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CC Resolution No. 19-067 Adopting a Capital Improvement Budget for Fiscal Year 2019-20 by Ratifying the Adequacy of Estimated Revenues and Fund Balances in each Fund to Cover Appropriated Monies, Appropriating Monies Therefrom for Specified Activities an RESOLUTION NO. 19-067 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CUPERTINO ADOPTING A CAPITAL IMPROVEMENT BUDGET FOR FISCAL YEAR 2019-20 BY RATIFYING THE ADEQUACY OF ESTIMATED REVENUES AND FUND BALANCES IN EACH FUND TO COVER APPROPRIATED MONIES, APPROPRIATING MONIES THEREFROM FOR SPECIFIED ACTIVITIES AND ACCOUNTS, AND SETTING FORTH CONDITIONS OF ADMINISTERING SAID BUDGET WHEREAS, the orderly administration of municipal government is dependent on the establishment of a sound fiscal policy of maintaining a proper ratio of expenditures within anticipated revenues and available monies; and WHEREAS, the extent of any project or program and the degree of its accomplishment, as well as the efficiency of performing assigned duties and responsibilities, is likewise dependent on the monies made available for that purpose; and WHEREAS, the City has independently studied the proposed Capital Improvements Program (CIP) and has determined that the CIP is exempt from environmental review pursuant to the exemption in 14 Cal. Code Regs. §15601(b)(3) in that it can be seen with certainty that there is no possibility that this action will have a significant effect on the environment because approval of the CIP is a budgeting action, and does not involve approval of any specific project that may have a significant effect on the environment; WHEREAS, the City Council, using its independent judgment, before taking action on this Resolution, determines that the CIP is exempt from CEQA as stated above; NOW, THEREFORE, BE IT RESOLVED that the City Council does hereby adopt the following sections as a part of its fiscal policy: Section 1: The estimates of available fund balances and anticipated resources to be received in each of the several funds during Fiscal Year 2019-20, as submitted by the City Manager in the proposed budget and amended during the budget study sessions, are sufficient to cover appropriations. Section 2. The Director of Administrative Services shall prepare and submit to City Council quarterly a revised estimate of Capital Improvement projects. Resolution No. 19-067 Page 2 Section 3. The Director of Administrative Services is hereby authorized to carry over, from the prior fiscal year, unexpended appropriations for Capital Improvement projects. Section 4. The Director of Administrative Services is hereby authorized to continue appropriations for operating expenditures that are encumbered or scheduled to be encumbered at year end. PASSED AND ADOPTED at a regular meeting of the City Council of the City of Cupertino this 181b day of June, 2019, by the following vote: Vote Members of the City Council AYES: Scharf, Chao, Paul, Sinks, Willey NOES: None ABSENT: None ABSTAIN: None SIGNS Steven Scharf,Mayor Date City of Cupertino ATTEST: Grace Schmidt, City Clerks Date Resolution No. 19-067 Page 3 Exhibit A FISCAL YEAR 2019-20 ADOPTED BUDGET FINANCIAL OVERVIEW BY FUND Special Revenue Debt Service Capital Project Enterprise Internal Service 2019-20 Adopted Revenue Categories General Fund Fund Fund Funds Funds funds Budget Total Sales Tax $ 25,637,093 $ $ $ $ $ $ 25,637,093 Property Tax $ 24,703,218 $ $ $ $ $ $ 24,703,218 Transient Occupancy $ 9,666,056 $ $ $ $ $ $ 9,666,056 Utility Tax $ 3,198,644 $ $ $ $ $ $ 3,198,644 Franchise Fees $ 3,162,457 $ $ $ $ $ $ 3,162,457 Other Taxes $ 1,181,050 $ 453,404 $ $ $ $ $ 1,634,454 Licenses&Permits $ 2,524,000 $ - $ - $ - $ - $ - $ 2,524,000 Use of Money&Property $ 1,330,579 $ 15,700 $ $ $ 28,000 $ $ 1,374,279 Intergovernmental $ 354,547 $ 7,554,533 $ $ $ 15,000 $ $ 7,924,080 Charges for Services $ 13,233,225 $ 391,045 $ $ $ 5,859,827 $ 4,083,901 $ 23,567,998 Fines&Forfeitures $ 615,000 $ 10,000 $ $ $ - $ - $ 625,000 Miscellaneous $ 882,283 $ 2,198,521 $ $ 7,757,418 $ 66,000 $ - $ 10,904,222 Transfers In/Other Financing Uses $ 612,000 $ 1,318,000 $ 3,172,838 $ 14,657,719 $ 3,523,000 $ 4,045,652 $ 27,329,209 TOTAL REVENUE $ 87,100,152 $ 11,941,203 $ 3,172,838 $ 22,415,137 $ 9,491,827 $ 8,129,553 $ 142,250,710 Special Debt Service Capital Project Enterprise Internal Service 2019-20 Adopted' Appropriation Categories General Fund Revenue Fund Fund Foods Funds Funds Budget Total Employee Compensation $ 19,030,922 $ 1,025,568 $ $ $ 1,942,661 $ 1,336,390 $ 23,335,541 Employee Benefits $ 7,924,552 $ 504,775 $ $ $ 564,863 $ 1,596,993 $ 10,591,183 Materials $ 5,666,631 $ 728,939 $ $ $ 463,844 $ 916,106 $ 7,775,520 Contract Services $ 21,573,686 $ 727,897 $ $ 175,000 $ 4,644,862 $ 1,538,116 $ 28,659,561 Cost Allocation $ 9,786,477 $ 486,532 $ $ - $ 1,651,322 $ 847,459 $ 17,771,790 Capital Outlays $ 37,050 $ 3,035,000 $ $ 22,062,418 $ 1,400,000 $ - $ 26,534,468 Special Projects $ 3,692,335 $ 3,280,000 $ $ - $ 321,500 $ 704,600 $ 7,998,435 Contingencies $ 1,070,049 $ 36,666 $ $ 2,500 $ 254,184 $ 164,925 $ 1,528,324 Transfers Out $ 10,539,557 $ 12,000 $ $ 15,705,000 $ - $ - $ 26,256,557 Debt Service/Other Uses $ 783,209 $ - $ 3,172,838 $ - $ 280,953 $ 843,772 $ 5,080,772 TOTAL EXPENDITURES $ 80,104,468 $ 9,837,377 $ 3,172,838 $ 37,944,918 $ 11,524,189 $ 7,948,361 $ 150,532,151 Net Increase(Decrease)in Fund $ 6,995,684 $ 2,103,826 $ - $ (15,529,781) $ (2,032,362) $ 181,192 $ (8,281,441) Balance/Retained Earnings ya