Community Development Department. This is related to contracted
development services and is offset by revenues.
Contingency – Decreased $250,004
The Fiscal Year 2017-18 Projection included a $500,000 contingency for large -scale,
unanticipated maintenance and repairs. Examples of this in the current year were the
repair of the City’s fountain ($130,000) and the repair of the bridge at the Shannon
Center ($40,000). The Budget Update reduces this contingency to $250,000, as Staff is
evaluating the impact of creating a reserve for this purpose, rather than including it as
an annual budget item.
Reserves
After transfers out for capital projects, the Budget Update projects a $6,375,288
increase to General Fund reserves, as shown in the table below. The General Fund
Unassigned Cash Flow Reserve is projected at $48,966,676, before any reserve
designations made by the City Council. The General Fund Reserves Summary
(Attachment 2) provides a list of all reserve balances. No specific reserve changes are
being proposed in the current Budget Update; however, decisions made by the City
Council relative to issues discussed in the Short-Term Priorities section below would
have impacts on reserves.
Actual
2015-16
Amended
2016-17
Updated
2017-18
Revenue 82,916,416$ 82,047,701$ 83,781,841$
Expenditures (69,048,878)$ (73,149,276)$ (74,965,924)$
Transfers Out (2,409,006)$ (8,780,937)$ (2,440,629)$
Year End Reserves 109,165,026$ 109,282,515$ 115,657,803$
Change to Reserves from Prior Year 117,489$ 6,375,288$
Capital Improvement Program (CIP)
The proposed Five-Year CIP project list is provided as Attachment 3. No new projects
have been included with the Budget Update; however, projects added or amended
during the current fiscal year have been reflected in the new document. The following is
a summary of the major changes:
General Improvements
Civic Center Police Wing Renovation (PROJECT REMOVED): This project, for
the design and renovation of the Police Services wing of Civic Center, had a
remaining balance of approximately $2.0 million at the end of Fiscal Year 2015 -
16. In Fiscal Year 2016-17 this project was replaced by the Public Safety
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Complex project. The remaining budget has been maintained in a General Fund
reserve for future reallocation.
IT Infrastructure Improvements (NEW IN 16-17): This project was added to the
CIP in Fiscal Year 2016-17, with an approved budget of $650,000 from the IT
Fund.
Cultural Arts Center: This project was moved from the Future Years category in
the CIP into the current five-year time frame. It provides for the design and
renovation of 13,200 square feet on the first floor of Civic Center currently
occupied by Police Services into a Cultural Arts Center. This project would be
funded by the Public Facility Fees Fund and the IT Fund, beginning in Fiscal
Year 2018-19.
Parks
Sean Diamond Park: The budget for this existing project was increased
$659,714 in March 2017 to award the construction contract, and planned
construction was moved up one year. The CIP now reflects the total updated
budget of $2,782,875, funded by the Public Facility Fees Fund, and the amended
timeline.
Streets
Amador Valley Blvd Improvements – Wildwood Rd: This project was added to
the CIP in Fiscal Year 2016-17 with a budget of $170,680, funded by Measure B
Funds. With improvements substantially complete at the Wildwood intersection,
the updated CIP proposes an additional $91,030 in Measure B funding for similar
improvements to be made at the Stagecoach intersection.
Citywide Signal Communications Upgrades: The existing CIP includes $40,840
annually, funded primarily by Vehicle Registration Fee funds, to provide for the
continued upgrades of the traffic signal communications system. The updated
CIP increases annual funding by $49,280 to provide for the ongoing monitoring of
coordinated corridors, the maintenance of newly installed bicycle detection
equipment and cameras, and consulting services to assist with the maintenance
of and upgrades to the system. The increase would be funded with Measure B
funds and would bring the total project budget to $90,120 per year.
Dublin Blvd Extension: The updated CIP reflects an additional $250,000 in this
project, approved by the City Council in November 2016, to complete an
Environmental Impact Review for the project. Preliminary design of the project
started in Fiscal Year 2015-2016. The project is not fully funded; however, City
has submitted a project application for inclusion to the Alameda Countywide
Transportation Plan (ACTP). Staff anticipates the project will be added to the
ACTP capital program for future discretionary Measure BB funding. The total cost
of this project is approximately $79.6 million and is anticipated to be divided
among the City of Dublin and the City of Livermore on the basis of street length
in each jurisdiction.
.
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Annual Street Resurfacing: This project comprising citywide slurry seal and
overlay projects is now being reflected as an annual project, rather than as a
year-by-year add to the CIP. The annual cost is essentially unchanged.
The General Fund contribution to capital projects remains largely unchanged from the
prior budget forecast, with $1,475,072 for the Heritage Cemetery renovation design and
construction, and $108,000 for citywide bicycle and pedestrian improvements.
Short-Term Priorities and Factors
The Fiscal Years 2016-17 and 2017-18 Adopted Budget document included a
discussion of short-term goals and considerations that impact the City’s ability to
continue to provide service in the future. These are listed below, with a description of
Staff’s progress in these areas, and recommendations for further consideration in the
second year of the current budget cycle.
1. Use the anticipated surplus in the current year and in the Adopted Budget
cycle to prepare for a potential forecast deficit
The City has experienced General Fund surpluses over the last several years due to
increases in property tax, sales tax, and development revenues. However, as shown in
the 10-Year Forecast presented to the City Council in December 2016 , increases in
ongoing operational expenditures will eventually outpace revenue growth as
development declines and City services expand. With this in mind, departmental budget
proposals continued to be scrutinized during the Budget Update preparation for their
sustainability over time. In addition, Staff is evaluating the use of operating surpluses to
pay down current and future obligations and to shore up reserves for future liabilities.
The following are considerations for the upcoming budget discussion:
Recommendations for Fiscal Year 2017-18:
A. Reserve for Chevron Energy Lease Payoff
In September 2012, the City entered into a capital leas e for solar energy
improvements totaling $6,755,824. At an interest rate of 2.56% and with a 14 -year
maturity, the City’s interest payments will total $1,346,035 at the final payment in
Fiscal Year 2025-26. The City has the option to pay off the lease bala nce as early as
Fiscal Year 2018-19, at an outstanding principal balance of $4,064,515, plus a
prepayment penalty of $81,290. IF the City paid off the lease balance (and
prepayment penalty) in Fiscal Year 2018 -19, the result would be a savings of
$410,747 in interest payments (including the penalty), and would restore
approximately $565,000 per year in the General Fund cash flow for the term of the
lease.
Staff proposes to set up a reserve in the amount of $5,238,622 , at the end of the
current fiscal year, to be used to make the debt service payments for Fiscal Years
2017-18 and 2018-19, and with the intention of paying off the balance thereafter, as
shown below:
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Initial Reserve 5,238,622$
2017-18 Payment (581,881)$
2018-19 Payment (510,936)$
Payoff Principal (4,064,515)$
Prepayment Penalty (81,290)$
Balance -$
B. Consider Public Agency Retirement Services’ (PARS) Pension Rate
Stabilization Plan (Section 115 Trust) to supplement the City’s CalPERS
Trust
The City of Dublin’s pension trust (held by the California Public Employees
Retirement System, CalPERS) is funded by contributions from both employees
and the City, and by investment earnings on those f unds. One of the most critical
and volatile factors used in setting agency contribution rates is the rate that
CalPERS expects to earn over the long term on its investments (the discount
rate) which, until recently, had been set for a number of years at 7.5%.
CalPERS’ actual average rate of return has been significantly lower, at 5.08%
over the last ten years, and 6.88% over the last three years. In response, and in
recognition of a long-term low interest environment, the CalPERS Board voted in
December 2016 to lower the discount rate to 7.0% over three years. This
reduction will bring CalPERS earnings expectation to its lowest in modern
history, and will result in dramatically higher employer contribution rates. For the
City of Dublin, the change will increase pension payments by an estimated
$525,000 annually, by Fiscal Year 2022-23.
Because Dublin has historically budgeted conservatively for pension and retiree
health increases, the change will have minimal effect to the budget in the short
term. Staff had already included $515,000 in the Fiscal Year 2017-18 Budget
Forecast, and annually adjusted in the 10 -Year Forecast, for additional pension
funding. However, the CalPERS decision is a clear indicator of the new economic
environment and raises questions as to whether the discount rate will ultimately
be lowered again, or another decision taken that negatively impacts contribution
rates.
A recent decision by the IRS allows for public agencies to create a separate trust
to pre-fund its PERS unfunded liability. PARS, the City’s current provider of
retirement benefits for part-time employees, now offers such an opportunity
through its Pension Rate Stabilization Plan (PRSP). Essentially, the plan
provides agencies with an alternative to sending funds to CalPERS that will
provide for greater local control over assets, and portfolio management by a
registered investment advisor selected and monitored by the City, with
contributions transferred to CalPERS at the discretion of the agency to offset
fluctuations in the required annual contributions. Furthermore, PARS is posting
higher returns than CalPERS.
Utilizing the PRSP would not change the City’s obligation to make contributions
to PERS, nor would it remove or replace PERS as the City’s retirement benefit
provider. It would simply act as another investment tool to supplement annual
contributions, should the City experience budgetary constraints. There is no cost
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associated with setting up the PRSP fund, and funding timing and levels would
be controlled by the City. Should the City Council wish to pursue the PRSP, Staff
would bring back this item at a future meeting for consideration before the end of
the current Fiscal Year, so that any related funding decisions can be incorporated
into the reserves designation discussion in June 2017.
2. Continue work on the action items that support the fiscal sustainability
initiative
In March 2015 the City Council identified long-term fiscal sustainability as the City’s key
strategic initiative and directed Staff to ensure that fiscal sustainability becomes a major
factor in future decisions, including future budget proposals. Staff presented a list of
specific focus areas within this initiative, and began work on many of them in Fiscal
Year 2015-16. In addition, in November 2016 the City Council approved the formation of
the City’s first Fiscal Sustainability Task Force with the goals of: a) Educating the public
and fostering discussion on the City of Dublin's current and projected financial status;
and b) Producing an advisory document with future budget options for the City Council
to consider. In December 2016, the City Council appointed seven members and four
alternates to the Task Force, and as of the production of this report, the group has held
three meetings and is on track to present recommendations to the City Council in
January 2018.
Below is the list of the action items presented to the City Council in March 2015, with a
status update and noted goals for the Fiscal Year 2017-18 Budget period.
Focus Areas
Development of a Preventative Maintenance Plan: Staff is on track to complete
this plan within the current two-year budget cycle.
Reinvestment in Existing Facilities/Infrastructure: Work on the Shannon Center
Parking Lot Resurfacing Project will begin in August 2017 and will be completed
in Fiscal Year 2017-18. Bids for the master plan of the Dublin Sports Grounds
renovation project were released in March 2017.
Evaluate Cost Recovery and Pricing Policy for Services/Maintenance : The City
has entered into contract with a consultant for a comprehensive Cost Allocation
Plan and User Fee Study. The project is expected to be completed in October
2017, with new fees going into effect in 2018. Updates to the Parks and
Community Services Pricing Policy were included with the Master Fee Schedule
approved by the City Council in June 2016.
Develop Performance Measures/Metrics: This effort is to understand the “return
on investment” (ROI) of all City services and to use that data more effectively to
inform policy decisions. Staff is currently evaluating performance measurement
and data tools in the marketplace with the goal of having these tools in place
during the current budget cycle.
Reevaluate Internal Service Funds and Fund Balance Priorities : In June 2016
the City Council approved the creation of an Information Technology Fund with
an initial General Fund contribution of $2 million towards IT Master Plan
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initiatives. Finance Staff are now reviewing citywide needs related to equipment
and building replacement.
Assess the City’s Unfunded Liabilities (Retirement Benefits): In Fiscal Year
2015-16, the City Council took steps to control spending on retiree medical costs,
approved changes to increase employee contributions to retirement and
contributed a lump sum payment of $250,000 towards pension and retiree health.
In Fiscal Year 2016-17, the City Council approved additional contributions
towards the unfunded liabilities: $8.2 million towards Fire retiree health, and $1.0
million towards City pension obligations. Because of CalPERS decision to lower
the discount rate, the Fiscal Year 2017-18 Preliminary Budget includes a total of
$1.0 million to shore up reserves against future rates increases.
Discuss Strategies for New/Increased Revenue Streams: In Fiscal Year 2016-17
the City reviewed the feasibility of brining a sales tax measure to voters in the
November 2016 election, to enable residents to determine the level of service
they wish to maintain in the community. Staff will continue to monitor this o ption
for future elections. In addition, Staff anticipates that the Fiscal Sustainability
Task Force will evaluate increases to revenues in focus areas such as charges
for services, parks and recreation fees, and permitting charges.
3. Continue current high standard of maintenance in City parks and facilities
The Fiscal Year 2017-18 Budget Update contains cost estimates set last year by the
City’s maintenance services provider, MCE, which incorporate new parks and facilities,
and includes adjustments to our service levels of maintenance citywide. The updated
numbers have not changed.
Additionally, Staff is currently reviewing the first phase of a Preventative Maintenance
Plan to understand the true cost of ownership of our assets. The Fiscal Year 2016 -17
Budget set aside $300,000 in the first year and $750,000 in the second year to cover
any impacts the study results may have. These costs ramp up in the forecast to
$1,000,000 annually by Fiscal Year 2018 -19. There are no planned changes to this
reflected in the Budget Update.
4. Initiate and/or complete key capital improvement projects
The Adopted 2016-2021 CIP Budget includes several large-scale projects that will be
significant to the community, and will impact the City’s ongoing maintenance and
replacement budgets. These are projects expand the City’s capacity to serve a growing
population, and it is important for the City to utilize a surplus budget position to make
these kinds of long-term investments in the community. Below is a brief description and
status of these projects. Any changes proposed with the Preliminary Budget are noted.
The Wave (Emerald Glen Recreation and Aquatics Complex)
Project budget: $43.8 million, funded by Public Facility Fees and $3 million from
the General Fund.
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Status: On track to open in the spring of 2017. Current estimates set the General
Fund operating subsidy of this facility at $953,330, which is in line with prior
estimates.
Public Safety Complex
Project budget: $15 million, funded by a Community Benefit Payme nt, with a
portion potentially eligible for coverage by Public Facility Fees.
Status: Project bids are currently being reviewed by Staff.
Fallon Sports Park Phase II
Project budget: $17.8 million, funded by $15.8 million from Public Facility Fees
and a $2.0 million General Fund contribution.
Status: Construction is expected to be completed in Fiscal Year 2017 -18.
Dublin Crossing Community Park
Project Budget: $21.6 million, funded by the developer ($12.8 m illion) and Public
Facility Fees ($6.3 million). The remaining $2.5 million has no funding source
currently identified.
Status: The City approved the conceptual plan for the project in the current fiscal
year. Phases I and II are currently planned to be completed within the Five -Year
CIP timeframe, with construction of Phase III planned for future years.
Jordan Ranch Neighborhood Park (4.9 acres)
Project Budget: $2.3 million, funded Public Facility Fees ($0.7 million) and built
by the Developer ($1.6 million). The land for the park was dedicated and
improved by the developer in exchange for credit against Public Facility Fees, up
to $365,000.
Status: Under construction, with expected delivery date of spring 2017.
Sean Diamond Park
Project Budget: $2.8 million, as discussed in the CIP section above; funded by
Public Facility Fees Funds.
Status: Scheduled to be completed in Fiscal Year 2017 -18.
Dougherty Road Widening and Improvements Project
Project budget: $22.9 million, funded with Measure B and BB grant funds and
various Traffic Impact Fees.
Status: Construction is underway, and expected to be completed in the fall of
2017. Adverse weather conditions may delay the completion date.
Dublin Boulevard Improvements Project
Project budget: $6.9 million, funded by $3 million in Measur e BB grant funds,
other Mitigation and Traffic Impact Fee funds, and Rule 20A monies.
Status: Phase one of the project, the undergrounding of the utilities, is anticipated
to start in spring 2017.
Next Steps
The Fiscal Year 2017-18 Budget Update will be presented for adoption at the Budget
Hearing scheduled for the May 16, 2017 City Council meeting . Staff will update the 10-
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Year Forecast with information through March, and present the results as part of the
budget adoption. Reserve designations are made at a separate meeting before the
close of the current Fiscal Year. Given the information presented in this report, Staff
would like direction on the following:
1. Is there any other information or detail about the Budget Update that the City
Council would like presented during the Budget Hearing?
2. Are there items the City Council would like removed from and/or included in the
operating budget and/or CIP budget numbers for consideration during the Budget
Hearing?
3. Does the City Council wish to pursue the reserve for the Chevron energy lease,
with the intention of paying off the debt early?
4. Does the City Council wish to discuss the PARS Pension Rate Stabilization Plan
at a future meeting?
NOTICING REQUIREMENTS/PUBLIC OUTREACH:
None.
ATTACHMENTS:
1. General Fund Summary, FY 2017-18 Budget Update
2. General Fund Reserves, FY 2017-18
3. 2016-2017 Capital Improvement Program
GENERAL FUND SUMMARY
FY 2017-18 BUDGET UPDATE - PRELIMINARY
Actual
2015-16
Adopted
2016-17
Amended
2016-17
Forecast
2017-18
Update
2017-18
Change
From
Forecast
Change
%
Revenues
Property Taxes 33,598,601 35,182,061 36,087,937 36,969,357 37,971,147 1,001,790 2.7%
Sales Taxes (1)20,938,826 20,666,260 20,666,260 21,111,118 20,996,940 (114,178) -0.5%
Development Revenue 10,562,963 8,568,899 10,978,502 7,697,743 9,798,859 2,101,116 27.3%
Other Taxes 6,606,016 5,465,000 5,865,000 5,547,000 5,947,000 400,000 7.2%
Licenses & Permits 310,286 292,140 292,140 295,496 309,096 13,600 4.6%
Fines & Penalties 116,016 109,932 109,932 109,932 111,432 1,500 1.4%
Interest (2)2,937,978 465,880 840,880 465,880 876,000 410,120 88.0%
Rentals and Leases 1,114,747 1,033,488 1,033,488 1,141,916 1,081,672 (60,244) -5.3%
Intergovernmental 324,075 198,618 198,618 198,618 198,618 - 0.0%
Charges for Services 5,396,964 4,838,466 4,905,866 5,745,562 6,231,842 486,280 8.5%
Community Benefit Payments 424,000 100,000 550,000 - - -
Other Revenue 585,944 256,344 519,078 256,344 259,235 2,891 1.1%
Total Revenues 82,916,416 77,177,088 82,047,701 79,538,966 83,781,841 4,242,875 5.3%
Expenditures
Salaries & Wages 9,437,426 11,100,241 10,502,206 11,990,533 12,434,084 443,551 3.7%
Benefits 4,172,485 5,707,982 5,692,982 5,992,648 6,289,213 296,565 4.9%
Services & Supplies 1,875,458 2,946,394 2,913,392 3,013,709 3,262,530 248,821 8.3%
Internal Service Fund Charges 2,637,354 3,065,342 3,040,284 2,988,764 3,051,124 62,360 2.1%
Utilities 1,723,204 2,248,261 2,243,857 2,657,341 2,830,310 172,969 6.5%
Total Contracted Services *39,869,473 43,297,583 45,385,822 45,208,233 45,929,352 721,120 1.6%
Capital Outlay 133,477 719,801 800,598 293,152 419,112 125,960 43.0%
Contingeny - 989,112 957,477 1,000,203 750,199 (250,004) -25.0%
Contribution to OPEB/PERS 9,200,000 -
Subtotal Expenditures 69,048,878 70,074,716 71,536,618 73,144,582 74,965,924 1,821,342 2.5%
Prior Year Carryovers 1,612,658
Total Expenditures 69,048,878 70,074,716 73,149,276 73,144,582 74,965,924 1,821,342 2.5%
Operating Impact 13,867,538 7,102,372 8,898,426 6,394,384 8,815,917 2,421,533 37.9%
Transfers Out (2,409,006) (759,510) (8,780,937) (2,317,520) (2,440,629)
Impact on Total Reserves 11,458,531 6,342,862 117,489 4,076,864 6,375,288
TOTAL RESERVES 109,165,026 109,282,515 115,657,803
1) FY 2015-16 Sales Tax included a final triple flip payment
2) FY 2015-16 Interest Revenue included $1.9 million in unrealized gains
* Contracted Services Detail
Actual
2015-16
Adopted
2016-17
Amended
2016-17
Forecast
2017-18
Update
2017-18
Change
From
Forecast
Change
%
Police Services 15,868,735 17,055,970 17,170,881 18,026,019 18,194,693 168,674 0.9%
Fire Services 11,063,248 11,982,959 11,982,959 12,358,802 12,426,576 67,774 0.5%
Maintenance Services (MCE)3,997,800 4,296,214 4,296,214 4,829,512 4,829,512 - 0.0%
Community Development 2,516,339 2,431,193 3,386,627 2,326,813 2,742,971 416,158 17.9%
Public Works 2,181,918 2,615,945 2,639,682 2,791,639 2,771,161 (20,478) -0.7%
Parks & Community Services 2,087,606 2,107,531 2,571,602 2,246,167 2,107,214 (138,954) -6.2%
Economic Development 37,511 234,697 512,540 157,709 157,709 - 0.0%
City Attorney 876,229 800,746 800,746 800,746 896,180 95,434 11.9%
Administrative Departments 1,240,087 1,772,328 2,024,571 1,670,825 1,803,336 132,511 7.9%
Total Contracted Services 39,869,473 43,297,583 45,385,822 45,208,233 45,929,352 721,120 1.6%
ATTACHMENT 1
GENERAL FUND RESERVES ATTACHMENT 2
FY 2017-18 BUDGET UPDATE
Reserve Balances
Projected
2016-17
Increase
2016-17
Decrease
2016-17
NET
CHANGE
Update
2017-18
Non-Spendable 247,761 - (160,681) (160,681) 87,080
Prepaid Expenses 27,080 - 27,080
Cemetery Endowment 60,000 - 60,000
Advance to Public Facility Fees - - -
Advance to Fire Impact Fee 0 - 0
Advance to PERS Side Fund 160,681 (160,681) (160,681) (0)
Restricted 579,000 - - - 579,000
Heritage Park Maintenance 500,000 - 500,000
Developer Contr - Nature Pk 60,000 - 60,000
Developer Contr - Heritage Pk 19,000 - 19,000
Committed 31,494,194 - - - 31,494,194
Economic Stability 8,000,000 - 8,000,000
Downtown Public Impr 461,929 - 461,929
Economic Development 1,000,000 - 1,000,000
Emergency Communications 741,000 - 741,000
Fire Svcs OPEB 3,084,672 - 3,084,672
Innovations & New Opport 1,722,785 - 1,722,785
One-Time Initiative 1,341,408 - 1,341,408
Specific Committed Reserves -
Emerald Glen Aquatic Complex - - -
Maintenance Facility - - -
Cemetery Expansion 5,272,210 - 5,272,210
Fallon Sports Park 200,000 - 200,000
Civic Ctr Expansion - - -
Storm Drain Capture - - -
Shannon Center Parking Lot - - -
Utility Undergrounding 1,170,190 - 1,170,190
Advance to Public Facility Fee 6,000,000 - 6,000,000
Dublin Sports Ground 2,500,000 - 2,500,000
Assigned 36,213,208 515,000 - 515,000 36,728,208
Accrued Leave 988,708 - 988,708
Operating Carryovers - - -
CIP Carryovers - - -
Non-Streets CIP Commitments 3,879,516 - 3,879,516
Catastrophic Loss 11,368,531 - 11,368,531
Service Continuity 3,000,000 - 3,000,000
Pension & OPEB 10,614,353 515,000 515,000 11,129,353
Fiscally Responsible Adj 325,000 - 325,000
Municipal Regional Permit 2,225,000 - 2,225,000
HVAC Replacement 1,000,000 - 1,000,000
Relocate Parks Dept 250,000 - 250,000
Specific Assigned Reserves -
Civic Ctr Renovation-Police 1,962,100 - 1,962,100
Contribution to ISF - - -
Fire Equipment Replacement 600,000 - 600,000
Unassigned 40,748,352 160,681 5,860,288 6,020,970 46,769,323
Unassigned-Unrealized Gains (2,197,354) - (2,197,354)
Unassigned (Available)42,945,706 48,966,676
TOTAL RESERVES 109,282,515 675,681 5,699,607 6,375,289 115,657,803
Project Description PRIOR YEARS 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021
ESTIMATE
FUTURE YEARS TOTALS
Annual ADA Transition Plan 23,833 23,833
Civic Center Modification Design and Construction 3,650,735 627,556 4,278,291
Cultural Arts Center 335,796 5,264,204 5,600,000
IT Infrastructure Improvement 650,000 650,000
Maintenance Yard Facility Improvements 9,765,631 215,102 9,980,733
Public Safety Complex - Police Services Building 519,527 14,480,473 15,000,000
TOTAL COSTS 13,935,893 15,996,963 335,796 5,264,204 35,532,857
FINANCING PRIOR YEARS 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021
ESTIMATE
FUTURE YEARS TOTALS
Cable TV Facilities 13,217 599,783 613,000
Dublin Crossing Development Fee 519,527 14,480,473 15,000,000
General Fund 8,484,432 266,708 8,751,140
Internal Service Fund - Facilities Replacement 3,082,856 3,082,856
IT Fund 650,000 600,000 1,250,000
Public Facilities Fee 1,835,861 335,796 4,664,204 6,835,861
TOTAL FINANCING 13,935,893 15,996,963 335,796 5,264,204 35,532,857
2016-2021 CAPITAL IMPROVEMENT PROGRAM - GENERAL IMPROVEMENTS
Project Description PRIOR YEARS 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021
ESTIMATE
FUTURE YEARS TOTALS
Annual Sidewalk Safety Repair Program 708 104,217 104,925
San Ramon Road Landscape Renovation 405 238,660 239,065
TOTAL COSTS 1,113 342,877 343,990
FINANCING PRIOR YEARS 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021
ESTIMATE
FUTURE YEARS TOTALS
General Fund 1,113 342,877 343,990
TOTAL FINANCING 1,113 342,877 343,990
2016-2021 CAPITAL IMPROVEMENT PROGRAM - COMMUNITY IMPROVEMENTS
Project Description PRIOR YEARS 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021
ESTIMATE
FUTURE YEARS TOTALS
Clover Park & Sunrise Park 1,781,358 1,781,358
Dublin Crossing Community Park 139,845 1,420,889 6,126,806 998,198 6,101,606 654,260 6,099,646 21,541,250
Dublin Heritage Park Cemetery Improvements 6,928 1,475,072 1,482,000
Dublin Sports Grounds Renovation 332,495 498,605 831,100
Emerald Glen Recreation & Aquatic Complex - Phase I 26,524,866 17,306,079 43,830,945
Fallon Sports Park - Phase II 2,688,607 15,090,270 17,778,877
Jordan Ranch Neighborhood Park 559,679 1,739,233 2,298,912
Library Improvement - Center for 21st Century Skills 37,208 239,750 276,958
Moller Ranch Neighborhood Square 510,440 510,440
Public Art - Clover Park & Sunrise Park 35,600 35,600
Public Art - Dublin Crossing Community Park 176,446 250,993 325,310 752,749
Public Art - Emerald Glen Recreation and Aquatics Complex 127,944 249,990 5,035 382,969
Public Art - Fallon Sports Park 100,011 179,923 279,934
Public Art - Jordan Ranch Neighborhood Park 46,980 46,980
Public Art - Moller Ranch Neighborhood Square 10,000 10,000
Public Art - Public Safety Complex - Police Services Building 300,000 300,000
Public Art - Sean Diamond Park 48,000 48,000
Sean Diamond Park 155,655 2,782,875 2,938,530
Shannon Center Parking Lot Improvements 87,590 987,410 1,075,000
Shannon Park Water Play Area 693,951 693,951
Wallis Ranch Community Park 6,358,155 6,358,155
TOTAL COSTS 31,454,779 42,788,428 8,473,326 1,323,508 6,101,606 7,012,415 6,099,646 103,253,708
FINANCING PRIOR YEARS 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021
ESTIMATE
FUTURE YEARS TOTALS
Community Benefit Payment (GF)1,800,000 1,800,000
Developer Built 3,398,415 3,662,841 712,824 3,522,490 640,376 3,594,938 15,531,884
Dublin Crossing Development Fee 99,290 1,008,823 1,108,113
General Fund 94,518 4,086,905 1,475,072 5,656,495
Housing-Related Parks Grant Fund 332,495 498,605 831,100
Measure D 80,000 80,000
Public Art Fund 227,955 941,959 361,008 325,310 1,856,232
Public Facilities Fee 30,700,521 30,973,721 2,974,405 285,374 2,579,116 6,372,039 73,885,176
Unidentified 2,504,708 2,504,708
TOTAL FINANCING 31,454,779 42,788,428 8,473,326 1,323,508 6,101,606 7,012,415 6,099,646 103,253,708
2016-2021 CAPITAL IMPROVEMENT PROGRAM - PARKS
Project Description PRIOR YEARS 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021
ESTIMATE
FUTURE YEARS TOTALS
Amador Plaza Road Bicycle and Pedestrian Improvements 341,255 1,072,393 1,413,648
Amador Valley Blvd - Wildwood Road and Stagecoach Intersections Improvements 170,680 91,030 261,710
Annual Street Overlay Program 111,259 2,229,030 2,340,289
Annual Street Resurfacing 1,700,000 1,697,100 1,697,100 1,697,100 1,697,100 8,488,400
City Irrigation Improvements 121,974 80,080 202,054
Citywide Bicycle and Pedestrian Improvements 609,600 620,380 425,380 407,580 407,580 2,470,520
Citywide Signal Communications Upgrade 501,185 70,339 90,120 90,120 90,120 90,120 932,004
Citywide Street Storm Drain Condition Assessment 492,462 502,947 995,409
Dougherty Road Improvements Sierra Lane to North City Limit 3,873,196 18,943,479 89,836 22,906,511
Dublin Boulevard Extension 650,000 396,450 653,450 1,003,350 1,003,450 59,834,000 63,540,700
Dublin Boulevard Improvements - Sierra Court to Dublin Court 483,473 2,439,007 4,013,554 6,936,034
Dublin Ranch Street Light Improvements 351,450 37,480 37,480 37,480 37,480 501,370
Dublin Ranch Street Light Pole Painting Project 23,251 12,634 35,885
Saint Patrick Way - Regional Street to Golden Gate Drive 848,939 4,303 853,241
San Ramon Road Arterial Management 267,480 267,480
San Ramon Road Trail Improvements 71,858 101,603 173,461
Storm Drain Bypass San Ramon Road 1,015,035 197,471 1,212,506
Storm Drain Trash Capture Project 69,872 546,877 616,749
Tassajara Road Realignment & Widening 4,389 315,611 200,760 401,080 2,448,380 8,263,380 32,015,000 43,648,600
Traffic Sign Inventory and Safety Review 35,931 97,992 133,923
Village Parkway and Brighton Traffic Signal Upgrade 14,571 181,909 196,480
TOTAL COSTS 8,008,649 30,544,885 7,236,710 3,304,610 5,684,010 11,499,110 91,849,000 158,126,974
2016-2021 CAPITAL IMPROVEMENT PROGRAM - STREETS
2016-2021 CAPITAL IMPROVEMENT PROGRAM - STREETS
FINANCING PRIOR YEARS 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021
ESTIMATE
FUTURE YEARS TOTALS
Eastern Dublin Traffic Impact Fee - Category 1 4,389 642,611 497,210 854,530 2,005,730 1,306,830 5,311,300
Eastern Dublin Traffic Impact Fee - Category 2 1,648,316 1,103,390 2,751,706
Energy Efficient Capital Lease 121,974 80,080 202,054
General Fund 634,192 1,984,447 108,000 108,000 108,000 108,000 3,050,639
Internal Service Fund - Equipment 89,474 5,426 94,900
Local Recycling Programs 86,000 86,000
Measure B Grants 410,440 5,856,560 6,267,000
Measure B Sales Tax - Bike & Pedestrian Fund (ACTC)292,940 285,630 19,600 598,170
Measure B Sales Tax - Local Streets Fund (ACTC)111,259 991,298 485,000 810,000 810,000 810,000 4,017,556
Measure BB Grants 11,400,000 3,100,000 200,000 1,446,000 7,960,000 24,106,000
Measure BB Sales Tax - Bike & Pedestrian Fund (ACTC)228,000 117,780 17,780 19,580 19,580 402,720
Measure BB Sales Tax - Local Streets Fund (ACTC)853,600 545,000 200,000 200,000 200,000 1,998,600
Mitigation Contributions 1,963,349 221,780 2,185,129
Noise Mitigation Fund 90,000 90,000
Other 1,000,000 1,000,000
State Gas Tax 2,284,219 917,100 917,100 917,100 917,100 5,952,619
Storm Water Management 1,015,035 44,964 1,059,999
Street Light District East Dublin 1999-1 23,251 364,084 37,480 37,480 37,480 37,480 537,255
Traffic Impact Fee - Category 3 1,159,000 1,159,000
Traffic Impact Fee - Dougherty Valley 1,644,081 1,366,648 3,010,729
Traffic Impact Fee - Downtown 369,992 612,746 100,000 100,000 100,000 1,282,738
Traffic Safety 35,931 97,992 133,923
Transportation for Clean Air 14,571 192,914 207,485
Unidentified 91,849,000 91,849,000
Vehicle Registration Fee (ACTC)411,711 200,260 40,120 40,120 40,120 40,120 772,451
TOTAL FINANCING 8,008,649 30,544,885 7,236,710 3,304,610 5,684,010 11,499,110 91,849,000 158,126,974