CITY COUNCIL AGENDA ITEM
Meeting Date: January 13, 2004
Subject/Title: 2003/04 Mid-Year Budget Review and Recommended Budget
Submitted by: Pam Ehler, Director of Finance and Information Systems
Approved by: John Stevenson, City Manager
Approve a resolution amending the 2003/04 Budget.
On June 10, 2003, the City Council approved resolution number 2893 adopting
the 2003/04-2004/05 Final Budget for the City of Brentwood.
The purpose of this mid-year Budget review is to summarize the first half of
the fiscal year. All City funds remain balanced and within projected
budgets. Based on projected revenues and beginning fund balances, adequate
resources are available to fund the recommended appropriations while
assuring that operating revenues fully cover operating expenditures, and
that fund and working capital balances are maintained at or above policy
The requested budget adjustments reflect our transition toward a more
maintenance based approach to City government versus the growth product of
the past. Throughout each year unanticipated expenditures are incurred by
required professional services, creation of programs or simply minor
oversights during the budget process. Additional funding requests, while
less than typical historical levels, have been made for costs that were not
A total of $247,000 in adjustments is requested for the General Fund. The
current budget for 2003/04 reflects an increase in reserves of $468,989.
After the adjustment, Fund Balance will increase by $221,989. It is
projected that the Fund Balance of the General Fund will be $19.5 million on
June 30, 2004.
General Fund revenue projections are based on continued improvements in our
local economy and assume no further State budget cuts, since Brentwood
already prepared for those cuts in the 2003/04 budget process. The needed
budget adjustments are:
$300,000 - Additional revenues are due to the projected increase in Property
Tax and Building Permits.
Administration & Economic Development – $40,000 - The Economic Development
Department intends to have a Communications and Marketing Plan prepared for
the City, funded through the department‘s existing budget, that will outline
a general approach to the City’s public relations strategy and outline
specific implementation programs. The requested additional funds will be to
begin implementation programs identified in the Plan. $20,000 of these funds
would be administered by the City Manager’s office for responsive
communications with the City’s residents and other public agencies while the
rest would be administered by the Economic Development department.
City Attorney - $160,000 - Unanticipated costs associated with the Comcast
franchise renewal process and possible termination proceeding as well as
additional litigation costs for the Roddy Ranch reimbursement agreement.
Human Resources – $58,000 - A classification and compensation study that was
originally budgeted for fiscal year 2004/05 is needed this fiscal year.
Additional funds are also requested for implementing the upgraded Human
Resources Computer System.
City Clerk - $15,000 – The existing Administrative Assistant II position,
which is currently shared with the Arts Commission will become a full time
position with the City Clerk’s office.
Finance – $28,000 – Move an existing Accounting Technician II position,
which is currently funded 30% from Parks and Recreation, to be fully funded
through Finance. The request also includes additional funds for Fiscal Model
Non-Departmental – $10,000 - Apportionment of costs for LAFCO for fiscal
Pal Program - $50,000 – The increase is needed for part-time salaries.
Police – $13,000 - The maintenance agreement for Data 911 for fiscal year
2002/03 was paid in fiscal year 2003/04, therefore additional funds are
Building - $100,000 – One (1) new Code Enforcement Officer is needed for
SWPPP. The new position will require a vehicle and other equipment to
perform the required duties. Also requested are funds for permitting
software conversion for web access and a new filing system.
Planning - $20,000 – A laser fiche scanner, map plotter and related
Landscape - $48,000 - Additional landscape maintenance costs due to frontage
landscape on Fairview, District 94-1, and costs associated with 25% of a new
Engineering - $5,000 – Additional funds are needed for office supplies.
CAPITAL IMPROVEMENT PROGRAM
Although adjustments are being requested, there will be no change to the
projected Fund Balance. A new Project Services division is being created.
This division will be responsible for uniformity and management of city-wide
contract documentation including the bidding process, construction and
professional services documentation and associated deliverables such as
bonding and insurance. The needed budget adjustments are:
$60,000 – Increase in development transfers.
$60,000 – Costs associated with creating the new Project Services division
including promoting the Contract Manager to Project Services Manager and one
(1) new Project Services Specialist position.
CITY-WIDE PARK DISTRICT
The City-Wide Park District is funded from the Parks City-Wide Assessment
$57,000 - Additional funds are also included for maintenance of lights,
increased water costs, and accounting costs.
There will be no change to the projected Fund Balance. Although a new Arts
Manager position is being requested, the position will be funded through the
new Public Art Program.
$40,000 – Public Arts Program administration transfers.
$40,000 – One (1) new Arts Manager position to implement the new Public Arts
PARK ENTERPRISE FUND
The City currently has 45 Lighting and Landscape Assessment Districts. The
volume of Districts has created a need for an Accountant position to be
requested. An existing Account Technician II position has been shared with
the Finance Department, this position will now be fully funded through
Finance. There will be no change to the projected Fund Balance.
$15,000 – Park Planning transfers.
$15,000 – The request is for a printer, one (1) new Accountant position, and
the promotion of an Accountant I to Accountant II.
WATER ENTERPRISE FUND
Water revenues have exceeded projections. Therefore, although there is a
request to increase expenditures, projected Fund Balance will increase by
$2,000. Fund Balance is projected to be $489,111 on June 30, 2004.
$510,000 – Projected increase in water revenues based on usage and the new
$508,000 – Increased purchases of water due to the growth of the City.
WASTEWATER ENTERPRISE FUND
The net adjustment for this Enterprise is $57,000. Fund Balance is projected
to be $314,319 on June 30, 2004. The following are the requested
$75,000 – Projected increase in revenues due to the Sewer Lateral
$132,000 – Increases are needed for utility costs associated with the
wastewater treatment plant, NPDES and Air Quality permits, and State Water
Resources Board fees.
BUILDING REPLACEMENT FUND
Fund Balance is projected to be $635,399 on June 30, 2004.
$14,156 – Adjustment is needed for the unanticipated replacement of the HVAC
system at the Library and standby costs associated with facility
RESOLUTION NO. __________________
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BRENTWOOD AMENDING THE
2003/2004 BUDGET FOR THE CITY OF BRENTWOOD
WHEREAS, on June 10, 2003, the City Council approved resolution number 2893
adopting the 2003/04-2004/05 Final Budget for the City of Brentwood.
WHEREAS, The purpose of this mid-year Budget review is to summarize the
first half of the fiscal year. All City funds remain balanced and within
projected budgets. Based on projected revenues and beginning fund balances,
adequate resources are available to fund the recommended appropriations
while assuring that operating revenues fully cover operating expenditures,
and that fund and working capital balances are maintained at or above policy
WHEREAS, the following funds are affected by mid-year adjustments as
GENERAL FUND + $247,000
CITY-WIDE PARK DISTRICT + $57,000
WATER ENTERPRISE FUND -$2,000
WASTEWATER ENTERPRISE FUND + $57,000
BUILDING REPLACEMENT FUND + $14,156
WHEREAS, the City Council has reviewed these adjustments to the 2003/04
NOW, THEREFORE BE IT RESOLVED that the City Council of the City of Brentwood
hereby adopts the adjustments to the 2003/04 Budget for the City of
PASSED, APPROVED AND ADOPTED by the City Council of the City of Brentwood at
a regular meeting held on the January 13, 2004 by the following vote:
Karen Diaz, CMC