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12:00 p.m. to 4:00 p.m. - Receive Fiscal Year 2018-19 Mid-Cycle Budget Report and Provide Direction to Staff for June 19, 2018 Budget Adoption, Including Revenue Measures. (Finance 2410)
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To: Honorable Mayor and Members of the City Council
From: Elizabeth D. Warmerdam, Acting City Manager
Re: Receive Fiscal Year 2018-19 Mid-Cycle Report and Provide Direction to Staff for June 19, 2018 Budget Adoption, Including Revenue Measures
BACKGROUND
The City Council adopted the biennial Budget for the Fiscal Year (FY) 2017-18 and 2018-19 on June 6, 2017. After the first year of the budget cycle, staff has traditionally brought to the City Council an update to the second budget year (mid-cycle update). Staff is pleased to present comprehensive budget information in a workshop format to provide information to the City Council and community at large and seek direction from the City Council. The FY 2018-19 mid-cycle update includes changes related to a more refined revenue forecast based on the current economy and expenditure changes necessitated by operating demands or other external factors.
The purpose of this budget workshop is to provide the City Council an understanding of the City’s General Fund fiscal position at the end of Fiscal Year 2017-18 and project out into Fiscal Years 2018-19 and beyond. A summary of the FY 2018-19 mid-cycle General Fund Budget is presented in Exhibit 1. Staff will also provide information related to non-General Fund programs for the City Council’s direction. With that as a backdrop, we will be informing the public and City Council about departmental requests prior to incorporating them into the mid-cycle Budget Update. Based upon input provided by the City Council at this meeting, staff will bring the mid-cycle Budget update to the City Council for presentation and consideration at the June 19, 2018 Council meeting.
Staff will also present to the City Council for discussion options for potential revenue measures (Exhibit 2).
DISCUSSION
This report is an informational item only. Staff requests that the City Council provide direction regarding preparation of the City mid-cycle Budget update as well as discuss options for potential revenue measures (Exhibits 1 and 2) should the Council and community wish pursue that option.
This budget workshop is to provide the Council a current “snapshot” of the City’s financial status as well as present financial forecasts to determine prioritization of ongoing and future services to citizens. At the workshop, staff will present City’s General Fund financial position to allow Council to address goals and priorities, the continuation of operational and capital expenditures, and what resources to be allocated to accomplish these major initiatives.
FINANCIAL IMPACT
There is no impact to the General Fund or other funds as a result of this action. The draft mid-cycle Budget update provides detailed revenue and expenditures information regarding the General Fund.
June 19, 2018 is the last regular City Council meeting to adopt the revised Fiscal Year 2018-19 budget.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
This action is in conformance with the Alameda Municipal Code and all policy documents.
ENVIRONMENTAL REVIEW
This activity is not a project and is exempt from the California Environmental Quality Act (CEQA) pursuant to section 15378(b)(4) of the CEQA guidelines, because it involves governmental fiscal activities which do not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment.
RECOMMENDATION
Receive Fiscal Year 2018-19 mid-cycle report and provide direction to staff for budget adoption, including revenue measures.
Respectfully submitted,
Elena Adair, Finance Director
Exhibits:
1. FY 2018-19 Mid-Cycle Budget Update - General Fund
2. Revenue Measures Report