1. Proposed Budget FY 2017-19 August 7, 2017
City of Port Hueneme
Proposed Budget FY
August 7, 2017

2. Agenda FY 2016/17 Projected Results FY 2017/19 Budget General Fund
Expenditures
Revenues
Reserves
5-Year Forecast
Enterprise Funds and Other City Entities

3. FY 2017-19 Budget Preparation

4. CITY OF PORT HUENEME FY 2017-19 BUDGET CALENDAR
DESCRIPTION
DATE
Informational Budget Workshop
1/31/2017
City Council Strategic Action Plan
3/20/2017
Development of Department Budgets
05/08 thru 05/12/2017
Finance Review of Budget Requests
City Manager Review/Revision of Line Item Budgets
05/22 thru 05/25/2017
City Council and Public Review of Budget Baseline
6/5/2017
City Council and Public Review of Key Budget Issues
6/19/2017
1st City Council and Public Review of Preliminary Budget
7/5/2017
2nd City Council and Public Review of Preliminary Budget
7/17/2017
Presentation of Final Budget for Adoption
8/7/2017

5. FY 2017-18 Budget Highlights GF Proposed Budget: Deficit of 949,699
Address deficit through:
Operational efficiencies
Staffing changes
Potential labor concessions
Potential Revenue Enhancements
$2.8 million in Capital Improvement Projects with 337k in General Fund Funding

6. FY 2018-19 Budget Highlights GF Proposed Budget: Deficit of 960,852
Address deficit through:
Operational efficiencies
Staffing changes
Potential labor concessions
Potential Revenue Enhancements
$10.2 million in Capital Improvement Projects with 735k in General Fund Funding

7. Staffing Levels Adopted 15-16 Adopted 16-17 Proposed 17-18
Full Time
108.80
87.80
107.25
Part Time Seasonal
12.70
14.00
15.20
Total
121.50
101.80
122.45

8. General Fund Expenditures

9. GF Expenditures
67% of $16.7 million 17/18 GF budget is personnel costs
38% Salaries
11% Benefits
18% Retirement Costs
Total salaries and benefits: $11,808,656
Salaries only: $6,358,475
PERS & POB: $2,816,025
Benefits: $2,634,156
Since 2008 PERS costs have increased by over $900,000

10. GF Expenditures
67% of $17.1 million 18/19 GF budget is personnel costs
38% Salaries
11% Benefits
18% Retirement Costs
Total salaries and benefits: $11,808,656
Salaries only: $6,358,475
PERS & POB: $2,816,025
Benefits: $2,634,156
Since 2008 PERS costs have increased by over $900,000

11. GF Expenditures PROJECTED 2016-17 BUDGETED 2017-18 % BUDGETED 17/18
Dept.
PROJECTED
BUDGETED
% BUDGETED 17/18
Police
$6,953,704
$7,216,851
43%
Public Works
$2,314,467
$1,923,894
12%
General Gov’t
$1,784,973
$1,791,948
11%
Finance
$824,209
$1,085,518 6%
Landscape
$761,569
$999,779
Admin
$1,391,632
$1,584,181 9%
Community Develop
$968,496
$1,489,990
Rec & Comm Svcs
$578,293
$630,726 4%

12. General Fund Revenues

13. GF Revenues Revenues - $186,212 more than FY 16/17 projected
Mainly due to projected cannabis revenue

14. General and Other Fund Reserves

16. General Fund 5-Year Forecast

17. GF 5-Year Forecast Highlights
Deficits projected though FY 2021/22 assuming no significant changes
Potential revenue sources

18. 5-Year Forecast Fiscal Year Projected Deficit FY 2016-17 -$667,081
-$949,699 FY
-$960,852 FY
-$1,095,436 FY
-$853,176 FY
-$879,866

20. Enterprise Funds

21. ENTERPRISE FUNDS
Water, Wastewater and Solid Waste – surplus budgets for FY 2017/18 and 2018/19
All three funds continue to build needed Operating and Capital Reserve Funds

22. Other City Entities

23. SUCCESSOR AGENCY Former RDA - $5.6 million tax increment Funded:
RDA projects
Debt service to GF
Programs
Positions and cost allocation charges
General Fund now receives - $730,000 – Prior to Dissolution $1.2 million
On February 1, 2012, the City of Port Hueneme assumed the role of the Successor Agency to the former Redevelopment Agency
The former RDA generated $5.6 million in tax increment revenue that was used to fund RDA projects and pay for debt service, positions and cost allocation charges.
With the transition from RDA to Successor Agency the General Fund was impacted through its loss of revenues from Cost Allocation, debt service payments, which was approximately $1.2M.
Now the General Fund receives approximately $650,000 in additional property tax revenue and an administrative fee reimbursement.

24. SURPLUS PROPERTY AUTHORITY
Projected Fund Balance - $4,238,913 FY 17/18
Due to the $5 million General Fund loan to fund General Fund capital improvement projects.
SPA receiving $600,000 - next 3 years.
Fund SPA related expenditures and Hueneme Beach and Moranda Park Improvements
Fund balance as of June 30, 2015 is estimated to be approximately $4,640,554, primarily due to the $5 million General Fund loan to fund General Fund capital improvement projects.
In addition, as part of the dissolution of RDA’s, the SPA will now be receiving fully amortized loan payments of $1,009,000 for the next 14 years.
Some of these resources will be utilized to fund SPA related expenditures and to fund Hueneme Beach and Miranda Park Improvements.