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HomeMy Public PortalAbout12)10A Fourth Quarter Preliminary Financial Update ADMINISTRATIVE SERVICES DEPARTMENT MEMORANDUM DATE: September 15, 2020 TO: The Honorable City Council FROM: Bryan Cook, City Manager Via: Susan Paragas, Administrative Services Director By: Lee Ma, Accountant SUBJECT: FISCAL YEAR (FY) 2019-20 FOURTH QUARTER PRELIMINARY BUDGET REVIEW, TREASURER’S REPORT, REVENUE, EXPENDITURE AND CAPITAL PROJECT SUMMARY REPORTS AND BUDGET AMENDMENTS RECOMMENDATION: The City Council is requested to: 1. Receive the Fiscal Year 2019-20 (FY19-20) Fourth Quarter Budget Review and related reports; and 2. Approve and Authorize staff to revise revenue estimates as indicated in Attachment “A”. BACKGROUND: 1. On June 18, 2019, the City Council approved the FY19-20 budget for all funding sources in the amount of $25,800,010 (excludes transfers out). 2. On June 18, 2019, the City Council adopted Resolution No. 19 -5405 adopting the FY 2020 Statement of Investment Policy. 3. On June 18, 2019, the City Council also adopted Resolution No. 19-5404, to include and reappropriate any funds for all previous approved projects that have not been initiated or completed (Section 3). The Primrose Park and Parking Lo t Project was not completed in FY 2018-19 (FY18-19), therefore, a reappropriation in the amount of $113,890 from the General Fund (GF) was made in FY19-20. 4. On July 16, 2019, the City Council approved an additional $20,000 for professional services with R3 Consulting Group from the GF. City Council September 15, 2020 Page 2 of 9 5. On August 6, 2019, the City Council approved $26,400 from the GF for necessary building improvements associated with the Temple City Chamber of Commerce relocation to the City’s Council Chambers building on Kauffman Avenue. 6. On August 20, 2019, the City Council approved $10,000 from the GF for the Coyote Management Implementation Plan with the San Gabriel Council of Governments. 7. On November 19, 2019, the City Council appropriated an additional $8,000 from the Parks Acquisition Fund for the Temple City Park Performance Arts Pavilion roofing project. The City Council also authorized the use of $122,500 of the Lighting and Landscape District Fund and $52,500 of the GF for the purchase of a replacement wheel loader. 8. On December 3, 2019, the City Council approved $6,370 from the GF for adopting salary ranges for unrepresented part-time classifications implementing the minimum wage effective on January 1, 2020. 9. On January 7, 2020, the City Council adopted Resolution No. 20 -5444 approving the Memorandum of Understanding (MOU) between the City of Temple City and the Temple City Employees Association and appropriated $55,100 from the GF Reserve and $3,050 from the Lighting and Landscape District Fund Reserves to implement the provisions of the MOU. 10. On January 21, 2020, the City Council adopted Resolution No. 20 -5446 for nine full- time non-represented classifications approving the salary ranges and benefits, and appropriated $21,600 from the GF Reserves to fund the adjustments. 11. On March 17, 2020, the City Council approved several budget adjustments to the FY19-20 Mid-Year Revenue and Expenditure adjustments. 12. On March 17, 2020, the City Council also approved the Memorandum of Agreement in the amount of $14,855 funding from the Measure R, instead of $20,000 funding from the GF, with the San Gabriel Valley Council of Governments to prepare review projects under California Environmental Quality Act for the Senate Bill 743 Compliance. 13. On May 19, 2020 City Council approved City’s Proposition A fund exchange with Foothill Transit which resulted in a $562,500 cash flow to the GF and also approved Budget amendments for the FY19-20 third quarter financial review. 14. On June 29, 2020, the California State budget was signed by the governor that allocated the $500 million federal Coronavirus Aid, Relief and Economic Security (CARES) Act to cities of which $446,350 was the City’s total allocation. These funds may be used to cover costs necessary to mitigate the Coronavirus Disease 2019 (COVID-19) pandemic for expenses incurred during the period beginning on March 1, 2020 to December 30, 2020. City Council September 15, 2020 Page 3 of 9 ANALYSIS: The FY19-20 Fourth Quarter Budget review process provides the City Council with an opportunity to review and adjust original revenue projections and budgeted appropriations based on 12 months of actual activity. Adjustments can result from changes in revenue projections based on actual revenue received from July 1, 2019 through June 30, 2020, as well as unanticipated expenditures due to information that was not previously available. 1. FY19-20 GENERAL FUND REVENUES After a careful and thorough review of the FY19-20 GF revenues, staff is making recommendations for revisions to some estimates, as outlined in Attachment “A”. There are more amendment recommendations than usual. One of which is the revenue budget amendment reductions due to COVID-19 pandemic restricting the operations and services of the businesses in the City, including its own City Hall and Live Oak Park services, as ordered by the County of Los Angeles Department of Public Health (County). There are also requests to increase certain revenue budgets because of unanticipated additional collections and remittances that were not affected by the pandemic. (Please see Attachment “B”.) A review of the City’s major revenue sources is provided:  Property Tax: Property taxes continue to be one of the City's strongest revenue sources. A budget amendment increase of $161,790 is included in Attachment “A” as actual revenues received is higher than budgeted. Unaudited receipts are estimated at $3.67 million in FY19-20 as compared to $3.50 million in FY18-19. The primary cause of the $170,000 (+5.0%) increase is due to the growth in the assessed valuation of properties in the City. Currently, it is unknown if property values will be affected by the pandemic in the next couple of years. If owners become unemployed, we may see some assessed valuation decreases which will affect the Property Tax revenues.  Sales Tax: Sales tax received is $60,400 below the estimated budget. Thus, a request to reduce the budget is included in Attachment “A”. The total unaudited receipts are $1.92 million which is a decrease of $351,000 from the FY18-19 receipts (-15.5%). This is a revenue that was heavily affected by the COVID-19 pandemic. The City does not have any information on how much deferred Sales Tax revenues are still owed to the City for FY19-20 and will not be known until the California Department of Tax and Fee Administration releases the data. If there is a balance, then the City’s total sales tax receipts will increase.  Other Taxes: Other tax revenues include franchise fees, transient occupancy tax City Council September 15, 2020 Page 4 of 9 and real estate transfer tax. Franchise fees are fees collected from service providers, who provide utility services to the residents, such as Athens Services, The Gas Company, Southern California Edison and cable television. A 10% transient occupancy tax (TOT) is collected from each guest that rents a room from any hotel located within the City. The tax is remitted directly to the City by the hotel owners on a monthly basis. Real estate transfer tax (RETT) is a tax that is collected when there is a change in ownership of all real properties. The total actual Other Taxes revenues received were $755,150 and over the budgeted revenues by $45,100 as higher remittances were collected from Franchise Fees. However, the total of the Other Taxes in FY19-20 were $37,000 lower than in FY18-19. The FY19-20 RETT were lower by $28,555 than in FY18- 19 which may have been caused by a slowdown in home sales. TOT collected this year is also $15,000 lower than prior year and is attributable to the closure of the lodging businesses during the health restrictions imposed due to COVID-19.  License & Permits: License & permits include building permits, business license fees, animal license fees, parking permit fees, impound fees, temporary parking permits, code enforcement fees and temporary parking permit fees. Based on the 12 months of revenues received in FY19-20, staff is recommending a total reduction of $238,770 which is mainly as the result of the pandemic. The health order stopped various construction and development, thus, lower activities in the City. The most significant revisions due to the reduction in activities are: o Building Permit Fees - A budget reduction of $177,240 is recommended as activities totaled only $622,760 of the $800,000 that was budgeted. The total collected was also $246,300 lower than prior year (-28.3%). o Code Enforcement Fees - Revenues received were $24,000 lower than budgeted and about $12,300 (-21.0%) lower than FY18-19 revenues. o Temporary Parking Permits – Revenues received were $24,800 lower than budgeted and lower by over $57,100 (-28.2%) than collected in FY18-19.  Motor Vehicle in-lieu fee (VLF): VLF was established in 1935 as a uniform statewide tax, the VLF is a tax on the ownership of a registered vehicle in place of taxing vehicles as personal property. By law, all revenues from the VLF fund city and county services, but the state legislature controls the tax rate and the allocation among local governments. In 2004, the Legislature permanently reduced the VLF tax rate and eliminated state genera l fund backfill to cities and counties. Instead, cities and counties now receive additional transfers of property tax revenues in lieu of VLF. A budget amendment increase of $161,300 is requested as revenues received City Council September 15, 2020 Page 5 of 9 were higher than estimated because of higher assessed valuation of properties in the City. Revenues collected are approximately $284,400 higher (+6.1%) than FY18-19 revenues.  Charges for Services: Charges for services are revenues received from recreation fees, facility rental fees, zoning fees and plan check fees. These revenues are reflected when services, classes or events are provided. Based on the current revenues, adjustments are recommended on five of the six fees. The following fees have been significantly affected by the pandemic: Zoning Fees – A budget reduction of $49,680. However, the actual fees collected are $46,000 higher than in FY18-19 (+29.8%). This was mainly because of the implementation to charge fees at full cost recovery. Recreation Fees – A budget reduction of $48,120 is recommended as the adjusted budget approved in May 2020 was still high. The fees received were significantly lower than prior year by $276,500 (-52.3%) as the activities and events were cancelled to follow the County’s health orders and help reduce the COVID-19 transmission. Plan Check Fees – A budget reduction of $81,720 is recommended as the collections did not meet the amount budgeted. However, the FY19-20 actual revenues were slightly higher by $5,600 than in FY18- 19 (+1.2%). Like the Zoning Fees, this increase may be attributable to the full cost recovery adjustment in our fees. As mentioned with other revenues, the activities for these fees were hampered by the current pandemic due to the health restrictions ordered by County.  Court Fines: Court Fines are revenues collected from citations written from both the Los Angeles County Sheriff's Department and authorized City staff . A budget amendment of a $41,060 increase is requested as court fines were underestimated. Though, the FY19-20 revenues were lower by $83,900 than FY18-19 (-13.4%).  Interest on Investments: The City receives interest on various investments on a monthly, quarterly, semiannually, or annual basis depending on the type of investment. Currently the City invests with Local Agency Investment Fund (LAIF); Certificates of Deposit (CD); the Los Angeles County Investment Pool and other various Federal notes and agen cies. Based on current activity, interest income received were $217,100 higher than anticipated due to reserve funds being invested in short-term investment instruments that earned higher rates.. This year’s interest income earned should not be considered as a consistent revenue stream as earnings are dependent on the market and economy. Current interest rates are at an all-time low, LAIF’s interest rate of 0.76% is the City Council September 15, 2020 Page 6 of 9 highest compared to what current CDs and securities are offering. Additionally, the lower rates are evident in that the interest income earned by the City for FY19- 18 is lower by about $43,600 than FY18-19.  Other Revenues: Other revenues include recyclable revenue, rental income, sales of property, donations, and other revenues. There are several budget amendment requests for these type of revenues with the following two being significant: Recyclable Revenue – A full budget reduction of $25,000 is recommended as the recyclables market have completely slowed down, especially sales to China. Other Revenues – A recommendation of increasing the budget by $79,440 is requested. The collections were under budgeted as a couple of revenues totaling $34,200 were received for reimbursement for legal fees and a credit card cash back rebate that had accumulated through a couple of years. It is also recommended that a $260,370 budget for the CARES Act allocation be approved for eligible expenses in FY19-20. Expenditures were made during the period from March 2020 to June 2020 related to the City’s efforts in mitigating the spread of COVID-19. Reimbursements to be applied include supplies and services used as well as the public safety costs provided by the Los Angeles County Sheriff’s Department. However, this request for the CARES Act budget amendment might be canceled as the City is waiting for a clear direction from the Federal Office of Management and Budget (OMB) on the timing of the allocation recognition, in FY 1920 or FY 2021. If OMB states that the allocation should be recognized in FY2021, then the budget amendment for FY1920 will no t be processed. A budget amendment in the FY2021 First Quarter Financial Review will be presented to Council for approval instead. For non-GF revenues, the most significant budget adjustment were reductions for the local return funds that are dependent on sales tax collected. The City’s funds for Proposition A and C, Measure M and R were lower by a total $74,970 (-3.1%) than budgeted as sales tax activities were significantly affected by the pandemic. Gas Tax revenues were also affected, not only due to COVID-19, but also due to the low fuel prices and a total recommended reduction of $111,080 (-12.2%) is requested. 2. FY19-20 GENERAL FUND AND OTHER EXPENDITURES The current FY19-20 City Budget totals $26.0 million in Operating Expenditures, City Council September 15, 2020 Page 7 of 9 Vehicle/Equipment Outlay and Capital Improvement Projects. Please see Attachment “C”. After a careful and thorough review of the FY19-20 GF expenditures, staff is making recommendations for revisions to some estimates, as outlined in Attachment “A”, beginning on page 3. A review of the City’s major expenditures is provided:  Personnel: These are costs related to employee compensation such as salaries and benefits that include health insurance and pension costs. Budget adjustments are recommended for a total reduction of $150,750 in the GF as certain employees’ services were not needed and were mainly because of cancelled Recreation programs and events.  Operations and Maintenance: These are costs related to supplies, maintenance and services required to operate the City. For the GF, budget amendments to lower expenditure totaling $498,870 is recommended as anticipated needs were reduced primarily due to the pandemic. The reduction consists of decreasing the budget for professional/contracted services by $233,000 as the City did not require services due to reduced activities. The primary balance of the remaining budget reduction consists of cost savings from suspended purchases as the City prepared for the anticipated revenue downturn from the consequence of the COVID-19 health order. Savings also occurred because of the cancellations of City events and programs.  Non-General Fund Expenditures: The majority of budgets needing amendments in funds other than the GF were to the Capital Improvement Project (CIP) budgets as most of the projects were not commenced or completed. A total of $3,070,300 in CIP budget reductions is recommended as the bulk of the budgets were rolled over to FY 20-21. 3. CAPITAL IMPROVEMENT PROJECTS (CIP) Currently, for FY19-20, the total City CIP expenditure budget is $5.46 million of which 10.5%, or $573,890 is from the GF. The total expensed to date is $1.2 million of which $107,575 (8.9%) is from the GF. A total adjustment of $3.6 million is recommended as a majority of the projects’ funding are rolled over to FY 20-21 budgets. The following projects were either completed or is a work-in-progress as shown in Attachment “D”: - Las Tunas Drive Resurfacing - Pavement Management Street Resurfacing - Primrose Park and Parking Lot - Rosemead Boulevard Resurfacing - Sidewalks and Curb Ramps ADA Improvements - Temple City Park Pavilion Roofing City Council September 15, 2020 Page 8 of 9 4. FUND BALANCE ANALYSIS (GENERAL FUND) Attachment "E" provides an analysis of the GF Fund Balance. On July 1, 2019, the audited fund balance for the GF is $20.04 million. The analysis indicates the estimated FY19-20 GF surplus of $452,779* and the fund balance on June 30, 2020 increasing to a total of $20.50* million. It is anticipated that the City will have an estimated unassigned Fund Balance of almost $4.52* million. Committed and Assigned Reserves for restricted purposes remain intact at $15.97 million. The estimated surplus was achieved with the one-time revenues from the Proposition A fund exchange, the allocation from the CARES Act * and the cost savings. The FY19-20 net total would have been a deficit of (-$370,091), thus, the fund balance would not have increased. Even though the GF is estimated with a surplus in FY19-20, with the continued COVID-19 pandemic, the City could potentially have the need to access its GF fund balance to make FY20-21 whole. It is unknown at this time how much of the City’s revenues, specifically Sales Tax and Charges for Services, will continue the trend of lower receipts. Moreover, the City cannot depend on one-time revenues and consistent reductions in expenditures to provide long-term operational and financial stability. However, considering that COVID-19 is a once-in-a-generation event, this outcome, based upon Council’s support and financially prudent policies, has put the City in a position of financial strength to continue to weather this event. *As mentioned in Section 1, Other Revenues, should OMB provide instructions to recognize the CARES Act allocation in FY2021, the FY1920 estimated GF surplus will be reduced to $192,409. The total estimated GF fund balance at June 30, 2020 will be $20.24 million with an estimated unassigned reserve of $4.26 million. 5. CITY TREASURER’S REPORT The Treasurer or Chief Fiscal Officer is required to render an annual statement of Investment Policy to the legislative body of the local agency and to render a monthly report containing specific information regarding investment and deposits to the legislative body and the Chief Administrative Officer. The attached Treasurer’s Report (Attachment “F”), which is completed monthly and submitted to the City Council on a monthly and quarterly basis, reflects the total balance of almost $33.5 million as of June 30, 2020. The City’s idle cash and reserves are invested with the Local Agency Investment Fund (LAIF), Mutual Securities, U.S. Bank and Los Angeles County Pool Investment Fund. City Council September 15, 2020 Page 9 of 9 CITY STRATEGIC GOALS: City Council approval of staff’s recommended actions will further the City’s Strategic Goal to promote Good Governance. FISCAL IMPACT: If the City Council approves the above-mentioned FY 19-20 4th quarter budget amendments recommended in Attachment “A”, the City’s budgets will closely reflect its actuals more precisely. ATTACHMENTS: A. Budget Amendments B. Revenue Summary Report C. Expenditure Summary Report D. Capital Project Financial Status Report E. Fund Balance Analysis F. City Treasurer’s Report Current Budget Proposed Revised Account Budget Budget Budget Revenue Description Number Amount Adjustment Amount Explanation General Fund: AB 939 Reimbursement 01-870-38-3807 15,000$ (7,890)$ 7,110$ Lower allocation Building Permit Fees 01-820-33-3303 800,000 (177,240)622,760 Lower collections than anticipated Business License Fees 01-820-33-3301 200,000 (14,620)185,380 Lower collections than anticipated Code Enforcement Fees 01-820-33-3313 70,000 (23,960)46,040 Lower collections than anticipated Court Fines 01-850-36-3601 500,000 41,060 541,060 Higher collections than anticipated Donations 01-870-38-3816 12,000 (12,000)0 No donations received Encroachment Permit Fees 01-820-33-3306 132,000 15,840 147,840 Higher collections than anticipated Facility Rental Fees 01-840-35-3510 54,000 (22,470)31,530 Lower collections than anticipated Franchise Fees 01-810-32-3207 530,000 46,210 576,210 Higher collections than anticipated In Lieu VLF 01-830-34-3430 4,817,905 161,300 4,979,205 Higher collections than anticipated Interest - CD Investment 01-860-37-3704 100,000 76,010 176,010 Higher interest income received Interest - Others 01-860-37-3703 50,000 53,170 103,170 Higher interest income received Interest - Reserve Funds 01-860-37-3701 15,000 114,450 129,450 Higher interest income received Interest - Securities 01-860-37-3702 50,000 (26,520)23,480 Higher interest income received Intergovernmental 01-830-34-3428 562,500 260,370 822,870 CARES Act allocation LLD Admin Reimbursement 01-870-38-3819 10,000 6,380 16,380 Higher collections than anticipated Other Revenues 01-870-38-3815 100,000 79,440 179,440 Higher collections than anticipated Parking Permit Fees 01-820-33-3305 85,000 (18,440)66,560 Lower collections than anticipated Plan Check Fees 01-840-35-3508 560,000 (81,720)478,280 Lower collections than anticipated Property Tax Allocation 01-810-32-3211 3,508,490 161,790 3,670,280 Higher collections than anticipated Public Works/Engineering Fees 01-840-35-3512 40,000 (12,400)27,600 Lower collections than anticipated Real Estate Transfer Tax 01-810-32-3201 140,000$ ($4,500)135,500$ Lower collections than anticipated Recreation Fees 01-840-35-3505 300,000 (48,120)251,880 Lower collections than anticipated Recyclable Revenue 01-870-38-3809 25,000 (25,000)0 No collections received Sales Tax 01-810-32-3205 1,980,200 (60,400)1,919,800 Lower collections than anticipated Sundry 01-870-38-3817 2,000 (2,000)0 No collections received Temp Parking Permit Fees 01-820-33-3311 170,000 (24,800)145,200 Lower collections than anticipated Transient Occupancy Tax 01-810-32-3209 40,000 3,500 43,500 Higher collections than anticipated Vehicle Impound Fees 01-820-33-3309 11,000 4,450 15,450 Higher collections than anticipated Zoning Fees 01-840-35-3503 250,000 (49,680)200,320 Lower collections than anticipated Total General Fund Revenue Amendments 15,130,095$ 412,210$ 15,542,305$ Non-General Fund: AB 939 Funds AB 939 Revenues 65-870-38-3807 0$ $56,880 56,880$ Was not budgeted COPS Law Enforcement Block Grant State COPS Grant 13-830-34-3402 140,000$ $15,950 155,950$ Additional allocation CITY OF TEMPLE CITY FY 2019-20 FOURTH QUARTER REVENUE BUDGET AMENDMENTS ATTACHMENT A Page 1 of 5 Current Budget Proposed Revised Account Budget Budget Budget Revenue Description Number Amount Adjustment Amount Explanation CITY OF TEMPLE CITY FY 2019-20 FOURTH QUARTER REVENUE BUDGET AMENDMENTS Gas Tax Gas Tax 2105 21-830-34-3408 202,560$ ($15,950)186,610$ Lower allocations Gas Tax 2106 21-830-34-3409 124,400 (13,760)110,640 Lower allocations Gas Tax 2107 21-830-34-3410 265,990 (30,360)235,630 Lower allocations Gas Tax 2103 21-830-34-3437 310,540 (58,290)252,250 Lower allocations Interest on CD Investments 21-860-37-3704 3,500 7,280 10,780 Higher interest income received Lighting and Lanscape District Ad Valorem Tax 47-810-32-3214 1,180,000$ $61,790 1,241,790$ Higher collections than anticipated Interest on CD Investments 47-860-37-3704 5,000 41,560 46,560 Higher interest income received Measure M Measure M Allocation 42-830-34-3416 517,740$ ($25,800)491,940$ Lower allocations Interest on CD Investments 42-860-37-3704 2,500 10,390 12,890 Higher interest income received Measure R Measure R Allocation 30-860-34-3436 456,880$ ($19,710)437,170$ Lower allocations Interest on CD Investments 30-860-37-3704 5,000 12,510 17,510 Higher interest income received Measure W Measure W Allocation 24-830-34-3438 460,000$ ($320,700)139,300$ Lower allocations Park Acquisition Park Fees 46-840-35-3504 40,000$ ($15,500)24,500$ Lower development activities Proposition A Prop A Local Return Funds 15-830-34-3406 734,320$ ($30,620)703,700$ Lower allocations Bus Pass Sales (MTA)15-840-35-3507 44,170 (16,800)27,370 Lower bus pass purchases Interest on Reserve Funds 15-860-37-3704 9,000 8,770 17,770 Higher interest income received Proposition C Prop C Local Return Funds 16-830-34-3407 609,100$ ($25,380)583,720$ Lower allocations Interest on Reserve Funds 16-860-37-3704 16,000 11,670 27,670 Higher interest income received Sewer Construction Sewer Construction Revenues 33-840-35-3502 40,000$ ($35,000)5,000$ Lower development activities Total Non-GF Budget Amendment $5,166,700 ($381,070)$4,785,630 ATTACHMENT A Page 2 of 5 Current Proposed Revised Account Budget Budget Budget Department/Program Reappropriations Number Amount Adjustment Amount Explanation General Fund: Management Services Department City Attorney: City Attorney Services 01-910-41-44420 320,000$ 9,420$ 329,420$ Special services City Clerk: Salaries-Part-Time 01-910-45-4015 6,975 (3,000)3,975 Lower expenditures Prof./Special Contract Services 01-910-45-4231 53,550 6,000 59,550 Upgrage of software applications City Council: Health Insurance 01-910-41-4320 30,860 (7,300)23,560 Lower expenditures Sister City Program 01-910-41-4610 11,000 (6,000)5,000 Lower expenditures Special Events 01-910-41-4640 11,000 (5,500)5,500 Lower expenditures Travel & Conference 01-910-41-4420 30,000 (20,900)9,100 Lower expenditures City Manager: Prof./Special Contract Services 01-910-42-4231 360,385 (75,000)285,385 Lower expenditures Emergency Services: Special Dept Supplies 01-950-64-4465 10,000 29,380 39,380 COVID-19 mitigation supplies Special Equipment-Grant 01-950-64-7011 0 9,150 9,150 Grant award-COVID-19 mitigation Law Enforcement: Law Enf.-Special Services 01-950-61-4730 188,425 (59,000)129,425 Lower expenditures Parking Administration: Health Insurance 01-950-67-4320 21,755 (9,000)12,755 Lower expenditures Parking Administration Processing 01-950-67-4212 60,000 (5,000)55,000 Lower expenditures Salaries-Full-Time 01-950-67-4010 71,010 (3,900)67,110 Lower expenditures Salaries-Part-Time 01-950-67-4015 106,555 (37,000)69,555 Lower expenditures Traffic Engineering: Traffic Engineering Services 01-950-62-4236 20,000 (13,000)7,000 Lower expenditures Traffic Surveys 01-950-62-4237 10,000 20,730 30,730 Upgrage of software applications Administrative Services Department Insurance/Benefits Other Post Employment Benefits 01-910-47-4321 236,200 (11,500)224,700 Lower expenditures Unemployment Compensation 01-910-47-4330 10,000 10,700 20,700 Higher expenditure due to COVID-19 claims Purchasing: Office Equipment 01-920-49-5010 40,000 (27,000)13,000 Lower expenditures Special Equipment Maintenance 01-920-49-4530 32,240 (9,000)23,240 Lower expenditures Support Services: Benefits-Various 01-910-46-4390 0 16,900 16,900 Admin leave benefits-offset with regular budgeted benefits Health Insurance 01-910-46-4320 8,635 (2,200)6,435 Lower expenditures Salaries-Various 01-910-46-4090 0 158,050 158,050 Admin leave salaries-offset with regular budgeted salaries Training 01-910-46-4490 6,500 (5,000)1,500 Lower expenditures CITY OF TEMPLE CITY FY 2019-20 FOURTH QUARTER EXPENDITURE BUDGET AMENDMENTS ATTACHMENT A Page 3 of 5 Current Proposed Revised Account Budget Budget Budget Department/Program Reappropriations Number Amount Adjustment Amount Explanation CITY OF TEMPLE CITY FY 2019-20 FOURTH QUARTER EXPENDITURE BUDGET AMENDMENTS Community Development Department Administrative & Engineering Engineering Services 01-960-71-4239 252,000 (55,000)197,000 Lower expenditures Salaries-Full-Time 01-960-71-4010 194,530 (12,000)182,530 Lower expenditures Building: LA County-Building & Safety 01-930-54-4213 10,000 (6,000)4,000 Lower expenditures Prof./Special Contract Services 01-930-54-4231 280,000 (70,000)210,000 Lower expenditures Salaries-Part-Time 01-930-54-4015 45,605 (20,000)25,605 Lower expenditures Training 01-930-54-4490 6,000 (5,000)1,000 Lower expenditures Community Preservation: Code Enforcement Legal Fees 01-950-65-4238 35,000 (15,000)20,000 Lower expenditures Salaries-Full-Time 01-950-65-4010 192,775 (15,000)177,775 Lower expenditures General Government/Building Maintenance Repair 01-970-81-4510 48,400 (7,000)41,400 Lower expenditures Planning: Prof./Special Contract Services 01-930-53-4271 45,000 (20,000)25,000 Lower expenditures Salaries-Full-Time 01-930-53-4010 363,430 (5,500)357,930 Lower expenditures Parks and Recreation Department Human Services: Annual Events 01-940-57-4630 135,750 (13,000)122,750 Lower expenditures Recreation Specialists 01-940-57-4272 123,000 (48,000)75,000 Lower expenditures Salaries-Part-Time 01-940-57-4015 415,780 (175,000)240,780 Lower expenditures Special Programs 01-940-57-4690 110,500 (45,000)65,500 Lower expenditures TC Unified School District-Rental 01-940-57-4617 80,000 (55,000)25,000 Lower expenditures Parks-Maintenance/Facilities Office Equipment 01-940-59-5010 15,000 (15,000)0 Equipment not purchased Salaries-Part-Time 01-940-59-4015 247,800 (35,000)212,800 Lower expenditures Special Equipment 01-940-59-5011 10,000 (10,000)0 Equipment not purchased Capital Improvements/One-Time Exp CIP-Parks Maint/Facilities 01-940-57-4015 143,890 (120,860)23,030 Rolled forward to FY 2020-21 CIP-Sstreet Maintenance 01-940-57-4272 430,000 (348,000)82,000 Rolled forward to FY 2020-21 Vehicles 01-940-57-4617 52,500 (52,500)0 To be carried over to FY 2020-21 Total General Fund Budget Amendments 4,882,050$ (1,186,830)$ 3,695,220$ Non-General Fund: Air Quality Management District Capital Improvement 29-980-82-6010 40,000$ (40,000)$ 0$ Project not undertaken Lighting and Landscape District Capital Improvement 47-980-75-6010 75,000 (75,000)0 Rolled forward to FY 2020-21 Energy & Maintenance 47-960-78-4570 300,000 (95,000)205,000 Lower expenditures Salaries-Full-Tine 47-970-83-4010 246,475 (16,000)230,475 Lower expenditures Tree Removal 47-970-83-4261 12,000 (12,000)0 Lower expenditures Vehicles 47-970-83-5012 122,500 (122,500)0 To be carried over to FY 2020-21 Measure A Capital Improvement 55-980-59-6010 425,000 (425,000)0 Rolled forward to FY 2020-21 ATTACHMENT A Page 4 of 5 Current Proposed Revised Account Budget Budget Budget Department/Program Reappropriations Number Amount Adjustment Amount Explanation CITY OF TEMPLE CITY FY 2019-20 FOURTH QUARTER EXPENDITURE BUDGET AMENDMENTS Measure M Capital Improvement 42-980-75-6010 800,000 (644,800)155,200 Rolled forward to FY 2020-21 Measure R Capital Improvement 30-980-75-6010 750,000 (750,000)0 Rolled forward to FY 2020-21 Measure W Capital Improvement 24-980-75-6010 76,000 (76,000)0 Rolled forward to FY 2020-21 Park Acquisition Capital Improvement 46-9808-59-6010 43,000 (17,000)26,000 Rolled forward to FY 2020-21 Road Maintenance and Repair Act Capital Improvement 40-980-75-6010 1,384,000 (920,000)464,000 Rolled forward to FY 2020-21 Total Non-GF Budget Amendment 4,273,975$ (3,193,300)$ 1,080,675$ ATTACHMENT A Page 5 of 5 CITY OF TEMPLE CITYREVENUE SUMMARY REPORT - ALL FUNDSQUARTER ENDING - JUNE 30, 20202018-192018-192019-202019-20PERCENTBUDGETYEAR TO DATEBUDGETYTD ESTIMATE RECEIVEDJUL-JUN JUL-JUNGeneral Fund Revenues:Taxes 6,329,700$ 6,558,259$ 6,198,690$ 6,345,215$ 102%Licenses and Permits 1,639,000 1,653,177 1,503,000 1,265,962 84%Intergovernmental 4,632,600 4,694,844 5,380,405 5,802,080 108%Charges for Services 1,237,650 1,270,337 1,208,350 994,072 82%Fines, Forfeitures, & Penalities 500,000 624,968 500,000 541,065 108%Use of Money and PropertyInterest Income 240,000 418,845 215,000 432,101 201%Unrealized Gain (Loss)* 0 182,320 0 104,681Total Use of Money and Property 240,000 601,165 215,000 536,783 250%Miscellaneous 223,000 285,638 218,000 257,364 118%Total General Fund Revenues14,801,950$ 15,688,388$ 15,223,445$ 15,742,541$ 103%Total Special Revenue Funds 5,916,555$ 5,971,951$ 7,228,080$ 6,058,46684%TOTAL REVENUES20,718,505$ 21,660,339$ 22,451,525$ 21,801,007$ 97%Page 1 of 1ATTACHMENT B CITY OF TEMPLE CITYEXPENDITURE SUMMARY REPORT - ALL FUNDSQUARTER ENDING - JUNE 30, 20202018-192018-192019-202019-20PERCENTBUDGETYEAR TO DATEBUDGETYTD ESTIMATE RECEIVEDJUL-JUN JUL-JUNMANAGEMENT SERVICES City Council 180,870$ 159,354$ 194,190$ 153,149$ 79% City Manager 1,122,545 984,163 1,055,830 975,948 92% City Manager (Library Project) 0 0 1,500,000 1,500,000 100% City Attorney 320,000 331,087 320,000 329,417 103% Elections 0 0 9,550 2,474 26% City Clerk 333,553 322,211 366,535 368,773 101%Management Services Total 1,956,968 1,796,815 3,446,105 3,329,761 97%PUBLIC SAFETY DIVISION Law Enforcement 4,631,600 4,546,326 4,680,815 4,590,544 98% Traffic Engineering 37,763 34,232 38,230 45,540 119% Emergency Services 160,010 142,967 166,470 204,993 123% Parking Administration 341,557 276,237 321,115 264,372 82%Public Safety Total 5,170,930 4,999,762 5,206,630 5,105,448 98%ADMINISTRATIVE SERVICES DEPARTMENT Support Services 153,405 127,800 144,755 307,955 213% Personnel 1,081,043 989,508 734,580 725,445 99% Accounting 617,012 603,910 656,235 636,532 97% Purchasing 316,690 291,134 555,250 514,270 93%Administrative Services Dept. Total 2,168,150 2,012,352 2,090,820 2,184,201 104%PARKS & RECREATION DEPARTMENT Recreation/Human Services 1,248,495 1,166,413 1,411,610 973,101 69% Public Transportation 796,483 761,466 1,489,735 1,248,397 84% Parks - Maintenance/Facilities 1,141,835 1,065,871 1,234,970 1,205,028 98% Trees & Parkways 690,885 596,264 727,985 692,635 95%Parks & Recreation Dept. Total 3,877,698 3,590,014 4,864,300 4,119,161 85%Page 1 of 3ATTACHMENT C CITY OF TEMPLE CITYEXPENDITURE SUMMARY REPORT - ALL FUNDSQUARTER ENDING - JUNE 30, 20202018-192018-192019-202019-20PERCENTBUDGETYEAR TO DATEBUDGETYTD ESTIMATE RECEIVEDJUL-JUN JUL-JUNCOMMUNITY DEVELOPMENT DEPARTMENTCommunity Enhancement Division Planning 778,375 674,156 737,575 708,978 96% Building 667,898 689,792 683,260 568,909 83% Housing 224,100 201,261 553,045 226,031 41% Community Preservation 561,180 491,144 607,215 574,518 95%Community Enhancement Division Total 2,231,553 2,056,353 2,581,095 2,078,436 81%Infrastructure and Maintenance Division Administration & Engineering 707,290 694,920 641,710 543,879 85% Traffic Signal Maintenance 156,500 114,628 156,500 140,103 90% Traffic Signs & Strip Maint. 105,430 99,269 119,365 99,424 83% Street and Sidewalk Maintenance 378,200 375,991 396,000 378,611 96% Solid Waste Management 9,000 9,337 9,000 7,112 79% Street Lighting 375,215 295,924 374,070 272,848 73% General Government Buildings 276,388 296,220 333,100 333,021 100% Parking Facilities 103,550 99,209 112,130 101,137 90%Infrastructure & Maintenance Division Total 2,111,573 1,985,498 2,141,875 1,876,135 88%Community Development Dept. Total 4,343,126 4,041,851 4,722,970 3,954,570 84%SUB TOTAL PROGRAM EXPENDITURES17,516,87216,440,79420,330,82518,693,14292%Page 2 of 3ATTACHMENT C CITY OF TEMPLE CITYEXPENDITURE SUMMARY REPORT - ALL FUNDSQUARTER ENDING - JUNE 30, 20202018-192018-192019-202019-20PERCENTBUDGETYEAR TO DATEBUDGETYTD ESTIMATE RECEIVEDJUL-JUN JUL-JUN SUB TOTAL PROGRAM EXPENDITURES 17,516,872 16,440,794 20,330,825 18,693,142 92% CAPITAL IMPROVEMENT FUND 3,412,785 459,372 5,460,890 1,202,569 22% EQUIPMENT REPLACEMENT 116,700 108,020 240,000 11,422 5% TRUST FUND 0 260 0 0 0% TOTAL EXPENDITURES21,046,35717,008,44626,031,71519,907,13376%CDBG LOAN REPAYMENT30,00061,008096,6000% EXPENDITURES GRAND TOTAL21,076,357$ 17,069,454$ 26,031,715$ 20,003,733$ 77%Page 3 of 3ATTACHMENT C CAPITAL IMPROVEMENT PROGRAMPARKS - MAINTENANCE/FACILITIESPROJECT DETAILACCT. NO. XX-980-59-6010Year-to-DateNo.ProjectFunding SourceBudget ExpenditureBalanceP19-01 Live Oak Park Community Center, Phase I (R) General Fund$30,000$0$30,000ImprovementsMeasure A150,000 0150,000 Total LOP, Phase I$180,000$0$180,000P19-04 Temple City Park Pavillion Roofing(E) Park Acquisition$28,000$27,232$768P19-14 Primrose Park and Parking Lot Project(N) General Fund$113,890$23,025$90,865P20-01 Live Oak Park Community Center, Phase II (R) Measure A$75,000$0$75,000ImprovementsP20-02 Live Oak Park Facilities Master Plan, Phase II (R) Measure A$200,000$0$200,000ImprovementsP20-03 Replace Conduit and Wiring Temple City Park (N) Park Acquisition$15,000$0$15,000Recap of Funding SourcesGeneral Fund$143,890$23,025$120,865Measure A$425,000$0$425,000Park Acquisition$43,000$27,232$15,768$611,890$50,257$561,633TOTAL CIP - PARKS MAINTENANCE / FACILITIES$611,890$50,257$561,633CITY OF TEMPLE CITYPRELIMINARY FINANCIAL STATUS REPORTJULY 2019 - JUNE 2020(E) = Essential (N) = Necessary (M) = Mandated (R) = Routine (D) = Discretionary Page 1 of 4ATTACHMENT D CITY OF TEMPLE CITYPRELIMINARY FINANCIAL STATUS REPORTJULY 2019 - JUNE 2020CAPITAL IMPROVEMENT PROGRAMSTREET CONSTRUCTIONPROJECT DETAILACCT. NO. XX-980-75-6010Year-to-DateNo.ProjectFunding Source Budget Expenditure BalanceP18-06 Rosemead Boulevard Resurfacing Project (E) General Fund 105,000 81,004 23,996RMRA 420,000 420,000 0Total Rosemead Boulevard $525,000 $501,004 $23,996P19-05 Safe Clean Water Program (Green Street Impr) (M) General Fund 40,000 0 40,000Measure W 76,000 76,000 Total Safe Clean Water $116,000 $0 $116,000P19-06 Rio Hondo / Eaton Wash TMDL LRS Project (M) General Fund $0 $3,545 ($3,545)P19-07 Pavement Management Street Resurfacing (E) General Fund 105,000 0 105,000Measure R 750,000 0 750,000 Road Maint. & Repair Act 356,000 0 356,000 Measure M 400,000 155,177 244,823 Total Pavement Management$1,611,000 $155,177 $1,455,823P19-08 Sidewalks and Curb Ramps ADA Improvements (M) Transportation Dev. Account $71,000$32,023$38,977P19-10 Banner and City Limit Signs(D) General Fund$75,000$0$75,000P20-04 Bridge Repair and Maintenance(E) Road Maint. & Repair Act $125,000$0$125,000P20-05 Las Tunas Drive Resurfacing(E) General Fund105,0000105,000Proposition C1,200,000 437,562 762,438 Transportation Dev. Account 23,000 23,000 0Road Maint. & Repair Act 483,000 0 483,000 Measure M 400,000 0 400,000 Total Las Tunas Drive $2,211,000 $460,562 $1,750,438(E) = Essential (N) = Necessary (M) = Mandated (R) = Routine (D) = Discretionary Page 2 of 4ATTACHMENT D CITY OF TEMPLE CITYPRELIMINARY FINANCIAL STATUS REPORTJULY 2019 - JUNE 2020CAPITAL IMPROVEMENT PROGRAMSTREET CONSTRUCTIONPROJECT DETAILACCT. NO. XX-980-75-6010Year-to-DateNo.ProjectFunding Source Budget Expenditure BalanceP20-06 Rosemead Boulevard Median Irrigation (N) Lighting/Landscape $75,000 $0 $75,000Retrofit DistrictRecap of Funding SourcesGeneral Fund $430,000 $84,549 $345,451Lighting/Landscape District $75,000 $0 $75,000Measure M $800,000 $155,177 $644,823Measure R $750,000 $0 $750,000Measure W $76,000 $0 $76,000Proposition C $1,200,000 $437,562 $762,438Road Maint. & Repair Act $1,384,000 $420,000 $964,000Transportation Dev. Account $94,000 $55,023 $38,977$4,809,000 $1,152,311 $3,656,689TOTAL CIP - STREET CONSTRUCTION $4,809,000 $1,152,311 $3,656,689(E) = Essential (N) = Necessary (M) = Mandated (R) = Routine (D) = Discretionary Page 3 of 4ATTACHMENT D CITY OF TEMPLE CITYPRELIMINARY FINANCIAL STATUS REPORTJULY 2019 - JUNE 2020CAPITAL IMPROVEMENT PROGRAMPARKING FACILITIESPROJECT DETAILACCT. NO. XX-980-82-6010Year-to-DateNo.ProjectFunding Source Budget Expenditure BalanceP20-07 City Hall and Live Oak Park EV Charging (N) AQMD $40,000 $0 $40,000StationsRecap of Funding SourcesAQMD $40,000 $0 $40,000TOTAL CIP - PARKING FACILITIES $40,000 $0 $40,000GRAND TOTAL$5,460,890 $1,202,569 $4,258,321(E)= Essential(N)= Necessary(M)= Mandated(R)= Routine(D)= DiscretionaryPage 4 of 4ATTACHMENT D FY 2019-20 Fund Balance, July 1, 2019, Audited: Designated Nonspendable 68,993$ Committed 3,500,000 Assigned 10,455,704 Unassigned 6,019,290 Total Fund Balance, July 1, 2019, Audited 20,043,987$ Estimated FY 2019-20 Actuals: Revenues 14,919,670$ Expenditures (15,310,262) Surplus(Deficit)(390,591)$ Net Transfers 20,500 Net Surplus (Deficit) with Net Transfers (370,091)$ One-Time Revenues: 260,370$ 562,500 822,870$ CARES Act Allocation* Proposition A Fund Exchange Total One-Time Revenues Net Surplus (Deficit) with One-Time Revenues 452,779$ Estimated Fund Balance, June 30, 2020, Unaudited 20,496,766$ *Please see next page. Estimated Fund Balance Designations at June 30, 2020, in accordance with the General Fund Budget Reserve Policy Nonspendable Committed 3,500,000$ Emergency/Disasters 50,000$ Liquidity 2,000,000 Local Economic Uncertainty 1,450,000 Assigned 12,474,599$ Fleet Management 400,000$ Facilities Management 3,540,000 Technology Replacement 40,792 Economic Development 2,254,473 Opportunities for One-Time Expenditures 6,239,334 Unassigned 4,522,167$ Estimated Fund Balance on June 30, 2020 20,496,766$ CITY OF TEMPLE CITY 4TH QUARTER, FY 2019-20 GENERAL FUND BALANCE ANALYSIS * ATTACHMENT E Page 1 of 2 FY 2019-20 Fund Balance, July 1, 2019, Audited: Designated Nonspendable 68,993$ Committed 3,500,000 Assigned 10,455,704 Unassigned 6,019,290 Total Fund Balance, July 1, 2019, Audited 20,043,987$ Estimated FY 2019-20 Actuals: Revenues 14,919,670$ Expenditures (15,310,262) Surplus(Deficit)(390,591)$ Net Transfers 20,500 Net Surplus (Deficit) with Net Transfers (370,091)$ One-Time Revenues: Proposition A Fund Exchange 562,500 Total One-Time Revenues 562,500$ Net Surplus (Deficit) with One-Time Revenues 192,409$ Estimated Fund Balance, June 30, 2020, Unaudited 20,236,396$ Estimated Fund Balance Designations at June 30, 2020, in accordance with the General Fund Budget Reserve Policy Nonspendable Committed 3,500,000$ Emergency/Disasters 50,000$ Liquidity 2,000,000 Local Economic Uncertainty 1,450,000 Assigned 12,474,599$ Fleet Management 400,000$ Facilities Management 3,540,000 Technology Replacement 40,792 Economic Development 2,254,473 Opportunities for One-Time Expenditures 6,239,334 Unassigned 4,261,797$ Estimated Fund Balance on June 30, 2020 20,236,396$ CITY OF TEMPLE CITY *4TH QUARTER, FY 2019-20 GENERAL FUND BALANCE ANALYSIS ATTACHMENT E Page 2 of 2 ATTACHMENT F Page 1 of 7 ATTACHMENT F Page 2 of 7 ATTACHMENT F Page 3 of 7 ATTACHMENT F Page 4 of 7 ATTACHMENT F Page 5 of 7 ATTACHMENT F Page 6 of 7 ATTACHMENT F Page 7 of 7