HomeMy WebLinkAboutItem 07a - Adoption of Operating Budget and CIP Equipment PlansAdoption of the Operating Budget and CIP and Equipment Plans
June 6, 2023
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DATE: June 6, 2023
TO: Honorable Mayor and City Council
FROM: Dominic Lazzaretto, City Manager
Hue Quach, Administrative Services Director
Henry Chen, Financial Services Manager
SUBJECT: RESOLUTIONS RELATING TO THE ADOPTION OF THE FISCAL YEAR
2023-24 OPERATING BUDGET AND THE FISCAL YEARS 2023-24
THROUGH 2027-28 CAPITAL IMPROVEMENT AND EQUIPMENT PLAN
RESOLUTION NO. 7500 ADOPTING A BUDGET FOR FY 2023-24 AND
APPROPRIATING THE AMOUNTS SPECIFIED THEREIN AS
EXPENDITURES FROM THE VARIOUS FUNDS
CEQA: Not a Project
Recommendation: Adopt
RESOLUTION NO. 7501 ADOPTING A CAPITAL IMPROVEMENT AND
EQUIPMENT PLAN FOR FISCAL YEARS 2023-24 THROUGH 2027-28
CEQA: Not a Project
Recommendation: Adopt
SUMMARY
Sections 1204 and 1205 of the Arcadia City Charter require a Public Notice and a Public
Hearing for consideration of the proposed Operating Budget and Five-Year Capital
Program for the ensuing fiscal year, which is required to be adopted by July 1. The
recommended actions are necessary to implement the budget for Fiscal Year 2023-24.
This year’s budget process included two Budget Study Sessions with the City Council on
May 8 and 16, 2023. Copies of the proposed Operating Budget were provided for the City
Council’s review. Inclusive in the draft Budget were all operating funds including General,
Special Revenues, Enterprise, and the Successor Agency. Additionally, the City Council
received the Capital Improvement and Equipment Replacement Fund budgets in a
separate document. All funds total $177.4 million in expenditures, of which the General
Fund’s budget is $87.8 million (including Transfers Out as noted below).
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June 6, 2023
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As Special Revenues, Enterprise, and Debt Service funds are restricted to specific
purposes and are generally self-sustaining, this report will primarily focus on the General
Fund’s Operating Budget.
The proposed FY 2023-24 Operating Budget acknowledges the potential for a slowing
economic environment, influenced by factors such as inflation, supply chain issues, and
concerns about higher Federal Reserve overnight rates. Given the current
macroeconomic situation, it is essential to evaluate how City revenues may be affected.
While certain revenue streams could be susceptible to a recession, recent economic data
suggests that others, like property tax and vehicle license fees, may experience modest
growth or remain stable. Encouraging indicators such as a low unemployment rate, rising
wages, and consistent consumer spending habits provide optimism that an economic
slowdown may be postponed; however, it is important to acknowledge challenges in the
broader economic landscape, including the increased reliance on credit card usage for
consumer spending and a decline in savings, which can contribute to a slower economy.
The proposed FY 2023-24 General Fund Operating Budget outlines Total Operating
Revenues of $90.9 million and Expenditures of $87.8 million, resulting in a projected
surplus of $3.1 million. After accounting for Fund Transfers In and Out, the projected
ending Fund Balance of the Operating General Fund is $27,775,300. However, this
balance includes a surplus of $9.9 million from FY 2022-23, which is proposed to be
transferred to the Equipment Replacement Fund for upcoming major equipment
purchases in the next two fiscal years. With City Council approval of the transfer, the
projected Ending Fund Balance of the Operating General Fund for FY 2023-24 would be
$17.9 million.
Furthermore, in accordance with the City's financial policies, which recommend
maintaining a 20% balance in the Emergency Reserve Fund relative to annual operating
expenditures, transfers of $1.5 million and $1.6 million are proposed to be made to the
Emergency Reserve Fund at the conclusion of FY 2022-23 and FY 2023-24, respectively.
These transfers are aimed at ensuring compliance with the policy guidelines. As a result,
the General Fund Operating Fund Balance is projected to reach $14.9 million by the end
of FY 2023-24, providing a robust reserve to sustain operations throughout the Fiscal
Year.
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June 6, 2023
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FY 22-23 FY 23-24 FY 24-25
Estimates Budget Budget
Beginning Fund Balance $14,801,500 $13,377,760 $14,888,300
Estimated Revenues $83,823,200 $84,831,700 $86,559,600
Transfers In 5,881,400 6,091,200 9,422,600
Expenses & Uses -75,038,200 -81,017,500 -85,801,200
Revenue over Expenses $14,666,400 $9,905,400 $10,181,000
Transfer to Equipment Replacement Fund -2,400,000 -3,400,000 -3,400,000
Transfer to Capital Improvement Fund -2,400,000 -3,400,000 -3,400,000
($4,800,000) ($6,800,000) ($6,800,000)
Net Operating Surplus / (Deficit) $9,866,400 $3,105,400 $3,381,000
Ending Fund Balance $24,667,900 $16,483,160 $18,269,300
Council Approved and Policy Transfers:
Transfer to Equipment Replacement Fund
(FY 22-23 Surplus) (9,822,500) - -
Transfer to Emergency Reserve Fund (20%
Level) (1,467,640) (1,594,860) (957,740)
Final Ending Fund Balance $13,377,760 $14,888,300 $17,311,560
With these factors in mind, the FY 2023-24 budget takes a cautious approach, carefully
considering these variables while maintaining optimism for a return to pre-pandemic
norms. The City aims to navigate the economic landscape responsibly, ensuring the
provision of high-quality services to residents while considering all possible economic
outcomes.
The General Fund Operating budget is summarized in the table below (before proposed
transfers of the FY 2022-23 Operating surplus to the Equipment Replacement Fund and
the Emergency Reserve Fund, noted in the above section):
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June 6, 2023
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FY23-24
Budget
Beginning Fund Balance 24,667,900$
Estimated Revenues 84,831,700
Transfers In 6,091,200
Expenses & Uses (79,022,400)
New Programs (1,008,900)
Revenue over Expenses 10,891,600$
Transfer to Equipment Replacement (3,400,000)
Transfer to Capital Improvement Fund (3,400,000)
Transfer to Local Law Enforcement Prgm (135,200)
Transfer to Lighting Assessment District (851,000)
Total Transfer Out (7,786,200)
Subtotal Operating Balance 3,105,400
Ending Fund Balance 27,773,300$
Each year, an allocation of $4.8 million is designated for transfer into the Capital
Improvement and Equipment Replacement Funds, with each fund receiving $2.4 million.
This amount was approximately the 10-year average spending in each account and has
ensured a balanced amount to cover annual maintenance and replacement requirements.
However, in response to the recent surge in prices caused by inflation and the projected
ongoing increases in materials and production costs, the annual transfer amounts have
been revised to $3.4 million for each of the mentioned funds.
The Capital Improvement Fund plays a vital role in funding crucial maintenance projects,
including pavement rehabilitation, building repairs, and parks maintenance. In the
upcoming Fiscal Year, several key projects are budgeted within the Capital Improvement
Fund, such as reroofing city facilities, pavement rehabilitation, water meter upgrades, and
the Bonita Park Concession Building. The proposed projects budgeted in the Capital
Improvement Fund total $6.2 million. The combined capital projects across all funds have
been budgeted at $15.8 million.
Due to inflationary pressure and anticipated future purchases, the transfer amount for the
Equipment Replacement Fund has been adjusted to $3.4 million this year. This revised
deposit aligns with the annual funding goal to ensure adequate resources for future
equipment replacements. The Equipment Replacement Fund helps replace equipment
that has reached the end of its useful life like computers, vehicles, and major office
equipment. The proposed total cost of asset replacement through the Equipment Replace
Fund is $4.1 million. Notably, significant purchases for FY 2023-24 are planned, including
$1.5 million for Street Division vehicle replacements, $461,000 for Police vehicle
replacements, and $732,000 for the Fire Department's rescue ambulance.
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June 6, 2023
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New programs proposed for the City’s overall Operating Budget demonstrate Arcadia’s
commitment to being responsive to community needs. Several new programs are a result
of emerging operational changes as in the case of a Fire Prevention Specialist and Fire
Training Captain, who will meet the increased demand for fire inspections and provide a
dedicated training resource for firefighters. In some departments, new software is being
sought to improve the customer experience as is the case in Development Services,
where software will streamline digital plan check and business licensing services. In the
Library, patrons can opt for a text-based system to receive messages about items on-
hold and help them avoid past-due returns. And critically, the addition of a Project
Manager will allow for the completion of vital construction and maintenance projects for
City facilities and infrastructure. All new programs proposed for the City’s General Fund
Operating Budget this year total $1,008,900 and represent vital investments in all areas
of the community.
Additionally, in alignment with the City's pension strategy, the proposed FY 2023-24
budget allocates funds for addressing long-term liabilities, specifically the Unfunded
Accrual Liabilities (“UAL”) of CalPERS. To this end, $2.0 million has been designated for
an advance discretionary prepayment to CalPERS. Alternatively, considering the
changing interest environment and past moves to reduce pension pressures in the short-
term this budget line item will be reviewed for potential alternatives to further reduce long-
term liabilities. One such alternative being explored is the creation of a Section 115
Pension Trust account, which serves as a financial tool for investing and saving to
address future pension-related costs. This initiative aligns with the City Council's direction
to minimize pension debt by either accelerating payments to CalPERS or implementing
innovative financial tools, ultimately aiming to generate significant long-term savings.
It is recommended that the City Council adopt the proposed Resolutions 7500 and 7501,
to enact the FY 2023-24 Operating Budget as well as the Capital and Equipment
Replacement Plans.
DISCUSSION
The proposed FY 2023-24 Operating Budget anticipates a moderate or stagnant
economic environment with uncertain impacts on City revenues. Concerns about inflation,
supply chain issues, and the possibility of a recession make it difficult to predict the exact
timing of these effects. However, recent data provides positive signals about the
economy. While revenue streams such as sales tax, transient occupancy tax, and
business license fees are expected to grow at a slower pace, property tax and vehicle
license fees continue to show normal annual growth rates. Encouraging signs like low
unemployment, increasing wages, and consistent consumer spending habits suggest that
an economic slowdown may be further away than initially anticipated.
The FY 2023-24 budget takes a cautious approach while maintaining a slightly optimistic
outlook, and a return to pre-pandemic conditions. One crucial factor in the revenue
trajectory is Measure A, a 0.75% Transaction and Use Tax (Sales Tax) approved by
Arcadia voters in June 2019. This revenue stream has played a critical role in supporting
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June 6, 2023
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the City's budget by contributing approximately $11 million to the General Fund revenues
in FY 2022-23 alone. Without this voter-approved measure, the City would have faced
the challenge of implementing service cuts or exploring alternative methods to achieve
an annual balanced budget.
Summarized in the table below is the General Fund Operating Budget for: FY 2022-23
Year-End Estimates, FY 2023-24 Proposed Budget for Adoption, and a FY 2024-25
Preliminary Budget Outlook. Please note that FY 2024-25 is not proposed for adoption
as the City Council adopts the Operating Budget annually.
GENERAL FUND
FY 22-23 FY 23-24 FY 24-25
Estimates Budget Budget
Beginning Fund Balance $ 14,801,500 $ 24,667,900 $ 27,773,300
Estimated Revenues $ 83,823,200 $ 84,831,700 $ 86,559,600
Transfers In 5,881,400 6,091,200 9,422,600
Expenses & Uses (75,038,200) (81,017,500) (85,801,200)
Revenue over Expenses $ 14,666,400 $ 9,905,400 $ 10,181,000
Transfer to Equipment Replacement Fund (2,400,000) (3,400,000) (3,400,000)
Transfer to Capital Improvement Fund (2,400,000) (3,400,000) (3,400,000)
Subtotal Operating Balance 9,866,400 3,105,400 3,381,000
Ending Fund Balance $ 24,667,900 $ 27,773,300 $ 31,154,300
The table above shows that the City's General Fund Operating Ending Fund Balance is
projected to reach $27.8 million by the end of FY 2023-24. This increase is due to a
projected surplus of $3.1 million. It is important to note that the projected balance already
includes the expected surplus of $9.9 million by the end of FY 2022-23.
As depicted in the table below, the proposed budget recommends transferring the $9.9
million surplus in FY 2022-23 to the Equipment Replacement Fund. This transfer aims to
allocate funds for significant equipment purchases over the next two fiscal years, resulting
in a revised General Fund Operating Fund Balance of $18.0 million prior to making year-
end transfers to the Emergency Reserve Fund in FY 2022-23 and FY 2023-24.
In accordance with the City's financial policies, which recommend maintaining a 20%
emergency reserve balance of annual operating expenditures, transfers of $1.5 million
and $1.6 million are proposed to the Emergency Reserve Fund at the end of FY 2022-23
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and FY 2023-24, respectively. Upon implementing these proposed adjustments, the
General Fund Operating Fund Balance is projected to net $14.9 million at the end of FY
2023-24.
Please refer to the table below for a summary of the impact resulting from the noted
proposed transfers:
FY 22-23 FY 23-24 FY 24-25
Estimates Budget Budget
Beginning Fund Balance $14,801,500 $13,377,760 $14,888,300
Estimated Revenues $83,823,200 $84,831,700 $86,559,600
Transfers In 5,881,400 6,091,200 9,422,600
Expenses & Uses -75,038,200 -81,017,500 -85,801,200
Revenue over Expenses $14,666,400 $9,905,400 $10,181,000
Transfer to Equipment Replacement Fund -2,400,000 -3,400,000 -3,400,000
Transfer to Capital Improvement Fund -2,400,000 -3,400,000 -3,400,000
($4,800,000) ($6,800,000) ($6,800,000)
Net Operating Surplus / (Deficit) $9,866,400 $3,105,400 $3,381,000
Ending Fund Balance $24,667,900 $16,483,160 $18,269,300
Council Approved and Policy Transfers:
Transfer to Equipment Replacement Fund
(FY 22-23 Surplus) (9,822,500) - -
Transfer to Emergency Reserve Fund (20%
Level) (1,467,640) (1,594,860) (957,740)
Final Ending Fund Balance $13,377,760 $14,888,300 $17,311,560
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FY 2023-24 Expected Revenues
FY 22-23 FY 23-24 Changes
Estimates Budget $ %
Taxes $ 58,782,100 $ 59,314,700 $ 532,600 0.91%
License & Permits 5,680,500 5,754,900 74,400 1.31%
Fines & Penalties 545,200 502,200 (43,000) -7.89%
Use Money & Property 1,523,300 1,939,100 415,800 27.30%
Revenue from Other Agencies 8,734,500 8,953,500 219,000 2.51%
Charge Current Services 4,858,600 4,336,500 (522,100) -10.75%
Library 76,000 82,500 6,500 8.55%
Recreation 1,367,500 1,558,300 190,800 13.95%
Other Revenue 2,255,500 2,390,000 134,500 5.96%
Total Revenue $ 83,823,200 $ 84,831,700 $ 1,008,500 1.20%
For FY 2023-24, total General Fund revenues are expected to increase 1.20% when
compared to FY 2022-23 Year-End Estimates. The largest revenue source to the City’s
General Fund is from Taxes and Fees. The key revenues under these two groups are:
Sales & Use Tax, Property Tax, Utility Users’ Tax, Transient Occupancy Tax, and Motor
Vehicle License Fees. Their projected receipts are shown in the table below.
Description FY 2022-23
YE Estimates
FY 2023-24
Proposed
Budget
Difference % Change
Sales and Use Tax $ 24,181,100 $ 24,422,900 $ 241,800 1.00%
Property Tax 19,045,200 19,524,300 479,100 2.52%
Utility Users’ Tax 8,683,900 8,423,000 (260,900) -3.00%
Transient Occupancy Tax 4,395,800 4,461,700 65,900 1.50%
Motor Vehicle License Fees 8,640,000 8,856,000 216,000 2.50%
Sales and Transaction Use Tax: Recent economic data suggests the possibility of a
slowing economy and a potential recession. The full impact of transferring ownership of
the Shops at Santa Anita from an international market leader to a locally-owned single-
entity is also unknown. It is important to note that accurately predicting the timing of a
recession is difficult. However, there are positive signs indicating that a slowdown may
be further away than initially expected. Factors such as low unemployment, increasing
wages, and consistent consumer spending habits contribute to this perspective.
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June 6, 2023
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Nevertheless, it is essential to acknowledge the challenges in the overall economic
landscape, including the growing reliance on credit cards for consumer spending and a
decline in savings. While sales tax could be affected by a recession, recent data indicates
that these revenue streams may still experience growth albeit at a slower pace.
For Sales and Transaction Use Tax, the total projection for the upcoming Fiscal Year is
$24.4 million, reflecting a 1.0% increase compared to the previous year’s revenues. This
projection takes a conservative approach, considering the potential for a slower economy
in the latter half of FY 2023-24.
Property Tax: Arcadia's status as a desirable community coupled with its highly regarded
public school district, contributes to the City's expectation of ongoing growth in home
valuation. However, it is worth noting that home sales and development activities in high-
value areas like Arcadia have normalized compared to previous years. Forecasts
nevertheless indicate that home sales in California will likely reflect higher price points
due to supply scarcity across all price ranges.
That being said, factors such as the recent increase in interest rates and other
uncertainties could potentially lead to a slowdown in home sales activities. To account for
this, conservative revenue projections are planned for next FY 2023-24, allowing flexibility
to respond if downward trends emerge. The City anticipates a continued growth in
Property Tax receipts, estimated at approximately 2.5%, or around $479,100, for FY
2023-24.
Utility Users’ Tax: The projected revenue from the Utility Users' Tax (UUT) is $8.4 million,
representing a 3.0% decrease compared to the Year Ending Estimate for FY 2022-23.
The demand for water, electricity, and gas is expected to remain consistent with the
previous year’s usage; however, a slight reduction in billings is anticipated due to the
easing of unusually high demand factors observed in electricity and gas prices as a result
of unprecedented cold and wet conditions this past winter.
Transient Occupancy Tax (“TOT”): The TOT revenue projection for FY 2023-24
represents a 1.5% increase compared to the previous year, resulting in expected revenue
of $4.5 million. Compared to the prior year's ending estimate of $4.4 million, this is a
conservative growth estimate for this revenue category.
Motor Vehicle License Fees (“VLF”): The Motor Vehicle License Fees ("VLF") tax is
projected to increase by 2.5%, generating $8.9 million in revenue next Fiscal Year. In
recent years, the demand for automobiles has outpaced supply, resulting in significantly
higher prices for both new and used vehicles, producing more VLF revenue. Current
trends are expected to continue and the City should continue to benefit from higher
vehicle prices into the next Fiscal Year and strong growth in this revenue stream.
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June 6, 2023
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FY 2023-24 Proposed Expenses
The proposed FY 2023-24 Operating Budget sets total operating expenditure at $79.0
million, representing a 3.1% increase compared to the previous year's Revised Budget of
$76.6 million. It is important to highlight that the FY 2023-24 Operating Budget remains
largely unchanged, apart from contractual increases from multi-year service agreements
and the salary and benefits impacts of the final year of a three-year labor agreement.
Furthermore, the budget allocates higher funds for "prefunding" long-term benefit
accounts, including the City's Retiree Medical Benefit (Other Post Employee Benefit
liabilities) and the Advance Discretionary Payment to CalPERS, with the aim of achieving
a higher funding status. These two-line items amount to $2.9 million, representing an
increase of approximately $1.2 million compared to the previous year.
As the City transitions back to a more normalized state, the proposed budget balances
inflationary increases and the addition of new services by implementing several cost
control measures. In addition, this budget includes higher annual transfers of $3.4 million
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each to the Capital and Equipment Replacement Funds, allowing the City to make vital
capital investments it has previously deferred with its surplus revenues. Through careful
cost management, the budget maintains a balanced approach, resulting in negligible
impacts on the overall operating expenditures.
Proposed New Programs
New programs and expenditures are presented from various departments to respond to
emerging operational needs as well as to respond to direction received at the City Council
Study Session and City Council meetings. New programs proposed for the FY 2023-24
budget total $1,003,900 and are described in the following section.
Administrative Services Department: Accountant ($113,100): Currently, the Finance
Division comprises 1 Senior Accountant, 1 Accountant, 1 Accounting Specialist (Payroll),
and 2 Sr. Account Technicians. Previously, there were 3 Sr. Account Technicians, but
one position was transferred to Public Works Services as part of the utility billing transition
for water and sewer service. While the billing responsibilities shifted to Public Works
Services, certain aspects of the position remained with Finance, primarily revenue
interface and receivables reconciliation.
Moreover, the department has experienced significant increases in controller billings
resulting from inspections and false alarms. The billing volume has risen from 1,400 to
approximately 3,400 per year, necessitating additional time to address inquiries and
collections. Grant compliance and audit requirements have also increased due to the
City's successful acquisition of a higher volume of grants in recent years.
Given the increased workload in Finance and the upcoming implementation of a new
Enterprise Resource Planning (ERP) system, it is essential to introduce a new Accountant
position. This addition would provide ongoing support, particularly during the ERP
implementation phase, ensuring continuity of operations throughout the year.
Administrative Services Department: Full-Time Administrative Assistant
(Conversion Cost $54,600): The Human Resources Division currently has a temporary
part-time Administrative Assistant position. This role provides support for various Human
Resources functions, including data entry, counter and phone coverage, mail distribution,
filing, and assistance with billing reconciliation. Additionally, the Administrative Assistant
assists the entire Administrative Services Department by redirecting phone calls and
addressing basic inquiries from customers.
However, the part-time nature of this non-benefited position imposes limitations on both
Human Resources and the Department as a whole. With less than 20 hours per week,
the Administrative Assistant's role is underutilized and results in many of their tasks being
distributed among the rest of the team for completion each day. The existing level of
administrative support is insufficient when compared to the needs of the Department and
its customers, requiring existing staff members to work inefficiently and perform duties
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that can be handled by an Administrative Assistant. Expanding this position to correspond
with the Department’s workload allows the team to provide a higher level of support to all
City departments and external customers.
City Manager Office: Arcadia Community Survey ($30,000): Conducting regular
surveys of residents and customers is a common practice for local governments. These
surveys provide vital data to understand satisfaction levels with City services and the
overall quality of life in the community. This budget request is to allocate funds for a one-
time, statistically-valid survey that gathers input from a representative sample of Arcadia
residents.
The allocated funding would cover various aspects of the survey, including the creation
and administration of surveys through mailed invitations for both paper and digital
formats. Additionally, it would encompass the analysis and presentation of summary
results, benchmark data, geographic breakdowns as well as the ability to include custom
questions and track trends over time. It is worth noting that Arcadia has never undertaken
a community survey of this magnitude and that survey materials will be translated into
simplified Chinese to encourage participation from all residents.
The survey data will offer valuable information to City leadership regarding resident
satisfaction levels with core services such as public safety, parks and recreation,
community events, retail opportunities, arts and culture, jobs and economic development,
transportation, mobility, access to government services, communication and
engagement, transparency, and overall quality of life in Arcadia. These findings will
establish a baseline understanding of residents' attitudes, beliefs, and opinions, serving
as a reference point for future evaluations and comparisons. This data-driven approach
will help the City align services and initiatives with community needs and aspirations,
ensuring continuous improvement and informed decision-making into the future.
Development Services: EnerGov Phase 2 – e-Reviews for Plan-Check and Business
License Module ($82,330): Since its implementation in 2017, the EnerGov permitting
system has been successfully utilized by the Development Services Department and
Public Works Department. Building on this success, the Departments are now prepared
to embrace the eReviews feature, which will streamline the submission and review
process for structural plans by enabling online accessibility, file viewing, and permit
issuance. This transition brings significant advantages to applicants as well, as they can
conveniently review comments online and electronically resubmit plans without the need
for printing or in-person submissions. This not only saves costs but also reduces
turnaround time.
As part of this change, plan-checkers in each department will need to upgrade their
computer monitors to 43 inches, including the counter monitors. Moreover, certain
divisions will make modifications to their work environment, such as implementing new
computer systems, incorporating standing tables, and introducing dividers between
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desks. These enhancements are necessary to facilitate efficient viewing of the structural
plans.
Furthermore, the transition to Energov will be completed with the inclusion of the Business
License module, which will align all divisions within the Department on a unified platform.
The software advancements made by the vendor will better support the Department's
operations and further enhance efficiency and coordination across divisions.
Development Services: Downtown Lighting and Image Improvements (ARPA
Funding $150,000): Proposed use of ARPA funds to implement the following substantial
improvements in the Downtown Commercial District of Arcadia:
1. Enhance Tree Lighting and Electrical Infrastructure: Allocate funds to replace the aging
up-lights, tree-mounted power boxes, and electrical conduit for the 68 palm trees in
Downtown Arcadia. These components were originally installed as part of the Downtown
2000 Beautification Project in the 1990s and have now reached the end of their lifecycle.
This upgrade will ensure proper functionality, aesthetics, and safety. The estimated cost
for this project is $75,000.
2. Installation of Over-the-Street Banners: Allocate funds to install a new permanent Over-
the-Street Banner system on First Ave, spanning between Huntington Drive and Alta
Street. This installation will serve as a dedicated space for the Downtown Arcadia
Improvement Association (“DAIA”) and other community organizations to showcase
banners and promote events, eliminating the need for temporary setups. This
enhancement will contribute to the vibrancy and identity of the Downtown area. The
estimated cost for this project is $25,000.
3. Streetscape Infrastructure Refresh: Allocate funds for miscellaneous improvements to
refresh, repair, or replace elements of the existing streetscape infrastructure from the
Downtown 2000 project. This may include improvements to planters, lighting fixtures, and
signage, among other components. These enhancements will revitalize the streetscape,
maintaining a visually appealing and welcoming environment for businesses, residents,
and visitors alike. The estimated cost for this project will not exceed $50,000.
Fire Department: Basic Life Support (“BLS”) Peak Hours Ambulance (General
Fund $179,740 / Equipment Replacement Fund $731,600): The proposed program,
"BLS Peak Hours Ambulance," aims to address the increased demand for medical
services during peak hours in the City of Arcadia. Currently, the Fire Department's two
Rescue Ambulances are often unavailable due to high call volumes and longer hospital
bed wait times. To ensure timely response to additional medical incidents, the Fire
Department plans to introduce a Basic Life Support (BLS) ambulance, which will primarily
transport patients requiring BLS level care. By doing so, the availability of the
Department's Advanced Life Support (ALS) rescue ambulances will be enhanced for
incidents necessitating higher levels of medical care. Furthermore, during significant,
larger scale incidents, the BLS ambulance will serve as an additional medical resource.
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Introducing a BLS peak hours ambulance will improve the Fire Department's services to
the community in several ways. Firstly, it will provide coverage for incidents that currently
require assistance from neighboring jurisdictions, reducing the need for automatic aid
responses. This will enable the Fire Department to maximize cost recovery generated by
medical transport and minimize response times for incidents requiring an ambulance from
outside the city. Additionally, the proximity of the BLS ambulance will result in a modest
decrease in response times for City of Arcadia residents.
The program proposes staffing two BLS ambulance operators for 12-hour shifts, from the
hours of 8:00 a.m. to 8:00 p.m., seven days a week. Included in the program cost is the
purchase of one new Rescue Ambulance, which totals $731,600 ($634,800 for the vehicle
and $96,800 for upfitting costs) budgeted in the Equipment Replacement Fund. Some of
these costs will be recovered through additional billings for the transportation of patients
that were previously handled by other agencies supporting the City when necessary.
Fire Department: Administrative/ Training Fire Captain Expanded to Full-Time
Position ($248,270): This program aims to enhance the existing temporary Training
Captain position approved for Fiscal Year 2022-23 by establishing a permanent
Administrative/Training Fire Captain position. The need for this upgrade is driven by
vacancies in the Firefighter and Fire Engineer ranks resulting from personnel departures.
The Training Captain has played a crucial role in providing essential training to both
probationary members and in-service personnel.
In addition to the responsibilities established in the previous year such as scheduling in-
service training, conducting multi-company drills, and evaluating probationary
examinations, the Administrative/Training Fire Captain will also take on additional
administrative duties to assist the Fire Department's command staff with various projects.
It is anticipated that this position will dedicate over 400 hours to training Department
members and continue to serve as a consistent evaluator for probationary firefighters.
Creating this position will also result in the promotion of one Fire Captain, while the added
administrative support will help balance the workload of the command staff and enable
them to focus on pursuing new projects that benefit both the Department and the City.
Through careful planning and coordination of training exercises, this position will
contribute to minimizing the impact on the community by reducing the amount of time
crews spend out of service. With enhanced administrative support and collaboration with
the command staff, the implementation of new projects will generate positive outcomes
for the City and improve overall operations within the Fire Department.
Fire Department: Addition of one Fire Prevention Specialist to the Fire Prevention
Bureau (General Fund $99,900 / AQMD $54,000): To further enhance the Fire
Prevention Bureau, the addition of one (1) Fire Prevention Specialist is being proposed.
Over the years, the construction of multiple projects with increased density has led to a
significant rise in the number of annual inspections, increasing from 1,470 in 2004 to
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June 6, 2023
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3,484 today; this represents a 137% increase in the workload for annual inspections.
Furthermore, the complexity of these new buildings necessitates enhanced technical
expertise within the annual inspection program. The introduction of a new Fire Prevention
Specialist will play a vital role in ensuring that the City maintains an adequate level of fire
and life safety.
This request also includes the acquisition of one (1) new all-electric vehicle and the
installation of a charging station. Both the vehicle and the charging station comply with
the requirements set by the Air Quality Management District (“AQMD”) and will be fully
funded using the allocated AQMD funding source. The total cost for the vehicle and
charging station amounts to $54,000.
Library & Museum: Third Party Notification System for Items Outstanding
($10,000): To enhance communication with patrons and ensure timely notifications, it is
proposed to implement an SMS alert and messaging system. This system would be
utilized to inform patrons about upcoming due items, items on hold, and even overdue
materials. The intention is to address the limitations of the current email notification
system within the Integrated Library System (“ILS”). Occasionally, emails sent through
the system are blocked by recipients' email providers, resulting in patrons not receiving
important notifications in a timely manner.
By implementing an SMS alert and messaging system, electronic communication with
patrons would be significantly improved. This would reduce the reliance on emails that
may get blocked by third-party carriers, ensuring that patrons receive essential
notifications without any disruptions. Additionally, this system would help reach patrons
who prefer to receive updates through text messages, providing them with convenient
and reliable means of staying informed about their library account and materials.
By diversifying the notification channels and reducing the occurrence of blocked emails,
the proposed SMS alert and messaging system will enhance the overall patron
experience and improve the effectiveness of electronic communication within the library.
Police Department: License to Carry a Concealed Weapon ("CCW") Psychological
Testing ($25,500): As per the requirements outlined in Penal Code 26190(f)(1), Penal
Code 26190(f)(2), and Arcadia Police Department Policy Section 218.4.2(b), the Chief of
Police has the authority to mandate that CCW (Carry Concealed Weapon) applicants
undergo psychological testing conducted by an authorized psychologist selected by the
Department. This testing is an integral part of the evaluation process to determine the
applicant's eligibility for a CCW license. The Department has established a contract with
a licensed police department psychologist to administer the psychological tests, with each
test costing $450.
According to Penal Code 26190(f)(1) and 26190(f)(2), the CCW applicant can only be
charged a maximum of $150 for the psychological test. Consequently, the City is
responsible for covering the remaining cost of $300 that exceeds the applicant's payment.
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June 6, 2023
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Based on the recent influx of CCW applications following the ruling of New York State
Rifle & Pistol Association v Bruen, 142 S. Ct. 2111 (2022), the Department anticipates
receiving approximately 85 initial CCW applications per year. Considering that CCW
licenses are valid for two years and require renewal, it is projected that an equal number
of CCW renewal applicants per year will necessitate psychological testing starting in
2025.
This adherence to the law and departmental policies ensures that the evaluation process
for CCW applicants includes essential psychological testing, with the associated costs
being appropriately managed and distributed between the applicants and the City.
Public Works Services: Project Manager Position (General Fund $76,200 / Other
Funds $76,200): The Public Works Services Department (“PWSD”) plays a crucial role
in maintaining and repairing the City's publicly-owned infrastructure and facilities. This
encompasses a wide range of responsibilities, including the upkeep of City buildings,
parks, trees, 147 miles of roadway, 138 miles of sanitary sewer system pipeline, and the
City's water distribution system, which serves more than 56,000 residents through
approximately 14,000 connections.
To ensure the proper functioning of the City's infrastructure, the PWSD carefully
schedules various annual improvement projects such as pavement rehabilitation, slurry
seal improvements, water valve replacements, sewer-main replacements, water-main
replacements, and facility enhancements. To enhance the efficiency of completing these
construction projects, the PWSD is requesting the addition of a Project Manager to their
team.
By incorporating a dedicated Project Manager, the PWSD aims to streamline the
execution of capital improvement projects. This role would focus solely on overseeing all
aspects of project development and construction. The Project Manager would possess
advanced knowledge in engineering and architectural design principles, practices, and
procedures, as well as expertise in estimating and project accounting. This position would
primarily focus on complex construction management for the City’s capital projects, with
an emphasis on the construction phases of each project.
The Project Manager cost is $152,400 starting in Fiscal Year 2023-24. The funding for
this position would be allocated from various sources, with 50% from the General Fund,
25% from Water Fund, and 25% from Sewer Fund.
Parks and Recreation: Arcadia branded items to sell at the Gift Shop ($7,500): The
Arcadia Gift Shop is an exciting initiative that aims to offer a wide range of merchandise
showcasing Arcadia's spirit and pride. The shop will feature a variety of items such as t-
shirts, sweatshirts, hats, cups, bags, and more, all branded with Arcadia designs. To
ensure smooth operations, the plan is to utilize existing staff members and volunteers
who are dedicated to supporting the gift shop program.
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June 6, 2023
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In terms of revenue, the projected amount is $9,000. The pricing strategy will involve a
markup ranging from 10% to 25% on the cost of the merchandise, ensuring a reasonable
profit margin for the shop. Start-up costs for the Gift Shop should total about $7,500 and
will cover essential expenses such as inventory acquisition, display fixtures, point-of-sale
systems, and any necessary marketing materials or signage. Overall, the Arcadia Gift
Shop presents an opportunity for residents and visitors to proudly display their connection
to the City. It will not only generate revenue, but also foster a sense of community and
belonging among individuals who choose to support and engage with the shop.
FY 2023-24 Ongoing Annual
Proposed New Programs Start Up Costs Costs
City Manager
Arcadia Community Survey 30,000$ -$
Administrative Services
Accountant 113,100 117,600
Full Time Administrative Assistant 54,900 57,100
Police
Concealed Weapon Psychological Testing 25,000 25,000
Fire
New Fire Prevention Specialist 153,900 103,900
New Vehicle for Fire Prevention Specialist 54,000 -
Expand Administrative/Training Captain Full Time Position 248,300 256,200
BLS Peak Hours Ambulance Operators 131,500 136,800
New BLS Peak Hours Ambulance 100,000 -
New Fire Utility Truck 731,600 -
Public Works Services
Project Manager 152,400 158,500
Development Services
EnerGov Phase 2 - e-Review for Plan Check and Business License 82,300 20,700
Parks and Recreation
Arcadia Branded Merchandise 7,500 7,500
Library and Museum
3rd Party Notification System for Outstanding Items 10,000 10,000
Total New Programs 1,894,500$ 893,300$
Programs Funded by Equipment Replacement Fund (885,600) -
Total New Programs (General Fund)1,008,900$ 893,300$
Capital Improvement and Equipment Replacement Funds
In recent years, the City has successfully accumulated funds in the Capital Improvement
and Equipment Replacement Funds to save for significant purchases that occur
intermittently. The balance of each fund has grown through financial prudency and by
transferring excess funds from the General Fund at the end of each fiscal year.
Specifically, staff has a goal of transferring at least the 10-year average expenditure from
each account from the General Fund. Despite the current balances, it remains crucial for
the City to continue its practice of adding to these funds and avoid the precariously low-
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June 6, 2023
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levels that followed the Great Recession of 2008. To establish a sustainable fund balance
for future purchases and projects, the FY 2023-24 Budget proposes a transfer of $6.8
million from the General Fund, with $3.4 million allocated to the Capital Improvement
Fund and $3.4 million to the Equipment Replacement Fund.
The FY 2023-24 Capital Improvement Plan entails 41 projects, with a total expenditure of
$15.8 million. Of this amount, $6.2 million will be funded from the Capital Improvement
Fund. The Capital Improvement Fund primarily supports crucial maintenance initiatives
such as pavement rehabilitation, building repairs, and parks maintenance. The following
table provides a summary of some major proposed projects scheduled for the year.
FY 2023-24 MAJOR CAPITAL IMPROVEMENT PROJECTS
Project Description
Project
Budget Funding Source
Annual Slurry Seal Program $1,320,000 Capital Improvement
Fund
Advanced Metering Infrastructure (AMI)/
Meter Replacement Program $1,200,000 ARPA Fund
Bonita Park Concession Building
Improvement Project $1,700,000
Park & Recreation
Facilities Fund
Pavement Rehabilitation Program $2,255,000
Capital Improvement
$1.05Mil & RMRP (SB1)
- $1.2Mil
City Facilities Exterior Painting $300,000 Capital Improvement
Fund
Water Main Replacement Program
$520,000 ARPA Fund
City Facilities Reroof
$1,500,000 Capital Improvement
Fund
Arterial and Pavement Rehabilitation
$900,000 Prop C
The Equipment Replacement Fund plays a critical role in funding essential equipment
such as computers, vehicles, and major office equipment. To ensure the sustainability of
the Equipment Fund, an annual transfer of $2.4 million from the General Fund was initially
estimated. However, a recent review of this amount has revealed that an increased
annual transfer of $3.4 million is now necessary to accommodate rising costs from
inflation and the demand for new equipment.
In the proposed budget, there is a higher number of vehicle replacements planned,
specifically, heavy-duty vehicles used by the Public Works, Fire, and Police Departments.
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June 6, 2023
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The City follows a practice of extending the lifespan of vehicles beyond their typical
expectancy, evaluating factors such as mileage and annual maintenance costs to
determine when replacements are necessary. However, this year, an increased number
of vehicles are budgeted for replacement due to manufacturing backlogs caused by the
COVID-19 pandemic, resulting in projected waiting periods of up to 24 months.
Consequently, most sedans, particularly Police Patrol vehicles, are being pre-ordered in
anticipation of these delays. In addition to the sedans, the Water Division of Public Works
will require the replacement of a heavy-duty valve truck, and the Streets Division will need
a new CNG Street Sweeper.
In addition to the proposed equipment replacements, the City is seeking to acquire a new
Rescue Ambulance (“RA”) to support the proposed Basic Life Support (“BLS”) "Peak
Hours" Program. The program addresses the increased call volume and longer hospital
bed wait times experienced during peak hours. The new ambulance will be deployed
during this period when the existing two RAs are unavailable to respond to additional
medical incidents in the City.
The Equipment Replacement Fund encompasses a comprehensive list of 41 equipment
purchases, totaling $5.1 million. Eighty percent of the $5.1 million (or $4.1 million) will be
funded by the Equipment Replacement Fund. The table below provides a summary of
some of the significant equipment purchases proposed for the upcoming period.
FY 2023-24 MAJOR EQUIPMENT REPLACEMENT PURCHASES
Equipment Replacement
Description
Replacement
Budget Funding Source
Street Vehicle Replacements:
Heavy Duty Stake Bed Truck
¾ Ton Pickup Truck (2)
CNG Street Sweeper
¾ Ton Stake Bed Truck
½ Ton Pickup Truck
Installation of equipment and
accessories
$1,460,700 Equipment Replacement
Water Vehicle Replacements:
• Dump Truck
¾ Ton Pickup Trucks (3)
Installation of equipment and
accessories
$619,900 Water Fund
Fire Rescue Ambulance &
installation of equipment and
accessories
$731,600 Equipment Replacement
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June 6, 2023
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FY 2023-24 MAJOR EQUIPMENT REPLACEMENT PURCHASES
Equipment Replacement
Description
Replacement
Budget Funding Source
Fire Dept. - Communication &
Technology Equipment
Replacement
$280,000 Equipment Replacement
Ensuring the steady deposit of funds into these vital accounts, at or above the minimum
required contributions, is of utmost importance for the City in the coming years. With this
approach, the City can maintain sustainable funding levels for these accounts. This
proactive approach is crucial in preventing failure of the City's infrastructure system and
ensuring staff has the necessary tools and equipment to carry out their essential duties.
Taking these steps will contribute to a thriving and well-maintained cityscape, enhancing
the overall quality of life for residents and supporting the efficient functioning of municipal
services.
ECONOMIC OUTLOOK
The General Fund FY 2023-24 operating budget reflects a cautiously optimistic outlook
following the recovery from the economic challenges brought about by the COVID-19
pandemic. Thanks to strong fiscal management and the successful implementation of a
Transaction Use Tax in 2019, the City has been able to maintain the high level of services
that the community has come to expect. These prudent financial practices have
positioned the City favorably, leading to a projected surplus for FY 2023-24, despite the
possibility of a moderate or stagnant economic environment that could impact revenue
streams.
While concerns about inflation, supply chain disruptions, and a slowing economy persist,
the actual impact on the economy remains uncertain. Economic indicators suggest the
potential for a recession, but accurately predicting its timing is difficult. Nonetheless, the
City is prepared to navigate these challenges, leveraging its financial stability and
proactive measures to adapt and thrive in any economic scenario. By maintaining a
positive and proactive approach, the City remains well-equipped to overcome
uncertainties and continue delivering excellent service to the community.
Considering the aforementioned factors, a budget stress test was conducted to assess
the potential financial trajectory of the City in the future. The stress test scenario assumed
a recession would occur in the latter half of FY 2023-24, followed by a slow recovery that
would require multiple years to normalize.
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June 6, 2023
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Recessionary Stress Test: 5-Year Budget Outlook
The results of the stress test reveal a positive outlook, indicating that even in the event of
a recession, the projected annual deficits would range from 0.9% to 5.5%, equivalent to
approximately $640,000 to $4.9 million. These deficit figures are within manageable limits
and can be addressed through feasible cost-saving measures, or if necessary, modest
budget reductions. The City has consistently demonstrated its adaptability and ingenuity
in maintaining critical services during challenging economic conditions, effectively
delivering what residents and businesses value the most. Moreover, historical budget
performance from previous years aligns with the projected deficit figures, further instilling
confidence in the City's ability to navigate these uncertainties successfully. Finally, when
more traditional recovery is anticipated, the stress test showed positive net operating
balances over the 5-year projections.
CONCLUSION
The proposed FY 2023-24 General Fund Operating Budget demonstrates a balanced
financial position, with a projected surplus of $3.1 million. This surplus is a result of Total
Operating Revenues and Transfers In amounting to $90.9 million, net of Operating
Expenditures and Transfers Out totaling $87.8 million.
The City's commitment to conservative spending practices has allowed for the
accumulation of savings, providing a cushion to navigate economic uncertainties in the
short term. This prudent approach also enables the City to plan and execute long-term
strategies effectively. By adopting this Budget, City staff will maintain their dedication to
delivering exceptional services to the community while upholding fiscal responsibility.
To move forward with the proposed budget and ensure effective financial planning, it is
recommended that the City Council adopt the proposed Resolutions, which include
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FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30
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Expenditures Revenue & Sources
Adoption of the Operating Budget and CIP and Equipment Plans
June 6, 2023
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enacting the FY 2023-24 Operating Budget as well as the Five-Year Capital and
Equipment Replacement Plans.
Attached to this staff report are the following:
• Exhibit “A”: a summary of Sources and Uses for All Funds reflecting the proposed
Operating Budget presented to Council for Adoption
• Exhibit “B”: a summary of the proposed Five-Year Capital Improvement and
Equipment Replacement Plan
ENVIRONMENTAL ANLYSIS
The proposed actions do not constitute a project under the California Environmental
Quality Act (“CEQA”), based on Section 15061(b)(3) of the CEQA Guidelines, as it can
be seen with certainty that they will have no impact on the environment. Thus, these
matters are exempt under CEQA. Many individual budgeted items in the attached
documents may require their own environmental reviews, which will be conducted when
each project is brought forward for consideration.
RECOMMENDATION
It is recommended that the City Council:
1) Adopt Resolution No. 7500 adopting a Budget for Fiscal Year 2023-24 and
appropriating the amounts specified therein as expenditures from various funds;
and
2) Adopt Resolution No. 7501 adopting a Capital Improvement and Equipment Plan
for the Fiscal Years 2023-24 through 2027-28.
Attachments: Exhibit “A” – All Funds Operating Budget Summary
Exhibit “B” – Five-Year Summary of Capital and Equipment Plan
Resolution No. 7500
Resolution No. 7501
Attachment A
Ending Fund
Fund Beginning Outside Transfer Total Appropriation Transfer Total Balance
Fund FY23-24 Sources In Out FY23-24
General Fund 24,667,900 84,831,700 6,091,200 115,590,800 80,026,300 7,786,200 87,812,500 27,778,300
Narcotic Seizure Federal 164,200 34,900 0 199,100 0 0 0 199,100
COPS 255,500 177,700 0 433,200 179,600 0 179,600 253,600
Medical/Dental 456,800 0 4,706,200 5,163,000 4,704,600 1,600 4,706,200 456,800
Local Law Enforcement 0 110,000 135,300 245,300 245,300 0 245,300 0
IRS Task Force 466,500 14,000 0 480,500 0 0 0 480,500
Worker Compensation/Liability 5,331,900 160,000 2,710,100 8,202,000 2,944,900 0 2,944,900 5,257,100
Homeland Security (23,600) 0 0 (23,600) 0 0 0 (23,600)
Library State Grant 600 0 0 600 0 0 0 600
Homelessness Plan 0 355,000 0 355,000 355,000 0 355,000 0
Office of Traffic Safety Grant 3,600 79,300 0 82,900 79,300 0 79,300 3,600
California OES HSGP (39,800) 72,000 0 32,200 72,000 0 72,000 (39,800)
Autotheft Prevention Taskforce 5,500 0 0 5,500 0 0 0 5,500
Misc. P.E.R.S. Employee Retirement Fund 0 0 0 0 0 0 0 0
Emergency Reserve 14,447,800 0 0 14,447,800 0 0 0 14,447,800
Emergency Response 2,792,000 0 0 2,792,000 0 0 0 2,792,000
America Rescue Plan Act 6,512,800 0 0 6,512,800 4,293,000 0 4,293,000 2,219,800
Public, Educational/Governmental Access 1,106,800 113,200 0 1,220,000 0 0 0 1,220,000
Parks & Recreation 8,637,700 1,659,100 0 10,296,800 6,061,100 34,200 6,095,300 4,201,500
Used Oil Grant 17,200 16,000 0 33,200 7,000 0 7,000 26,200
DOC Beverage Grant 71,300 16,600 0 87,900 14,500 0 14,500 73,400
Traffic Safety 0 152,000 0 152,000 0 152,000 152,000 0
Solid Waste 2,025,000 760,800 0 2,785,800 532,300 300,000 832,300 1,953,500
Measure W ‐ Safe Clean Water Program 1,813,300 1,074,400 0 2,887,700 621,000 0 621,000 2,266,700
Dow Settlement Fund 5,637,400 169,100 0 5,806,500 0 0 0 5,806,500
State Gas Tax (275,700) 1,609,500 0 1,333,800 0 1,400,000 1,400,000 (66,200)
Road Maintenance/Rehabilitation Act 1,574,300 1,453,600 0 3,027,900 2,400,000 0 2,400,000 627,900
Air Quality Management District 132,400 78,500 0 210,900 108,400 0 108,400 102,500
Community Development Block Grant 0 323,900 0 323,900 323,900 0 323,900 0
Santa Anita Grade Separation 731,000 21,900 0 752,900 0 0 0 752,900
Transit 376,500 3,447,300 674,300 4,498,100 3,437,300 0 3,437,300 1,060,800
Proposition A 3,016,000 1,707,000 0 4,723,000 296,700 1,352,600 1,649,300 3,073,700
Transportation Impact Fund 106,400 183,700 0 290,100 614,300 0 614,300 (324,200)
Proposition C 2,724,200 3,122,500 0 5,846,700 5,904,200 0 5,904,200 (57,500)
TDA Article 3 Bikeway 6,200 0 0 6,200 0 0 0 6,200
STPL & ITS Special Fund 0 0 0 0 0 0 0 0
Measure R 1,873,200 931,200 0 2,804,400 1,480,300 901,700 2,382,000 422,400
Measure M 1,778,800 1,045,200 0 2,824,000 2,167,000 0 2,167,000 657,000
Capital Improvement 11,181,300 767,400 3,400,000 15,348,700 9,776,700 0 9,776,700 5,572,000
City Hall Reserve 100 0 0 100 0 0 0 100
Lighting Maintenance 173,700 1,383,000 868,000 2,424,700 1,446,600 0 1,446,600 978,100
Water Fund (3,003,500) 16,006,600 0 13,003,100 18,796,500 0 18,796,500 (5,793,400)
Sewer Fund 5,277,400 2,691,300 0 7,968,700 2,932,700 0 2,932,700 5,036,000
Par 3 Golf Course Fund 1,895,600 1,982,800 0 3,878,400 1,245,000 0 1,245,000 2,633,400
Equipment Replacement 6,689,600 206,100 3,400,000 10,295,700 5,817,400 34,500 5,851,900 4,443,800
Redevelopment Successor Agency (6,942,300) 1,753,400 0 (5,188,900) 1,753,400 0 1,753,400 (6,942,300)
General Obligation Bond 2012 396,800 428,900 0 825,700 406,300 0 406,300 419,400
General Obligation Bond 2011 450,500 435,800 0 886,300 522,100 0 522,100 364,200
Pension Obligation Bonds 2020 4,300 5,875,300 0 5,879,600 5,875,300 0 5,875,300 4,300
Total 102,517,200 135,250,700 21,985,100 259,753,000 165,440,000 11,962,800 177,402,800 82,350,200
USES OF FUNDSSOURCES OF FUNDS
CITY OF ARCADIA
SUMMARY BY FUND
FISCAL YEAR 2023-2024 PROPOSED BUDGET
ESTIMATED ESTIMATED PROPOSED ESTIMATED
FUNDS FIVE-YEAR FIVE-YEAR FUNDS
7/01/2023 REVENUE EXPENDITURE 6/30/2028
CAPITAL OUTLAY FUND 11,180,400 22,906,400 (27,943,400)6,143,400
PARK AND RECREATION FUND 8,557,700 7,099,900 (6,244,300)9,413,300
MEASURE W CLEAN, SAFE WATER PROGRAM 1,782,700 5,552,200 (2,705,000)4,629,900
GAS TAX (HUTA) FUND (308,700) 8,080,900 (7,015,000)757,200
ROAD MAINTENANCE AND REHABILITATION
PROGRAM 1,574,300 7,177,600 (7,200,000)1,551,900
AQMD 132,900 400,800 (198,400)335,300
PROP C LOCAL RETURN 2,935,200 8,445,600 (10,754,400)626,400
TRANSPORTATION IMPACT FUND 106,400 1,020,000 (1,514,300) (387,900)
MEASURE R LOCAL RETURN 1,653,700 5,151,400 (6,519,600)285,500
MEASURE M LOCAL RETURN 2,391,300 7,396,900 (7,726,000)2,062,200
WATER FACILITY RESERVE 11,863,900 1,147,600 (11,454,500)1,557,000
WATER EQUIPMENT RESERVE (133,300)- (3,526,000) (3,659,300)
SEWER FUND 5,079,000 13,747,900 (12,953,200)5,873,700
EQUIPMENT FUND 6,238,100 17,474,600 (26,424,900) (2,712,200)
SUMMARY OF PROPOSED FIVE YEAR CAPITAL PROGRAMS
FISCAL YEAR 2023-24 THROUGH 2027-28
CITY OF ARCADIA
Attachment B
RESOLUTION NO. 7500
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARCADIA,
CALIFORNIA, ADOPTING A BUDGET FOR FISCAL YEAR 2023-2024
AND APPROPRIATING THE AMOUNTS SPECIFIED THEREIN AS
EXPENDITURES FROM THE VARIOUS FUNDS
WHEREAS, on June 6, 2023, the City Manager submitted to the City Council a
proposed Budget for Fiscal Year 2023-2024, a copy of which is on file in the Office of the
City Clerk; and
WHEREAS, Section 1204 of the Arcadia City Charter requires notice and hearing
for consideration of a proposed operating budget and its adoption by resolution; and
WHEREAS, the aforementioned proposed Budget includes the budget for the
ensuing Fiscal Year 2023-2024; and
WHEREAS, notice of the public hearing on the proposed Budget and a summary
of the proposed Budget were posted per Resolution No. 7483; and
WHEREAS, the Fiscal Year 2022-23 General Fund operating results is projected
to have a $9.8 million budget surplus; and
WHEREAS, the duly noticed public hearing was conducted by the City Council on
June 6, 2023.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARCADIA,
CALIFORNIA, DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:
SECTION 1. That certain "City of Arcadia Budget, Fiscal Year 2023-2024", as on
file in the office of the City Clerk, together with any approved amendments thereto, is
hereby adopted, in pertinent part, as the official budget of the City of Arcadia for the Fiscal
Year 2023-2024 and the amounts specified therein as expenditures from the funds
indicated are hereby appropriated for the purposes specified therein.
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RESOLUTION NO. 7501
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARCADIA,
CALIFORNIA, ADOPTING A CAPITAL IMPROVEMENT AND
EQUIPMENT PLAN FOR FISCAL YEARS 2023-24 THROUGH 2027- 28
WHEREAS, on June 6, 2023, the City Manager submitted to the City Council a
proposed plan entitled, "Capital Improvement and Equipment Plan, Fiscal Years 2023-
2028", a copy of which is on file in the office of the City Clerk; and
WHEREAS, Section 1205 of the Arcadia City Charter requires notice and hearing
for the consideration of a capital program and its adoption by resolution of the City
Council; and
WHEREAS, notice of the public hearing on the proposed Capital Improvement and
Equipment Plan was posted per Resolution No. 7 483; and
WHEREAS, the duly noticed public hearing was conducted by the City Council on
June 6, 2023.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARCADIA,
CALIFORNIA, DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:
SECTION 1. That certain "Capital Improvement and Equipment Plan, Fiscal Years
2023-2028", as on file in the office of the City Clerk, together with any approved
amendments thereto, is hereby adopted, in pertinent part, for Fiscal Year 2023-2024.
SECTION 2. The City Clerk shall certify to the adoption of this Resolution.
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