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HomeMy WebLinkAboutBudget 25-26 PresentationOperating & Capital Improvement Budget FISCAL YEAR 2025-26 Proposed Budget City of Seal Beach Budget City Council Strategic Goals & Objectives Department Goals & Performance Measures Financial Plans Challenges & Opportunities The Budget is a Policy Document, a Financial Plan, an Operations Guide, and Communication Device FISCAL YEAR 2025-26 Proposed Budget May/JuneMayMarch to April January to February December Budget Development Finance Develops Salary & Benefit and Revenue Estimates; Public Works Begins Assessment for Capital Projects Budget Kickoff; Departments Review Budget Goals and Priorities, Prepare Operating and Capital Budgets Budget Balancing and Development of the Proposed Budget STUDY SESSION Budget Workshops with the City Council and Community, and a Q&A Budget Adoption FISCAL YEAR 2025-26 Proposed Budget FISCAL YEAR 2025-26 Proposed Budget Key Operational Focus Areas »Maintaining Emergency Response »Funding Fire Response and Medical Emergency Services »Community Engagement and Outreach »Recreation »Alternative Transportation »Maintaining Streets, Roads, and Public Facilities »Maintaining Seal Beach’s Desirable Neighborhoods & Beaches »Maintaining High Quality Essential City Services »Maximizing Flexibility in Staffing Levels »Maintaining the City’s Policy Reserve of 25 Percent »Reducing the City’s Unfunded Pension Liability »Seeking Opportunities for Cost Recovery and Efficiencies FISCAL YEAR 2025-26 Proposed Budget Aligning Goals, Objectives & Performance Metrics Strengthen Public Safety Initiatives Assess & Maintain Infrastructure Ensure Fiscal Stability & Efficiency in Governance Improve Outreach & Engagement Expand Strategic Technology Investments Ensure Continued Excellence in City Services Promote & Enhance A Strong Local Economy Attract & Retain a Skilled Workforce Protect Our Coastal Environment & Resources FISCAL YEAR 2025-26 Proposed Budget Proposed Budget – All Funds $82.8 M $108.8 M $27.4 M Total Revenues Includes Special Funds Capital Outlay Ongoing All Funds Capital Improvement Projects Total Expenditures Includes Special Funds and Capital Improvement Projects Change is Automatic – Progress is Not FISCAL YEAR 2025-26 Proposed Budget Property Tax Revenue, $16.3M Sales and Use Tax, $14.6M Utility Users Tax, $5.4M Transient Occupancy Tax, $1.9M Franchise Fees, $1.2M Business License/Barrel Tax, $.8M Licenses and Permits, $.9M Intergovernmental, $.2M Charges for Services, $3.3M Fines and Forfeitures, $1.6M Use of Money and Property, $1.M Other Revenue, $.1M Transfers in from Other Funds, $.8M General Fund Operating Revenues $48.2 M FISCAL YEAR 2025-26 Proposed Budget General Fund Operating Expenditures Regular Salaries, $11.M Retirement , $6.3M Other Pay & Benefits, $5.8M Maintenance & Operations, $25.M $48.1 M FISCAL YEAR 2025-26 Proposed Budget Planning for the Future $1.5M $250K FLEET FUND Vehicle Replacement ECONOMIC CONTINGENCY Buffer Against Economic Uncertainty/Volatility PENSION PAYDOWN Reducing Unfunded Liabilities 25% RESERVE TARGET City Council Policy For Emergency Preparedness $300K FISCAL YEAR 2025-26 Proposed Budget Cost Recovery Schedule Cost Recovery/Fee Schedule •When a service/program provides a benefit to specific individuals/groups, it is appropriate for the individual(s) receiving that benefit to pay for the cost of that service. •Full Cost Recovery and Fee Schedule every 3-4 Years WHEREAS, the City Council desires that annually the City Manager may update the fees, charges, rates, and fines based on the annual percentage change in the all-urban Consumer Price Index for Los Angeles- Long Beach-Anaheim, CA (CPI). If the CPI does not change or goes down in a given year, no change shall be made to the fee schedule that year. •Current fee resolution adopted in 2023 authorizes an annual inflationary adjustment to be applied in between comprehensive studies •The annual update represents an interim CPI adjustment year, adjustment for FY 2025-26 is 3.3% (annual change in regional CPI) •Other minor changes are proposed to enhance fee schedule clarity and improve correlation between services provided and costs recovered: Example include addition of late fee charge for reservations •Effective date July 1, 2025 FISCAL YEAR 2025-26 Proposed Budget Recommended Action Recommended Action Adopt the Fiscal Year 2025-26 Operating and Capital Improvement Budget, Set the Appropriations Limit for Fiscal Year 2025-26, and Authorize the Use of the Cost Recovery Schedule for Use in Fiscal Year 2025-26 FISCAL YEAR 2025-26 Proposed Budget