Loading...
HomeMy WebLinkAboutAgenda Report - February 16, 2022 C-25AGENDA ITEM CITY OF LaODI COUNCIL COMMUNICATION TM C-25 AGENDA TITLE: Adopt Resolution Accepting the Fiscal Year 2020/21 Measure L Citizen's Oversight Committee Annual Accountability Report and Accepting the Committee's Recommendation to Create a One Page Flyer to Promote the Successes of Measure L MEETING DATE: PREPARED BY: February 16, 2022 Budget Manager RECOMMENDED ACTION Adopt resolution accepting the Fiscal Year 2020-21 Measure L Citizen's Oversight Committee Annual Accountability Report and accepting the Committee's recommendation to create a one page flyer to promote the successes of Measure L BACKGROUND INFORMATION: Lodi Municipal Code Section 3.30.140 requires the City Council to cause preparation of an Annual Accountability report for expenditures of Measure L tax revenues received. The report is required to include the following: a. The amount of revenue collected; b. The amount and general purpose of expenditures made from this revenue by category LMC Section 3.30.150 (A) establishes the Measure L Citizens' Oversight Committee and charges the Committee to "have the duty and responsibility to review the annual accountability report and report its findings to the City Council and the citizens of the City." The initial draft of the attached report was presented to the Committee at its meeting on October 18, 2021. A revised draft was presented to the Committee at its meeting on January 24, 2022. At that meeting, the Committee recommended the report to the City Council for the Council's acceptance at a future meeting. Additionally, the Committee recommended the City Council approve creation of a one page bill insert to communicate to the citizens of Lodi the successes of the Measure L program in Fiscal Year 2020/21. FISCAL IMPACT: There is no fiscal impact from accepting the Annual Accountability Report or preparing the one page flyer. Total cost for printing the flyer for every utility account are anticipated to be less than $4,000. Mailing costs for one page inserts are included within the existing cost of mailing utility bills. FUNDING AVAILABLE: Funding for production of the one page flyer is included in the Fiscal Year 2021/22 budget. Andrew Keys (F62, 2022 13:45 PST) Andrew Keys, Deputy City Manager Riob APPROVED: Stephen Schwabauer, City Manager Z Measure FISCAL YEAR 2020/21 ANNUAL ACCOUNTABILITY REPORT Measure L Citizen's Oversight Committee Members District 1 -Gary Woehl District 2 - Terence Spring District 3 - Phil Pennino District 4 - Wagas Dad District 5 - Elisa Bubak Measure L was passed by the voters in I Lodi in November of 2018. The text ; printed on the ballot for Measure L was i as follows: To make neighborhoods safer, �= City o maintain/im rove essential Ci p f Lodi services including.* reducing crime; maintaining neighborhood police patrol/gang violence intervention/prevention; fixing potholes/city streets, maintaining neighborhood fire stations; enhancing rapid police/fire response times by restoring firefighter and adding police positions, maintaining recreation facilities/programs; and other general fund purposes, shall the City of Lodi measure enacting an ongoing half cent local sales tax providing $5,400,000 annually, with independent citizen oversight, and funds spent locally. Lodi Municipal Code 3.30.140 requires that the City Council cause the preparation of an annual accountability report (the "Report") to be reviewed by the Measure L Citizens' Oversight Committee. The Committee is responsible to review the Report and present findings to the City Council. This report represents information for Fiscal Year 2020/21. Expenditures for the report period include those for fire, police, library, streets and capital. FY 20/21 Measure L Expenditures by Category 0.24% insure L Expenditures by Category eat J u ly J,. 2020 Ind Benefits Iity S mping Cleanup Support Total Expenditures 1,189, 345 8,455,915 6,672,411 1,087,915 40,605 155,823 19,345 28,946 SA%A" Revemw less fxpen ftffes 4-%969 FundsEncu mbe•re•d but Not Yet Spent Police Vehicles 14,529 Safety Equipment 78,684 Parks 15,169 Equipment 53,431 Total Encumberances 1624813 Fund Ela lance at June 30, 2021 1477,441 :26% Reserve lt351%:2 6 Uffeserved fund bakrce Jue 3$ 2021 :224}295 *Beginning fund balance includes $101,864 in encumbrances for safety equipment and vehicle purchases carried forward into Fiscal Year 2020121. • Public Safety Salary and Benefits 83.43% PERS Unfunded Liability • 0% Supplies and Services 13.59% Police Veh cies O.S1% • Parks Support 1.96% • Library Support 0.24% • Homeless Cleanup Support 0.36% r Table 1 on the previous page shows revenues and expenditures and summarizes the Measure L fund balance as of June 30, 2021. Also included is a chart of expenditures by Category. The chart shows that nearly 84% of the Measure L resources were spent on salary and benefits. Note that no Measure L funds are used toward PERS unfunded liability. Ta bl a 2; FY 2020/21 M ea su re L E xpend itu res by Servi ce Type Po J ice Fire FarkGs Library Homeless/Illegal Dumping Cleanup T-,., r ' 4,57-7, 613 3,223,318 156,823 FY 20/21 Expenditures by Service Type 1 9, 345 29,94C 8, 00cr 04 0.24% • Police 57.18% • Fire 40.26% • Parks 1.96% Library 0.24% • Homeless Cleanup 0.36% Table 2 represents the expenditures by Service Type. Police expenditures totaled 57.18%; Fire 40.26%; Parks 1.96%; Library 0.25% and Homeless/Illegal Dumping Cleanup 0.36%. The budget for Measure L included a full time librarian. This position was recruited for in the second half of the fiscal year and filled in May 2021. Addi- tionally, at the mid -year budget review, City Council authorized Measure L to fund approximately 28% of a full time Streets Maintenance Worker and vehicle for homeless/illegal dumping cleanup in public right of ways. The costs for the cleanup effort were also funded by the utility funds. Council also authorized an additional $100,000 for Parks tree trimming needs at the mid -year review, bringing the total for FY 21 to $180,000. quppp- i ___ Fiscal Year 2020/21 Measure L Expenditure Highlights • 19 Police Officers • 8 Firefighters • 1 Librarian • 1 Streets Maintenance Worker (28%) 1 Homeless/Illegal Dumping Cleanup Vehicle (28%) Parks tree trimming Safety equipment and training to support Police and Fire operations A total of 28.3 full time positions were funded from Measure L during FY 21. As a result of better than anticipated performance, Measure L funded all public safety overtime and part-time costs; vehicle repairs and fuel. Addition- ally, Measure L funded a police vehicle that was rolled forward from FY 20. The City hired a new Librarian in May of 2020 for the first time since Measure L's passage. This position will be fully Measure L funded going forward and provide an increase in service at the Lodi Public Library. For Fiscal year 2020/21, Parks was able to trim over 240 trees, including removing dangerous and failing trees at Henry Glaves, Lodi Lake, Century and Peterson Parks. Additionally, nearly all trees at Lodi Lake had their health re- viewed by a professional arborist. Prior to the approval of Measure L, the City did not have a preventative tree maintenance funding program due to insufficient resources. Measure L is doing its part to improve parks and make them safer and more available to the public. 0 Fiscal Year 2020/21 Fund Balance The City's Fiscal and Budget Policies, adopted by City Council, requires that the Measure L fund maintain a 16% fund balance requirement, similar to the requirement in the City's General Fund. For Fiscal Year 2020/21, the 16% reserve represents $1,353,106, which is fully funded as shown on Table 1. Fund balance reserves can be used at Council's discretion for additional programming or for operational expenses should future revenue receipts fall below expectations. For the first time in 12 years, the Fiscal Year 2021/22 adopted budget shows an increase in General Fund support to Parks, Recreation and Cultural Services and to the Lodi Public Library. Measure L is the source of the increase. Since FY 2009/10 the City has annually provided approximately $3.25m to PRCS and $1.35m to the Library for operational needs. Since that time, the Consumer Price Index (CPI -U) for all urban consumers has increased nearly 26%. PRCS and the Library have had to do more with less for this entire time. In addition to no funding increase, the City has experienced a population increase over 10% and added 76.42 acres of parks, an increase of over 22% during this period. With the adopted Fiscal Year 2021/22 budget, PRCS and Library received an average of 10% increase to their operational funding from Measure L, or $342,370 and $ 113,920 respectively. The increase was based on the projected increase in general tax revenues Citywide and would not have been possible without Measure L. In addition, the first budgeted transfer from the General Fund to the PRCS Capital Fund in over 15 years was approved in the amount of $400,000 for Fiscal year 2021/22 using Measure L resources. It is antick pated that this level of transfer can be sustained annually as the start of a plan to address the $22.3 mil- lion list of unfunded and identified parks capital needs (see page 185 of the Fiscal Year 2021-22 Adopted Budget for a list of unfunded and identified parks capital needs). Each annual appropriation will need to be approved by City Councils in the future as part of the annual budget process. As City staff continues to inventory parks facility needs, it is anticipated this list grows further highlighting the needs for PRCS capi- tal funding. Fiscal Year 2021/22 Budget The FY 2020/21 Measure L Accountability Report is focused on expenditures that have already occurred. Lodi Mu- nicipal Code Section 3.30 (the "Ordinance") specifically limits the Citizens' Oversight Committee's role to the review of expenditures at the close of each fiscal year. The Committee has no role in budgeting or planning. However, it is important for the public to have knowledge of the direction City leaders have planned for the use of Measure L funds. The City Council adopted the FY 2021/22 budget at its June 2, 2021 regular meeting. Tables 3 to 5 below provide detailed information on the proposed uses for Measure L funds in Fiscal Year 2021/22. Table �: FY 21122 Measure L Expenditures by Category Category FY 21122 Budget Salary and Benefits 6,193,500 Supplies and Services 676,941) 0perat,ng Transfers 456,290 Home lessflllega Dumping Cleanup 30,770 Tota 1 71757,500 Included in the expenditures in Table 4: Library is receiving $113,920 in operational support from Measure L in addition to support of a Librarian and PRCS is receiving $342,370 in operational support plus an additional $400,000 toward their capital improvement project needs. These projects include $180k for tree trimming; $100k for fencing/water fountain at 2 dog Parks; and $120k toward renovating the Legion Park community room. Table 4; FY 21122 Measure L Expenditures by Type Tyae FY 21122 Budget Po I ite 4,11)1,421) Fire 2,665,541) Parks 742,371) Library 217,41)1) Horne less/Illegal Dumping Cleanup 31),771) Testa I 7,757,5W Table 5: FY 20/21 Measure L Funded Full -Time Positions Positions FY 21122 Budget Police Officers 20.0 Firefighters* 8.0 Librarian 1.0 Street Mai ntenance Worker 0.3 Total 29.3 * $1.4 million in overtime is included to fully staff all stations. CITY OF Zoo i Z C A L I F O R N I A Measure L, passed by voters in November 2018, is a local general purpose retail transactions and use tax that began April 1, 2019. This report covers the period from July 1, 2020 through June 30, 2021. City Ordinance No. 1953 requires preparation of an Annual Accountability Report to be reviewed by the Measure L Citizen's Oversight Committee and for the Committee to present findings to City Council. The Measure L ballot text was: To make neighborhoods safer, maintain/improve essential City of Lodi services including: reducing crime, maintaining neighborhood police patrols/gang violence intervention/prevention; fixing potholes/city streets, maintaining neighborhood fire stations, enhancing rapid police/fire response times by restoring firefighter and adding police positions; maintaining recreation facilities/programs; and other general fund purposes, shall the city of Lodi measure enacting an ongoing half cent local sales tax, providing $5,400,000 annually, with independent citizen oversight, and funds spent locally, be adopted? A A�p Measure L Highlights I 1 Expenses • From July 1, 2020 through June 30, 2021, revenues received were $8,456,915, with COVID-19 Revenue government stimulus packages and online sales the primary factors for receipts far exceeding earlier projections. $8.45m • As a result of better than anticipated performance, Measure L funded all public safety overtime and part-time costs, vehicle repairs, fuel, and a new police vehicle— rt request that was rolled forward from the prior fiscal year. �e ren1e • The City hired a new Librarian in May of 2021. This position will be Public Safety Salary and Benef'.ts fully Measure L -funded going forward and provides an increase in PERS Unfunded Liability service at the Lodi Public Library. Supplies and Services • Parks was able to trim over 240 trees, including removing dangerous Police 'Vehicles Parks support and failing trees. Additionally, nearly all trees at Lodi Lake had their Library Support health reviewed by a professional arborist. HomelessfnlegaI Du m pi ng Cl ea n u p Su pport • The table (right) shows FY 20-21 Measure L expenditures by catego- Total Expendit"res ry and encumbered funds. The chart (below) shows expenditures by Reverl�e gess €pefrare service type. Not including encumbrances, FY 20-21 expenditures were: Police was $4,577,613, Fire $3,223,319, Library $19,345, and Funds Encumbered but Not Yet Spent Parks $183,402. Police Vehicles FY 20{21 Expenditures by Service Type - Poke 57.1896 - Fre 40.26i6 - Paris 196!6 - Library 0.2496 - nomele-ss [Ie[pl oumpng q. aeanW 0.36!6 Positions FY 24121 9ucir Police Officers 24.4 Firefighters* 8.0 Librarian 1.4 Street Maintenance Worker 0.3 Total 29.3 Safety Equipment Parks Equipment Total Encumberances Fund Balance atJune 34, 2021 16% Reserve Unres erved fund balance lune 30, 2023 FY 20121 Measure L Expenditures by Category n.24x ' M1deo�srrd funds orr mo[ wed to pryunfunded • $1.4 million in overtime is included to fully staff all stations. p­ �,vu. $8m 61 8,455,915 6, 672,411 1,087,915 40,606 156,823 19,345 28,946 Blomx 5 4s4%as9 14,529 78, 15,134 16,169 53,431 152,813 1,477,441 ,t35_%106 32$295 • Pubfic safety salary and eenefrts 83.43% - PERSUafmded liabifty 0% • Suppriesand SRFVI s 13.5996 • Pokevehicles 051% • Paris support L966 • UbrarySuppor10.24% • Homdessllllepl gumpng Cleanup Support 036% MEASURE L — Funding at work Adopted Budget for Fiscal Year 2021-2022 Parks, Recreation, Cultural Lod Public Library Public Safety Services $217,440 - Operational Support $400,000 - Capital Fund support Streets $4,101,420 — Police Department $34,770 — Homelesslillegal $2,665,540 - Fire Department $342,370 - Operational support Dumping Cleanup RESOLUTION NO. 2022-43 A RESOLUTION OF THE LODI CITY COUNCIL ACCEPTING THE RECOMMENDATION OF THE MEASURE L CITIZENS' OVERSIGHT COMMITTEE TO APPROVE THE FISCAL YEAR 2020/21 MEASURE L ANNUAL ACCOUNTABILITY REPORT AND CREATE A ONE-PAGE BILL INSERT FLYER TO PROMOTE THE SUCCESSES OF MEASURE L WHEREAS, Lodi Municipal Code Section 3.30.140 requires the City to prepare an Annual Accountability report (the "Report") for expenditures of Measure L tax revenues received; and WHEREAS, the Report is required to show the amount of revenue collected and the amount and general purpose of expenditures made; and WHEREAS, Lodi Municipal Code Section 3.30.150 (A) establishes the Measure L Citizens' Oversight Committee (the "Committee") and charges the committee to review the report and present its findings to the City and the City Council; and WHEREAS, the first draft of the Report was presented to the Committee on October 18, 2021; and WHEREAS, the Committee reviewed, discussed, and provided direction to staff on modifications to the report; and WHEREAS, the second draft of the Report was presented to the Committee on January 24, 2022; and WHEREAS, the Committee found the revised report to be sufficient to meet the obligations outlined in Lodi Municipal Code Section 3.30.140 and recommended its presentation to the City Council for approval; and WHEREAS, the Committee recommended that the City Council consider a one-page flyer and bill insert to promote the successes of Measure L to Lodi Citizens. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby accept the Fiscal Year 2020/21 Measure L Annual Accountability Report; and BE IT FURTHER RESOLVED that the Lodi City Council does hereby direct the City Manager to cause preparation of a one-page flyer and bill insert to communicate to the citizens of Lodi the successes of Measure L outlined in the report. Dated: February 16, 2022 ------------------------------------------------------------------------ ------------------------------------------------------------------------ I hereby certify that Resolution No. 2022-43 was passed and adopted by the City Council of the City of Lodi in a regular meeting held February 16, 2022 by the following vote: AYES: COUNCIL MEMBERS — Hothi, Khan, Kuehne, Nakanishi, and Mayor Chandler NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — None 'a�� PAMELA M. FARRIS Assistant City Clerk 2022-43