For City Council Meeting June 11, 2024
TO: Honorable Mayor and City Council
FROM: G. Michael Milhiser, Interim City Manager
AUTHOR: Mark Alvarado, Interim Finance Director
Title
Request City Council to Set a Public Hearing for June 25, 2024, to Approve and Adopt the Budget Plan for Fiscal Year 2024-2025
Body
RECOMMENDATION
Staff recommends that the City Council to Set a Public Hearing for June 25, 2024, to Approve and Adopt the Budget Plan for Fiscal Year 2023-24.
BACKGROUND
In accordance with Section 2.04.140 of the Rialto Municipal Code, the City Council approves annually the proposed budget. Under the direction of the Director of Finance the Finance Division conducts the analysis and makes the projections required to complete the budget document after receiving input from all the City departments. The process begins in March and requires the cooperation of staff organization-wide.
ANALYSIS/DISCUSSION
In accordance with Section 2.04.140 of the Rialto Municipal Code, staff will present the full budget plan for Fiscal Year 2024-2025 at the public hearing set for June 25, 2024. The budget submitted is a one-year financial plan, for which an appropriation is submitted concurrently with the budget document. The budget presentation will consist of eight categories of funds as follows:
• General Fund
• Special Revenue Funds
• Enterprise Funds
• Internal Service Funds
• Rialto Utility Authority
• Rialto Housing Authority
• Capital Projects Funds
• Debt Service Funds
General Fund
This is the general operating fund of the City. All general tax receipts and fee revenue not allocated by law, Council policy, or contractual agreement to other funds, are accounted for in the General Fund. General Fund expenditures include operations traditionally associated with activities that are not required to be accounted for or paid by another fund.
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.
Enterprise Funds
The City has three Enterprise funds: Cemetery, Community Services, and Utility Services.
Internal Service Funds
The City has two internal service funds. The purpose of internal service funds is to centralize certain services that benefit all functions of the City. The expenditures of the internal service funds are allocated to all of the City’s departments commensurate to the services provided. The two internal service funds are:
" Workers’ Compensation
" General Liability
Rialto Utility Authority
The Rialto Utility Authority (RUA) accounts for Water and Waste Water Services provided by Rialto Water Services.
The Rialto Housing Authority
The Rialto Housing Authority (RHA) assumed the housing functions of the former Redevelopment Agency.
Capital Projects Funds
The Capital Projects Funds exist to enhance transparency by reporting one-time capital expenditures in a separate fund.
Debt Service Funds
The Debt Service Funds account for the accumulation of funds for the payment of principal and interest on financing instruments.
ENVIRONMENTAL IMPACT
The action is exempt from California Environmental Quality Act (CEQA) pursuant to Section 15378(b) (5) of the CEQA Guidelines because the preparation of a budget plan is a governmental administrative activity that will not result in direct or indirect physical changes in the environment.
GENERAL PLAN CONSISTENCY
Our City government will lead by example, and will operate in an open, transparent, and responsive manner that meets the needs of the citizens and is a good place to do business.
Goal 3-6: Require that all developed areas within Rialto are adequately served with essential public services and infrastructure.
Policy 3-6.1: Coordinate all development proposals with other affected public entities to ensure the provision of adequate public facilities and infrastructure services.
Policy 3-6.1: Coordinate all development proposals with other affected public entities to ensure the provision of adequate public facilities and infrastructure services
Policy 3-6.3: Require an increasing level of public safety infrastructure and service capability tied to population increase and increasing service demand.
Policy 3-6.4: Complete infrastructure master plans for sewer, water, and drainage.
Policy 5-3.7: Add service level capability and infrastructure to meet increasing demand of new development.
LEGAL REVIEW
The City Attorney's Office has reviewed the staff report.
FINANCIAL IMPACT
Operating Budget Impact
Appropriations for fiscal year 2023-24 for the City, Rialto Utility Authority, and Rialto Housing Authority provide the basis for City operations.
Capital Improvement Budget Impact
Appropriations for fiscal year 2023-24 for the City, Rialto Utility Authority, and Rialto Housing Authority provide the basis for the City’s Capital Improvement Plan