HomeMy WebLinkAboutCC Min 2022-06-02 (Budget Workshop) Seal Beach, California
June 2, 2022
The City Council met in a Special City Council Budget Workshop (Operating Budget) at
5:30 p.m. in the City Council Chambers.
Mayor Pro Tem Varipapa let the Pledge of Allegiance.
ROLL CALL
Present: Mayor Kalmick
Council Members: Varipapa, Moore, Sustarsic, Massa-Lavitt
Absent: None
City Staff: Jill R. Ingram, City Manager
Patrick Gallegos, Assistant City Manager
Philip Gonshak, Police Chief
Joe Bailey, Chief, Marine Safety Department
Alexa Smittle, Director of Community Development
Sherry Johnson, Interim Director of Finance/City Treasurer
Alayna Hoang, Finance Manager
Iris Lee, Acting Director of Public Works
Dana Engstrom, Acting City Clerk
Ron Roberts, Orange County Fire Authority
Jennifer Robles, Management Analyst
PUBLIC COMMENTS
Mayor Kalmick opened oral communications. Speaker: Michelle Newman, Dan Brandt,
Tim Ream, and Rod McCary. Mayor Kalmick then closed oral communications.
Acting City Clerk Engstrom announced that no emailed comments were received
however, one (1) PowerPoint was received that was distributed to the City Council; and,
made available to the public on the City's website.
CITY MANAGER REPORT
City Manager Ingram indicated she looked forward to the discussion at tonight's meeting.
She highlighted a few significant points to be mindful of during tonight's discussion. Staff
is very pleased to again be presenting the Council with a draft operating budget that is
balanced. She indicated that she did not in any way say that lightly because even through
a two-year pandemic, staff was still able to work through significant financial challenges
to provide the Council and the community with a balanced budget.
City Manager Ingram indicated we wouldn't get here without an incredibly heavy lift from
our staff team. In years past, staff didn't talk much about how far we had come from the
first initial draft at the staff level to a proposed draft before the Council. This year she did
not want that significant effort to go unnoticed. She indicated that as staff discussed with
the Council in individual budget briefings over the past few weeks, early in the budget
development process staff was looking at a $4.7 million dollar deficit, primarily due to the
fact that revenues are not increasing at the same pace as the increasing cost of
expenditures to provide the same level of services and programs to our community. She
stated that while the executive team worked closely together with our finance team to find
a way to make significant expenditure reductions to close the gap between a $4.7 million
dollar deficit and a balanced budget without impacting programs and services, as the
Council will see tonight, those expenditure reductions aren't sustainable long-term and
we need to start right now talking about every opportunity before us to capitalize on new
revenue sources.
City Manager Ingram thanked each member of the executive management team and their
support staff for several months of dedication and their ownership of the budget
development process. She especially acknowledged, thanked, and commended Sherry
Johnson, for her quiet strength and respectful and supportive leadership over the past six
months as our interim Finance Director, and the many, many years of financial expertise
and experience that she has gracefully and generously dedicated to our finance
department, organization, and community. She also thanked and acknowledged Finance
Manager Alayna Hoang for her many years of unwavering dedication and support and
the countless hours that both Sherry and Alayna have dedicated to this important process
and to our community.
BUDGET WORKSHOP
Interim Director of Finance Sherry Johnson summarized the Proposed Fiscal Year 2022-
2023 Operating Budget including challenges, General Fund Revenues, appropriations by
category, total appropriations (excluding CIP), general fund summary, fund balance
General Fund, staffing recommendations, cost allocation plan, fee study, and final
takeaways.
Interim Director of Finance Johnson concluded the presentation and turned the meeting
over to Mayor Kalmick to allow for Council Member questions and comments.
Council Members asked questions, discussed possible revenue sources, offered
comments, discussed and received clarification about the draft budget presentation, and
thanked staff for their hard work in putting the budget together.
ADJOURNMENT
Mayor Kalmick adjourned the meeting at 7:14 p.m. to Monday, June 7, 2022 at 5:30 pm
for the continuation of the Budget Workshop — Capital Improvement Program.
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Dana Engstrom, Acting City Clerk
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Approved:
Joe Kalmick. Mayor
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