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HomeMy WebLinkAbout051503 CC Budget Workshop Minutes I I I MINUTES OF A BUDGET WORKSHOP MEETING OF THE TEMECULA CITY COUNCIL MAY 15, 2003 The City Council convened in a special meeting at 5:38 P.M., on Thursday, May 15, 2003, in the City Council Chambers of Temecula City Hall, 43200 Business Park Drive, Temecula, California. There were no Closed Session items. Present: Comerchero, Naggar, Pratt, Roberts, Stone Council members: Absent: Council member: None PUBLIC COMMENTS No comments. CITY COUNCIL REPORTS A. Having traveled to Sacramento in order to receive an update of the May revised State Budget, Councilmembers Comerchero and Roberts provided information with regard to the budget, commenting on the uncertainty of Redevelopments funds and on the formation of a coalition by the League of California Cities called Local -- protecting local assets. B. Mayor Pro Tem Naggar requested that settlement information be provided to the City Council and the newspapers with regard to the WalMart lawsuit. COUNCIUDISTRICT/AGENCY BUSINESS 1 Review of the FY 2003-04 Proposed Operatino Budoet RECOMMENDATION: 1.1 Review and discuss the FY 2003-04 Proposed Operating Budget and provide direction to staff as appropriate. By way of a PowerPoint presentation, City Manager Nelson reviewed the proposed Operating Budget, highlighting main components such as the following: . Total proposed revenues o 7.6% increase $42,696,925 . Total proposed expenditures o 6.8% increase $41,490,140 . Fund Balance Reserved for Economic Uncertainty o Undesignated Reserve Fund of $10 million o $2.5 million to offset potential fiscal impact resulting from State Budget o $500,000 set aside for the purchase of open space o Increased Retiree Health Fund . Public Safety o $1.72 million increase R:\Minutes\051503 I I I o three additional sworn officers, exceeding the City's one sworn officer to every 1,000 residents ratio (1:1,000) o Citizens Action Patrol (CAP) o Citizens Corps Program . Revenue Excess Sharing in Temecula (REST) o Contribution will increase to $3.12 million o City contribution to supplement the Measure C Tax o Utilized for on-going operation and, maintenance of the parks and recreation system o Cost savings for $72.11 per year to the residents . Additional Budget Highlights o One new full-time position - Senior Signal Technician o Reclassification of five positions . Three of those position are part of a proposed organizational change to create an Information Systems Department o Implementation of the Memorandum of Understanding (MOU), including final implementation of the salary surveY,in addition to a 3% cost of living increase o Commitment of $2.1 million toward the City's CIP o Completion of a five-year General Fund Projection Community Services District . Total proposed revenues $12,187,070 . Total proposed expenditures $12,187,070 . Additional Park and Recreation Facilities o Sports Complex o Temecula Children's Museum o Pablo Apis Park o SMART Program - seven park sites in the City o Movie Nights Redevelopment Aaencv . Total proposed revenues $12,048,356 . Total proposed expenditures $12,048,356 . Budget Highlights o First-time Homebuyer Program - $100,000 o Employee Relocation Program - $100,000 o ERAF Shift - $255,000 o Fa9ade Improvement Program - $75,000 o Old Town Specific Plan Implementation - $132,000 In conclusion, City Manger Nelson extended his appreciation to the Department Directors and the Finance Department staff for their efforts associated with this budget. R:\Minutes\051503 2 I I I Councilman Comerchero commended Finance Director Roberts and her staff on a job well done. Mr. Comerchero requested that if the $2.5 million set aside for State Budget impacts were not utilized, a portion of it be appropriated toward the Open Space Fund. In response to Councilman Roberts' request, City Manager Nelson advised that $38,000 (one full year rent) would be earmarked to assist the Red Cross and that an agenda item for such an appropriation would be forthcoming to the City Council. For Mayor Pro Tem Naggar, City Manager Nelson advised that at such time when the Fund Balance were less than 20% of the Operating Budget, additional monies would be added to increase the Fund Balance; that currently the Fund 'Balance exceeds the 20% of the Operating Budget, noting that the Operating Budget would have to be in excess of $50 million to not meet the 20%. Mr. Naggar commended City Manager Nelson and Finance Director Roberts on a job well done; relayed his concurrence with the creation of an Information Systems Department; and complimented City Manager Nelson on his efforts to reduce the Police Services ratio to 1:986. In response to Mayor Stone's request, the budgeted amount for the Public Works Construction News Report was not eliminated in an effort to continue to keep the residents apprised of upcoming projects; it was suggested that the ads be kept to a minimum and that the City Website be utilized for more detailed information; Councilman Roberts relayed his support of retaining the report, suggesting that it only be published when needed; and Assistant City Manager O'Grady suggested the use of the Quarterly Newsletter as another communication tool. Complimenting the citizens on spending their money within their community, Mayor Stone, as well, commended the City Council on this City's fortune, For Councilman Roberts, Assistant to the City Manager Yates provided information with regard to the proposed increase of $30,000 for the animal, control services with Animal Friends of the Valley, noting that the organizations current contract will expire June 30, 2003; that the increase in license revenues will offset cost for construction of the new facility; that it would be anticipated that a new contract will be effective by the end of this year; and that the new facility should be completed within two years. Councilman Roberts relayed a concern with the organization's lack of computer technology. City Manager Nelson noted that updates of the new shelter project would be provided in the quarterly update. COUNCIUDISTRICT/AGENCY BUSINESS 2 Review of the Prooosed FY 2004-08 Capitallmorovement Prooram RECOMMENDATION: 2.1 Review and discuss the proposed FY 2004-08 Capital Improvement Program (CIP) and provide direction to staff as appropriate. By way of written material distributed to the City Council, Mr. Jeff Bowers noted that, in his opinion, the City should strengthen its business attraction efforts and, therefore, requested that $10,000 per month be earmarked for professional business attraction consulting services. R:\Minutes\051503 3 I I I By way of a PowerPoint presentation, City Manager Nelson reviewed the proposed 2004-2008 CIP Budget, noting the following: . 109 projects = $462.8 million o approximately $225,6 million are funded of which circulation projects represent 70%, public facilities 16%, parks 9%, and RDA 5% . Major Traffic Circulation Improvement Projects o French Valley Interchange Interim SB Off-Ramp o 1-15n9 South Ultimate Interchange, o Rancho California Bridge Widening over Murrieta Creek o Winchester/Jefferson Intersection Improvements o Right-turn Lane - Rancho California Road to Ynez Road o Pechanga Parkway CFD Improvements o State Route 79 South Medians & Landscaping/Sidewalks o Diaz Road Realignment o Pavement Management Program o Main Street Bridge o Overland Drive Extension o John Warner/Santiago Road Improvements . Pubic Facilities Projects o Temecula Children's Museum Imagination Workshop o Old Town Community Theater o Fire Stations - Wolf Creek and Roripaugh o Temecula Public Library o Maintenance Facility Expansion . Parks & Recreation o Sports Complex o Old Town Gymnasium - Joint Use with Boys & Girls Club o Temecula Community Center Expansion on Pujol Street o Master Plan - Pablo Apis Park o Trails Master Plan o Roripaugh Trails Master Plan . Redevelopment o Residential Improvement Programs o Cottages of Old Town o Affordable Housing Units - Senior Housing - Pujol Street o Affordable Housing - Northwest Property o Habitat for Humanity o Old Town Parking Lot Property Acquisition Councilman Roberts requested that the Temecula Public Library be reflected as a Priority NO.1 in the CIP. It was noted for Mayor Pro Tem Naggar that the construction of the Old Town Community Theater should begin by the end of the calendar year; that the construction drawings are 99% complete; that the Master Plan has been completed; and that, in the near future, the final interior material sample board will be presented to the City Council. With regard to Mr. Bowers' comments, City Manager Nelson advised that $251,000 has been specifically set aside in the Operating Budget for economic development. Assistant City Manager O'Grady commented on the City's active economic development program, highlighting efforts undertaken through cooperation with sister' agencies - regional approach - to attract primary jobs, ' R:\Minutes\051503 4 Supporting the regional approach, Councilman Comerchero noted that he would have concern with the City's economic development approach solely focusing on the City. I Echoing Councilman Comerchero's comments, Mayor Pro Tem Naggar as well commented on other economic development efforts such as the development of an IS Infrastructure Plan, revision of the Development Review Procedure, and retention of the Industrial DIF at a nominal rate. Referencing studies from the City of Santa Barbara, Councilman Pratt advised that those studies indicated that transportation/traffic were the primary issue to deter business from relocating to the City of Santa Barbara. Although not opposing the CIP in total, Mr. Pratt relayed his opposition to the section of the CIP describing new infrastructure (bridges and roads), noting that this particular section of the budget violates CEQA and, therefore, could place the City in financial environmental risk. CITY MANAGER'S REPORT No additional comment. CITY ATTORNEY'S REPORT No comment. ADJOURNMENT I At 6:49 P.M., the City Council meeting was formally adjourned to Tuesday, May 27, 2003, at 7:00 P.M., in the City Council Chambers, 43200 Business Park Drive, Temecula, California. ATTEST: Jeff Stone, Mayor I R:\Minutes\051503 5