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CC:SA:HA:PA - PUBLIC HEARING: 1) Adoption of a City Council Resolution Approving and Adopting the Annual Appropriations Limit for Fiscal 2018/2019; 2) Adoption of Respective Resolutions Adopting the Fiscal Year 2018/2019 Budget for the City of Culver City, the Successor Agency to the Culver City Redevelopment Agency, the Culver City Housing Authority, and the Culver City Parking Authority; and 3) Adoption of Respective Resolutions Approving Salary Schedules for Miscellaneous Employees, Police Safety Employees and Fire Safety Employees Effective July 1, 2018.
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Meeting Date: June 25, 2018
Contact Person/Dept: Jeff Muir
Phone Number: 310-253-5865
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Public Hearing: [X] Action Item: [] Attachments: Yes [] No []
Commission Action Required: Yes [] No [] Date:
Commission Name:
Public Notification: (E-Mail) Meetings and Agendas - City Council (06/20/18)
Department Approval: Jeff Muir, Chief Financial Officer (06/19/18)
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RECOMMENDATION
Staff recommends (1) the City Council adopt a resolution approving and adopting the Annual Appropriations Limit for Fiscal Year 2018/2019; (2) the City Council and the Boards of the Successor Agency to the Culver City Redevelopment Agency (Successor Agency), Culver City Housing Authority (Housing Authority), and the Culver City Parking Authority (Parking Authority) (collectively, “Boards”) adopt respective resolutions approving the Fiscal Year 2018/2019 Budgets for the City of Culver City, Successor Agency, Housing Authority, and Parking Authority; and (3) the City Council adopt respective resolutions approving Salary Schedules for Miscellaneous Employees, Police Safety Employees and Fire Safety Employees effective July 1, 2018.
PROCEDURE:
1) Mayor/Chair seeks motion to receive and file the Affidavit of Publication;
2) Mayor/Chair seeks a Motion to open the Joint Public Hearing;
3) Mayor/Chair requests a staff report, if desired;
4) Mayor/Chair calls for, and the City Council/Boards receive, public testimony;
5) Mayor/Chair seeks a Motion to close the Joint Public Hearing;
6) City Council adopts resolution approving the Annual Appropriations Limit for Fiscal Year 2018/2019;
7) City Council and Boards adopt respective resolutions approving the Fiscal Year 2018/2019 Budgets for the City of Culver City, Successor Agency, Housing Authority, and Parking Authority;
8) City Council adopts respective resolutions approving salary schedules for Miscellaneous Employees, Police Safety Employees, and Fire Safety Employees effective July 1, 2018.
BACKGROUND / DISCUSSION:
Annual Appropriation Limit:
Proposition 4, approved by the voters on November 6, 1979, added Article XIII B to the State Constitution. Article XIII B places an appropriations limit on the State and local governments and requires them to establish their appropriations limit by resolution each year at a regularly scheduled meeting or a noticed special meeting.
As adopted in 1979, Article XIII B provided that Fiscal Year 1978/1979 would be considered the “base year” used to calculate the appropriations limit. Article XIII B was amended by the voters in 1990 through the approval of Proposition 111, which provided Fiscal Year 1986/1987 would become the “base year.” Each subsequent year, the total annual appropriations subject to the limit may not exceed the appropriations limit for the prior year adjusted for changes in the cost-of-living and city or county population.
Fiscal Year 2018/2019 Budget
The City Manager’s/Executive Director’s Proposed Budgets for Fiscal Year 2018/2019 were presented to the City Council and Boards on Monday, May 14, 2018. Since that time, the City Council and Boards have held two public budget sessions to review and discuss the needs of the City departments and other Bodies. These meetings were in addition to the opportunities provided to the City’s various Commissions, Committees, and Boards to provide input on the City Manager’s Proposed Budget. The City Council also called two Special Meetings in March 2018 to review the work plans of each of the City’s Departments and allow for additional public input. Further, the City Council held Special Meetings on May 21 and 22, 2018, to review the associated budget requests and allow for public input. As a result of these meetings, staff has prepared any changes directed by the City Council and incorporated such changes into the budget resolutions presented to the City Council and Boards for approval this evening.
Salary Schedules Effective July 1, 2018
All agencies that are members of CalPERS are required to ensure that pay schedules are publicly adopted and available as prescribed by the California Code of Regulations, Title 2, §570.5 and §571 (b). “Publicly available” is defined as posted at the employer’s office or immediately accessible and available for public review. Placing the adopted pay schedules on the employer’s internet website meets this requirement. The attached resolutions reflect changes to the salary schedule per the budget being adopted for Fiscal Year 2018/2019, as well as increases due in accordance with the Salary Initiative Ordinance as described in detail below.
Police Safety: Total 2.0%
Adjustment to be
Effective Date COLA provided by LA City provided to CCPD
7/1/18 2.0% 1.0%
Adjustment to be
Effective Date COLA provided by LA City provided to CCPD
7/8/18 2.0% 1.0%
Fire Safety: Total 1.0%
Adjustment to be
Effective Date COLA provided by LA City provided to CCFD
7/8/18 2.0% 1.0%
FISCAL ANALYSIS:
As mentioned, the base year for calculating the appropriations limit is Fiscal Year 1986/1987. Based on the City Managers/Executive Director’s Proposed Budget for Fiscal Year 2018/2019, the Finance Department has calculated the City’s 2018/2019 Appropriation Limit to be $107,610,469. The City’s 2018/2019 appropriations from the proposed budget that are applicable to this limit are $99,862,221, which is $7,748,248 under the appropriations limit.
The Proposed Fiscal Year 2018/2019 Budget provides $258,107,958 of appropriations authority in all funds (including Internal Service Funds). It anticipates $232,142,708 in revenue, with the balance to be made up from reserves. General Fund operational costs are anticipated to be fully covered by operating revenues, with some use of reserves for one-time costs and Capital Improvement Projects. Further information is provided in the City Manager’s/Executive Director’s Budget Message.
Funding has been included in the respective departments for Fiscal Year 2018/2019 to cover the salary adjustments for Police Safety employees and Fire Safety employees.
ATTACHMENTS:
1. Proposed Resolution for Annual Appropriation Limit
2. Exhibit A - Analysis of Effect of Appropriations Limit on Estimated Revenue
3. Exhibit B - Appropriations Limit
4. Schedule I - Analysis of Estimated Revenues.
5. Budget Resolutions
6. Adjustments to the City’s Proposed Budget Fiscal Year 2018/2019
7. Exhibit A - Schedule of Revenues and Expenditures by Fund
8. Exhibit B - Summary of Revenues
9. Exhibit C - Appropriations by Department
10. Exhibit D - Changes to the Proposed Personnel Position Allocations
11. Exhibit E - Capital Improvement Budget by Funding Source
12. Exhibit F - Schedule of Equipment Replacement Fund Appropriations by Department and Vehicle
13. Exhibit G - Blanket Purchase Orders Exceeding $50,000 for Fiscal Year 2018/2019
14. Salary Schedule Resolutions
15. Salary Schedule effective July 1, 2018
RECOMMENDED MOTION(S):
That the City Council:
Adopt a resolution approving and adopting the annual Appropriations Limit for Fiscal Year 2018/2019; and
That the City Council and Boards:
Adopt respective resolutions approving the Fiscal Year 2018/2019 Budget for the City of Culver City, Successor Agency, Housing Authority, and Parking Authority.
That the City Council:
Adopt respective resolutions approving the Salary Schedule for Miscellaneous Employees, Police Safety Employees, and Fire Safety Employees effective July 1, 2018.