City of Rialto - File #: 23-566

Date	Ver.	Action By	Action	Result	Action Details	Meeting Details	Video
6/27/2023	2	City Council			Not available	Meeting details	Not available
6/13/2023	1	City Council			Not available	Meeting details	Not available

For City Council Meeting [06/27/2023]

TO: Honorable Mayor and City Council

APPROVAL: Arron Brown, Acting City Manager

FROM: Katherine Stevens, Director of Finance

Title

1. Conduct a Public Hearing on the City’s Fiscal Year 2023-24 Proposed Annual Budget.

2. Approve and Adopt the following Resolutions:

a. Resolution No. 8089, RHA Resolution No. 01-23, RUA Resolution No. 05-23, and Rialto Redevelopment Successor Agency Resolution No. SA01-23 for the City’s Fiscal Year 2023-24 Annual Budget;

b. Resolution No. 8090 Adopting the Fiscal Year 2023-24 Appropriations Limit (Gann Limit);

c. Resolution No. 8091 Adopting the Fiscal Year 2023-24 Citywide Classification and Compensation Plan;

(ACTION)

Body

BACKGROUND

In accordance with Section 2.04.140 of the Rialto Municipal Code, the City Manager must present the fiscal budget to the City Council for approval annually. Under the direction of the Finance Director, the Finance Department conducted the analysis and made the projections required to complete the budget document after receiving input from all of the City departments. The process began in March and required the cooperation of staff organization wide.

Beginning April 4, 2023, one-on-one meetings with the City of Rialto Mayor, Mayor Pro-Tem, and Council members were scheduled with the City’s department heads to go over the draft General Fund Fiscal year (FY) 2023-24 Budget. The discussion included dialogue in reference to personnel requests and capital project requests from each department.

On May 9, 2023, City Council approved a Public Hearing for June 13, 2023, to approve and adopt the Budget Plan for Fiscal Year 2023-24. A copy of the June 13, 2023, staff report is included as Attachment 1.

ANALYSIS/DISCUSSION

Staff is presenting the proposed FY2023-24 General Fund operating budget and the budgets for the City’s Special Revenue Funds, Enterprise Funds, and Internal Service Funds.

GENERAL FUND

The General Fund FY2021-22 closeout reported an unrestricted fund balance in the amount of $24.9 million. The FY2022-23 adopted budget reported a resulting unrestricted fund balance in the amount of $32.4 million an increase of approximately 7.5 million in forecasted fund balance for the General Fund. The amended budget for FY2022-23 reports a forecasted unrestricted fund balance in the amount of $34.1 million which is an increase of $1.7 million from the FY2022-23 Adopted Budget. The proposed General Fund Budget is forecasted to have $130,566,553 in Operational Revenue and $129,473,714 in Operational Expenditures leaving a remaining balance of Operational Revenue in the amount of $1,092,839. The One-time Capital expenses totaling $1,808,250 has proposed funding of the remaining Operational Revenue in the amount of $1,092,839 and Unrestricted Fund Balance in the amount of $715,411. The final proposed General Fund Unrestricted Fund Balance for FY2023-24 is $33.4 million.

General Fund Revenues

Total proposed FY2023-24 General Fund Revenue totals $130,566,553 This amount is a decrease of 3.1% in comparison to the Revised Budget for FY2022-23. The City’s top five revenue sources are Sales Tax, Property Tax, Utility Users Tax, and Charges for Current Services. The Tax Revenue is forecasted at approximately 86%.

The City’s Tax Revenue Appropriations from the proceeds of taxes is limited in FY2023-24 to $101,845,889. The Proposition XIII B restricts local governments from growing at a rate faster than the prior year’s appropriation increased for inflation and population growth. The Appropriation Limit Calculation is shown below.

General Fund Expenditures

The FY2023-24 Proposed General Fund Expenditure Budget is estimated at $131,281,964. This amount less than a 1% increase from the FY2022-23 Revised Budget. The proposed Personnel Changes that are added to the FY2023-24 General Fund Expenditure Budget are shown below.

Proposed Personnel Changes -

The following Departments have requested personnel changes as follows:

Community Development Department - $93,050

• $106,780 - Add (1) Assistant Planner to complete the ladder of progression in the Planner series.

• $154,730 - Add (1) Supervising Building Inspector to complete the ladder of progression in the Building series.

• $22,560 - Remove (1) Intern to offset the cost of the Assistant Planner.

• $88,540 - Remove (1) Administrative Assistant to offset the cost of the Assistant Planner.

• $120,600 - Remove 90% of Plans Review Contract to offset the costs and support the Community Development changes.

• $10,320 - Reclass (1) Senior Planner to (1) Principal Planner.

• $52,920 - Reclass (1) Development Services Specialist to (1) Supervising Permit Technician.

• $0 - Reclass (1) Senior Plans Examiner to (1) Supervising Plans Examiner.

Police Department - $135,480

• $77,770 - Add (1) Police Records Assistant II to enable the improvement of record functions and expand hours of operation.

• $86,230 - Add (1) Senior Office Specialist to provide additional administrative support.

• $28,520 - Remove (1) Administrative Aide to offset the cost of the Senior Office Specialist.

Parks, Recreation and Community Services Department - $28,520

• $28,520 - Add (1) Administrative Aide to provide additional administrative support

Maintenance and Facilities - Budget Reduction of $243,892

• $136,820 - Remove (1) Fleet Maintenance Lead

• $107,072 - Remove (1) Equipment Mechanic

Engineering - Budget Reduction of $18,500

• $18,500 - Remove two part time Interns.

Additional Impacts to General Fund Expenses

• Cemetery General Fund Subsidy - Increase of $8,220 from FY2022-23 - The Cemetery is an Enterprise Fund where the expenses are covered by user fees. For FY2023-24 the forecasted user fees were not high enough to cover the expenses and required a General Fund Subsidy.

• LMD & SLD General Fund Subsidy - Increase of $583,180 from FY2022-23 - The Street Lighting and Landscape Maintenance Fund and the Landscape and Lighting District No. 2 Fund levy Assessments to cover the expenses in the Funds. The General Fund will subsidize the expenses that are not covered with the Assessments.

• CalPERS Employer Contribution Rates increase - The City of Rialto has required rates for Employer Contributions throughout the fiscal year. The changes in Employer Rates are shown below.

	FY2022-23	FY2023-24
Safety Plan	24.51%	26.44%
Miscellaneous Plan	11.48%	12.62%

The financial impact of this increase is estimated at $810,420.

The proposed FY2023-24 General Fund Expenditures are listed in the table below.

ALL OTHER FUNDS

In addition to the General Fund the City of Rialto has budgeted for 50 Special Revenue funds, the Successor Agency Private Purpose Trust Fund, Rialto Housing Authority, Seven Enterprise funds, two Internal Service Funds, four Community Facility Districts, and one Debt Service fund. The FY2023-2024 Revenue budgeted for all funds is $231,520,203. The table below shows an overall decrease in revenue in the amount of $3,913,157 from FY2022-23. This difference is due to the delay in Special Revenue Grant Funds that will be appropriated throughout FY2023-24.

During the 2024 fiscal year staff will have the opportunity to apply for various grant programs which in turn will be presented to City Council and if approved will be added to the FY2023-24 budgeted revenue.

The following funds are showing a reduction in revenue from FY2022-23 to FY2023-24.

• General Fund - $4,229,067

o The General Fund was kept at an 86% cap for the Tax Revenue to not exceed the GANN Limit. The City’s growth in Sales Tax is at a higher rate then the City’s allowed growth according to Article XIII B.

• Special Revenue Funds - $3,540,830 - During the 2024 fiscal year staff will have the opportunity to apply for various grant programs which in turn will be presented to City Council and if approved will be added to this revenue category.

• Capital Projects Funds - $4,467,070 - The Capital Projects Budget will be presented to Council outside of the Budget Process and will possibly be increased at that time.

• Successor Agency Funds - $3,629,120 - This appropriation was reduced by the San Bernardino County Oversight Board due to significant Cash on Hand.

Special Revenue Funds

The City’s various Special Revenue Funds include grant program funds and other funds that by law are required to be segregated from other funds. The 2023-24 Proposed Special Revenue Fund Budget includes budgets for 31 different funds in the aggregate amount of $20.5 million which reflects a decrease of $3.5 million as compared to the 2022-23 Revised Budget. This net decrease is primarily due to a decrease in several fund project expenditures, including Measure I, Gas Tax, Drainage Development, Major Grant, Waste Management, Fire Development and Park Development which are offset by an increase in project expenditures in the Traffic Development and Community Services Grant funds.

Special Revenue funds account for the proceeds of specific revenue sources that are legally restricted or otherwise assigned for specific purposes. Grant funds, Specific purpose San Bernardino County revenue allocations are some examples of special revenue funds.

Fund 200-201: Measure I Funds - To account for revenues and expenditures of money received from San Bernardino Associated Government (SANBAG) of a voter approved sales tax override allocated to cities within the County on a population basis. These funds are used for maintenance and construction of City streets.

Fund 202-203: Gas Tax Fund - To account for revenues and expenditures of money received from the State Gas Tax allocation. These funds are used for maintenance and construction of City streets.

Fund 204: Transportation Development Act Fund - To account for revenues received under the Transportation Development Act. These funds are used for improvements to City streets.

Fund 205: Fire Grant Fund - To account for monies received and expended by the Fire Department for various Grants.

Fund 207: Traffic Safety Prop.1B Fund - Accounts for revenues received under the Traffic Safety Proposition 1B. These funds are used for improvements to City streets.

Fund 209: Fire Ground Emergency Transportation Fund - To account for Ground Emergency Medical Transportation revenues and expenditures used to support the Fire Department Emergency Medical Services program capital needs.

Fund 210: Park Development Fund - To account for development fees collected and used for the acquisition of parklands and the construction of new and expansions of park facilities.

Fund 211: PEG Fund - To account for the Public, Educational, or Governmental access franchise fee activity.

Fund 212: Waste Management Fund - To account for monies received and expended by the City to meet the State mandate to reduce solid waste generated within the City.

Fund 213: Local Law Enforcement Block Grant - To account for monies received and expended by the City as a participant in the Federal Local Law Enforcement Block Grant program.

Fund 214: Citizens Option for Public Safety - To account for revenues and expenditures associated with the City’s front line municipal police services and to include juvenile justice programs. The revenue source for this fund is a special allocation of grant monies from the State of California in accordance with AB3229 and AB1913.

Fund 216: Asset Forfeiture Set Aside Fund - This fund is used to account for revenues and expenditures associated with law enforcement drug and gang prevention. Revenues for the fund are derived from the assets seized by law enforcement and determined to be forfeited by the courts.

Fund 217: Fire Development Fund - To account for development fees collected and used to acquire fire safety equipment and build new facilities.

Fund 218: Police Development Fund - To account for development fees collected and used for police equipment facilities and the hiring and training of new police officers needed to serve new development.

Fund 219: Asset Forfeiture Fund - To account for the revenues and expenditures associated with law enforcement drug and gang prevention. Revenues are derived from the sale of assets seized by law enforcement.

Fund 220: Open Space Development Fund - To account for development fees collected and used for the acquisition of land and the turfing of new parks to provide open space for the City.

Fund 221: Office of Traffic Safety Fund - Accounts for revenues received under the office of traffic safety. These funds are used to reduce the number of fatal, injury, and DUI related collisions occurring in the community.

Fund 222: Transportation Enhancement Fund - To account for monies received and expended by the City as a participant in federal Transportation Enhancement Grants for City infrastructure and capital improvements.

Fund 223: Major Grant Capital Fund - To account for monies received and expended by the City as a participant in Federal and State and other local grants for City infrastructure and capital improvements.

Fund 224, 225, 490: Street Lighting and Landscape Maintenance Funds - To account for the revenues and expenditures associated with the maintenance of City-owned streetlights, parkways and medians. Benefiting property owners are assessed their proportional share of costs for maintaining these facilities, parkways, and medians.

Fund 226: South Coast Air Quality Management District (SCAQMD) Fund - To account for the revenues and expenditures associated with the City’s employee trip reduction (ride share) plan and incentive program. The revenue source for this fund is a special allocation of motor vehicle registration fees in accordance with AB 2766.

Fund 230: Drainage Development Fund - To account for development fees collected and used for the installation of storm drains and flood control facilities.

Fund 233: Neighborhood Stabilization Program - To account for monies received and expended by the City as a participant in the Housing and Economic Recovery Act of 2008.

Fund 234: Community Development Block Grant Fund - To account for monies received and expended by the City as a participant in the Federal Community Development Block Grant Housing Program.

Fund 236: Rialto Housing Authority Fund - To account for various housing programs, which include, acquisitions of residential properties, rehabilitations, management of residential units, and exercise of condemnation powers. In addition, the Authority serves as the Housing Successor Fund.

Fund 239: Neighborhood Stabilization Program 3 Fund - To account for monies received by the City as participant in the Neighborhood Stabilization Program 3 (NSP3), which was created by Title XII of the American Recovery and Reinvestment Act of 2009 (ARRA). This program is funded by the Federal Department of Housing & Urban Development (HUD).

Fund 241: Neighborhood Stabilization Program Income - To account for monies received and expended by the City as a participant in the Housing and Economic Recovery Act of 2008.

Fund 244: Neighborhood Stabilization Program 3 Program Income - To account for monies received by the City as participant in the Neighborhood Stabilization Program 3 (NSP3), which was created by Title XII of the American Recovery and Reinvestment Act of 2009 (ARRA). This program is funded by the Federal Department of Housing & Urban Development (HUD).

Fund 245: PERS Property Tax Fund - To account for a voter approved property tax levy used to pay the City’s employee retirement costs.

Fund 246: Development Services Housing - To account for City of Rialto's housing improvement or ownership programs for low to moderate income households.   The funds may include grants or funding resources received from other government agencies to implement such programs. 

Fund 247: Police Grant Fund - To account for monies received and expended by the Police Department for various Grants.

Fund 250: Traffic Development Fund - Accounts for development fees collected and used for street and traffic control improvements.

Fund 255: Street Median Development Fund - Accounts for development fees collected and used for street median improvements.

Fund 270: General Facilities Development Fund - To account for development fees collected and used for general municipal buildings and equipment needed to serve new development within the City.

Fund 275: Library Facilities Development Fund - To account for development fees collected and used for acquisition, expansion and construction of library facilities.

Fund 282: Business Improvement District Fund - To account for the collection of specialty property assessment taxes in the downtown business improvement district. The use of these funds is managed by the Downtown Rialto Business Improvement District

Association (BIDA).

Debt Service Funds

Debt Service Funds account for the payment of principal and interest on general long-term debt of the City.

Fund 520: Non-Profit Public Building Authority - To accumulate funds for the payment of principal and interest on the 1997 Refunding Certificates of Participation.

Debt Service - Other Post Employment Benefit Trust Fund

Other Post Employment Benefit Trust Funds are a trust fund established by a governmental unit for the deposit of appropriations, gifts, grants and other funds for the benefit of retired employees and their dependents

Fund 821: OPEB Trust - To account for the activities of the City’s plan for post-retirement medical benefits.

Debt Service - Custodial Funds

Fund 870: Community Facilities District 87-1 Fund - To account for the City’s fiduciary capacity as custodian for the collection of special taxes for the CFD 87-1 and the retirement of limited tax obligation bonds.

Fund 871: CFD 2006-1 Elm Park Fund - The City acts as a custodian for collection of special taxes for the Community Facility District 2006-1. The special tax is used for retirement of limited obligation bonds. The City acts in a fiduciary capacity as custodian for any monies available in this fund.

Fund 872: CFD 2016-1 Public Services Fund - The special tax is used to recover the cost of new residential development.

Capital Projects Fund

Capital Projects Funds are used to account for the acquisition or construction of major capital facilities. Capital project appropriations are for the life of the project.

Fund 300: Capital Projects Fund (Engineering) - This fund is used to account for grant and other one-time income received to fund expenditures related to city infrastructure and development improvements.

FY2023-24 Capital Expenditures

As a separate action, City Council will be presented with a 5-Year Capital Improvement Plan. The 5-Year CIP will be a planning document that is subject to revision as conditions and funding opportunities change. The 5-Year CIP represents a five-year assessment of the City’s infrastructure, facilities, and equipment needs that will be updated annually.

Staff will develop a comprehensive 5-Year CIP by evaluating proposed capital projects to determine the estimated cost, funding source, and for prioritization within the next 5 years. The objectives of the Five-Year CIP are:

• Promote sound financial planning in the implementation of capital projects.

• Identify and forecast funding needs and sources to maximize federal, state, regional, and local funding sources.

• Implement projects that meet the community and City Council goals.

• Complete capital improvements in a timely and systematic manner.

Fund 301: Fair Share Agreement Fund - Accounts for income received to fund expenditures related to City infrastructure and development improvements. Funds allocated to this program are used to account for income received to fund expenditures related to City infrastructure and development improvements. A fair share mitigation fund is established for the fair share fees, which are the estimated proportional costs to mitigate a development project's impact to less than significant under the California Environmental Quality Act, or the proportionate amount of benefit a development project may have derived from the construction of a public improvement such as a traffic signal, roadway, water line, or sewer line, by the city or another developer, or the proportionate amount of burden a development project may place on public facilities over and above the burden offset by the obligation to pay the usual development impact fees.

The specific amount of the fair share mitigation impact fee may be imposed on a development project through the completion of a special study funded by the developer of a development project, such as a traffic impact analysis, unless the fair share fee has been determined within specific planning areas by adoption of a resolution of the city council and shall be adjusted as provided in the resolution setting the specific amount of the fee.

Fair share mitigation impact fees collected shall be used for the site-specific public improvements for which the funds were collected and paid.

The available resources have been committed to the following Agreement Commitments and Capital Projects approved by City Council:

Agreements:

• Lewis Hillwood Rialto: Alder I-210 Improvement (Reimbursement Agreement): $4,400,000

• Sirwin Enterprises (Construction Fee Credit and Reimbursement Agreement): $163,000

Capital Projects:

• Traffic Signal at Ayala and Fitzgerald (Final Design): $300,000

Fund 302: 2005 TABS - To account for the proceeds of the 2005 TABS and the expenditure of such funds for improvement, reconstruction and redevelopment projects within the specified boundaries of the Rialto Redevelopment Agency as a result of the Bond Proceeds Expenditure Agreement between the City and the Agency.

Fund 303: 2008 TABS - To account for the proceeds of the 2008 TABS and the expenditure of such funds for improvement, reconstruction and redevelopment projects within the specified boundaries of the Rialto Redevelopment Agency as a result of the Bond Proceeds Expenditure Agreement between the City and the Agency.

Enterprise Funds

Enterprise Funds account for City operations that are financed and operated in a manner similar to private business enterprises where the costs of providing goods or services to the general public are financed primarily through user charges.

Fund 610: Airport Fund - All activities necessary to provide operations and maintenance of the City’s airport are accounted for in this fund, including administration, operations, maintenance, capital improvement and depreciation.

Fund 630: Cemetery Fund - All activities necessary to provide the operations and maintenance of the City’s cemetery are accounted for in this fund, including administration, operations, maintenance, capital improvements and depreciation.

Fund 631: Cemetery Endowment Fund - All endowment funds collected to provide the future operations and maintenance of the City’s cemetery are accounted for in this fund.

Fund 660, 670, 680: Rialto Utility Authority

In 2012, the City and RUA agreed to a 30-year concession agreement with Rialto Water Services (RWS) along with their contractor Veolia North America (Veolia) to accelerate delivery of much- needed capital improvement projects, turn over management of the water and wastewater systems, and to implement efficiency improvements without adding financial risk to the City and RUA. This progressive and innovative public-private partnership enables the City/RUA, along with its partners, to deliver more than $41 million in capital improvements within a five-year period which is now completed.

Under the Concession Agreement, the City/RUA retains full ownership of water and wastewater systems, retains all water rights and supply, and possesses the rate-setting authority associated with both utilities. RWS provides financial backing, oversight, and concession services for the life of the agreement, while Veolia delivers all water and wastewater services, including billing and customer service, and oversees a capital improvement program to upgrade aging facilities. This long-planned upgrade to the infrastructure introduces cost and energy efficiencies for the City/RUA, improved water supply and wastewater capacity, and brings hundreds of construction jobs to the local economy.

Water Utility

The water utility consists of approximately 12,200 water connections, representing half of the City with West Valley Water handling the other half of the city’s water services. The City sources 600-to- 800-acre feet of water per month (seasonally adjusted annual consumption of 8,400-acre feet).

The tables below illustrate the challenges facing the water utility. The decline in water consumption has been the primary contributor to financial stress in the water utility. This trend is typical of water utilities throughout California and the western United States. Systemic drought conditions combined with stricter water conservation policies are driving consumption and revenue downward.

RUA Water Utility Financials FY 2015-2023

Water Consumption FY 2015-2023

Adding to the difficulties presented by drought conditions COVID payment trends are impacting the water utility. Starting in 2020 at the onset of COVID when the State of California mandated the water shutoff moratorium the water utility experienced increased arrearage (past due bills exceeding 120 days). This trend is illustrated by the yellow band in the chart below. Currently the water utility is experiencing a systemic ongoing annual $1.35 million loss in revenue from arrearage. The State of California Arrearage Program recently reimbursed $430 K (December 2021) to cover water revenue losses due to the water shut off moratorium. While this is helpful it does not fully address arrearage which now represents a $1.35 million sustained annual revenue loss. A water payment plan processis being incorporated into the monthly water bill and will be implemented shortly.

Taken together the reduction in water consumption and increase in arrearage have increased year over year subsidy required to stabilize water utility financial to $2.2 MM for this fiscal year.

Wastewater Utility

The wastewater utility consists of approximately 21,373 connections within the city, representing all the city’s wastewater treatment needs. The city operates a licensed 11.7 MGD wastewater treatment plant and collection system and treats approximately 7.5 MGD (seasonally adjusted annual average) per day of effluent from city residences and businesses. Looking back over the last 10 years, the wastewater utility financials have been stable meeting all financial obligations without the need for any subsidies (refer to chart below).

RUA Wastewater Utility Financials FY 2015-2023

Next Generation Water & Wastewater Capital Improvement Program

Since the inception of the concession in 2012 the City/RUA has been working closely with RWS to implement a Capital Improvement Program (CIP) aimed at improving the cities infrastructure report card in water and wastewater. With the initial $41 million in CIP funding now fully invested in the utilities it is time to evaluate a next generation CIP program. The City’s infrastructure has moved up from a D grade to a C grade. The next 5-year CIP plan moves the city to a B grade.

Figure: Industry Best Practices Rating

The next 5-year CIP plan considers the Master Plan revisions, Annual Asset Management Plan, Citywide Development Plan, paving projects, and the WIFIA and State Revolving Fund (SRF) applications. The CIP plan is broken down into three areas; Water, Wastewater, and Special projects.

Water projects consist of aged pipeline replacements, service line replacements, reservoir improvements, and pump station upgrades. Wastewater projects consist of upsizing sewer mainlines, replacing old sewer lines, manhole upgrades, solid handling equipment at the WWTP, upgrading to sewer lift stations, and continual improvement at the WWTP treatment process.

The City/RUA and RWS have identified special projects that will benefit the community of Rialto. These projects consist of:

• Microgrid/Cogen at WWTP, which includes demolition of Plants 1 and 2 and electrical upgrades

• Lake Rialto Habitat Management and Community Open Space Project,

• SCADA upgrades to sewer lift stations,

• Installation of the fourth Disk Filter,

• Backup generators for Cactus, Lilac, and Ayala Lift Stations,

• Security for Water and Wastewater,

• Advanced Meter Infrastructure (AMI) for reading meters and providing customers with real-time consumption data, and

• Well “City 3A” Groundwater Treatment System Project.

Proposed CIP plan for water, wastewater, and special projects for the next five years, 2024-2028 is in the table below.

Table: 5-Year CIP Plan for Water, Wastewater, and Special Projects

Internal Service Funds

Internal Service Funds account for goods and services provided by one City department to other City departments or agencies. The Internal Service Funds have a revenue an expense balance combined in the amount of $11,184,920. This is an increase of $960,670.

Fund 720: Workers’ Compensation Fund - Accounts for the City’s self-insured workers’ compensation claims program.

Fund 730: General Liability Fund - Accounts for the City’s self-insured general liability program.

Agency Funds - Successor Agency

Fiduciary Funds, comprised only of Agency Funds, are used to account for assets held by the City as an agent for other governmental units, private organizations or individuals

Fund 343: Redevelopment Successor Agency Fund - To account for the City’s fiduciary capacity during the dissolution process and the wind down of the former Redevelopment Agency.

ENVIRONMENTAL IMPACT

The action is exempt form California Environmental Quality Act (CEQA) pursuant to Section 15378(b)(5) of the CEQA Guidelines because of the preparation of the Audited Annual Financial Reports are governmental administrative activity that will not result in indirect physical changes in the environment.

GENERAL PLAN CONSISTENCY

General Plan Guiding Principle 3 - Rialto’s Economic Environment is Healthy and Diverse - specifically our City Government will lead by example, and will operate in an open, transparent, and responsive manner that meets the needs of the citizens is a good place to do business

LEGAL REVIEW

The City Attorney has reviewed and supports this staff report

FINANCIAL IMPACT

Operating Budget Impact

FY2023-24 Comprehensive Fund Budget proposed revenues of $231,520,203 and expenses of $229,886,612.

Capital Improvement Budget Impact

FY2023-24 Comprehensive Fund Capital Budget has proposed expenditures of $1,840,260.

Licensing

A Business License is not required with the requested action

RECOMMENDATION

Staff recommends that the City Council:

1. Conduct a public hearing on the City’s 2023-24 Proposed Budget.

2. Adopt a Resolution to approve and adopt including:

a. Resolution No.8089, RHA Resolution No. 01-23, RUA Resolution No.05-23, and Rialto Redevelopment Successor Agency Resolution No.SA 01-23for the City’s Fiscal Year 2023-24 Annual Budget;

b. Resolution No.8090 Adopting the Fiscal Year 2023-24 Appropriations Limit (Gann Limit);