HomeMy Public PortalAbout2020-06-09 Item 11CITY COUNCILAGENDA REPORTCI^^••<,€'<.5»Iris\s!%pCITY OF MILLBRAE621 Magnolia AvenueMillbrae, CA 94030SUBJECT: Resolution of the Millbrae City CouncilAppropriating the Operating and CapitalBudgets for the Fiscal Year 2020 - 2021ATTACHMENTS:ResolutionFiscal Year 2020 - 2021 Operating and Capital BudgetsReport No.Agenda Item No.:^wFor Agenda of: June 9, 2020Department: FinanceOriginator: £}Approved:/ // M/Budget ActionYes: X No:~swFinance Review: EBREPORT TYPE: ACTION X INFORMATIONALITEM TYPE: CONSENT PUBLIC HEARING EXISTING BUSINESS X NEW BUSINESSRECOMMENDATION:Staff recommends that the City Council adopt a resolution appropriating the Operating and Capital Budgetsfor Fiscal Year 2020-2021.BACKGROUND:Previously, the City had been adopting two-year budgets and the current two-year cycle ends June 30,2020. With the current economic downturn caused by COVID 19 and the subsequent financialuncertainty, staff recommends that Council adopt a one-year budget.On May 26, 2020, the City Council received a presentation covering the details of the proposedOperating and Capital Budgets for Fiscal Year 2020 - 2021. The City Council made no changes to theproposed budgets and the same numbers are again presented for the purpose of adopting a resolutionappropriating the budgets.FISCAL IMPACT:Adopting the resolution allows for the City to continue doing business, receiving revenues anddisbursing payments. The budget amounts are summarized in the attached resolution.COUNCIL ACTION:Staff recommends the City Council adopt a resolution appropriating the Operating and Capital Budgetsfor Fiscal Year 2020-2021.Page 1 of 1
Attachment 1CITY OF MILLBRAE, COUNTY OF SAN MATEOSTATE OF CALIFORNIA***RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MILLBRAEAPPRORPRIATING OPERATING AND CAPITAL BUDGETS FOR FISCALYEAR 2020 - 2021, AS DEPICTED BELOW, ALONG WITH PROVISIONS FORCOST CONTAINMENT.WHEREAS, the City of Millbrae is responsible for providing the communitywith a wide variety of municipal services including, but not limited to, police and fireprotection, water delivery, wastewater collection, street maintenance, planning andbuilding inspection services, and recreation services; andWHEREAS, the City was in the process of preparing the detailed proposedbudget in accordance with the goals, policies and procedures established during thenormal budget cycle when the COVID 19 shelter-in-place emerged; andWHEREAS, the City's past practice has been to adopt two-year budgets but dueto the economic uncertainty caused by the COVID 19 pandemic, the City now wishes toadopt only a one-year budget; andWHEREAS, the City desires to move forward with adopting a budget thatattempts to address potential revenue loss with cost saving measures during thisextraordinary period where economic impacts are unknown; andWHEREAS, the City has prepared the Operating and Capital Budget Plan forFiscal Year 2020-2021.NOW, THEREFORE BE IT RESOLVED THAT THE CITY COUNCIL OFTHE CITY OF MILLBRAE authorizes the adoption Operating and Capital Budgets assummarized below and with the following cost containment provisions and directives:1. No new hires unless approved by the City Council2. Freeze any open positions unless approved by the City Council3. Furlough part-time positions unless cost recoverable or determined essential4. Freeze purchases of vehicles and equipment unless approved by the City Council5. Freeze IT hardware and software updates except those already underway or inemergencies6. Discontinue or significantly reduce contract services7. Freeze spending on upgrades or deferred maintenance on City facilities except inan emergency16584830.1
Attachment 18. Staff will apply for eligible FEMA reimbursement9. Staff will provide the City Council with monthly budget-to-actual reports for theGeneral Fund and provide quarterly proposed budget amendments to the GeneralFund Budget including, as appropriate, recommendations for any changes to thecost containment measures outlined above.RevenuesAmountGeneral Fund$ 29,873,3191Measure A$595,133Measure W$261,170Highway Users Tax$945,821Recreation$ 1,926,545Community Center Rebuild$-0-Integrated Water Mgmt.$ 276,500Low-Mod Housing$11,250San Mateo Street Sweeping$83,174Successor Agency (ROPS)$ 705,501Police Remodel Loan$263,339Library G. 0. Bonds$ 624,163Taxable Pension Bonds$ 1,200,000Field License Agreement$ 542,827Developer Housing Fees$7,500General Plan Update$10,000Document Imaging$50,145PEG (Public Education)$375Sanitary Sewer$ 9,982,500Sewer Modernization$ 8,759,082Water Utility$ 11,000,000Stonn Drain$ 1,236,966Worker's Conipensation$ 690,441General Liability$412,617Unemployment$29,086Garage$-0-Vehicle Replacement Fund$-0-TOTAL$ 69,487,45416584830.1
Attachment 1Expenditures12-monthBudgetGeneral Fund$ 32,197,351Measure A$ 780,000Measure W$ 211,000Highway Users Tax$ 1,224,107Recreation$ 1,923,230Community Center Rebuild | $ -0-Integrated Waste Mgmt.$ 297,994Low-Mod Housing$1,000San Mateo Street Sweep |$ 31,466Successor Agency (ROPS) | $ 674,774Police Remodel Loan$ 263,339Library G.O. Bond$ 624,163Taxable Pension Bond$ 1,199,999Field License Agreement | $ 502,339Developer Housing Fees$5,000General Plan Update$-0-Document Imaging$ 100,000PEG (Public Education)$-0-Sanitary Sewer$ 9,982,500Sewer Modernization$ 8,759,082Water Utility$ 11,000,000Storm Drain$ 1,154,984Worker's Compensation$ 350,506General Liability$ 497,159Unemployment$17,203Garage$ 746,845Vehicle Replacement Fund [ $ 825,000TOTAL$ 72,369,041REGULARLY PASSED AND ADOPTED this 9th day of June 2020.ATTEST:MayorCity Clerk16584830.1
CVTYz0^^\^<<,•^^r-r-^GO<:»firir^;^t"^(•c*;P*^-<1^-"x"\--\;::~..*»•^ItllmCity ofMillbraeMillbrae, California:^^s'^s^:,'««- '-A^-t.:*•.-^•^ •:.-^•.«^S3"®.XX::;S<w--"»g^Ni.n;~A.!f!!SVSSF9.•.•k.s^a-i^Operating and Capital BudgetFiscal Year 2020-2021(July 1,2020-June 30, 2021)
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Table of ContentsProfile of the City of Millbrae............................................................................................................ 1City of Millbrae Mission Statement............................................................................................... 1City of Millbrae Our Values........................................................................................................... 2City of Millbrae Our Purposes....................................................................................................... 3Council Goals:.............................................................................................................................. 4The Local Economy:....................................................................................................................^Budget Summary .............................................................................................................................6Budget Process ............................................................................................................................6Current Financial Condition.......................................................................................................... 6Budget Overview:............................................................................................................................. 8City Funding Sources (Revenues):................................................................................................10City Expenses: ...............................................................................................................................11Global Changes Affecting All Funds..............................................................................................13General Fund Overview................................................................................................................. 14Department Budgets......................................................................................................................19Non-Departmental / Non-Divisional (Department 00): ............................................................... 19City Council (Department 10).....................................................................................................21City Attorney (Department 20)....................................................................................................22City Manager (Department 30)...........;....................................................................................... 23Administrative Services (Department 40)................................................................................... 23City Manager-Fund 101 | Department 30 | Division 211......................................................23City Clerk - Fund 101 | Department 30 | Division 232 ............................................................23Public Education and Government (PEG) Access (Fund 542) ..................................................25Worker's Compensation (Fund 770) ..........................................................................................26Insurance: General Liability (Fund 771).................................................................................26Unemployment (Fund 772).....................................................................................................27Finance (Department 50)............................................................................................................28Finance - Fund 101 | Department 50 | Division 610 ..............................................................28Successor Agency Administration - Fund 101 [ Department 50 | Division 650......................28Successor Agency Redevelopment Development Agency (RDA) Obligation Retirement Fund (Fund326).........................................................................................................................................29Debt Service 1999 Police Remodel (Fund 354) .....................................................................30General Obligation Bonds Millbrae Library (Fund 355) ..........................................................302004 Taxable Pension Obligation Bonds (Fund 356).............................................................31Recreation-Fund 215..........................................................................................................32City Provided Classes | Department 81 Special Events | Department 82 ..............32Contract Classes/Programs | Department 83 ....................................................................322| P a ge
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Facility Rental | Department 84 ...........................................................................................32Administration | Department 88 ..........................................................................................32Community Center Rebuild (Fund 216)..................................................................................35Community Development (Department 60)................................................................................ 36Deposit Funds:............................................................................................................. 37• Developer Permits (Fund 103), ...................................................................................37Serra Station (Fund 150),............................................................................................. 37Gateway @ Millbrae Station (Fund 151).....................................................................37Developer Fees............................................................................................................. 38Housing Fees (Fund 531) ............................................................................................38General Plan Update (Fund 532).................................................................................38Document Imaging (540) .............................................................................................38Public Works (Department 70)................................................................................................... 39Public Works: Engineering - Fund 101 | Department 70 | Division 240................................42Public Works: Streets-Fund 101 | Department 70 | Division 251........................................42Public Works: Facilities - Fund 101 | Department 70 | Division 761 .....................................42Public Works: Parks Maintenance - Fund 101 | Department 70 | Division 831 ....................42Measure A: Transportation (Fund 205)..................................................................................43Measure W: Roads and Transit (Fund 206) ..........................................................................44Highway Users Tax (HUT or Gas Tax): Transportation (Fund 211)......................................44Integrated Waste Management (Fund 227).........................................................................45San Mateo County Measure M: Street Sweep / Congestion (Fund 250).........................45Field License Agreement (Fund 530)..................................................................................46Sanitation (Sewer) (Fund 660) .............................................................................................47Sewer Modernization Program (Fund 661).............................................................................48Water Utility (Fund 670)..........................................................................................................49Storm Drain (Fund 680).......................................................................................................... 50Garage Operations (Fund 773)............................................................................................... 51Vehicle Replacement (Fund 775) ...........................................................................................52Public Safety (Department 90)................................................................................................... 53Public Safety (Department 90)...................................................................................................53Millbrae Police Bureau-Fund 101 | Department 90 | Division 215.......................................53Public Safety (Department 90) ...................................................................................................55Fire Services provided by Central County Fire - Fund 101 | Department 90 | Division 216..553|Page
Profile of the City ofMillbraeIncorporated in 1948, the City of Millbrae is located adjacent to the San FranciscoInternational Airport and is 15 miles south of the City of San Francisco in the heart of SanMateo County. The City encompasses 3.3 square miles and serves a largely residentialpopulation of approximately 22,800. The City houses the multimodal transit centerincluding the Millbrae BART Station providing a link to CalTrain, SamTrans, and the SanFrancisco Airport maximizing regional travel options for passengers in the San FranciscoBay Area.The City Council serves as the policy board for the municipality. As an elected quasi-Board of Directors, the City Council provides policy direction, establishes goals, and setspriorities for the City government. In addition to serving as the policy makers for thecommunity, the City Council also is responsible for numerous land use decisions within itsborders, including the General Plan. The City Council appoints the City Manager, CityAttorney, and all members of advisory boards, commissions, and committees.The City of Millbrae operates under a Council-Manager form of goveriunent. The Cityprovides municipal services that include administration, public works and parks,community development, and recreation. Public Safety services are provided throughcontracts with San Mateo County and Central County Fire. In addition to generalmunicipal services, the City operates a water system, sanitation (sewer) system, and stormdrains in the form of enterprise activities. This budget report includes all funds of the Cityof Millbrae and its blended component unit, the Successor Agency of the MillbraeRedevelopment Agency, for which the City is financially accountable.The City ofMillbrae has adopted a Mission Statement, Values, and Purposes.City ofMilIbrae Mission StatementEnhancing the quality of life in our sharedcommunity, providing great services,encouraging community engagement,fostering economic growth, and embracingcultural diversity in a safe environment.1 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021City ofMillbrae Our ValuesWe•••are committed to the following values which are key to achievement of our Mission.Quality: We -will produce nothing less than superior, high quality products andservices. The public and our colleagues deserve nothing less.Customer Service: Service to people is what we are all about. We will provideproducts and services which meet the changing needs of the community. We willalways provide services with respect, courtesy, warmth, and responsiveness.Integrity and Honesty: Honesty, openness, fair-dealing and the highest ethicalbehavior are the foundation for our -work.Innovation: We encourage our colleagues and the public to suggest new ideas forimproving our products and services, and for doing things more efficiently andeffectively.Teamwork: Teamwork is each of us -working together to reach a common goal.Teamwork is accomplished when each member contributes their unique abilities,actively communicates and supports each other.Colleagues: We recognize, from managers to line workers, -we are colleagues workingtoward a common goal; accomplishment of the City 's overall mission. Each of usshould share in the City's success -which we make possible.Pride and Enjoyment in Our Work: We believe our work should be a source ofpersonal enjoyment and satisfaction. We accept the challenge and promote aworkplace in which pride, personal enjoyment, and satisfaction can flourish.Action Orientation: We are an organization which is decisive. We will act withoutdelay, after considering alternatives and their implications. We are proud of our abilityto respond quickly and effectively to emergencies and changing priorities.Citizen Participation: We are committed to keeping the public informed by using avariety of communication networks. Effective public policy depends on achievement ofcommunity consensus.Cultural Diversity: The world in which -we live is always changing. We recognize theneed to adapt to meet all new challenges within our community and surroundingregion. We -will be sensitive to the differing cultural and personal needs of ourcommunity.Legal Responsibility: We accept the challenge to actively participate in legislativeactivities; supporting that with which we agree and opposing that with which wedisagree. We \vill endeavor to know and comply with all Federal and State mandates.Regional Responsibility: Our City is a part of a large, interdependent metropolitanarea. We will actively participate in regional planning to serve the best interests ofour City and the region.Planning: We are a forward-looking organization, continuously assessing trends anddevelopments which will impact our Mission. We seek to satisfy current needs in amanner which helps obtain our long-range goals.2|Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021City ofMillbrae Our PurposesThe purpose of the City municipal government is to provide the conditions necessary fora high quality of life and prosperity for Millbrae residents, businesses and institutions.A high quality of life and community prosperity are based upon:Democratic, Local, Self-Government: determination of needs, priorities, and policiesby residents through democratically elected representatives.•Public Health and Safety: providing an environment free from disease, pollution,crime, fire and conditions injurious to public health and well-being.Physical, Cultural, and Social Well-Being: providing facilities and programs for ourresidents to help meet their needs for socialization, recreation, and cultural andspiritual growth.Economic Prosperity: to create conditions which will promote strong sales and tradein our business sector and a strong tax base to support local government services.Environmental Protection: to promote conservation of our natural environment andresources, and to promote an attractive, uncluttered, well-maintained and landscapedurban environment.Public Facilities and Infrastructure: to provide, maintain and operate public facilitiesand infrastructure essential to serving and supporting the public and private sectors ofthe City.3 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Council Goals:Each year, the City Council holds at least one meeting per year to discuss and organizethe yearly goals and priorities for the City ofMillbrae.OnJantiary28, 2020, the City Coiincil affirmed the following goals:There are five Strategic Initiatives (in bold) considered by the City Council with therelated corresponding goals:I. SI - Define the Millbrae Community of Tomorrow/Built EnvironmentGoals:1.1 Update Millbrae Station Area Specific Plan (MSASP)1.2 Update Development Standards Including Establish Residentialand Commercial Design Guidelines1.3 General Plan, Specific Plan, and Climate Action Plan1.4 Develop a Grand Blvd and Complete Streets program1.5 Complete & Adopt Cell Tower/Antenna Ordinance1.6 Complete & Adopt Accessory Dwelling Unit OrdinanceII. SI - Sustainable City/Infrastructure InvestmentGoals:11.1 Establish a Community Facility District for New Developments11.2 Complete Development Impact Fees11.3 Complete User Fee Update to Achieve Improved Cost RecoveryIII. SI - Quality of Life/Neighborhood Enhancement/Strong CommunityGoals:III.l Multi-Family Smoking OrdinanceIII.2 Commence with Construction of a Feasible Recreation Center ProjectIII.3 Complete & Adopt Tree OrdinanceIII.4 Gun Safety Ordinance that follows CountyIV. SI - City Government Organizational SuccessGoals:IV.3 Create a Parking Authority and Parking Meter Program for Downtown.V. SI - Fiscal Sustainability/Economic DevelopmentGoals:V.l Complete Business Improvement District (BID)V.2 Develop Plan for Economic Development/Business Attraction/ Fiscal Sustainability4| Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021The Local Economy:The City's top three general fund revenue sources are property tax, transient occupancy tax(TOT) and sales tax. Together, these three revenue sources represent 65.4% ofdiscretionary revenue for the City in Fiscal Year 2020 - 2021.The largest revenue source is property tax, representing approximately 42.0% of totaldiscretionary revenue in Fiscal Year 2020 - 2021. Between 2010 and 2019, the City'sAssessment Roll increased from $3.6 billion in property tax valuation to $5.5 billion, agrowth of approximately 52.8% over the ten-year period.The second largest source of revenue is transient occupancy tax (TOT), representingapproximately 16.0% of total discretionary revenue in Fiscal Year 2020 - 2021. Transientoccupancy tax, which tourists pay when they stay in Millbrae hotels, has been negativelyimpacted by the COVID19 pandemic as tourism ground to a halt. TOT revenues in the firstquarter of fiscal year 2020 - 2021 are anticipated to be 10.0% of the amount received in thefirst quarter of the previous fiscal year. The remaining three quarters of fiscal year 2020 -2021 have been projected at 65.0% of the prior fiscal year.The third largest source of revenue is sales tax, representing approximately 7.5% of totaldiscretionary revenue in Fiscal Year 2020 - 2021. The City's commercial base includes amix of retail, restaurants, hotels, service businesses, and public services but sales tax isprimarily driven by restaurant sales. The COVID19 pandemic has also negativelyimpacted sales tax revenues as non-essential businesses were closed. Sales tax revenues inthe first quarter of fiscal year 2020 - 2021 are anticipated to be 25.0% of the amountreceived in the first quarter of the previous fiscal year. The remaining three quarters ofFiscal Year 2020 - 2021 have been projected at 75.0% of the prior fiscal year.5|Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Budget SummaryBudget ProcessStaff is pleased to present this proposed budget for a one-year period from July 1, 2020through June 30, 2021, Fiscal Years 2020 -2021. The City had previously been issuingtwo-year budgets but due to the economic uncertainty caused by COVID 19, the City willissue only a one-year budget.The budget is a comprehensive financial plan that articulates the goals and objectives of allCity departments for the following year. This report reflects on prior year revenues andexpenses and forecasts revenue and expenses for the following year. In order to developthese recommendations, the City Manager and Finance Director prepare an estimate ofrevenues to identify any necessary updates and, based on discussions from eachdepartment, prepare recommendations for the budget including changes to revenueestimates and expense appropriations. If recommended adjustments are accepted by theCouncil, the proposed budget adjustments may be amended by City Council adoption of aresolution.Budgetary control is legally maintained at the fund level for these funds. Within a fund,the City Manager has discretion to transfer appropriations between departments to achieveCity Council goals and policy direction.At the middle each fiscal year, department managers typically review budget and projectstatus and compare to goals and projections. In addition, as new issues arise, budgetactions may be requested through Council action.Current Financial ConditionThe future financial condition of the City's discretionary funds (General Fund, RecreationFund and Internal Service Funds) is uncertain at the time this budget is adopted. Due tothe loss of TOT and Sales Tax Revenue, the City will be required to dip into available fundbalance to cover operating costs in Fiscal Year 2020 - 2021. At the proposed rate ofavailable fund balance consumption, the General Fund will have expended all availablefund balance by the end of Fiscal Year 2021 - 2022. Subsequently, the City will need touse reserved General Fund balance to maintain operations at the current level. Staff willdevelop a long-term financial plan for presentation to the City Council in the fall of 2020.It is anticipated that more information about the ultimate impact of COVID 19 will beknown at that time.All transfers into the Garage Fund and the Vehicle Replacement Fund have been put onhold in Fiscal Year 2020 - 2021. These funds have enough available fund balance to coveroperating costs this fiscal year. The decision whether to resume contributions to these fundswill be made during the mid-year review of Fiscal Year 2020 - 2021.6| Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Other funds have not experienced as severe an impact from COVID 19 economicdownturn. Revenues and expenditures in these funds will be closely monitored throughoutFiscal Year 2020-2021.7| P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Budget Overview:All Funds are outlined below with the department having primary oversight responsibilityin parenthesis:General Fund:The General Fund accounts for all financial resources that are not accounted for in otherfunds. The City Council exercises the most discretion over the General Fund.• Special Revenue or Restricted Funds:Special Revenue Funds account for the proceeds of specific revenue sources (other thantrusts for private organizations or for major capital projects) that are restricted toexpenditures for specific purposes. The restriction may be a legal restriction based onthe type of revenue collected or may be based on a fee structure established for aspecific purpose.Measure A: Transportation (Public Works)Measure W: Transportation (Public Works)Highway Users Tax: Transportation (Public Works)Recreation (Recreation)Community Center Rebuild (Public Works & Recreation)Integrated Waste Management (Public Works)San Mateo County Measure M: Street Sweep / Congestion (Public Works)Field License Agreement (Public Works)Developer Housing Fees (Community Development)General Plan Update (Community Development)Document Imaging Fees (Community Development)Public Education and Government Access (PEG) (City Manager & AdministrativeServices)Developer Funds:Developer Funds represent deposits paid by applicants for projects requiring building,planning, or engineering approval. These deposits are held by the City and paymentsfor services related to these projects are charged against these deposits. This assuresthat costs of projects are recovered before permits and entitlements are issued.o Developer Permits (Community Development)o Developer Deposits: Serra Project (Community Development)o Developer Deposits: BART Site 5 (Community Development)0000000000008| P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Enterprise FundsEnterprise Funds (also known as business-type activities) account for any activity forwhich a fee is charged to external users for goods or services. These funds typicallyhave fees that are established to provide enough revenue to recover the cost of theactivity in that fund.o Sanitation (Sewer) (Public Works)o Sewer Modernization Program (Public Works)o Water Utility (Public Works)o Storm Drain (Public Works)Internal Service Funds:Internal Service Funds account for activities that provide goods or services to otherdepartments on a cost reimbursement basis.o Insurance: Worker's Compensation (City Manager & Administrative Services)o Insurance: General Liability (City Manager & Administrative Services)o Insurance: Unemployment (City Manager & Administrative Services)o Garage Operations (Public Works)o Vehicle and Equipment Replacement (Public Works)o Other Post-Employment Benefits (OPEB) (Finance)• Debt Service FundsDebt Service Funds account for the accumulation of resources for, and the payment of,principal and interest on the bonds, certificates of participation, and other debt issuedin support of governmental activities.o Redevelopment Agency (RDA) Obligation Retirement (Finance)o Debt Service 1999 Police Remodel (Finance)o General Obligation Bonds: Millbrae Library (Finance)o 2004 Taxable Pension Obligation Bonds (Finance)Fiduciary Funds:The City previously held Fiduciary Funds in a custodial capacity for the Sister CitiesCommission and the Senior Program. These funds have been closed.9|Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021City Funding Sources (Revenues):The City of Millbrae revenues can be grouped into several broad categories including:taxes, utility charges, proceeds from debt, transfers, fees & permits, public safety charges(including fines, forfeitures, and charges for services), intergovernmental revenue, use ofmoney and property (rent and interest) and other revenue. Revenues by Fund:FundI Genera I FundI Measure A[Measure WIHighway Users TaxI RecreationICommunity Center CapitalI Integrated Waste Mgmt|Low-Mod Housing|San Mateo Street SweepingISuccessor Agency (ROPS)[Police Remodel Loan[Library G.O. BondsiTaxable Pension BondsField License Agreement[Developer Housing FeesGeneral Plan UpdateI Document Imaging NeedsPEG (Public Education and Access)[Sanitary SewerISewer ModernizationIWaterI Storm DrainWorker's CompensationGeneral LiabilityUnemploymentIGarageVehicle Replacement Fund[Total All Funds2019Actual32,470,239722,434957,2541,753,82984,414355,34924,265150,820676,992260,000652,3601,134,906516,259121,85625,59368,8654,0425,685,3558,856,29610,230,3162,225,207795,826660,85229,620740,7132,163,6312020 AmendedBudget32,139,687585,000140,000920,0611,882,4942,250,000308,00015,00096,961706,551267,130617,6881,160,001502,62310,00010,00035,0005009,740,00011,765,00011,070,0002,320,327704,171650,00029,660657,102436,9522021 ProposedBudget29,873,319595,133261,170945,8211,926,545276,50011,25083,174705,501263,339624,1631,200,000542,8277,50010,00050,1453759,982,5008,759,08211,000,0001,236,966690,441412,61729,08671,367,29379,019,90869,487,45410|Page
City ofMilIbrae Operating & Capital Budget Fiscal Year 2020-2021City Expenses:The City ofMillbrae expenses can be grouped into several broad categories:Operating Expenses include:Salary and Benefits costs including other expenses related to personnel such as•0retirement (PERS) costs, health and related benefits as well as transfers to fundPension Obligation Bond debt service, and Other Post-Employment Benefits(OPEB) [also called retiree health benefits].o Services & Supplies including all non-salary operating costs such as contractservices, utilities, legal services, police and fire contracts, and transfers to fundshared operating programs such as workers compensation and general liability(interdepartmental services).o Debt Service costs to pay current debt obligations of the City including bonds andcertificates of participation (COP).o Interdepartmental Services or Operating Transfers include transfers from one fundto another such as for general fund subsidy of another fund or for a fund toreimburse the general fund for costs of general administration.Capital and Special Project Costs include:Special Projects include one-time projects such as planning and engineering studiesand technology upgrades.Capital Equipment include purchases of equipment that meet the capital equipmentthreshold established in the City's Capital Asset Policy.o Capital Projects include infrastructure projects such as streets, facilities, water, andsanitation projects that meet the capital equipment threshold established in theCity's Capital Asset Policy.0011 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Fund[General FundMeasure AMeasure WHighway Users TaxRecreationCommunity Center CapitalIntegrated Waste MgmtLow-Mod HousingSan Mateo Street Sweeping[Successor Agency(ROPS)Police Remodel LoanLibrary G.O. Bonds[Taxable Pension BondsField License AgreementDeveloper Housing FeesGeneral Plan UpdateDocument Imaging NeedsPEG (Public Education and Access)Sanitary SewerSewer ModernizationWateritorm DrainWorker's CompensationGeneral LiabilityUnemploymentGaragei/ehicle Replacement Fundrotal All Funds2019Actual38,822,7082,563,936858,6401,770,9041,138,689198,37740028,379467,976260,758608,1881,116,892479,0942,0832,430,4319,669,9987,878,7162,114,909445,443393,7272,61179,0711,014,9712020Amended Budget40,305,8982,384,324100,0001,398,4371,876,9142,659,497267,44499,740706,551267,130617,6881,160,001502,62350,00011,121,37617,245,13310,487,7113,390,144211,524649,86130,001697,963504,7312021Proposed Budget32,197,351780,000211,0001,224,1071,923,230297,9941,00031,466674,774263,339624,1631,199,999502,3395,000100,0009,982,5008,759,08211,000,0001,154,984350,506497,15917,203746,845825,00072,346,90296,734,69173,369,04112 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Global Changes Affecting All FundsThe primary change affecting all funds is cost containment. The following costcontainment measures have been taken:1. No new headcount is added without approval of the City Council.2. Freeze any open headcount; filling of any position requires approval of the CityCouncil.3. Furlough part-time positions unless cost recoverable or detennined essential.4. Freeze purchases of vehicles and equipment unless approved by the City Council.5. Freeze IT hardware and software updates except those already underway or in anemergency.6. Freeze all capital improvement projects from the General Fund except those alreadyunderway7. Discontinue to significantly decrease contractual services.8. Freeze spending on upgrades or deferred maintenance on facilities except in anemergency.9. Staff will apply for FEMA reimbursements.CalPERS increase: The City's share of the "normal" retirement rate increased from13.945% of payroll to 15.037% of payroll. Employees pay 5.5% of the employer cost. TheUnfunded Actuarial Liability (UAL) for the City increased from $1.8 million to $2.0million. The UAL portion is allocated to each department based on employee PERS costs.Transfer to the General Liability Insurance Internal Service Fund has been updated tocurrent rates. Transfers to Garage Fund and Vehicle Replacement Fund had been zeroedout in this proposed budget. Staff expects to resume funding these Internal Service Fundsat mid-year review, depending upon the state of the economy following COVID 19 impact.13 I Page
City ofMiIlbrae Operating & Capital Budget Fiscal Year 2020-2021General Fund OverviewIn the prior two fiscal years, the City has funded a robust capital improvement program toimprove the pavement condition of City streets. Beginning with Fiscal Year 2020 -2021,this program is not funded. All General Fund capital improvement spending has beendeferred pending the outcome of the economic impact ofCOVID 19.General Fund Revenue:The General Fund supports most City services such as Administration, Human Resources,Finance, Community Development, Public Works (Engineering, Streets Maintenance,Facilities Maintenance, and Parks Maintenance), and Public Safety (Police and Fire).Taxes represent 65.5% of General Fund revenues; included are Property Tax, Sales andUse Taxes, and Transient Occupancy Tax (TOT). Other General Fund revenues includefranchise fees, fines, forfeitures, service charges, and permits and fees.By itself, TOT comprised 25.8% ($8,300,000) of the amended Fiscal Year 2019 - 2020budget. Given the sharp decline in TOT due to COVID 19, proposed TOT for Fiscal Year2020 - 2021 has dropped to 16.1% ($4,790,702) of the General Fund budget, a year overyear decline of $3,509,298. The City's TOT rate (aka hotel tax) is 12.0%Sales and Use Tax comprised 10.2% ($3,290,593) of the amended Fiscal Year 2019-2020budget. Given the sharp decline in Sales Tax due to COVID 19, proposed Sales Tax forFiscal Year 2020 - 2021 has dropped to 7.5% ($2,234,323) of the General Fund budget, ayear over year decline of $1,056,270.All other proposed revenues have a year over year net increase of $2,185,658 due toexpected building permit activity and increases in cost allocation to other funds per the costallocation study.General Fund Revenue5.0%, Public Safety.8.8%, Other9.5%, CommunityDevelopment7.6%,Interdepartmenl^3.7%, FranchiseFees41.8%, Property Tax16.1%, TOT Tax7.5%, Sales and UseTax14 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021THECITYOFMILLBRAEPROPERTY TAX DOLLAR BREAKDOWNS 0.2817 San Mateo CountyS 0.2054 San Mateo Union High School DistrictS 0.1716 Mllbrae Elementary General Purpose$0.1579 MNbrae General Rjnd$0.0806 San Mateo Junior College General PurposeS 0.0419 County Education Tax$0.0411 County Librarys o.Dicns pwwaa rtowut DtwciI 0,CO»i9 Cwrrv rtnor OtBDCiS 0.002M Bay Ana. AT PoiuoonS 0.00228$1.0000In addition to the General Property Tax, San Mateo County collects the following on behalfof the City and Districts located in the City:Fire Assessment and Storm Drain Fees on behalf of the City ofMillbrae.Millbrae Library Bond (0.0122%)• Millbrae School District Bonds (0.043%)San Mateo High Bonds (0.0415%)San Mateo Junior High Bonds (0.0247%)••15 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Sales Tax:The sales tax rate in the City ofMillbrae is 8.75%. The City generally receives 1% of aslocal sales tax. Sales tax revenues are collected by the State and allocated as shown in thebelow graph:OVf OF MILLBRAE SALES TAX BREAKDOWNSan Matco CountyTransit District,0.50%San Mateo CountyTransportation Authority, |0.50% [San Mateo CountyTransactions & Use Tax, 0.50%San Matco CountyfTransportation), 0.25%State: General Fund3.94%»-";3"*iK§^^City of Millbrae (Local), 1%s^State- Local Rtvnuc Fund,1.06%State LocalHealth & Social Services, 0.50%State: Local public —faty,0.50%In addition to the 1% "Bradley Bums Rate", the City receives a share of other sales taxrevenues collected by the State including Public Safety Sales Tax which is restricted topublic safety purposes as well as Measure A, and Measure M which are restricted fortransportation (streets) projects.16 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Public Safety Charges:Public Safety Charges include fines, forfeitures, and charges for services. This revenueincludes revenue from citations, permits, and alarm monitoring fees.Franchise Tax;Franchise Taxes are collected from businesses that are granted franchises to provide utilityservices in the City including Telecommunications (Comcast & AT&T), Garbage (SouthSan Francisco Scavenger), and Gas & Electric (PG&E). The City is realizing strongperformance in this revenue item but cautions that collections are based on fluctuations incommodity prices and economic issues.Permits, Engineering, and Planning Fees:While the primary mission of government is to satisfy community needs, many Cityservices solely benefit specific individuals or businesses. It is the City's policy that thepublic at large should not subsidize activities of private interest through general taxrevenues. The City has therefore established user fees to ensure that those who useproprietary services pay for those services in proportion to the benefit received. Fees thatdo not recover the full cost of providing the service result in a General Fund subsidy whichshifts funds away from other critical and high priority programs that may not have similarcost recovery options.Other Revenue Sources:Use of Money and Property (Interest & Rent):Intergovernmental Revenues such as Federal, State, and County Grants. This categoryincludes vehicle license fees, state mandate reimbursements and grants. Grants aretypically tied to spending on projects and may fluctuate significantly each year.Reimbursements, Charges for Services and transfers from other funds typically toallocate administrative overhead charges.17 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021General Fund Revenues:2020 20212019 Amended ProposedCategory Actual Budget BudgetI Property Tax 12,749,854 12,441,816 12,555,358jSalesand UseTax 3,312,020 3,290,593 2,234,323jTOTTax 8,810,889 8,300,000 4,790,702[Franchise Fees 1,126,418 1,101,466 1,100,000[Interdepartmental 641,631 1,114,413 2,250,011ICommunity Development 1,864,071 1,870,270 2,831,000Public Safety 1,458,495 1,428,181 1,480,000Other 2,506,862 2,592,948 2,631,925TOTAL 32,470,239 32,139,687 29,873,319General Fund Expenses:The General Fund in divided into departments as follows:DepartmentiNon-Divisional|City Council|City Attorney|City Manager|City ClerkIHuman ResourcesFinanceCommunity DevelopmentPublic WorksPublic SafetyTOTAL2019Actual4,736,199204,291104,975822,880501,256587,9862,384,5403,857,9908,319,50017,303,0892020AmendedBudget4,284,182239,232225,0001,034,446533,541496,1752,897,7043,635,53110,401,05816,559,0292021ProposedBudget3,455,222184,766125,000676,789371,538504,9282,314,7142,598,4804,507,81017,458,10438,822,706 40,305,898 32,197,35118[ Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020 - 2021Department BudgetsAll operating departments manage budgets in other funds in addition to the General Fund.Budget details for each department including funding sources and capital or specialprojects managed by each department will follow.General Fund Operations are generally paid from discretionary revenue addressedpreviously in this budget document.Non-Departmental / Non-Divisional (Department 00):Non-Departmental expenses represent functions that span the entire City organization. Inthese cases, instead of allocating expenses to a specific General Fund department, theexpenses are charged through this Non-Departmental budget simplifying accounting andallocation through a larger cost allocation plan. Non-Departmental expenses includeutilities on City buildings (gas, electric, water and sewer), custodial services, leases, website maintenance, and coiiununications. In addition, general supplies that are for the benefitof the entire City rather than a specific department are also included. For example, postageis primarily charged to this department unless a specific department requires a bulkmailing. Transfers to other funds are also budgeted in this department.Funding Source: General FundBelow is a summary of operating costs for this department:ExpenseSalaries and Benefits *Services and SuppliesOperating TransfersCapital TransfersTOTAL*Retiree Health Insurance2020Amended 20212019 Actual Budget Proposed5,459 - 200,000555,219 316,228 247,5451,845,000 2,452,954 2,907,6772,330,520 1,515,000 100,0004,736,199 4,284,182 3,455,22219 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Transfers include:Transfers to support operations in funds that are do not have sufficient revenues tosupport required expenses (Recreation, Field License Agreement, Storm Drain)Transfers to Debt Service Funds for payment of outstanding debt (Debt Service 1999Police Remodel)• Transfers to Utilities for Customer Assistance ProgramTransfers to support Capital Projects included in recommended capital budget.Budgeted operating transfers are further detailed below:•Description|To Recreation Fund for[Operating Costs|To Police Remodel Fund forBond PaymentTo Field License Agreementfor Operating CostsTo Storm Drain forOperating CostsTo Storm Drain for CapitalCostsTOTAL2021ProposedBudget1,298,545263,339467,827877,966100,0003,007,677\20| P a ge
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021City Council (Department 10)The City Council is the elected body that oversees all municipal operations. The CityCouncil provides policy leadership and acts as the legislative arm of City government. Thefive members of the City Council are elected at large and serve overlapping four-yearterms. The City Council serves as the Successor Agency to the Successor Agency to theMillbrae Community Development Agency.Each member of the City Council is provided a salary in accordance with State law. Inaddition, Councilmembers are eligible for benefits including PERS retirement, health,dental, and vision care coverage for Councilmembers and their dependents.Funding Source: General FundDescriptionSalaries and BenefitsServices and SuppliesTOTAL2020 20212019 Amended ProposedActual Budget Budget90,097 72,585 62,042114,195 166,647 122,724204,291239,232184,76621 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021City Attorney (Department 20)City Attorney Services are contracted by the City. The City Attorney is appointed by CityCouncil to ensure compliance with laws as well as provide guidance and legal support.When necessary, the City attorney will advise leadership regarding content of ordinances,resolutions, and contract language as well as providing representation in the event oflitigation.This budget provides general legal services for citywide actions and activities. In addition,most departments have a legal services line item for legal needs specific to the department'sactivities.The budget for this general department has decreased because many specific City Attorneyactivities are budgeted in the departments requesting the service.Funding Source: General FundDescriptionSalaries and BenefitsServices and SuppliesTOTAL2019Actual104,9752020AmendedBudget225,0002021ProposedBudget125,000104,975225,000125,00022 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021City Manager (Department 30)Administrative Services (Department 40)City Manager - Fund 101 [ Department 30 | Division 21 1City Clerk - Fund 101 | Department 30 | Division 232The City Manager is the chief executive officer of the municipal government to whom alldepartment heads and employees report. The City's Manager's mission is to carry out thepolicies and programs approved by the Council and provide administrative leadership.The Manager is responsible for overseeing the daily operations of the City and ensuringthat City services are delivered in an economical and effective manner.The City Manager provides support to the City Council by guiding the staff inaccomplishing the mission of the City and achieving the Council-approved Strategic PlanActions. The City Manager's Office is also responsible for providing information to thepublic about significant activities of the City, special projects, and representing the Citywith other governmental agencies.The City Manager's Office oversees and assures effective and efficient delivery of allmunicipal services through the City's operating departments to citizens, businesses, andinstitutions including:Policy-making assistance through analyzing issues and presenting staff reports at CityCoimcil meetings;• Directing the annual update of the City's Strategic Plan for Council review andapproval;Producing the City budget from which the Council funds projects and programs inaccordance with the approved Strategic Plan;Providing administrative assistance to the City Council;Assisting residents with City services or regulations;Monitoring and controlling activities of all City departments through leadership andcoaching of the City's Executive Management Team.The City Manager's Office and Administrative Services Department manage the CityClerk, Government Access, Human Resources, General Liability Functions, andInformation Technology for the City.City Clerk and Government Access DivisionThe City Clerk's Office keeps the public informed regarding the business of the City andensures opportunities for public participation in local government. The City Clerkperforms a wide variety of services for the City of Millbrae and provides administrativesupport to the City Council and City Manager including:23 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Coordination of Council Agenda Packets and MinutesManagement of Public Records Act Requests• Management of Liability ClaimsCity Communications and Media RelationsElectionsThe City Clerk is the custodian of records for the City and oversees Millbrae's generalmunicipal elections. The City Clerk also serves as the local filing officer for the FairPolitical Practices Commission.The Government Access Division provides for public access to government activitiesprimarily through management of the City's Government Channel. Meeting agendas andnotices. City department announcements, and news releases are placed on MillbraeCommunity Television (MCTV), Channel 27 cable access, as well as on the City's website.Human ResourcesHuman Resources functions include:o Labor negotiations,o Recruitment,o Employee benefits administration, ando Related functionsIn addition to supporting the accomplishment of all City goals, in 2019/2020,accomplishments of the City Manager and Administrative Services Departments included:City Clerko The City's records repository in Laserfiche adopted as a trusted systemo Implementation of Public Portalo Expanded Records Management Program to Public WorksHuman Resourceso Implementation of new employee benefitso Received Draft Final Classification and Compensation Studyo Update Administrative Policies and ProceduresDuring 2020, in addition to supporting the achievement of all Council goals, the CityManager's Department will focus on the following initiatives:• City Clerko 2020 Municipal Electiono Expansion of Records Management Program to Community Development, Financeand Recreationo Creation of electronic form templateso Implementation of City employee email retention policy24 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Human Resourceso Labor Negotiations as current Tentative Agreement is set to expire on June 3 0,2020o Assist with implementation of new payroll system, ADPo Update Administrative Policies and ProceduresFunding Source: General FundDescriptionSalaries and BenefitsServices and SuppliesTOTAL2019 Actual1,089,265822,8581,912,1232020AmendedBudget1,160,227903,9352,064,1622021ProposedBudget991,908561,3471,553,255In addition to programs funded by the General Fund, the City Manager and AdministrativeServices Departments administer the following:Special Revenue or Restricted Funds:o Public, Education, and Government (PEG) Access (Fund 542)Internal Service Fundso Worker's Compensation (Fund 770)o Insurance: General Liability (Fund 771)o Unemployment Benefits (Fund 772)Public Education and Government (PEG) Access (Fund 542)The Public Education and Government Access (PEG) Fund is revenue received from cabletelevision subscribers. Use of these funds is restricted to capital facilities and equipmentto improve public access to government. No capital projects are currently planned.25 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021DescriptionRevenuesUse of Money & PropertyExpensesCapital ProjectsNet2019 Actual4,0422020AmendedBudget5002021ProposedBudget3754,042500375Worker's Compensation (Fund 770)The City is self-insured for Worker's Compensation claims and manages those coststhrough a dedicated internal service fund. The City is responsible for claims up to $300,000and is insured for claims in excess of $300,000. Based on actuarial study, funds areallocated to the departments based on share of employee costs with a greater cost shareallocated to departments with employees categorized as labor employees.DescriptionRevenuesUse of Money & PropertyInterdepartmental ServicesTOTAL REVENUEExpensesSalary and BenefitsServices and SuppliesTOTAL EXPENSESNET2020Amended2019 Actual Budget119,114676,712795,82610,902434,542445,443350,382704,171704,17134,218177,306211,524492,6472021ProposedBudget690,441690,44134,660315,846350,506339,935Insurance: General Liability (Fund 771)The City Manager Departments oversees the General Liability function for the City. In2018, the pooled liability program managed by ABAG was transitioned to the PooledLiability Assurance Network (PLAN) Joint Powers Agreement (JPA). Costs of insuranceand a set-aside for claims is shared with all departments based on employee costs. Nettransactions are covered by fund balance.26| P a ge
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Description[RevenuesUse of Money and PropertyInterdepartmental ServicesTOTAL REVENUEExpensesSalary and BenefitsServices and SuppliesTOTAL EXPENSESNET2019Actual10,852650,000660,85249,867343,860393,727267,1252020AmendedBudget650,000650,00042,568607,293649,8611392021ProposedBudget412,617412,61745,946451,213497,159(84,542)Unemployment (Fund 772)The City is self-insured for Unemployment and pays claims to the State EmploymentDevelopment Department as they occur. Funds are allocated to the departments as apercentage of payroll.DescriptionRevenuesUse of Money and PropertyInterdepartmental ServicesTOTAL REVENUEExpensesServices and SuppliesTOTAL EXPENSESNET2019Actual1,10628,5142020AmendedBudget29,66029,62029,6602,61130,0012,61130,0012021ProposedBudget29,08629,08617,20317,20327,009(341L11,88327 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020 - 2021Finance (Department 50)The Finance reports to the City Manager.Finance - Fund 101 | Department 50 | Division 610Successor Agency Administration - Fund 101 | Department 50 | Division 650The Finance Department is responsible for the functional areas of accounting, billing,budgeting, and financial reporting. Responsibilities of the finance department includeutility billing, purchasing, accounts payable, payroll, accounts receivable, revenuemanagement, business license administration, audit, cash management, debt management,investment management, forecasting, and planning.The department provides management review, ongoing monitoring and comprehensiveplanning that will better enable City executive staff and City Council to make informedfinancial decisions.The Finance Department supports the Enterprise Funds (sanitation, water, and storm drain)by providing utility billing and customer service.In 2019, the Finance Department completed:Master Fee Schedule including Cost Allocation PlanIn 2020, the Finance Department will focus on the following initiatives:On-line utility billing systemOngoing cross-trainingRevenue Enhancement StudyLong-term Financial PlanningPolicy DevelopmentSuccessor Agency DivisionThis division administers activities of the Successor Agency and tracking of costsassociated with those activities which are intended to be reimbursed by RedevelopmentProperty Tax Trust Funds (RPTTF).••DescriptionSalary and BenefitsServices and SuppliesTOTAL2019Actual1,310,3261,074,2142,384,5402020AmendedBudget1,443,6981,454,0062,897,7042021ProposedBudget1,388,142926,5722,314,714In addition to programs funded by the General Fund, the Finance Department administersthe following:28 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Special Revenue or Restricted Funds:o Redevelopment Agency (RDA) Obligation Retirement (Fund 326)Debt Service Funds:o Debt Service 1999 Police Remodel (Fund 354)o General Obligation Bonds IVTillbrae Library (Fund 355)o 2004 Taxable Pension Obligation Bonds (Fund 356)The Finance Department manages debt services for utility funds including:o 2009 State Water Resources Control Board Loan (Fund 660)o 2009 Certificates of Participation (Fund 660)Annual costs of debt associated with the City's business-type activities (Sanitation [Sewer],Water Utility, and Storm Drain) are included under the Public Works Department.Successor Agency Redevelopment Development Agency (RDA) Obligation Retirement Fund(Fund 326)In 2011, the State of California eliminated redevelopment agencies statewide.Redevelopment agencies performed a variety of functions especially related to financingof infrastructure improvements or housing. This legislation includes guidelines forremittance and a payment schedule for State recognized and approved expenses. Everyyear the City submits detail of anticipated payments based on items previously authorizedby the Department of Finance. (The Successor Agency Administration Division outlinedabove is a charge to this fund but is separated because direct administrative expensescannot be charged to this fund.)Description[RevenuesUse of Money and PropertyProperty TaxesTOTAL REVENUESExpensesServices and SuppliesDebt ServiceTOTAL EXPENSESNET2020Amended2019 Actual Budget7,190669,802676,992234,131233,845467,976209,016706,551706,551225,000481,551706,5512021ProposedBudget705,501705,501195,000479,774674,77430,72729 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Debt Service 1999 Police Remodel (Fund 354)The City uses debt service funds for tracking of revenue and interest related to long termdebt principal and interest. Funds are transferred into the debt service funds from theappropriate fund. As public safety is a general fund function, transfer is made from theGeneral Fund to the debt service fund in an amount enough to make the debt paymentincluding principal, interest, and administrative costs.DescriptionRevenuesOperating Transfer In[TOTAL REVENUESExpensesDebt ServiceTOTAL EXPENSESNET20202019 AmendedActual Budget260,000267,1302021ProposedBudget263,339260,000267,130263,339260,758267,130263,339260,758267,130263,339(758)General Obligation Bonds Millbrae Library (Fund 355)The City uses debt service funds for tracking of revenue and interest related to long termdebt principal and interest. This General Obligation Bond was approved by voters in 2001for the Millbrae Public Library Project and is paid from funds collected by the County aspart of property tax payments. The debt was refunded in 2013 resulting in reduction indebt service payments of $1,659,678 over the life of the debt.DescriptionRevenuesProperty TaxTOTAL REVENUEExpensesDebt ServiceTOTAL EXPENSESNET2019Actual652,3602020AmendedBudget617,6882021ProposedBudget624,163652,360617,688624,163608,188617,688624,163608,188617,688624,16344,17230| P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-20212004 Taxable Pension Obligation Bonds (Fund 356)The City uses debt service funds for tracking of revenue and interest related to long termdebt principal and interest. Funds are transferred into the debt service funds from theappropriate fund. Debt service payments associated with this Pension Obligation Bond areallocated to all departments based on share of total pension obligation including unfundedactuarial liability.Description[RevenuesUse of Money and PropertyInterdepartmental ServicesTOTAL REVENUEExpensesDebt ServiceTOTAL EXPENSENET2020 2021Amended Proposed2019 Actual Budget Budget19,9061,115,0001,160,001 1,200,0001,134,906 1,160,0011,200,0001,116,8921,160,001 1,199,9991,116,8921,160,0011,199,99918,014131|Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020 - 2021Recreation - Fund 215City Provided Classes | Department 81Special Events | Department 82Contract Classes/Programs | Department 83Facility Rental | Department 84Administration | Department 88The Mission of the Recreation Department is "To engage the community in quality, innovative,and exciting experiences."The Recreation Department manages several recreation functions for the City includingprograms for children, teens, adults, and seniors. Programs are provided by City staff andthrough contracted instructors. In addition, the Recreation Department administersagreements for use of City facilities by others.The Recreation Department staffs and supports the following commissions andcommittees: Cultural Arts Advisory Committee, Parks and Recreation Commission,Senior Advisory Committee, Sister Cities Commission, Youth Advisory Committee, andBike & Pedestrian Committee.In 2019 - 2020, the Recreation Department accomplished the following:o Council Goal: Recreation Center Recovery & Rebuildo Recreation Center Schematic Designo Technical Advisory and Project Management Teamo Created a new 2nd/3rd grade coed basketball league with 100 registered youtho Adult Sports Successo Adult Basketball- 100% increase in team registrationso Adult Volleyball- 25% increase in team registrationo Adult Soccer- first 2 seasons were 100% full with waitlisto Contract Classes/Programs & Campso 26% increase in contract summer camp offerings for summer 2020 oversummer 2019. There was also a 28% increase in contract summer campofferings for summer 2019 over summer 2018.Pre-School & Senior Programso 30% increase in Tiny Tots registration from Spring 2019 to Spring 2020.o Overall participation numbers increased 20% from Calendar Year 2018 toCalendar Year 2019.o January 2020 senior program revenue increased 25% over January 2019o Self-Help for the Elderly expanded from 1 day/week to 332 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021o Senior Advisory Committee sponsors a Senior Lounge once/montho Partnered with Collette Vacations to offer senior tripsNew Events and Initiativeso Managed applications and logistics for 40 Special Events in 2019o Created a skate park user groupo Partnered with other community orgs for the first annual Millbrae BikeRodeo and the first annual Disaster Prep Dayo 3 successful Beats & Brews on Broadway concertso Play Share Equipment Locker at Central Parko Community Garden has 41 spaces that are 100% soldo Partnered with the Rotary Club to offer first annual Mayor's Cup- raised$25K to support youth programs and the Recreation Centero Pet and children photos with Santa and Mrs. Clause as a fundraisero National Fitness Campaign Fitness Court (on hold)o Rotary Grant Funded Disc Golf Course Project (on hold)o Hired a new Recreation Coordinator and a new Recreation SpecialistGrants Submittedo Prop 68 State Park Revitalization Program- $8.5 milliono Prop 68 Per Capita Fund- at least $200Ko San Mateo County Office of Sustainability Garden Fund- $25Ko Millbrae Rotary- $ 1 OK for disc golf courseo Kaboom! Grant for Bayside Manor- playground equipmento National Fitness Campaign- $3 OKo Peninsula Health Care District- $50Ko Millbrae Lions Club- $5Ko Recreational Trails Program for Upper Spur Trail Development- $250Ko Land and Water Conservation Fund Skate Park Renovation and FitnessCourt- $500Ko Land and Water Conservation Fund Recreation Center Outdoor Space-$1.75 milliono Measure K- $500K for Schematic Design ofRec CenterGrants Received:o Millbrae Community Garden33 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020 - 2021$25K upfront with $5K recurring annually- San Mateo CountyOffice of Sustainabilityo Fitness Court$50K- Peninsula Health Care District$3 OK- Healthy City Grant$5K- Millbrae Lions Club$5K- National Fitness Campaign Challenge Grant$2,500 Millbrae Community Foundation$1K- South San Francisco Scavengerso Potential Disc Golf Course$1 OK- Millbrae Rotary Clubo Recreation Center$500K for Schematic DesignDescriptionRevenuesRecreation FeesOperating Transfers InTOTAL REVENUESExpensesSalary and BenefitsServices and SuppliesTOTAL EXPENSESNET2019Actual603,8291,150,0001,753,8291,203,563567,3411,770,9042020AmendedBudget717,1201,165,374(17,075)1,882,4941,184,251692,6635,5802021ProposedBudget628,0001,298,5451,926,5451,326,892596,3381,876,914 1,923,2303,31534 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Community Center Rebuild (Fund 216)The Community Center Rebuild Fund was established to create a funding mechanism foractivities necessary to rebuild the Millbrae Recreation Center which was destroyed by afire in July 2016. Activities in Fiscal Year 2019 - 2020 included the design phase.Activities in Fiscal Year 2020 - 2021 will include construction. Negative results ofoperations were covered by fund balance. Budget requests for Fiscal Year 2020 - 2021 willbe made of Council when the construction contract is approved.DescriptionRevenuesUse of Money and PropertySale of AssetsTOTAL REVENUEExpensesServices and SuppliesCapital OutlayTOTAL EXPENSESNET2019Actual84,414172,993965,6962020AmendedBudget2,250,00084,414 2,250,0001,220,0001,439,4971,138,689 2,659,4972021ProposedBudget(1,054,275)(409,497)35 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Community Development (Department 60)The Community Development Department (CDD) is responsible for the functional areasof current and long-range planning, building, code enforcement, housing, and economicdevelopment. CDD staffs and supports several commissions and committees including:Planning commission, Community Enhancement Advisory Committee, and EconomicVitality Advisory Committee.Five City Council Strategic Initiatives:7. Define the Millbrae Community ofTomorrow/Built Environment2. Sustainable City/Infrastructure Investment3. Quality of Life/Neighborhood Enhancement/Strong Community4. City Government Organization SuccessJ. Fiscal Sustainability/Economic DevelopmentThe cost of many community development activities are recovered from projectapplications using the fees established in the City's fee schedule. In 2019, the City Counciladopted an updated fees schedule to capture the "true" cost of conducting business withthe hope of 100% cost recovery.In 2019, CDD accomplished the following:Enacted short term rental ordinanceEnacted smoking ban at multi-unit dwellingCompleted accessory dwelling unit (ADU) community outreachApproval of Gateway @ Millbrae Station and Serra Station transit orienteddevelopmentsEstablished on call planning and building services contracts with multiple firmsMet Regional Housing Needs Allocation (RHNA)Initiated Business Improvement District outreach effortIn 2020, CDD will focus on the following initiatives:Continue making progress on General Plan and Downtown/El Camino RealSpecific PlanEstablish Citywide Parking Authority/DistrictFinalize Downtown Business Improvement DistrictIntroduce wireless and small cell ordinanceIntroduce ADU ordinanceFinalize Climate Action Plan (CAP)Initiate commercial and residential design guidelinesInitiate streetscape design guidelinesContinue with economic development efforts36 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020 - 2021Continue to work with San Francisco International Airport on promoting Millbraeas a tourism destination especially for transit passengersFunding Source: General FundDescriptionSalaries and BenefitsServices and SuppliesTOTAL2019Actual1,614,1792,243,8112020AmendedBudget2,025,4581,610,0732021ProposedBudget1,342,5321,255,9483,857,9903,635,5312,598,480Other funds administered by the Community Development Department include:Developer Funds:o Developer Permits (Fund 103)o Developer Fees: Serra Project (Fund 150)o Developer Fees: Bart Site 5 Project (Fund 151)Special Revenue or Restricted Funds:o Developer Housing Fees (Fund 531)o General Plan Update Fees (Fund 532)o Document Imaging Fees (Fund 540)Deposit Funds:Developer Permits (Fund 103),Serra Station (Fund 150),Gateway @ Millbrae Station (Fund 151)Staff recommends that these funds are not budgeted as part of the annual budgetprocess. Instead, staff recommends that City Council authorizes the City Managerto increase budgeted revenues and budgeted expenses in departments specificallyfor development related expenses such as expedited plan checks, legal reviews,traffic studies, geotechnical studies, etc., where the developers pay in advance forexpenses that the City contracts out or otherwise recovers from fees as those depositfunds are received. This will avoid delays in needed contracts or other relatedactivities on behalf of developers who are typically working on time sensitiveprojects and assure that projects are processed efficiently. In those cases, uponreceipt of those deposits or payments, the City Manager will approve an increaseto the budget for revenues and expenses in the appropriate departments where those37 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021expenses will take place by a corresponding amount. These transactions will haveno net impact on reserves as such revenue will offset expenses.Developer FeesHousing Fees (Fund 531)General Plan Update (Fund 532)Document Imaging (540)Developer Fees are funds from project applicants that are held for future long-termprojects such as affordable housing, general plan update, and document imaging.Annual expenses typically include shared services for county-wide functions. Negativenet transactions are covered by fund balance. When funds are required for an associatedexpense such as a capital or special project, a request will be made to Council fornecessary appropriations.DescriptionIRevenuesUse of Money and PropertyPermits and FeesTOTAL REVENUESExpensesServices and SuppliesTOTAL EXPENSESNET2019Actual144,85371,4612020AmendedBudget10,00045,000216,31455,0002,08350,0002,08350,000214,2315,0002021ProposedBudget7,50060,14567,645105,000105,000(37,355)38 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020 -2021Public Works (Department 70)The Public Works Department is responsible for city infrastructure including the functionsof: engineering, streets, facilities, parks maintenance, field license agreement, sanitation /sewer including sewer modernization program, water pollution control plant (WPCP),water utility, water conservation, and storm drain programs including National PollutantDischarge Elimination System [NPDES]).Five City Council Strategic Initiatives:6. Define the Millbrae Community ofTomorrow/Built Environment7. Sustainable City/Infrastructure Investment8. Quality of Life/Neighborhood Enhancement/Strong Community9. City Government Organization Success10. Fiscal Sustainability/Economic DevelopmentIn 2019, the Public Works Department accomplished the following:o Streets:Paved Old Bayshore, Rollins, Larkspur, Springfield, Crestview, ValenciaSlurry Sealed Anita, Lomita, Helen, Santa Teresa, Santa Floritao WaterCompleted feasibility and preliminary design of the Skyline Water TanksreplacementBegan preparing plans and specifications for the next water main replacementprojectCompleted failure analysis of the water distribution systemo Sewer:Replaced 6 Miles of Sanitary Sewer MainsCompleted feasibility study ofMadrone Pump Station rehabilitationInitiated Madrone sanitary sewer force main rehabilitationo Storm drain:Completed final design for the Millbrae Avenue culvert replacement projectReplaced the aging Hillcrest Pump Station emergency generatorCoordinated with SFO to clean the Lomita CanalCompleted Taylor Green Infrastructure Pilot Projecto Facilities:Reroofed City Hall buildingReplaced aging emergency generator at Fire Station 3839 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020 - 2021Repainted Fire Station 38 and Millbrae Historical Museumo Water Pollution Control PlantRenewed the National Pollutants Discharge Elimination System Permit(NPDES)Completed recycled water feasibility reportRepaired Roof of the Dewatering BuildingReplaced Portions of the No. 3 Water Pipeline and Sludge LineCompleted Design for the Wastewater Disinfection (Hypochlorite) SystemUpgrade Projecto Parks Maintenance:Historical gazebo relocation to City HallDowntown trees replacementMuseum landscapeInstalled new flagpoles at City Hall Campus by the David J ChetcuttiCommunity RoomInstalled additional "Big Belly" trash compactorso Garage:Fleet RenewalRefresh of Equipment Replacement Fund & Separation from Garage FundIn 2020, the Public Works Department will focus on the following initiatives:Engineering/Sustainable Programs:o Integrate Water and Storm Systems into Sewer GISo Finalize the ATP (Active Transportation Plan)o Participate in CCAG programs (US 101 Managed Lanes, Get Us Moving)o Introduce revised sustainable food ware ordinanceo Introduce Climate Action Plan for adoptiono Revise street trees ordinanceo Update City standard specifications and detailso Expand Residential Preferential Parking Permito Improve Parking around Transit CenterStreets:, o Paving at Larkspur Drive and Broadway40| P a ge
City ofMillbrae Operating & Capital Budget Fiscal Year 2020 - 2021o Sluny Seal throughout the cityo Sidewalk replacement• Facilities:o Continue with City buildings maintenanceo Facilities Master Plan and development of Internal Service Fund ModelParks:o Implement components of Parks Inventory Plano Revitalize ECR median landscapeSewer / Sewer Modernization /WPCPo Replace 5 Miles of Sanitary Sewer Mainso Meet Baykeeper Consent Decree Timelineso Sewer Rate Reviewo Prepare for Nutrient Removal in Mid-2020Water:o Replace Broadway water maino Complete final design of Skyline Tankso Support Bay Area Water Supply & Conservation Agency (BAWSCA) Initiatives:Drought Regulations, Water Allocation, Water Rights Transfer, Water Shortage,Reclaimed WaterStonn water:o Municipal Regional Permit for Storm water (expenditure exceeded countywideprogram budget by $800K)o Consider legislation related to Storm Drain fees (SB231)41 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Public Works: Engineering - Fund 101 | Department 70 [ Division 240Public Works: Streets - Fund 101 [ Department 70 ] Division 251Public Works: Facilities - Fund 101 | Department 70 | Division 761Public Works: Parks Maintenance - Fund 101 | Department 70 | Division 831Funding Source: General FundDescriptionSalaries and BenefitsServices and SuppliesCapital OutlayTOTAL2019Actual2,747,3803,213,5902,358,5302020AmendedBudget2,527,3654,448,9503,424,7432021ProposedBudget2,400,9682,106,8428,319,500 10,401,0584,507,810In Fiscal Years 2018 - 2019 and 2019 - 2020, the City expended General Funds on CapitalImprovements, Streets Improvement Program. Continuing capital expenditures for FiscalYear 2020 - 2021 have been deferred until the full impact ofCOVID 19 is known. Projectsdeferred include:Sidewalk ProgramPavement Maintenance Program (Slurry Seal)Skyline Slope StabilizationTraffic Calming ProgramRichmond Dr Slope StabilizationMillbrae Ped/Bike BridgeRule 20A UndergroundingParking Implementation•In addition to programs and functions included in the general fund, other fundsadministered by the Public Works Department include:• Special Revenue or Restricted Funds:o Measure A: Transportation (Fund 205)o Highway Users Tax (HUT or Gas Tax): Transportation (Fund 211)o Integrated Waste Management (Fund 227)o San Mateo County Measure M: Street Sweep / Congestion (Measure A)(Fund 250)42| P a ge
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021o Field License Agreement (Fund 530)o Measure W: Roads and Transit (Fund 206)Internal Service Funds:o Garage Operations (Fund 773)o Vehicle Replacement (Fund 775)Enterprise Fundso Sanitation (Sewer) (Fund 660)o WetWeather Program (Fund 661)o Water Utility (Fund 670)o Storm Drain (Fund 680)Measure A: Transportation (Fund 205)Measure A: Transportation funds include revenues received from a countywide sales taxmeasure to provide resources for street and highway improvements. Negative nettransactions are covered by accumulated fund balance.Description[RevenuesMeasure A taxUse of Money and PropertyTOTAL REVENUESExpensesFees and AssessmentsCapital OutlayTOTAL EXPENSESNET2019Actual635,07087,3642020AmendedBudget575,00010,000722,434585,00054,7372,509,19960,0002,324,3242,563,9362,384,3242021ProposedBudget587,6337,500595,13360,000720,000780,000(1,841,502) (1/799,324) (184,867)Capital improvement projects have been using available Measure A fund balance. Projectsincluded in Fiscal Year 2020 - 2021 include:Funding from Measure A, Measure W, and Highway User Tax:Larkspur Pavement ProjectCorte Del Sol Pavement Project43 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Measure W: Roads and Transit (Fund 206)Measure W: Roads and Transit funds include revenues received from a countywide salestax measure to provide resources for roads and transit improvements. This revenue sourcebegan in Fiscal Year 2019 - 2020.DescriptionRevenuesSales and Use TaxTOTAL REVENUESExpensesCapital OutlayTOTAL EXPENSESNET2019Actual2020AmendedBudget140,0002021ProposedBudget261,170140,000261,170100,000211,000100,000211,00040,00050,170Fiscal Year 2020 - 2021 Capital outlay includes:Funding from Measure A, Measure W, and Highway User Tax:• Larkspur Pavement ProjectCorte Del Sol Pavement ProjectHighway Users Tax (HUT or Gas Tax): Transportation (Fund 211)Highway Users Tax funds include revenues collected by the state from taxes paid onpurchases of gasoline. Use of funds is restricted to maintenance and improvements ofstreets and roads. Capital improvement projects have been using accumulated fundbalance.DescriptionIRevenuesUse of Money and PropertyHighway Users TaxIntergovernmentalTOTAL REVENUESExpensesSalaries and BenefitsServices and SuppliesCapital OutlayTOTAL EXPENSESNET2019Actual25,566457,857473,832957,25482,609147,408628,623858,6402020AmendedBudget10,000496,076413,985920,061150,882154,3261,093,2291,398,4372021ProposedBudget7,500537,587400,734945,821153,165151,942919,0001,224,10798,614(478,376) (278,286)44 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Projects included in Fiscal Year 2020 - 2021 include:Funding from Measure A, Measure W, and Highway User Tax:• Larkspur Pavement ProjectCorte Del Sol Pavement ProjectIntegrated Waste Management (Fund 227)Integrated Waste Management funds include revenues collected from solid waste franchisefees that are dedicated to fund City programs for solid waste reduction and recycling.Revenues in excess of expenses are held in fund balance for future projects. Fiscal Year2020 - 2021 negative net transactions are covered by accumulated fund balance.Description[RevenuesLicenses and PermitsUse of Money and PropertyGrantsTOTAL REVENUESExpensesSalaries and BenefitsServices and SuppliesTOTAL EXPENSESNET2019Actual321,11328,2555,9812020AmendedBudget300,0002,0006,000355,349308,000155,49042,888144,762122,682198,377267,444156,97240,5562021ProposedBudget275,0001,500276,500165,908132,086297,994(21,494)San Mateo County Measure M: Street Sweep / Congestion (Fund 250)The C/CAG sponsored Measure M tax is collected on motor vehicles registered in SanMateo County and designated for transportation-related traffic congestion and waterpollution mitigation programs. The City primarily uses these funds for street sweeping andstorm drain programs.45 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021DescriptionRevenuesUse of Money and PropertyIntergovernmentalTOTAL REVENUEExpensesSalaries and BenefitsServices and SuppliesTOTAL EXPENSESNET2019Actual4,790146,030150,82027,0731,30628,379122,4412020AmendedBudget96,96196,96128,43471,30699,740(2,779)2021ProposedBudget83,17483,17430,63782931,46651,708Field License Agreement (Fund 530)The Field License Agreement Fund accounts for funds received and expended on thepartnership agreement between the City ofMillbrae and the Millbrae School District. Thesefunds provide for maintenance and upkeep of athletic fields owned by the School Districtand benefitting community members.DescriptionRevenuesRents and ConcessionsIntergovernmentalTransfers InTOTAL REVENUESExpensesSalaries and BenefitsServices and SuppliesTOTAL EXPENSESNET2019Actual21,25960,000435,000516,259308,066171,029479,09437,1642020AmendedBudget15,00060,000427,623502,623346,258156,365502,6232021ProposedBudget15,00060,000467,827542,827361,220181,607502,33940,48846| P a ge
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Sanitation (Sewer) (Fund 660)The Sanitation Fund includes programs associated with collection and treatment ofwastewater from City customers. This includes utility billing, engineering, operations,Water Pollution Control Plant (WPCP), and pretreatment. These costs are funded entirelyby collection of fees from customers. In 2018, costs related to the Sewer ModernizationProgram (previously called the Wet Weather Program) were moved into a separate funddescribed in the next section. Negative net transactions in Fiscal Year 2019-2020 arecovered by available fund balance.Description2019Actual2020AmendedBudgetIRevenuesSanitation ServicesConnection FeesUse of Money and PropertyService ChargesOther Revenues[TOTAL REVENUESExpensesSalaries and BenefitsServices and SuppliesCapital OutlayDebt ServiceTOTAL EXPENSESNET4,597,499134,493578,4582,660372,2459,685,0005,00050,0003,358,0513,767,164(5,469,624)774,8403,530,5075,041,74157,9182,491,2102021ProposedBudget9,750,0005,00037,500190,0005,685,355 9,740,000 9,982,5003,450,6403,885,650155,0002,491,2102,430,431 11,121,376 9,982,5003,254,924 (1,381,376)Fiscal Year 2020 - 2021 capital outlay includes:Hypochlorite System Improvements $155,00•Projects that will require available Sewer Fund Balance, funds to be appropriatelyindividually by Council when construction contract(s) are approved (Fiscal Year 2020 -2021 estimated costs):CoGeneration Rehabilitation (Design) $300,000Nearshore Outfall (Planning and Permitting) $100,000Sludge Thickeners Rehabilitation (Construction) $50,000Recycled Water Study (Feasibility Study) $75,000NBSU Force Main (Inspection and Planning) $200,000Equipment for Lab (Pretreatment) $100,00047| P a ge
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Sewer Modernization Program (Fund 661)In response to a consent decree from Baykeeper requiring the reduction of Sanitary SewerOverflows (SSO's) from the City's sanitary sewer collection system; the City has initiateda significant capital improvement program to meet the requirements of this consent decreewhich is focused on Rainfall Dependent Infiltration and Inflow (RDII or I/I). This programis funded by Clean Bay Charges collected from sewer customers. While these costs areconsidered a part of the Sewer program, staff recommends segregating this specificprogram to assure the specified charges are directed at program needs and associated debtservice.DescriptionRevenuesSewer Overflow ChargeUse of Money and PropertyBond Proceeds[TOTAL REVENUEExpensesSalaries and BenefitsServices and SuppliesCapital OutlayDebt ServiceTOTAL EXPENSESNET2019Actual8,527,182329,114691,528125,0258,167,309686,1362020AmendedBudget2,700,00065,0009,000,000539,376193,06715,481,5081,031,1829,669,998 17,245,1332021ProposedBudget2,700,0006,059,0828,856,296 11,765,000 8,759/082596,981120,0877,010,8321,031,1828,759,082(813,703) (5,480,133)Fiscal Year 2020 - 2021 Capital Outlay includes:CCTV Inspection Program $200,000Sewer Lateral & Main Replacements Program $500,000Flow Monitoring Program $100,000Madrone Force Main (Design and Construction) $4,500,000Sewer Main Replacement and Repair (various locations) $1,710,832••Projects pending issuance of Series B on the Wastewater Revenue Bond:Hillcrest SB 4 North $2,800,000Hillcrest SB 4 South $2,800,000Hacienda Life Station Improvements (Design) $140,00048 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020 - 2021Water Utility (Fund 670)The Water Utility Fund includes programs associated with distribution of water to City customers.This includes utility billing, engineering, operations, and water conservation. These costs arefunded entirely by collection of fees from customers. With the recent water rate increase, capitalimprovements are being planned and designed.DescriptionRevenuesWater Service FeesUse of Money and PropertyService ChargesOther[TOTAL REVENUESExpensesSalaries and BenefitsServices and SuppliesCapital OutlayDepreciationTOTAL EXPENSESNET2019Actual9,932,64957,13315,748224,7861,266,0615,576,098725,521311,0352020AmendedBudget11,050,00020,0001,422,5396,382,4062,682,7672021ProposedBudget10,980,00020,00010,230,316 11,070,000 11,000,0001,292,6446,227,5453,479,8117,878,715 10,487,712 11,000,0002,351,601582,288Fiscal Year 2020 - 2021 Capital Outlay includes:Larkspur Pump Station Rehab (Design and Construction) $300,000Water Tank Project (Design) $600,000SCADA Upgrade System (Design) $150,000AIMS Phase 2 (Asset Management Upgrade) $50,000Downtown Broadway (Construction) $1,800,000Water Main Replacement (various locations) $579,811•49| P a ge
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Storm Drain (Fund 680)The Storm Drain Fund is used to account for the administration, maintenance andimprovements of the City's Storm Drains. The storm drain fund receives fees that arecollected as part of property tax, but those fees are insufficient to meet program needs.Therefore, a transfer from the General Fund is made to support operations and capitalprograms in this Fund.DescriptionRevenuesProperty TaxTransfers InOtherTOTAL REVENUEExpenseSalaries and BenefitsServices and SuppliesCapital OutlayDepreciationTOTAL EXPENSENET2019 Actual243,8571,965,45815,886431,896382,0871,244,82156,1052020AmendedBudget240,0001,867,827212,5002,225,201 2,320,327417,076685,8582,287,2102,114,909 3,390,1442021ProposedBudget240,000977,96619,0001,236,966503,785551,199100,0001,154,984110,292 (1,069,817)81,982Fiscal Year 2020 - 2021 capital outlay includes:Hillcrest Storm Drain Improvement Project $100,000•Capital projects not included are:Millbrae Avenue Culvert Relocation ProjectCowan Canal Pump Station RehabAlleyway Culvert Roof RepairGeraldine Drive Storm Water ImprovementsGreen Streets Infrastmcture/Sea Level RiseHighline/Cowan Canal StudyAura Vista Storm Drain ReplacementCorte Nueva Storm Drain Replacement•50| P a ge
City of Millbrae Operating & Capital Budget Fiscal Year 2020 - 2021Garage Operations (Fund 773)The Garage Operations Fund includes costs associated with maintenance of City vehiclesand similar equipment. This account is funded through transfers from departments that usevehicles. Transfers in from other funds have been deferred in Fiscal Year 2020 - 2021pending more information regarding the impact ofCOVID 19. Expenses in Fiscal Year2020 - 2021 will be covered by Garage Operations available fund balance.DescriptionIRevenueUse of Money and PropertyInterdepartmental ServicesOther RevenueITOTALREVENUE[ExpensesSalaries and BenefitsServices and SuppliesCapital OutlayDepreciationTOTAL EXPENSESNET2019Actual3,672667,62469,4172020AmendedBudget657,1022021ProposedBudget740,713267,169266,410(796,713)342,205657,102302,801395,162331,393415,45279,071697,963746,845661,642(40,861)(746,845)51 I Page
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Vehicle Replacement (Fund 775)The purpose of the Vehicle Replacement fund is to provide a funding mechanism for theplanned replacement of existing vehicles and equipment. All funds are derived fromannual transfers made by City departments where the vehicles are assigned. The VehicleReplacement fund helps to prevent excessive swings in annual vehicle replacement costsby anticipating future vehicle and equipment replacement needs and amortizing thereplacement costs over time. When a vehicle is added instead of replaced, a transfer ismade from the department requiring the new vehicle. Transfers in from other funds havebeen deferred in Fiscal Year 2020 - 2021 pending more information regarding the impactofCOVID 19. Expenses in Fiscal Year 2020 - 2021 will be covered by accumulated fundbalance.Description[RevenueUse of Money and PropertyInterdepartmental ServicesTOTAL REVENUEExpensesCapital OutlayTOTAL EXPENSESNET2019Actual109,5152,054,1162020AmendedBudget436,9522,163,631436,9521,014,971504,7311,014,971504,7312021ProposedBudget825,000825,0001,148,660(67,779) (825,000)52 I P age
City ofMillbrae Operating & Capital Budget Fiscal Year 2020-2021Public Safety (Department 90)Associated Council Goal:Priority and commitment to public safety - Establish clearly defined ordinances fortemporary rentals, obtain Police Department and Fire Department tipdates abozit on-going programs during the Annual Report, and continue pziblic outreach at CityServices Day and other on-going events in the City.Public Safety (Department 90)Millbrae Police Bureau - Fund 101 ] Department 90 | Division 215Police Services are contracted to the San Mateo County Sheriffs Office who operates theMillbrae Police Bureau. The Millbrae Police Bureau strives to maintain low crime ratesand low response times.Police Services included in the contract with San Mateo County include:Police Chief (Sheriff s Captain) providing administrationPatrol services including two deputies and a supervising sergeant 24 X 7Traffic Enforcement including:o Part Time Community Services Officerso Motorcycle DeputyPortions of employees allocated to:o Investigative Serviceso Records Clerko Departmental Support including administration, fiscal, personnel, training, records,technical services and property evidenceo School Resources and Community Policing Units•Sheriffs Volunteers in Policing (SVIP's)• Other resources including: SWAT, Crime Suppression Unit, Vehicle Theft TaskForce, Psychological Emergency Response Team•Services and Supplies including vehicles, radio and communications, informationtechnology services, other servicesIn addition to costs of contact services for Police Services, the following costs are includedin the Police Division and managed through separate contracts where required:• One City staff in the Police DivisionShare of pension liabilities including 2004 Pension Obligation Bond and CalPERSUnfunded Actuarial Liability (UAL) which occurred before services were transferredto contract services53 I Page
" " C i t y o f M i l l b r a e O p e r a t i n g & C a p i t a l B u d g e t F i s c a l Y e a r 2 0 2 0 - 2 0 2 1 D i s p a t c h s e r v i c e s C o m m u n i c a t i o n s s e r v i c e s s u c h a s r a d i o t e l e c o m m u n i c a t i o n s C o s t s a s s o c i a t e d w i t h c o l l e c t i o n s o f f i n e s a n d f o r f e i t u r e s ( o f f s e t b y r e v e n u e ) J o i n t N a r c o t i c s T a s k F o r c e A n E m e r g e n c y O p e r a t i o n s C e n t e r ( E O C ) C o o r d i n a t o r i s i n c l u d e d i n t h e C i t y M a n a g e r ' s b u d g e t . I n c r e a s e s i n c o s t s o f s e r v i c e f o r P o l i c e S e r v i c e s a r e w i t h i n t h e 3 % t h r e s h o l d a g r e e d t o i n s e r v i c e a g r e e m e n t s . O t h e r i n c r e a s e i n d e p a r t m e n t a l c o s t s a r e r e l a t e d t o c o s t s o f b e n e f i t s s u c h a s r e t i r e m e n t b e n e f i t s a n d O P E B r e l a t e d t o f o m i e r C i t y p o l i c e e m p l o y e e s . T h e C i t y i s r e s p o n s i b l e f o r m a i n t e n a n c e o f p o l i c e f a c i l i t i e s l o c a t e d i n t h e C i t y . T h o s e c o s t s a r e i n c l u d e d i n t h e f a c i l i t i e s b u d g e t i n t h e P u b l i c W o r k s D e p a r t m e n t . I n 2 0 1 9 , t o f u r t h e r t h e c o u n c i l G o a l t o I m p l e m e n t a P u b l i c S a f e t y I m p r o v e m e n t P l a n : T h e P o l i c e B u r e a u c o m p l e t e d t h e f o l l o w i n g a c c o m p l i s h m e n t s : P r o v i d e d c r i m e p r e v e n t i o n e d u c a t i o n , s c h o o l s a f e t y p r o g r a m s , c o m m u n i t y e n g a g e m e n t , p l a y s t r e e t s a n d n a t i o n a l n i g h t o u t P r o v i d e d I n c i d e n t C o m m a n d d u r i n g l a r g e C i t y / c o m m u n i t y e v e n t s C r i t i c a l I n c i d e n t T r a i n i n g B u i l d i n g r e l a t i o n s h i p s w i t h c o m m u n i t y p a r t n e r s T h e P o l i c e B u r e a u a l s o p r o v i d e d m u t u a l a i d s u p p o r t d u r i n g t h e N a p a a n d S o n o m a C o u n t y w i l d f i r e s D u r i n g 2 0 2 0 , t h e P o l i c e B u r e a u w i l l f o c u s o n t h e f o l l o w i n g i n i t i a t i v e s : " C o n t i n u e c o m m u n i t y e n g a g e m e n t a n d s c h o o l s a f e t y p r o g r a m s C o n t i n u e h i g h v i s i b i l i t y e n f o r c e m e n t C o m p l e t i o n o f A L P R P r o j e c t C o n t i n u e s t r o n g p u b l i c e n g a g e m e n t F u n d i n g S o u r c e : G e n e r a l F u n d D e s c r i p t i o n S a l a r i e s a n d B e n e f i t s S e r v i c e s a n d S u p p l i e s T O T A L 2 0 1 9 A c t u a l 1 , 7 7 0 , 6 6 3 7 , 3 2 3 , 0 9 3 2 0 2 0 A m e n d e d B u d g e t 1 , 6 1 4 , 9 7 5 6 , 0 7 3 , 2 7 3 9 , 0 9 3 , 7 5 6 7 , 6 8 8 , 2 4 8 2 0 2 1 P r o p o s e d B u d g e t 1 , 8 2 7 , 6 5 4 6 , 3 4 2 , 2 5 3 8 , 1 6 9 , 9 0 7 5 4 | P a g e
City of Millbrae Operating & Capital Budget Fiscal Year 2020 - 2021Public Safety (Department 90)Fire Services provided by Central County Fire - Fund 101 | Department 90 | Division 216Fire are contracted to the Central County Fire Department (CCFD). CCFD is wasestablished through a Joint Powers Agreement between the City of Burlingame and theTown ofHillsborough. In 2014, the City ofMillbrae and CCFD entered into a contract forfire services. CCFD's services include: Administration, Prevention & Preparedness,Training (including operating the San Mateo County fire academy, and Suppression.CCFD operates two stations in the City of Millbrae. CCFD also provides mutual aidresponse to out of County and out of State wildland and Urban Search and Rescue.Funding Source: General FundDescriptionSalaries and BenefitsServices and SuppliesTOTAL2019Actual1,306,4716,902,8632020AmendedBudget1,538,5407,332,2412021ProposedBudget1,743,3587,544,8398,209,334 8,870,781 9,288,19755 I Page