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HomeMy WebLinkAbout2018-38 - Adopting the Budget for Fiscal Year 2018-19RESOLUTION NO. 2018-38 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH, CALIFORNIA, ADOPTING THE BUDGET FOR FISCAL YEAR 2018-19 WHEREAS, the City Manager of the City of Newport Beach ("City") has prepared and submitted to the City Council a proposed annual budget for Fiscal Year 2018-19 consistent with the City Charter Article XI (Fiscal Administration); WHEREAS, the City's Finance Committee has reviewed and discussed the City Manager's proposed annual budget for Fiscal Year 2018-19; WHEREAS, the proposed annual budget was submitted to the City Council at least thirty-five days (35) prior to the beginning of the fiscal year as required by the City Charter Section 1102; WHEREAS, the City Council has reviewed the proposed annual budget, determined the time for the holding of a public hearing thereon, and caused a notice of the public hearing to be published not less than ten (10) days prior thereto in the official newspaper of the City, and copies of the proposed annual budget were made available for inspection by the public in the Office of the City Clerk and the Finance Department at least ten (10) days prior to the public hearing,- WHEREAS, earing;WHEREAS, the City Council held a public hearing on the proposed budget on June 12, 2018, and has made such revisions in the proposed budget as deemed advisable; WHEREAS, the City Manager has the authority to approve budget increases not to exceed Ten Thousand Dollars ($10,000) in any Budget Activity or Capital Project, in accordance with City Council Policy F-3 (Budget Adoption and Administration); WHEREAS, the City Manager may accept certain donations and grants on behalf of the City and appropriate funds for the purpose intended, in accordance with City Council Policies; WHEREAS, all requirements of the City Charter and Newport Beach Municipal Code relating to the preparation and consideration of the annual budget and establishment of employee salary ranges have been complied with; and WHEREAS, all appropriations in the Capital Improvement Budget for projects currently underway and remaining unexpended as of June 30, 2018, as approved by the City Council in prior years, are hereby appropriated to the 2018-19 Fiscal Year. NOW, THEREFORE, the City Council of the City of Newport Beach resolves as follows.. Section 1: The City Council does hereby adopt the budget of the City of Newport Beach for the 2018-19 Fiscal Year, including employee salary ranges contained therein, and as revised by the City Council via the Budget Checklist. Total new appropriations of $336,773,163 ($308,694,538 less internal charges) plus any items on the approved Budget Checklist attached as Attachment A, and incorporated herein by reference, have been allocated to the following funds in the amounts hereinafter shown: Resolution No. 2018-38 Page 2 of 4 Capital Budget Operating Fund Budget General Fund $208,372,600 Ackerman Fund $5,000 CDBG Fund $294,872 Asset Forfeiture Fund $40,000 AQMD Fund $0 Police Grants $240,000 State Gas Tax Fund $0 Measure M Fund $0 Tidelands Fund $3,278,144 SBI Road Maintenance Repair $0 Contribution Fund $0 Circulation Fund $0 Building Excise Tax $0 Environmental Liab. $11,058 Assessment Districts $0 Debt Service $10,547,338 Fostering Interest In Nature $157,743 Major Facilities Plan $0 Parks & Community Centers $0 Newport Annexation $576,030 Fire Stations $0 Facilities Maintenance $0 Balboa Village Parking Mgmt $0 Neighborhood Enhancement $0 Insurance Reserve Fund $13,360,950 Retiree Medical Fund $7,123,916 Comp. Absence Fund $1,955,000 IT Strategic Fund $9,384,377 Equipment Fund $7,025,162 Water Fund $24,669,005 Wastewater Fund $3,824,712 Total Appropriations $290,865,907 Resolution No. 2018-38 Page 2 of 4 Capital Budget Total Budget $5,993,000 $214,365,600 $0 $5,000 $0 $294,872 $0 $40,000 $0 $0 $0 $240,000 $3,431,400 $3,431,400 $3,513,600 $3,513,600 $2,185,000 $5,463,144 $1,419,120 $1,419,120 $294,000 $294,000 $200,000 $200,000 $31,000 $31,000 $500,000 $511,058 $10,961,736 $10,961,736 $0 $10,547,338 $0 $157,743 $5,558,400 $5,558,400 $0 $0 $0 $576,030 $0 $0 $1,000,000 $1,000,000 $170,000 $170,000 $1,000,000 $1,000,000 $0 $13,360,950 $0 $7,123,916 $0 $1,955,000 $0 $9,384,377 $0 $7,025,162 $8,300,000 $32,969,005 $1,350,000 $5,174,712 $45,907,256 $336,773,163 Section 2: An interfund transfer is a governmental accounting term used to describe an internal flow of resources between the funds listed below and do not constitute an expenditure of the City. The total approved interfund transfers include the following amounts by fund: Interfund Transfers Funds Transfers In General Fund Operating $ 6,749,305 General Fund Capital $ 5,825,000 Tidelands Operating Fund - Harbor & Beaches Capital Fund 4,000,000 Asset Forfeiture - Debt Service 8,221,661 Facilities Financing Replacement Program 8,500,000 West Newport Community Center 449,998 Parks & Community Centers 3,300,400 Fire Stations 12,851,434 Insurance Reserve 4,200,000 Neighborhood Enhancement 1,000,000 Facilities Maintenance 1,000,000 800 MHZ Communication 534,000 Total $ 56,631,798 Resolution No. 2018-38 Page 3 of 4 Transfer Out $ 24,759,000 6,749,305 300,000 24,823,493 $ 56,631,798 Section 3: An interfund reimbursement is an accounting term to describe "repayments from funds responsible for particular expenditures" to the funds that initially paid for them. The transfer into the General Fund, from the Tidelands Operating Fund, as described in Section 2 shall be reclassified as an interfund reimbursement when actual expenditures are known at the end of the fiscal year. Section 4: A copy of the approved budget, certified by the City Clerk shall be filed with the persons retained by the City Council to perform auditing functions for the City Council, and a further copy shall be placed, and shall remain on file, in the Office of the City Clerk where it shall be available for public inspection. Section 5: The budget so certified shall be reproduced and copies made available for the use of the public and of departments, offices, and agencies in the City. Section 6: The recitals provided in this resolution are true and correct and are incorporated into the operative part of this resolution. Section 7: If any section, subsection, sentence, clause or phrase of this resolution is, for any reason, held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining portions of this resolution. The City Council hereby declares that it would have passed this resolution, and each section, subsection, sentence, clause or phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. Resolution No., 2018-38 Page 4 of 4 Section 8: The City Council finds the adoption of this resolution is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Section 9: This resolution, and the salary ranges contained therein, shall take effect immediately upon its adoption by the City Council, and the City Clerk shall certify the vote adopting the resolution. ADOPTED this 12th day of June, 2018. ATTEST: a Leilani I. Brown City Clerk APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Aaron C. Ha p City Attorney Attachment: Budget Checklist y� LJ Marshall "Duffy" Duffield Mayor Approved 6/12/18 Budget Checklist - Amendments to the Proposed Budget Fiscal Year 2018-19 Budget Department/Account Number/Description Increase (Decrease) Approved RECOMMENDED FUND TRANSFERS Budget Fund Transfers General Fund Transfer to Equipment Fund Funds for work boat for Harbor Operations Increase (Decrease) Approved 150,000 Total Recommended Fund Transfers $ 150,000 CHANGES TO THE PROPOSED BUDGET AS PRINTED - PERSONNEL RELATED Budget Department/Account Number/Description Increase (Decrease) Approved City Manager Title change and salary range adjustment for Deputy City Manager position $ 9,010 Add .5 FTE Administrative Analyst $ 36,349 Community Development $ 150,000 Add Life Safety Specialist III at .75 FTE $ 76,797 Finance Department Change classification of a Fiscal Clerk position to a Senior Fiscal Clerk position and a Buyer position to a Senior Buyer $ (100,000) position for potential restructuring of warehouse operations. No additional appropriation needed; sufficient funding in proposed budget. $ Harbor Operations $ 25,000 Change classification of Harbor Supervisor to Harbor Master $ 19,055 _ Add .75 FTE Harbor Assistant Position $ 53,303 _ Add .64 FTE Lead Harbor Service Worker $ 66,024 _ Remove .5 FTE Technical Aide $ (17,368) Remove funding for two (2) Motorcycles for previous requested Motor Officers $ (72,000) Police Department $ 43,403 Add 1 full-time and 1 FTE Community Services Officer positions to address jail needs related to female detainees and $ 515,400 increase miscellaneous/non-swom overtime by $97,000 $ 225,000 Remove 2 Motorcycle Police Officers from Proposed Budget $ (280,187) Add 1 Police Officer designated for school outreach (50% of cast will be paid by NMUSD) $ 140,093 TOTAL CHANGES TO THE PROPOSED OPERATING BUDGET - PERSONNEL RELATED $ 328,076 CHANGES TO THE PROPOSED BUDGET AS PRINTED - MAINTENANCE & OPERATIONS Budget Department/Account Number/Description Increase (Decrease) Approved 800 MHz Increase to system backbone cost per County memorandum $ 36,837 Equipment Work boat for new Harbor Department $ 150,000 Mobile Data Computer equipment update for Fire vehicles $ 291,000 Harbor Operations Reduce professional services funding for end of some contracted services, i.e., Marina Park management. $ (100,000) Public Works/Municipal Operations Division Sidewalk steam cleaning (McFadden Square, Oceanfront, Lido Bridge) & plexiglass cleaning on Coast Hwy $ 25,000 Increased cost for restroom portering due to new contract and additional service days. $ Quarterly steam cleaning of sidewalks on Balboa Island_ _47,360 $ 13,800 Additional costs for Park West maintenance contract $ 80,000 Police Department Equipment Fund Remove funding for two (2) Motorcycles for previous requested Motor Officers $ (72,000) _ Add new vehicle for designated school outreach Police Officer $ 43,403 TOTAL CHANGES TO THE PROPOSED OPERATING BUDGET - M&O $ 515,400 TOTAL CHANGES TO THE PROPOSED OPERATING BUDGET - PERSONNEL AND M&O $ 843,476 TOTAL CHANGES TO THE PROPOSED OPERATING BUDGET BY FUND General Fund $ 373,222 Tidelands Operating Fund $ 21,014 Equipment Fund $ 449,240 Total Changes to the Proposed Operating Budget $ 843,476 CHANGES TO THE PROPOSED BUDGET AS PRINTED - CIP EXPENDITURES Budget Department/Account Number/Description Increase (Decrease) Approved Additions to Proposed Capital Improvement Program Budget Old Newport/ PCH Modifications $ 10001 - 980000 - 19M13 $ 151,909 Funds for Tidelands -related Sea Level Rise Study as required by State Lands Commission $ 49,863 01201927 - 980000 - 15R18 Alley Reconstruction $ 67,000 12101 - 980000 - 17R21 Irvine Ave Pavement Rehab $ 328,200 1230053-980000-1713 Balboa Peninsula Summer Trolley $ 10,450 53501-980000-19R11 Balboa Boulevard Median Improvements $ 250,000 _ 55101-980000-191"14 Marina Park Office Modifications $ 75,000 70201932-980000-17R21 Irvine Ave Pavement Rehab $ 170,000 TOTAL CHANGES TO THE PROPOSED CIP BUDGET $ 900,650 TOTAL CHANGES TO THE PROPOSED C/P BUDGET BY FUND 40,000 01201927 - 980000 - 17V02 Tidelands $ 67,000 Gas Tax $ 328,200 Measure M $ 10,450 Balboa Village $ 250,000 Marina Park $ 75,000 Water Capital Distribution/Pipeline (NMP) $ 170,000 Total CIP Changes $ 900,650 CAPITAL IMPROVEMENT PROGRAM REBUDGETS Budget Department/Account Number/Description Increase (Decrease) Approved Fiscal Year 2017-18 Rebudgets, continued Old Newport/ PCH Modifications $ 01201926-980000-18D02 Storm Drain Repairs $ 151,909 _ 01201927-980000-15L01 Landscape Enhancement $ 49,863 01201927 - 980000 - 15R18 Alley Reconstruction $ 222,635 01201927 - 980000 - 15R18 Alley Reconstruction (to 15R20) $ (200,000) 01201927 - 980000 - 15R19 Old Newport/ PCH Modifications $ 11,244 01201927 - 980000 - 15R20 Park Ave Bridge Replacement (from 15R18) _ $ 200,000 01201927 - 980000 -15R20 Park Ave Bridge Replacement $ 43,655 01201927 - 980000 - 15T09 Lower Sunset View Park / Oyercrossings $ 157,803 01201927 - 980000 - 16V11 _ _ Streetlight Replacement (to 17V02) $ (101,228) 01201927-980000-17V02 Streetlight Replacement(16V11) $ 101,228 01201927 - 980000 - 17V01 Streetlight Replacement (17V01) $ (40,000) 01201927 - 980000 - 17V02 _ Streetlight Replacement (17V01) $ 40,000 01201927 - 980000 - 17V02 Streetlight Replacement $ 618,886 01201927 - 980000 - 18R04 Slurry Seal FY17/18 $ 129,600 01201927 - 980000 - 18T01 Traffic Signal Rehabilitation - $ (3,373) 01201927 - 980000 - 18T02 Transportation Management/Modernization $ 77,435 01201927 - 980000 - 18T03 Balboa Peninsula Crossings $ 67,130 01201927 - 980000 - 19L01 Landscape Enhancement (from 17P14) $ _ 200,000 01201928-980000-16M15 Affordable Housing $ (13,833) 01201928-980000-17X11 Big Canyon Pond 01201929 - 980000 - 17P14 Veterans Park Modification (to 191-01 01201939 - 980000 - 17P15 Newport Elementary Playfield 10001 - 980000 - 16X11 Arches Storm Dr Diversion 20 10001-980000-17H03 Ocean Piers Maintenance 235,387 10001 - 980000 -18X02 ___ _ TMDL Water Quality Improvements _$_ $ (96,206) 12101 - 980000 - 15R19 Old Newport/ PCH Modifications $ 20,218 12101 - 980000 - 18R22 12201 - 980000 - 18R23 _ _ Marguerite Hospital Pavement Rehab Marguerite Hospital Pavement Rehab $ $ (4,000) (240,969) 1230052 - 980000 - 15X11 Bayview Hgts Drainage / Runoff Treatment $ (30,078) 13501 - 980000 - 15R20 _ _ _ Park Ave Bridge Replacement _ _ $ _ 395,140 14101-980000-16P12-- _------ Park Walls and Staircases ----_------ $ 177,406 14101-980000-18P01 Playground Rehabilitation _ $ 37,170 53201 - 980000 - 15F12- ------------ Fire Station 5 /Library Reconstruction CdM -- $ --._.._ 177,969 53201 - 980000 - 15F13Fire _ _ Station 2 Lido $ (42,815) 53501-980000-17811 Balboa Village Streetscape $ (19,075) 53601 - 980000 - 18111 West Coast Hwy Medians $ 348,000 56101-980000-15P18 Sunset Ridge Park $ 86,689 57101 - 980000 - 17F11----- ----------- Fire Station Remodels _ _ _ 67,899 65002 - 941006 - 17A01 _ _ Assessment District Costs _ _$ $ 150,000_ 70101 - 980000 - 17W02 Water Master Plan Update $ 32,691 70201931 - 980000 - 16W14 _ _ _ Lido Village Water Main Replacement $ 153,982 70201932 - 980000 - 16W13-- ---- Big Canyon Reservoir Flow Metering and Treatment_ _ SUBTOTAL CAPITAL PROJECTS REBUDGETS ----- -- _ _ _ $ $ 181,611 3,248,430 CAPITAL IMPROVEMENT PROGRAM REBUDGETBYFUND General Fund CIP $ 1,625,417 Assessment Districts $ 150,000 Balboa Village Parking Management District $ (19,075) Building Excise Tax Fund $ 214,576 Contributions Fund $ 395,140 Facilities Maintenance Fund $ 67,899 Fire Stations Fund $ 135,154 Measure M Fund $ (240,969) Measure M Competitive Fund $ (30,078) Neighborhood Enhancement $ 348,000 State Gas Tax Fund $ 16,218 Sunset Ridge Park $ 86,689 Tidelands Maintenance Fund $ 131,175 Water Enterprise $ 32,691 Water Capital Fund $ 335,594 Total CIP Rebudgets by Fund $ 3,248,430 TOTAL CHANGES TO THE PROPOSED CIP BUDGET $ 4,149,080 STATE OF CALIFORNIA } COUNTY OF ORANGE } ss. CITY OF NEWPORT BEACH } I, Leilani I. Brown, City Clerk of the City of Newport Beach, California, do hereby certify that the whole number of members of the City Council is seven; the foregoing resolution, being Resolution No. 2018-38 was duly introduced before and adopted by the City Council of said City at a regular meeting of said Council held on the 12th day of June, 2018; and the same was so passed and adopted by the following vote, to wit: AYES: Council Member Herdman, Council Member Kevin Muldoon, Council Member Diane Dixon, Council Member Brad Avery, Mayor Pro Tem Will O'Neill, Mayor Duffy Duffield NAYS: Council Member Scott Peotter IN WITNESS WHEREOF, I have hereunto subscribed my name and affixed the official seal of said City this 13th day of June, 2018. Djhj%7K,, Leilani I. Brown ' City Clerk Newport Beach, California