CCMIN061912 - Laserfiche WebLink

the late 1990s. The reimbursement, which totals approximately $960,000, is payable over a period of eight quarters. Expenditures were revised for a net decrease of almost $5,000, but significant changes also took place within several specific categories: employee health care benefits decreased approximately $500,000; Fire Department staffing costs decreased $842,000; Pleasanton Police Officers Association retirement costs decreased $200,000; retiree medical annual required contribution increased $1.5 million; and a limited-term Planner for implementation of the Housing Element increased personnel costs $60,000. Ms. Wagner noted that the cost indicated for the limited-term Planner is net to the General Fund, as the Low-Income Housing Fund covers a significant portion of the total cost. Councilmember McGovern referred to the staff report, which indicated that the limited-term Planner would cost the General Fund $48,384. Ms. Wagner explained that the $60,000 allocated in the Budget is an estimate based on information that was available in March. Today's information indicates that the cost should ultimately be around $48,000. Councilmember Thorne noted that the City received an unanticipated payment of sales tax revenues the previous year. He asked how this would impact a year-to-year comparison. Ms. Wagner confirmed that the City received $437,000 in unanticipated revenues for the 2011-12FY. A comparison of adjusted actual to adjusted projected revenues year over year, including the Livermore reimbursement, would yield a net increase of $561,000. Councilmember McGovern referred to the 10-year revenue comparison and noted that neither Sales Tax nor Property Tax revenues have returned to their historical peak. Ms. Wagner continued to review non-personnel related expenditures which include increases in repair and replacement, repairs and maintenance, outside building plan check services, Alameda County property tax and assessment collection charges, a significant increase ($118,000) for Tri-Valley Community Television (TV30), and a decrease in the cost for animal control services. She noted that costs for TV30, which increased primarily because operating fees are no longer an eligible use of PEG funds, and would likely increase another $20,000 due to San Ramon's departure from the consortium. Councilmember McGovern asked what, if not TV30, PEG funds are used for. Ms. Wagner explained that PEG fees are now limited to capital equipment such as telecommunications upgrades. The money is currently deposited into a capital fund and will either be used internally for repair and replacement of the cameras or equipment in Council chambers or to grant money to TV30 if it can substantiate a request to improve its studio. If and when legislation changes and PEG fees can again be used to support operating costs, the City could choose to reimburse the General Fund for its contributions. Ms. Wagner briefly discussed General Fund transfers, which reduced due to an operating subsidy from Measure B and federal funds to the local paratransit program. Councilmember Cook-Kallio noted that Measure B is on the November ballot and asked what kind of funding the City would need to replace if it is not approved. Ms. Wagner estimated $200,000 for the paratransit program and another $1.8 million for the City's capital improvement program. Ms. Wagner stated that the General Fund remains balanced, with approximately $40,000 in net offsetting revenue and expenditure increases. Staff is recommending that reserves, which total about $25.3 million, remain at this level with the exception of a slight decrease in the Reserve for Economic Uncertainties and an offsetting increase in Undesignated Reserves. She reviewed recommended changes to the Water Fund, which include a decrease in projected revenues and increase in projected expenses for an overall decrease in net income. Revenue adjustments are attributable to decreased interest earning projections and expenses increased in the City Council Minutes Page 4 of 10 June 19, 2012