SR 05:166 - Laserfiche WebLink

(through the sale of bonds, cash contributions and subsidized overhead costs such as accounting, legal, etc.) until it became a self-sustaining enterprise over the course of several years. The golf course will very likely have difficulties breaking even in its early years. A lot will depend on the demand, competition from other courses, and decisions that are made regarding rates and services associated with it. Staff will be presenting to the Council a formal golf course budget in the September/October time frame, in advance of its anticipated opening in November 2005. Summary: Impact of Recommended Midyear General Fund Amendments With the recommended budget changes discussed above, the FY05 General Fund budget is projected to be in balance with: )~ Over $2 million in State budget impacts in FY05 absorbed )~ The Temporary Recession Reserve untouched with a balance of $5.1 million )~ $2 million in prefunding of FY06 replacement accruals provided for, as a way of offsetting the additional ERAF III property shift to the State next year. )~ $1.6 million made available to transfer in FY06 to the Golf General Fund Debt/Cash Flow Reserve The recommended midyear adjustments for FY05 play an integral part in smoothing the impacts from the State's budget over multiple years. Specifically, the prefunding of $2 million in FY05 for FY06 replacement accruals will offset the loss of additional ERAF III property tax dollars next year, allowing the City's budget to be balanced without impacting service levels or CIP contributions. In addition, as part of the midyear budget adjustments, the Capital Project Reserve will be increased to $1.6 million, in order to provide funding to the Golf General Fund Debt/Cash Flow Reserve, as another layer of protection for the Operating Budget and CIP. OTHER OPERATING FUNDS The following represent the major recommended changes to other Funds in the Operating Budget as part of the midyear update of FY05 (see also page A-l): */ Water and Sewer customer usage is less than originally projected, and is reflected in decreased rate revenues, which are partially offset by reductions in Zone 7 water purchased and Dublin San Ramon Services District costs. ,/ Decrease of $181,000 in accmal revenue and expenses in the Employee Benefit Fund due mostly to vacancies and rehires at lower wage and benefit costs. ,/ The Facilities Renovation Fund, Pleasanton Fire Apparatus Replacement Fund, Park & Median Renovation Fund, and Traffic Signal Replacement Fund reflect the additional $2 million in replacement accrual revenue that is being prefunded in FY05 for FY06. ,/ Many Funds reflect reductions in estimated interest earnings, as rates have not risen as quickly as staff expected. */ Increase of $600,000 in Lower Income Housing fees projected to be collected in this year. ,/ The close-out of funds previously set aside in the Housing Loan Fund, with $1.55 million being transferred back to the Lower Income Housing Fund to be reprogrammed for other uses. SR 05:166 Page 7