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HomeMy WebLinkAbout28 - FY2011-12 BudgetAgenda Item No. 28 June 14, 2011 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: City Manager's Office Dave Kiff, City Manager 949 - 644 -3002, dkiff @newportbeachca.gov PREPARED BY: Tracy McCraner, Administrative Services Director APPROVED: v V TITLE: Resolution 2011 -54: Fiscal Year 2011 -12 Budget Adoption ABSTRACT: The City Council is required by the City's Charter to adopt an annual budget by resolution each year prior to June 30th. RECOMMENDATION: 1. Hold the Public Hearing on the City Manager's Proposed Fiscal Year 2011 -12 Budget. After receiving the staff report and taking public input, discuss and accept council member recommendations for additions, deletions, or modifications to the budget checklist. 2. Conduct a straw vote on each checklist item, including those added to the City Manager's Proposed Fiscal Year 2011 -2012 Budget by council members at the hearing. Based on the straw vote, items approved will be included in the City Manager's Proposed Fiscal Year 2011 -12 Budget (Attachment _�); 3. Approve Resolution 2011 -_ adopting the City Manager's Proposed Fiscal Year 2011 -12 Budget, as amended by Items 1 -2 above (Attachment _L). FUNDING REQUIREMENTS: There is no fiscal impact related to this item. DISCUSSION: Background Resolution 2011 -54: Fiscal Year 2011 -12 Budget Adoption June 14, 2011 Page 2 The City Manager's Proposed FY 2011 -12 Budget sets key priorities based on council goals and a commitment by the City Manager to focus resources • on delivery of high quality services and programs in three fundamental areas. The management team spent considerable time synthesizing the services and attributes of the City that are foundational to citizen expectations and pride in the City of Newport Beach. These areas of focus are: ® Developing and maintaining a high quality physical environment — "Shining City by the Bay" This encompasses the support and preservation of the natural environment as well as a focus on infrastructure development and maintenance such as community centers, parkways and medians, well- maintained roads and beaches, and more. We believe that Newport Beach has a different "look" from other communities as you enter it, and we want to keep that. o Enhancing the communities' sense of enjoyment and safety Our investment in our parks and libraries and our support of youth, adult and senior activities combine with a strong public safety presence to make us uniquely Newport Beach. o. Providing rewarding and meaningful engagement within the community and with the many functions of city government We acknowledge and celebrate that our citizens are actively engaged with city government and our focus supports the activities of citizen boards, commissions and committees. This budget was prepared to focus on programs and activities that support the values stated above. It also supports a continued focus on the transformation of the Newport Beach city government to a more accountable and performance -based organization. As such, the executive team is not only improving what we are best at, but, also looking for what we should "not" be doing. This budget builds in new opportunities to contract out certain services when it can be demonstrated that the private sector can perform these services with the same or better level of customer service and for less cost. These changes can be seen in some departmental budgets with reduced costs for personnel and increased costs for professional services. The net impact to the budget after realignments, contracting out, and restructuring is a net decrease in 34 full time positions. We are currently projecting that we will close FY 2010 -11 with an increase to fund balance reserves of approximately $2 million and the City Manager's Proposed FY Resolution 2011 -54: Fiscal Year 2011 -12 Budget Adoption June 14, 2011 Page 3 2011 -12 budget estimates that revenues will exceed expenditures by $1.8 million thereby following our fiscal sustainability policy of not using General Fund reserves to balance the budget. FY 2011 -12 Budget Adoption Pursuant to Section 1102 of the Newport Beach City Charter, and Council Policy F -3 titled Budget Adoption and Administration, the Proposed Budget for the 2011 -12 fiscal year was first submitted to the City Council on May 10, 2011. The City Council held budget study sessions on May 10, May 24, and June 14, 2011, to review the City Manager's Proposed Budget for the 2011 -12 fiscal year. The City Manager is proposing changes to the Proposed FY 2011 -12 Budget released on May 10, 2011. These changes are found in the budget checklist. As stated in City Council Policy F -3, all Council directed changes to the City Manager's Proposed Budget during this meeting shall be added to the budget checklist. The Mayor will call for a straw vote on each checklist item during the public meeting. Please find Attachment "A" which is an itemized listing of all proposed City Manager budget checklist items. The City Council may adopt, by resolution, the City Manager's Proposed FY 2011 -12 Budget including the itemized budget checklist or the Council may continue the adoption of the Budget to June 28th. The City Charter requires adoption of the City Budget prior to June 30. The last regular meeting date that the Budget can be adopted per the Charter is June 28th This year, the Budget Checklist items are summarized as follows: Supplemental Expenditure Budget Requests CIP Rebudgets /Changes Total FY 1 M2 Proposed Budget w ith Budget Checklist General All Other Fund Funds Total All Funds $ (89,313) $ 180,000 $ 90,687 (50,500) 6,276,810 6,226,310 $ (139;813) $ 6,456,810 5 6,316,997 Assignments of Fund Balance for Council Priorities Council Policy F -2 authorizes the City Manager to assign fund balance to be used for specific purposes that are not already contracted or encumbered. Council Priority #2, Neighborhood Revitalization efforts approved February 5, 2011, recommends a comprehensive, prioritized multi -year approach to City investment in areas of town that Resolution 2011- : Fiscal Year 2011 -12 Budget Adoption June 14, 2011 Page 4 need attention. The City Manager will assign $350,000 from fund balance for Revitalization Efforts. Council Priority #3, Tidelands Management, recommends a comprehensive management, governance, and investment strategy for all tidelands. The City Manager will assign $200,000 of fund balance for Tidelands Management. Committees are currently meeting and developing their work products. Per Council Policy F -2, the City Manager will notify Council in the City Manager's Quarterly Business Report of the fund assignments. This staff report is not intended to replace that quarterly notification. Planning Commission Review Please note that the Planning Commission conducted a review of the Preliminary Fiscal Year 2011 -12 Capital Improvement Program and determined it to be consistent with the General Plan and Coastal Land Use Plan. Attachment C shows their review documents. ENVIRONMENTAL REVIEW: Staff recommends the City Council find this action 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. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). The Public Notice for this item was published in the Daily Pilot on June 4, 2011. Prepared by: Submitted by: Tracy McCraper Administrative Services Director Dave Kiff v City Manager Resolution 2011 -54: Fiscal Year 2011 -12 Budget Adoption June 14, 2011 Page 5 Attachments: A. FY 2011 -12 Budget Checklist B. FY 2011 -12 Position Checklist Planning Department Report C. Resolution ATTACHMENT A June 10, 2011 Budget Checklist - Amendments to the Proposed Budget Fiscal Year 2011 -12 Department/Account Number /Description Deletions Additions Approved CHANGES TO THE PROPOSED BUDGET AS PRINTED - EXPENDITURES City Council 0110 -8250 Balboa Island Historical Society $ - $ 10,000 0110 -8250 Balboa Island Improvement Association S 5,000 City Manager 0310 -7##t# Emergency Preparedness Coordinator 100% to remain in Fire Department _ $ _ _ _ _6.3,356 0310 -7#### _ Administrative Assistant position - Filled $ - $ 104,869 0310 -7#### Eliminate Department Assistant + 7.5% $ 92,773 $ - Fire Department 2356 -7#9# Emergency Preparedness Coordinator 100% remains in Fire Department $ 63,356 Municipal Operations 5400 -8080 Oil Field Assessment $ - $ 180,000 3140 -8080 Bus Shelters - San Miguel _ _ _ $ 20,000 3180 -8080 Reduction in contmet costs $ 150,000 $ Public Works Department 5100 -7### Eliminate Public Works Inspector II instead of holding _ position vacant for to achieve salary savings $ _ 13,591 TOTAL CHANGES TO THE PROPOSED OPERATING BUDGET $ 306,129 $ 290,613 TOTAL CHANGES TO THE PROPOSED BUDGET BY FUND General Fund $ 306,129 $ 216,816 Tidelands Fund $ - $ 180,000 Total Changes to the Proposed Budget .......................... $ 306,129 $ 396,816 G , Public Works 7014- C8002000 CIP Project Management _$ _ 43,000 7014- C8002008 China Cove Slope and Drainage Improvements $ 7,500 7231- C4402004 Rhine Channel Dredging $ 88,0_00 $ 3,887,500 7231- C4402005 Rhine Channel Private Marinas $ 80,850 7281- C2002039 Harbor View Hills Street Rehabilitation $ 340 $ _ 202,000 7255- C5002005 Crystal Cove Packing Lot/Pond Area Improvements $ 109,0_00 7255- C5002006 Newport Coast ASBS Water Quality Efforts _ $ 563,000 7255- C5002007 Newport Coast ASBS Runoff Reduction Program $ 795,000 7255- C5002008 Newport Coast ASBS Public Impacts $ 112,000 7410- C1002009 Civic Center $ 641,700 7410- CIO02034 Civic Center OCIP Premiums $ 40,000 7410- CIO02035 Civic Center OCIP Loss Claims $ 62,600 7411- C4002002 Marina Pack $ 59,000 7412- C5100515 Sunset Ridge Park $ 61,400 7459- C5100879 Santa Ana Heights Utility Undergrounding $ 900 7531- C7001002 Sewer Pipeline Point Repairs and Lining $ 50,000 TOTAL CAPITAL PROJECT REBUDGETS $ 288,740 $ 6,515,050 CAPITAL IMPROVEMENT PROGRAM REBUDGET BY FUND General Fund $ 50,500 $ - Tidelands $ 88.000 $ 3,968,350 Contributions $ 109,000 $ 1,470,000 Measure M Turnback $ 340 $ 202,000 Civic Center $ 40,000 $ 704,300 Marina Park Sunset Ridge Park Misc Santa Ana Heights Projects :Sewer Enterprise Fund Total CIP Rebudgets /Changes $ $ 59,000 $ - $ 61,400 $ 900 $ - $ - $ 50,000 $ 288,740 $ 6,515,050 Attachment B RESOLUTION NO. 2011 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH ADOPTING THE BUDGET FOR THE 2011 -12 FISCAL YEAR. WHEREAS, the City Manager of the City of Newport Beach has prepared and submitted to the City Council a preliminary annual budget for the 2011 -12 Fiscal Year; WHEREAS, the City Council has reviewed said preliminary budget, determined the time for the holding of a public hearing thereon, and caused a notice of said hearing to be published not less than ten (10) days prior thereto in the official newspaper of the City, and copies of the proposed budget were made available for inspection by the public in the Office of the City Clerk and the Administrative Services Department at least ten (10) days prior to said hearing; and WHEREAS, the City Council has held a public hearing on said preliminary budget on June 14, 2011, and has made such revisions in the preliminary budget as it deemed advisable; and WHEREAS, the City Manager has the authority to approve budget increases not to exceed $10,000 in any Budget Activity or Capital Project, in accordance with Council Policy F -3 (Budget Adoption and Administration), and WHEREAS, the City Manager may accept donations or grants of up to $10,000 on behalf of the City and appropriate the funds for the purpose intended, in accordance with Council Policy F -3 (Budget Adoption and Administration), and WHEREAS, all requirements of the City Charter relating to the preparation and consideration of the annual budget have been complied with. NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Newport Beach that the budget of the City of Newport Beach for the 2011 -12 Fiscal Year as revised by the City Council via the Budget checklist is hereby adopted. The total approved appropriation of $255,552,477 ($236,100,736 with Transfers Out), plus any items on the approved Budget Checklist attached as Attachment A, has been allocated to the following funds in the amounts hereinafter shown: BE IT FURTHER RESOLVED that a copy of said approved budget, certified by the City Clerk shall be filed with the persons retained by the City Council to perform auditing functions Operating Fund Budget Capital Budget Total Budget General Fund $143,866,906 $4,567,100 $148,434,006 Ackerman Fund 5,000 0 $5,000 CDBG Fund 314,972 50,000 $364,972 Asset Seizure Fund 39,060 $39,060 AQMD Fund 9,000 0 $9,000 SLESF Fund 0 0 $0 State Gas Tax Fund 0 3,800,000 $3,800,000 Traffic Cong. Relief 0 0 $0 Measure M Fund 0 6,573,040 $6,573,040 Tidelands Fund 3,392,623 2,000,000 55,392,623 Contribution Fund 0 2,711,900 $2,711,900 Circulation Fund 0 2,941,500 $2,941,500 Bristol Street Relinquishment 0 0 $0 Building Excise Tax 0 0 $0 Enviroranental Liab. 139,286 0 $139,286 Newport Annexation 1,200,000 0 $1,200,000 Library Debt Service 10,626,967 0 $10,626,967 Bonita Canyon Dev. 0 68,200 $68,200 Civic Center 7,500 2,550,000 $2,557,500 Marina Park 0 9,000,000 $9,000,000 Sunset Ridge Park 0 9,500,000 $9,500,000 LG Headquarters 0 400,000 $400,000 Strategic Planning 0 300,000 $300,000 Santa Ana Heights 0 1,176,500 $1,176,500 Newport Bay Dredging 0 0 $0 Insurance Reserve Fund 4,884,705 0 $4,884,705 Retiree Medical Fund 6,259,000 0 56,259,000 Comp. Absence Fund 2,154,247 0 S2,154,247 IT Strategic Fund 4,271,669 54,271,669 Equipment Fund 5,015,565 0 $5,015,565 Water Fund 19,138,975 4,637,000 $23,775,975 Wastewater Fund 3,050,262 901,500 $3,951,762 Total Appropriations $204,375,737 $51,176,740 $255,552,477 BE IT FURTHER RESOLVED that a copy of said approved budget, certified by the City Clerk shall be filed with the persons retained by the City Council to perform auditing functions for the 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. BE IT FURTHER RESOLVED that the budget so certified shall be reproduced and copies made available for the use of the public and of departments, offices and agencies of the City. ADOPTED the 14" d day of June, 2011. MAYOR ATTEST: CITY CLERK Attachment C CITY OF NEWPORT BEACH CITY COUNCIL MEMORANDUM TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Community Development Department, Planning Division Melinda Whelan, Assistant Planner (949) 644 -3221, mwhelan @newportbeachca.gov DATE: June 14, 2011 SUBJECT: Planning Commission Review of Preliminary Fiscal Year 2011 -2012 Capital Improvement Program (PA2007 -131) Pursuant to Section 707 (c) of the City Charter, the Planning Commission is required to make recommendations to the City Council concerning proposed Public Works projects. Section 65401 of the California Government Code states that the Planning Commission shall review proposed Public Works projects for consistency with the General Plan and report the results of this review to the City Council. On May 19, 2011 the Planning Commission conducted a review of the Preliminary Fiscal Year 2010 -2011 Capital Improvement Program (CIP) to determine consistency with the General Plan and found that the projects of the CIP are consistent with the General Plan. Prepared by: A � Melinda Whelan Assistant Planner ATTACHMENTS Submitted by: Gregg Ramirez Senior Planner CC 1 May 19, 2011, Planning Commission Staff Report Attachment No. CC 1 May 19, 2011, Planning Commission Staff Report CITY OF'NEWPORT BEACH PLANNING COMMISSION STAFF REPORT May 19, 2011 Agenda Item No. 4 SUBJECT: Review of Preliminary Fiscal Year 2011 -2012 Capital Improvement Program (PA2007 -131) PLANNER: Melinda Whelan, Assistant Planner (949) 644 -3221, mwheian @newportbeachca.gov PROJECT SUMMARY Review of the City's Capital Improvement Program and State Statute. The purpose of the review is General Plan and to make recommendations to tl- public works projects. RECOMMENDATION (CIP) is required by the City Charter to determine consistency with the City Council concerning proposed 1) Conduct a review of the Preliminary Fiscal Year 2011 -2012 Capital Improvement Program; and 2) Determine that the CIP projects are consistent with the policies of the General Plan, including any additional recommendations deemed appropriate, and report this finding to the City Council. DISCUSSION Introduction The 2011 -2012 CIP serves as the annual plan for the provision of public improvements, special projects, on -going maintenance programs, and the implementation of the City's master plans. The Engineering Services Division of the Public Works Department is responsible for CIP projects, including planning, design, construction, and inspection. Pursuant to Section 707 (c) of the City Charter, the Planning Commission is required to make recommendations to the City Council concerning proposed Public Works projects. In addition, Section 65401 of the California Government Code states that the Planning Commission shall review proposed Public Works projects for consistency with the General Plan and report the results of this review to the City Council. Analysis The Preliminary Fiscal Year 2011 -2012 CIP contains a total of 56 projects, a majority of which involve the repair and maintenance of existing public improvements and facilities. Review of Preliminary Fiscal Year 2011 -2012 Capital Improvement Program May 19, 2011 Page 2 These maintenance projects are consistent with General Plan policies that require the proper maintenance of existing facilities and improvements. Attachment PC 1 includes excerpts of CIP projects that are new construction, expansion, removal and replacement of existing facilities, or renovations and improvements to existing facilities. Attachment PC 2 consists of a brief analysis of these projects in terms of their consistency with the General Plan. An excerpt from the CIP worksheet that includes descriptions of each project listed below is attached to this report (Attachment PC 1). A copy of the entire Preliminary Fiscal Year 2011 -2012 CIP may be found online at: http: / /newportbeachca.gov/ Modules /ShowDocument.aspx ?documentid =10006 CONCLUSION The Preliminary Fiscal Year 2011 -2012 Capital Improvement Program is consistent with the General Plan. Environmental Review None required. Public Notice None required. Prepared by: Melinda Whelan Assistant Planner ATTACHMENTS Submitted by: Gregg Ra rez Senior Planner PC 1 Fiscal Year 2011 -2012 Capital Improvement Program Excerpt PC 2 CIP General Plan Policy Analysis Attachment N ®o PC I Fiscal Year 2011 -2012 Capital Improvement Program Excerpt Balboa Yacht Basin Facility Improvements Requesting Department: Public Works Category: Facilities This project makes facility improvements to Balboa Yacht Basin, the City's public marina, which has 170 boat slips and is nearly 25 years old. Specific improvements will be determined during design. Most likely, improvements will include general dock maintenance as well as general aesthetic improvements (painting, signage, and upkeep repairs.) Location: Balboa Yacht Basin, 829 Harbor Island Drive FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $50,000 Other $0 Total $50,000 FUNDING SOURCE DIVISION NO. I PROJECT NO. REBUDGET $ BUDGET $ Tide and Submerged Lands 7231 C1002036 $0 $50,000 $0 $0 $0 $0 $0 $0 TOTAL $0 $50,000 PROJECT TOTAL 1 $50,000 Civic Center Requesting Department: Public Works Category: Facilities The Civic Center and Park Project includes a city hall building, one of the city's largest parks, a 450 -space parking structure, and an expansion of the Newport Beach Central Library. Construction is underway and is scheduled to be completed by the end of 2012. The current total cost estimate for all project components is $128 million. Location: 1100 Avocado Avenue FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $1,000,000 Other $1,550,000 Total $2,550,000 FUNDING SOURCE DIVISION NO. I PROJECT NO. REBUDGET $ BUDGET $ Civic Center 7410 C1002009 $1,000,000 $0 OCIP Insurance 7410 C1002028 $250,000 $0 OCIP Premiums 7410 C1002034 $300,000 $0 OCIP Loss Claims 7410 C1002035 $1,000,000 $0 TOTALI $2,550,000 $0 PROJECT TOTAL $2,550,000 Lifeguard Headquarters Replacement Requesting Department: Fire Category: Facilities This project provides for necessary studies, concept development and design effort needed to develop plans to replace the current Lifeguard Headquarters. Future construction will include a new, more efficient central tower at Newport Pier and a small tower and Junior Lifeguard's meeting room at Balboa Pier. Location: Newport and Balboa Piers FY 2011 -12 Design /Environmental $400,000 Right -of -Way, Land Acquisition $0 Construction $0 Other $0 Total $400,000 FUNDING SOURCE DIVISION NO. PROJECT NO. REBUDGET $ I BUDGET $ Major Facilities Master 7414 C1002037 $0 $400,000 _ $0 $0 $0 $0 $0 $0 TOTAL $0 $400,000 PROJECT TOTAL $400,000 Bayside Drive and Riverside Avenue Storm Drain Improvements Requesting Department: Public Works Category: Streets and Drainage This project will design and reconstruct two existing storm drain segments to correct capacity restrictions. Plans and specifications will be prepared by staff. Construction will be performed by a private contractor. Location: Bayside Drive and Riverside Avenue Design /Environmental Right -of -Way, Land Acquisition Construction Other Total FY 2011 -12 $0 $0 $300,000 $0 $300,000 FUNDING SOURCE DIVISION NO. PROJECT NO. REBUDGET $ BUDGET $ General Fund ; 7012 C2502011 $0 $300,000 $0 $0 $0 $0 $0 $0 TOTAL $0 $300,000 PROJECT TOTAL $300,000 9 China Cove Slope and Drainage Improvements Requesting Department: Public Works Category: Streets and Drainage This project provides for slope stabilization and drainage improvements at China Cove. Improvements will help minimize the threat of failures and protect the integrity of Ocean Boulevard. Location: China Cove FUNDING SOURCE FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $310,000 Other $0 Total $310,000 FUNDING SOURCE DIVISION NO.. PROJECT NO. REBUDGET $ BUDGET $ General Fund 7012 22502003 $200,000 $0 General Fund 7014 C8002008 $110,000 $0 $0 $0 $0 $0 _ TOTAL $310,000 $0 PROJECTTOTALI $310,000 11 Irvine Avenue Realignment - University Drive to Bristol Street Requesting Department: Public Works Category: Streets and Drainage This project provides the City's portion of the funding of the project cost for the realignment of Irvine Avenue. Plans and specifications were administered by the County of Orange and construction was performed by a private contractor under County administration. Location: Irvine Avenue - University Drive to Bristol Street South FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $1,800,000 Other $0 Total $1,800,000 FUNDING SOURCE DIVISION NO. PROJECT NO. REBUDGET $ BUDGET $ Gas Tax 7181 C5100470 $600,000 $0 Transportation and Circulation 7261 C5100470 $0 ! $1,000,000 Water Enterprise 7511 C5100470 $200,000 j $0 $0 $0 TOTAL $800,000 $1,000,000 PROJECT TOTAL $1,800,000 15 Jamboree Road Improvements - Bristol Street North to Fairchild Road Requesting Department: Public Works Category: Streets and Drainage This project includes the widening of Jamboree Road at the intersection of MacArthur Boulevard as called for in the General Plan. The project provides for an additional northbound thru lane on Jamboree Road and an additional southbound left turn lane on Jamboree Road onto MacArthur Boulevard. This project also involves right -of -way acquisition and roadway widening in the City of Irvine and is dependent on their cooperation and assistance. Location: Jamboree Road from Bristol Street North to Fairchild Road FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $3,228,600 Other $0 Total $3,228,600 FUNDING SOURCE DIVISION NO. PROJECT NO. REBUDGET $ BUDGET $ Transportation and Circulation 7261 C2002019 $232,200 $0 Measure M Competitive 7284 C2002019 $2,996,400 $0 $0 $0 $0 i $0 TOTAL $3,228,600 $0 PROJECT TOTAL $3,228,600 16 Newport Boulevard and 32nd Street Modification Requesting Department: Public Works Category: Streets and Drainage This project involves widening Newport Boulevard to accommodate one additional northbound through lane from 30th Street to 32nd Street and one additional southbound through lane from Via Lido to 32nd Street teminating as a right -turn only lane at 32nd Street. Staff submitted a funding application to OCTA under the current Measure M2 call for projects. If successful, an additional $225,000 will be available for environmental and design efforts. Plans and specs will be prepared by a consultant. Right -of -way acquisition construction will be applied for and completed in the following fiscal years. Location: Newport Boulevard from Via Lido to 30th Street FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $300,000 Other $0 Total $300,000 FUNDING SOURCE DIVISION NO. I PROJECT NO. FREBUDGET $ BUDGET $ Gas Tax 7181 i C2002048 $0 $75,000 Measure M Competitive 7284 C2002048 $0 $225,000 $0 $0 $0 $0 TOTAL $0 $300,000 PROJECTTOTALI 77$300,000 18 Storm Drain Interceptors Requesting Department: Public Works Category: Streets and Drainage Measure M provides funds for cleaning urban and storm runoff associated with our main transportation corridors. Public Works and Municipal Operations have identified several locations where storm interceptors or infiltration galleries could be installed to clean water before it enters the bay or ocean. Measure M funds require a 50 percent match. Location: Various locations where storm drain discharge to the ocean or bay FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $300,000 Other $0 Total $300,000 FUNDING SOURCE DIVISION NO. I PROJECT NO. REBUDGET $ BUDGET $ General Fund 7012 C2502010 $0 $150,000 Measure M Competitive 7284 C2502010 $0 $150,000 $0 $0 $0 $0 _ TOTAL!, $0 $300,000 PROJECTTOTALI $3001000 22 Traffic Signal Modernization: Phase 5 Requesting Department: Public Works Category: Traffic Traffic Signal Modernization is a multi -year, multi - phased program to update the City's traffic signal system. Phase 5 includes hardware and fiber optic cable upgrades to 11 intersections in and around Newport Center. Installation of 3 new CCTV cameras will provide views of all major entry points to Fashion Island. This work also includes the installation of a new signal at Anacapa Drive and Newport Center Drive and left turn signal phasing and lane modifications at San Miguel Road and Newport Center Drive. Location: Newport Center Design /Environmental Right -of -Way, Land Acquisition Construction Other Total FY 2011 -12 $0 $0 $1,619,300 $0 $1,619,300 FUNDING SOURCE DIVISION NO. PROJECT NO. REBUDGET $ BUDGET $ Transportation and Circulation i 7261 C3002009 $719,300 $900,000 $0 $0 $0 $0 $0 $0 TOTAL $719,300 $900,000 PROJECT TOTAL I $1,619,300 28 Balboa Yacht Basin Mooring Support Services Improvements Requesting Department: Public Works Category: Parks, Harbors and Beaches This project improves amenities for mooring permittees at the City owned Balboa Yacht Basin. This project will satisfy half of the mooring fields while the other half will be satisfied with the future Marina Park facility. New amenities consist of 1) providing temporary, free slips for mooring permittees for access to service their boats for short periods of time (2 -3 hours); 2) providing two power slip pedestals to be used with a credit card; 3) potential dinghy storage racks; and 4) potential dinghy dock located at the bulkhead between docks D and E. Location: Balboa Yacht Basin FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $25,000 Other $0 Total $25,000 FUNDING SOURCE DIVISION NO. PROJECT NO. REBUDGET $ BUDGET $ Tide and Submerged Lands 7231 C4402006 $0 $25,000 $0 $0 $0 $0 $0 $0 TOTAL $0 $25,000 PROJECTTOTALI $25,000 32 Bonita Canyon Sports Park Requesting Department: Recreation / Senior Services Category: Parks, Harbors and Beaches This project completes construction of additional shade structures at West Park; construction of backstops at fields 1-4; installation of safety surfacing at tot lots; and plant and tree in -fills throughout the park including MacArthur and Manning tract areas. Location: Bonita Canyon Sports Park Design /Environ mental Right -of -Way, Land Acquisition Construction Other Total FY 2011 -12 $0 $0 $68,200 $0 $68,200 FUNDING SOURCE DIVISION N0, PROJECT NO.! REBUDGET $ BUDGET $7 Bonita Canyon Development 7441 C4120616 $68,200 $0 i $0 $0 $0 $0 $0 $0 TOTAL _ $68,200 $0 PROJECT TOTAL I $68,200 33 Requesting Department: Public Works Lower Harbor Dredging Category: Parks, Harbors and Beaches This project involves working with the US Army Corps of Engineers to develop permit documentation and approvals to dredge the entire lower harbor area back to its design depth. Location: Lower Newport Bay FUNDING SOURCE FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $100,000 Other $0 Total $100,000 FUNDING SOURCE DIVISION NO. PROJECT NO. REBUDGET $ BUDGET $ Tide and Submerged Lands 7231 C4402003 $100,000 $0 $0 $0 i $0 $0 I $0 $0 TOTAL $100,000 $0 PROJECT TOTAL I $100,000 T Marina Park Requesting Department: Public Works Category: Parks, Harbors and Beaches The Marina Park project proposes new visitor - serving marina facilities, an aquatics sports building, a community center and community park. The Environmental Impact Report was completed in spring 2010. Upon approval by the Coastal Commission, the project's plans and specifications will be completed by the consultant team and the project will be put out for bid. The first bid packages will be for demolition of existing facilities and construction of the new Marina. Location: West Balboa Boulevard between 15th and 19th Streets Design /Environmental Right -of -Way, Land Acquisition Construction Other Total FY 2011 -12 $0 $0 $9,000,000 $0 $9,000,000 FUNDING SOURCE DIVISION NO. PROJECT NO. REBUDGET $ BUDGET $ Major Facilities Master 7411 C4002002 $725,000 $8,275,000 $0 $0 $0 $0 $0 $0 -- - -- —......_......_.._._.._. — TOTAL $725,000 $8,275,000 PROJECT TOTAL I $9,000,000 39 Sunset Ridge Park Requesting Department: Public Works Category: Parks, Harbors and Beaches The project provides a new park in West Newport with active and passive uses. When completed, Sunset Ridge Park will provide baseball and soccer fields, restrooms and picnic facilities, flower gardens and coastal views. The project also includes the creation of several acres of prime habitat for the threatened California Gnatcatcher. The habitat area will be located on part of the southerly portion of the Banning Ranch property that is tieing provided to the City to permit public access to the park. Construction of the park, entry road and traffic signal at Coast Highway is expected to begin by the end of 2011. Location: West Coast Highway and Superior Avenue Design /Environmental Right -of -Way, Land Acquisition Construction Other Total FY 2011 -12 $0 $0 $9,500,000 $0 $9,500,000 FUNDING SOURCE DIVISION NO. PROJECT NO. REBUDGET $ BUDGET $ Major Facilities Master 7412 C5100515 $9,500,000 $0 $0 $0 $0 , $0 $0 i $0 TOTAL $9,500,000 1 $0 PROJECT TOTAL $9,500,000 42 Big Canyon Wash Restoration Requesting Department: Public Works Category: Water Quality and Environmental Upland locations of the Big Canyon Wash area west of Jamboree Road will be targeted for restoration including removing invasive plants, replanting with native plants and restoring trails. This is the first phase of the multi -phase plan to restore the canyon. Location: Big Canyon bounded by Jamboree Road to the east, Eastbluff Apartments and Villa Granada community to the north, Backbay Drive to the west, and Park Newport community to the south. FUNDING SOURCE FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $1,575,000 Other $0 Total $1,575,000 FUNDING SOURCE DIVISION NO. ! PROJECT NO. REBUDGET $ BUDGET $ General Fund 7014 C5002004 $75,000 $0 Contributions 7251 C5002004 $1,500,000 $0 $0 $0 $0 $0 TOTAL $1,575,000 $0 PROJECT TOTAL $1,575,000 43 Buck Gully Canyon Stabilization and Flood Control Requesting Department: Public Works Category: Water Quality and Environmental This project will build drop structures and weirs to stabilize erosion in lower Buck Gully. Additionally, water quality improvement features will be installed including a infiltration gallery for the Evening Canyon storm drain that outlets near the mouth of Buck Gully. Proposition 84 ASBS funds will partially support construction of this project. Location: Lower Buck Gully FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $1,759,600 Other $0 Total $1,759,600 FUNDING SOURCE DIVISION NO. ! PROJECT NO. REBUDGET $ BUDGET $ General Fund 7014 C5002002 $1,034,600 $0 Environmental Contributions 7255 j C5002002 $0 $725,000 $0 $0 $0 $0 TOTAL $1,034,600 $725,000 PROJECT TOTAL I $1,759,600 eM Crystal Cove Parking Lot and Pond Area Improvements Requesting Department: Public Works Category: Water Quality and Environmental Pursuant to terms of the State Proposition 84 ASBS grant agreement, staff agreed to design water quality improvements for Crystal Cove State Park's easterly parking lot and to redesign the pond area at the mouth of Los Trancos. State Park staff is responsible for securing permitting and environmental documents. Construction is anticipated to start in FY 2012 -13. City staff will manage the construction of improvements. Location: Crystal Cove easterly parking lot FUNDING SOURCE DIVISION NO. FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $414,000 Other $0 Total $414,000 FUNDING SOURCE DIVISION NO. PROJECT NO, REBUDGET $ BUDGET $ Environmental Contributions 7255 C5002005 $0 $414,000 $0 $0 $0 $0 TOTAL $0 $414,000 PROJECT TOTAL $414,000 45 Irrigation - Citywide Central Computer System Requesting Department: Municipal Operations Category: Water Quality and Environmental This project provides for the installation of an irrigation computer system and necessary equipment at a selection of City park satellite locations. Various elements of the system were installed in previous phases at other locations. The long -term goal is to have all parks linked to a central computerized irrigation system to better monitor and conserve water. Location: Citywide FY 2011 -12 Design/Environmental $0 Right -of -Way, Land Acquisition $0 Construction $0 Other $90,000 Total $90,000 FUNDING SOURCE DIVISION NO. PROJECT NO. REBUDGET $ BUDGET $ Water Enterprise 7513 C5500637 $0 $90,000 $0 — $0 $0 $0 $0 $0 TOTAL _ $0 $90,000 PROJECT TOTAL $901000 46 16th Street Pump Station Capacity Modifications Requesting Department: Municipal Operations Category: Water This project will identify pump station improvements at the 16th Street Pump Station located at the City's Utilities Yard. The station was constructed in 1995 as part of the Groundwater Development Project. Staff identified possible improvements to increase capacity and improve efficiency. The pumps and motors are aging and need to be replaced. Upsizing the motors and installing variable frequency drives to replace the fixed starters may be considered. This year's efforts will focus on pre - design to review possible options for the station. Location: 949 W. 16th Street FUNDING SOURCE FY 2011 -12 Design /Environmental $100,000 Right -of -Way, Land Acquisition $0 Construction $0 Other $0 Total $100,000 FUNDING SOURCE DIVISION NO. PROJECT NO. REBUDGET $ BUDGET $ Water Enterprise 7513 C6002010 j $0 $100,000 $0 $0 $0 $0 $0 $0 TOTAL $0 $100;000 PROJECT TOTAL $1001000 47 Corona del Mar Water Transmission Main Improvements Requesting Department: Municipal Operations Category: Water This project will construct a new 36 -inch Transmission Main between the Big Canyon Reservoir and East Coast Highway at MacArthur Boulevard. The project also installs a 24 -inch Transmission Main between East Coast Highway and Bayside Drive that serves the Peninsula Point area. Water supply and fire flow to the eastern portion of the system will be improved as identified in the City's Water Master Plan. The project also includes the replacement and relocation of a connection to the Metropolitan Water District System (CM -1) in the same general area. Plans and specifications are currently being prepared by consultant. Construction will be performed by a private contractor. Location: San Miguel Drive, MacArthur Boulevard and Carnation Avenue FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $2,800,000 Other $0 Total $2,800,000 FUNDING SOURCE DIVISION NO. PROJECT NO. REBUDGET $ BUDGET $ Water Enterprise 7511 ; C6002008 $0 $2,800,000 $0 $0 i $0 $0 r ! $0 $0 TOTAL $0 $2,800,000 PROJECT TOTAL 1 $2,800,000 48 Big Canyon and Port Streets Sewer Diversion Improvements Requesting Department: Municipal Operations Category: Wastewater Two subdrains and an underdrain in the vicinity of Big Canyon Reservoir are suspected to have high concentrations of selenium. Low flow diversions to the sewer of these sources will help reduce downstream impacts. Staff will design diversions at three points (Port Streets, Yacht Streets, Reservoir) to the sanitary sewer. Location: San Miguel Drive and Newport Hill Drive East FUNDING SOURCE FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $150,000 Other $0 Total $150,000 FUNDING SOURCE DIVISION NO. ; PROJECT NO. REBUDGET $ BUDGET $ Wastewater Enterprise 7531 C7002004 $0 $150,000 $0 $0 $0 $0 $0 $0 TOTAL $0 $150,000 PROJECT TOTAL I $150,000 51 Santa Ana Heights Utility Undergrounding Requesting Department: Public Works Category: Miscellaneous This project provides for the design and construction to underground utility facilities in Santa Ana Heights and rehabilitation of the area's streets pursuant to City Council action on October 11, 2005, and County Board of Supervisors action on March 27, 2007. The Amended Engineer's Report and Revised Boundary Map and related agreements with the County of Orange were approved by the City Council at its meeting of March 24, 2009. Location: Santa Ana Heights FY 2011 -12 Design /Environmental $0 Right -of -Way, Land Acquisition $0 Construction $1,176,500 Other $0 Total $1,176,500 FUNDING SOURCE DIVISION NO. j PROJECT NO. REBUDGET $ BUDGET $ Santa Ana Heights 7459 j C5100879 $1,176,500 $0 j j ! $0 $0. ! j $0 $0 $0 $0 TOTAL $1,176,500 $0 PROJECT TOTAL $1,176,500 56 Attachment No. PC 2 CIP General Plan Policy Analysis CIP General Plan Policy Analysis Project # CIP Page # Project Title GP Element Comments folic :HB 6.2;calls for Yovidin ' a variety. ofbAhm anif`rfioonn opportunities'; y,. P g- 9 9 PPo throughout 'Newport _ Harbor, reflecting state and regional.demand fdr slip size and of ordabdily:: _ Policy 146 6 3 callsifor the provision of visA6 lfac cities ih Newport Harbor to .; `west • .. • ' . -- : 'endoura a the romsion of sh s moonn s waste'l Um outstations, g P,. andanchoragesin�t9ewportHartior (Policy R8i3) - Policy�HB 64'calls'.for the enhancement of'guest and public fa cdibes.:Prbteci Samna Yacht 6asm;Farality Harbor and Bay and; where feasible; expand and'enhance and Mooring Support' Element and " -' n Waste pump -put stations t,. 1 a Vessel Iaunchmg;faciliNes 4 ,Services�.improvements Recreation Element r ••. - . o Low -cost publlc.launchmg facilities ' cNarinas and dry'boat storage faalit tes oiGuest docks it,public fadlities,.yacht clubs and at pnvateI owned marinas - - restaurants and other appropnate'locabons F. e'Facihties and seniices for wsfingvessels' -` - o Facilities nedessary to supportvessels'b'erthed or mooredrin the harbor ouch ; - as boat haul out- facilates - •` "' - -! ,1 ^ o iEZlsting harbor sUPPort uses serving the,niiedi of exlshng?vaterfronPu'ses - -recreational boaters; the boatingjcommunity' and msdmg.4essels (Policy,', :This ro'ect rovides features'oofisistert with the 06ficiest 'iited above., - Land Use Element— Policies LU 6.1.1 and LU 6.12 call for accommodating and allowing for 2 2 Civic Center Public Facilities (PF) government administrative and operational facilities to serve the needs of the land use designation residents and businesses. - -„ •' Policies LU 61'1:. and LU 6:12 callfon`eccommodating and allowing for govemmenl admiNstrative and operational faahhes to'seive the needs of the 3 Ldeguard'Headquarters Land Use Element'antl resitlegts and businesses 3' Replacement (Design)` Recreatlon'Elemenf Policy >R 84 calls for marine safety such as.bfeguards,h`arbor police: ;,, .. ',.. ,. _- .; , „ C ':- .. patrol traffb „and "Parking enforce ment . BaysidetDnve Riverside Harbor and Bay ; �;- Paicy HB 8 4 calls'for all development to comply with the regulations untlerthe.: 4 _ 9 Avenue Storm Drain Element and Natural .City's; municipal :;separate storm, sewer system permit .under. the National e _ Improvements Resources Element Pollutant Discharge; Elimination- System (Policy NR 34) i 1 May 19, 2011 Project# CIP Page# Project Title GP Element Comments China Cove Slope and This project will minimize the threat of slope failure to protect Ocean Blvd. 6 11 Drainage Improvements Circulation Element Polices CE2.2.1 and CE2.3.2 provide for safe roadways and ongoing roadway maintenance. The Project is consistent with CE1, the Master Plan of Streets and Highways. 18 Irvine Avenue Realignment Circulation Element The design is also consistent with Policy CE 2.1.4, and Figure CE3 which calls _ University to Bristol for improvement of the Mesa and University intersections along this segment of Irvine Avenue. Jamboree Road Design and widening of Jamboree Road at the intersection of MacArthur Blvd. 8 16 Improvements Circulation Element is consistent with Policy CE 2.1.4 for roadway improvements to this major road Bristol /Fairchild in order to provide efficient movement of goods and people within the City. '; r Newpod Boulevarilan �. Circulation Element Design is consistent:with Policy CE 21 4 .which calls for, this Improvement of 16 32 a Modification the, %intersection ; ;Street NR 3:15 regwreSall street tlFarnage systems: and: other,physrcal tmprbvements�' Natural Resources and '- created by the Dity to be designed constructed avid maintained to minimize•' 10 22 Storm Drain Interceptors , Harbor and Bay 'adverse Impabts -on water;;ijuahry - Investigate the pbsslbrhty of;treating or. Element ,divertin g street dreinage tolminimrze.Impactstto water tiodies (POhry H6 8 15)',1<; 11 28 Traffic Signal Circulation Element Policy CE 2.3.4 calls for consideration of additional improvements in areas with Modernization: Phase 5 operations issues, such as intersections with heavy turn volumes. 12 33 Bonita Canyon Sports Park Recreation Element u Land Use Element-PR Policy R 1.9 calls for renovation of the existing recreation facilities to ensure land use designation n they are a safe environment and offer quality programs and services. 2 May 19, 2011 Project# CIP Page# Project Title GP Element Comments Policy HB 13.1 calls for development of a comprehensive sediment management program that provides for safe navigation and improved water Harbor and Bay quality. (Policy NR 13.1) 13 38 Lower Harbor Dredging Element and Natural Policy HB 13.2 calls for cooperation with the U.S. Army Corps of Engineers in Resources Element their maintenance and delineation of federal navigational channels at Newport Harbor in the interest in providing navigation and safety. (Policy NR 13.2) Policy R 1.9 calls for developing Marina Park as a site for marine and/or recreational facilities. 14 39 Marina Park Recreation Element Land Use Element-PR The The Recreation Element species Service Area 2 (Balboa Peninsula) as an land use designation needs and issues area, and states that future development of Marina Park could provide for the existing community center and the City's current sailing and boating Facilities on the site to be renovated and expanded. Recreation Element 16 42 Sunset Ridge Park Land Use Element -PR Policy R 1.9 calls for developing Sunset Ridge Park as an active park with land use designation playfields, picnic areas, a playground, and other facilities. Big Canyon Wash Natural Resources Policy NR 16.2 Calls for coordinating the Big Canyon Creek Restoration Project 16 43 Restoration Element so that its outcomes are consistent with the goals for Upper Newport Beach established by Orange County and the Department of Fish and Game. Policy NR 10.8 calls for the preparation of natural habitat protection regulations Buck Gully Canyon for Buck Gully for the purpose of providing standards to ensure both the 17 44 Stabilization and Flood Natural Resources protection of the natural habitats in this area and of private property rights. The Control Element regulations should include standards for the placement of structures, native vegetation /fuel modification buffers, and erosion and sedimentation control structures. May 19, 2011 Project# CIP Page# Project Title GP Element Comments Policy HB 8 :6,for Watershetl;runoff quality; control calls ':fouNewport:Beach to�� " participate in watershed- based ,iunoff reduction :water quality control, and:other., Crystal Cove Parking Lot `Harbor and Resources ;planning :efforts with -,the )Califomrar'.Regional Water ,.Quality' -0ontrol .Board' 18 45 and Pond Area Element'and'Natural : - '(RWQCB) ,the :.County of,Orange,.arid upstream' cities: Promote,regulation.of Improvements - _ Resources Element - upstream di§ chargers (citi es „Orange Couriry resioential'and wmmercial- use's) 'm.ithe San bieg"o..Creek „and;Santa AnaYDelhl Channel;watersheds'(Policy NR. 1s 46 Irrigation — Citywide Natural Resources Policy NR1.4 call for the use of alternative conservation measures to help Central Computer System Element achieve the goal of minimizing waster consumption. 4 May 19, 2011 20 4.7 '- 16th,Street Pump Station Natural Resources ;Policy NR 5'3 „calls for renovatlon ofiall: older sevierpump stations.and install,= aeity, Modifications Ele "ment anew plumoingaccorcim to'mostrecent'staodards. �' .. -' L1.16 1 3 ica lls for infrastructure'.that is compati ble in mass' and scale to the with 27 48 : Corona Del Mar ,: _ Transmisslon Main - Land Use Element the neighborhood m which it'is located The water main`s assocnsted ;with.thls - improvements project will be undergroun8,and wtll help ensure a reliable water suppry for aistomers'and :emergency! use. '.,.( � •' , -.. .'.♦:. +:. ' lion Policy elimina6dn. melh'ods NR 3.2 promotes - .; ... ., � I y pollution preven and that - :. mmlm¢e the introduction:of'pollutants mto:natuml wateFOotlies (POnry 111:1-8.2j. ' •22 - 51 Big iCanyon /'Poit;Str... Sewer:Omersion ,Natural Resources Element Harbor Policy NR 315 requires all street drainage systems and other` physical' - Improvements. ' -and Bay Element d improvements created by.ttie'City or developers of.new subdivisions to ;be designed,_ constructed, antl :.malmamed -to minimize; adverse rmpacts}.on;.Water. quality Investigate the possibility of treating or Biting street drainage to' .: ; .ml S'to watWtiodies(PolicyHB815) mimm�ze Impact 23 56 Santa Ana Heights Utility Natural Resources NR 21.3 calls for supporting programs to remove and underground overhead Undergrounding Element utilities, in new development as well as existing neighborhoods. 4 May 19, 2011 LEGAL NOTICE NOTICE IS HEREBY GIVEN THAT the City Council of the City of Newport Beach will establish the City's Appropriation Limit for the 2011 -12 Fiscal Year, pursuant to Article 13B of the State Constitution on the 14`h day of June, 2011, at the hour of 7:00 p.m. in the City Hall Council Chambers, 3300 Newport Boulevard, Newport Beach, CA 92663. APPROPRIATION LIMIT: Article 13B Appropriation for 2011 -12 Fiscal Year $144,448,989 Total Appropriations Subject to Limit 111,347,236 Amount Under Limit 33,101,753 For questions regarding details please contact Administrative Services Director Tracy McCraner at 949 - 644 -3123. Dgk,J 1 "VYV'YY , Leilani I. Brown, City Cleric *' r LEGAL NOVICE NOTICE IS HEREBY GIVEN THAT the City Council of the City of Newport Beach will hold a public hearing regarding Preliminary Budget for the 2011 -12 Fiscal Year, pursuant to Section 1102 of the Newport Beach City Charter. NOTICE IS HEREBY GIVEN THAT said public hearing will be held on the 14'x' day of June, 2011, at the hour of 7:00 p.m. in the City Hall Council Chambers, 3300 Newport Boulevard, Newport Beach, CA 92663, at which time and place interested persons may appear and be heard thereon. TOTAL BUDGET ALL FUNDS - INCLUDING CAPITAL IMPROVEMENTS: Salaries and Benefits $122,278,949 Maintenance and Operations 65,283,522 Capital Outlay 3,276,589 Capital Improvements 51,176,740 Debt Service 13,536,677 Total Budget 255.552,477 For questions regarding details please contact Administrative Services Director Tracy McCraner at 949 - 644 -3123 V�P DD Leilani I. Brown, City Clerk 1047111t] FY 2011 -12 Proposed Budget 3rd Review — Study Session Tuesday, June 14, 2011 Newport Beach City Council Quick Reminder of Where We Are ► Balanced Budgets - FY 2009 -10 and FY 20 10-1 1 No use of reserves. ► Proposed FY 2011-12 ► Balanced and no use of reserves ► Reduced operating costs & and new revenues. Net = $7.7M ► Significant position reductions FY 2009 -10 - 833FT FY 2010-11 - 805 FT FY 2011-12 - 762 FT ► More reductions /restructuring needed in FY 2012 -13 F] Today's Discussion and Decision Points Lifeguards, CERT, & DARE Helicopter Law Enforcement Support Special Events Advisory Committee (SEAC) — Update Year-End Actions Budget Checklist Changes in Historical Positions — Update Council Discretionary Funds — Summary of 2010 -1 1 Allocations z Lifeguards ► Consensus Proposal: ~$700K in savings. Organizational Changes safe, well - patrolled beaches & 17 FT to 12 FT (+ one 0.40 FTE). Reduces upper management (from 4 to 3). Assistant Chief position exempt and now allowed per Measure V. First Flex Position — Permanent P/T LG Position Reduces OT and Call -Back pay (about $60,000) Small impacts to Seasonal Guards — "meet and confer" required Pension Changes: EEs pay 9% for PERS ('j from 3.5 %). No "EPMC." 2nd Tier (new hires) — 2% @ 50, average of last 3 years, 9% EE contribution. C CERT Protect the CERT program, ensure that the CERT staff works in a coordinated way with Fire and Emergency Preparedness Organizational Changes : 0.4 to Lifeguard Captain — Training 0.6 to Assistant Fire Chief — Fire Prevention Thank you to CERT volunteers for input and discussion over the last three weeks. F- 7 Helicopter Law Enforcement Support ► Effective airborne law enforcement support post- A.B.L.E. (no interruption in service). Short -term contract with City of Huntington to cover July activities in 2011 Proposed one -year, extendable contract, with Huntington Beach ($700 /hour and 1000 hours of flying time) ABLE JPA requires cessation of all operations, July, 2011 � City to study other alternatives ---------------------------------------------------------------------------------------------------------------------------- D6 DARE Preserve a program that has a uniformed staff member teaching DARE -like curriculum for appropriate schools Position shared with P/T LG position, will report to Police Chief following selection Saves expense of $170,000 /year sworn officer ► Replaced with 0.6 FTE Crime Prevention Position. Net savings = approximately $80,000 Special Events Advisory Committee (SEAC) ► Goal = Equitably support community events ► Result = New review process underway 21 groups applied Special Events Advisory Committee completes review - 6/16 City staff to make funding recommendations Council to review, amend, approve recommendations — June 28, 2011. e Noteworthy Year -End Actions ► Policy F -2 allows assignment of fund balance in FY 20 10-1 1 for critical /key FY 2011-12 efforts: Meeting Council's 2011 Goals: Tidelands Management - $200,000 Neighborhood Revitalization - $500,000 ► NHHS Tennis Courts - $75,000 ► Bergeson Aquatic Center — 1 /3rd Match for Phase III - $300,000 ► Traffic Safety - $50,000 for Public Works /Bike Committee efforts $1,125,000 total ► LNB Dredging $2.5M as a loan from Tidelands to support the —$2M in 2011-12 USACE LNB Dredging Project Not a designation, but will be a Checklist item to verify Council support. 9 Budget Checklist Council Policy F -3 directs all changes to the Proposed Budget be included on an itemized Budget Checklist Budget Checklist includes: CIP rebudgets and special requests Will include SEAC /City Manager recommendations for special event support. If the Council agrees with Lifeguard, Helicopter (and more) alternatives, these will be added to the Checklist for June 28, 2011 for final approval. a w�� Council Discretionary Funds - 2010 -11 Donation /Contribution District 1 District 2 District 3 District 4 District 5 District 6 District 7 Totals Airfair 250 250 American Cancer Society 500 500 Balboa Island Artwalk 400 400 Balboa Island Improvement Assn - Balboa Parade 2,000 2,000 Balboa Performing Arts Foundation 1,000 1,000 Bayside Village Holiday Decorations 450 450 Corona del Mar Pool Renovation 600 600 Crystal Cove Alliance 500 500 Friends of Harbors, Beaches & Parks 2,000 250 2,250 Golden Communications - website maintenance 2,000 2,000 MiOcean Newport Beach Chamber of Commerce 800 300 300 800 Newport Harbor High Grad Night 500 500 500 1,500 OASIS Building Fund 21500 2,500 Orange Coast Interfaith Shelter 500 500 ProLiteracy 1,000 1,000 250 343 Urban Land Institute 250 343 Women in Government Luncheon TOTALS $ 2,950 $ 500 $ 3,300 $ 4,393 $ 4,900 $ 500 $ 600 $ 17,143 Available Balance Remaining @ 6/14/2011 ® II .......... $ 3,050 $ 5,500 $ 2,700 $ 1,607 $ 1,100 $ 5,500 $ 5,400 $ 24,857 FY 10 -11 Year -End Closing Projections GENERALFUND FY 2011 ORIGINAL BUDGET VS. PROJECTED YEAR END 2010 -11 Projected FY2011 FY2011 SURPLUS/ SURPLUS/ Original 2010 -11 (DEFICIT) (DEFICIT) OVE Budget Year End AMOUNT BUDGET % GENERAL FUND REVENUES: PROPERTYTAXES $ 70,642,840 $ 71,574,069 $ 931,229 1.32% SALES TAXES 23,767,007 24,383,039 616,032 2.59% TOT TAXES 11,555,034 12,156,000 600,966 5.20% ALL OTHER GENERAL FUND REVENUES 39,175,789 39,545,785 369,996 0.94% PLANNED ADDITIONAL REVENUES /SAVINGS 2,297,108 - WA N/A SUBTOTAL GENERAL FUND REVENUES $ 147,437,778 $ 147,658,893 $ 2,518,223 1.71 GENERAL FUND EXPENDITURES: GENERAL GOVERNMENT $ 16,390,830 $ 16,165,263 $ 225,567 1.38% PUBLIC SAFETY 76,878,354 75,828,696 $ 1,049,658 1.37% PUBLICWORKS 28,892,972 28,441,749 $ 451,223 1.56% COMMUNITY DEVELOPMENT 7,243,143 7,196,664 $ 46,479 0.64% COMMUNITY SERVICES 14,063,479 13,908,921 $ 154,558 1.10% OPEB 2,128,000 2,128,000 $ 0.00% DEBT SERVICE 780,000 765,000 $ 15,000 1.92% CAPITAL P ROJ ECTS 1,061,000 1,061,000 $ - 0.00% COUNCIL POLICY F -2 APPROPRIATED RESERVE - 2,163,600 WA 1.50/ $ 147,437,778 $ 147,658,893 $ 1,942,485 1.32% 12 1 1 Comparison of Staffing Levels THREE -YEAR COMPARISON OF FULL -TIME POSITIONS 13 Original Original Proposed Variance 2009 -10 2010 -11 2011 -12 from 2009 -10 FIT FIT FIT FIT GENERAL FUND 763.00 735.00 669.00 -94.00 TIDELANDS FUND 7.00 5.00 5.00 -2.00 WATER ENTERPRISE FUND 35.00 37.00 38.00 3.00 SEWER ENTERPRISE FUND 13.00 15.00 15.00 2.00 EQUIPMENT FUND 15.00 13.00 13.00 -2.00 INFORMATION TECHNOLOGY FUND 0.00 0.00 22.00 22.00 TOTALS 833.00 805.00 762.00 -71.00 13 Historical Full Time Positions 840 820 801 800 788 781 ■780 775 � 760 740 720 700 ,' -� 2002 -03 2003 -04 Actual Actual 14 832 2004 -05 2005 -06 2006 -07 Actual Actual Actual 2007 -08 2008 -09 2009 -10 2010 -II 2011 -12 Actual Actual Actual Estimated Proposed Historical Full -time Equivalents (FTE's) 15 What's Next - FY 2011 -12 Budget ► Tonight: Formal Budget Hearing (Item #28) Additional Council /Community Direction ► Next 2 Weeks: ► SEAC meets, completes recommendations ► Staff makes any further changes to Budget Checklist. ► Final agenda item for budget finalized, posted (June 23rd) ► June 28, 2011: ► More opportunity for public comment ► Budget adoption (7:00 p.m. session) ► July 1, 201 1 onward: More Strategic Efforts — via disciplined thought -> disciplined action V Strategic Efforts - 2011-12 ► Efforts and Improvements Slated for FY 2011-12 Continued Focus on Performance Management Strengthening Internal business practices (contract oversight, purchasing standards, timely cost/revenue management reports) Technology Enhancements Completion of the IT business improvement mapping, a -gov, electronic plan check, document imaging, more Service alternative analysis and cost containment strategies Evaluate qualified city services: Regional service sharing, city service contracts, private contracting for outsource options. Key projects to manage: ❑ Civic Center ❑ Neighborhood Revitalization ❑ Tidelands Management Refocusing Economic Development Labor Negotiations (Public safety in Fall 2011, Miscellaneous Spring 2012) 17 In Closing Noteworthy Process this year: Several new staff members Major restructuring: Municipal Operations, Community Development Major budget reductions, position eliminations, including layoffs: Engendered significant community feedback Played out in a challenging public environment Significant new processes, including SEAC E In Closing - Thanks ► Finance Department Staff: Tracy McCraner, Finance Director Supported by Dan M, Susan G,Tammie F, more ► Critical departmental changes /reductions: Fire /LGs — Mike Morgan, Rob Williams, more Police — Jay Johnson, top PD Admin Team MOD — Mark Harmon, more HR —Terri Cassidy, more (MOUs, bumping, layoffs) CM's Office — Dana Smith, Rob,Tara, support staff ► City Council ► Community m