CC 04-16-2024 Item No. 11. Service Level Reductions_Staff PresentationApril 16, 2024
Fiscal Year 2024-25
Potential Service-Level Reductions
CC 04-16-2024 Item No. 11
•On January 17, 2024, staff sought Council
direction on potential service-level
reductions to help resolve the City’s
structural deficit.
•Council provided feedback and directed
staff to provide additional information on
some items.
Background
Objective
Asking for
Council
confirmation on
potential
service level
reductions for
FY 2024-25
Staff will use the
feedback from both
meetings to develop
the FY 2024-25
Proposed Budget,
which will be presented
for discussion in May
and adoption in June
Updated Service-Level Reductions
Operations and Maintenance
Changes from 1/17/2024
Proposed Service-
Level Reduction
1/17/2024
Estimated Budget
Reduction1/17/2024
Updated Proposed
Service-Level
Reduction 4/16/2024
Updated Estimated
Budget Reduction
4/16/2024
Difference
Reduce Crossing
Guard Services
$50,000 This reduction has
been eliminated.
$0 $(50,000)
Crossing guard
funding will be
retained in the
budget per Council
direction.
Reduce Budget for
Internal Audit
$70,000 Reduce Budget for
Internal Audit
$40,000 $(30,000)
Added back one
audit. Total
budgeted cost is
$60,000, down from
FY 2023-24 cost of
$100,000
Infrastructure
Changes from 1/17/2024
Proposed
Service-Level
Reduction
1/17/2024
Estimated
Budget
Reduction
1/17/2024
Updated
Proposed
Service-Level
Reduction
4/16/2024
Updated
Estimated
Budget
Reduction
4/16/2024
Difference
Shift School
District Grounds
Maintenance to
School District
$737,394 This reduction
has been
eliminated.
$0 $(737,394)
This reduction has been eliminated for FY
2024-25.
Shift Street Tree
Maintenance to
Property
Owners
$455,008 Maintenance of
Trees and
Medians
Service Level
Reduction
$200,000 $(255,008)
City would continue to maintain street
trees. New SLR will lengthen tree trimming
cycle from 7 to 10 years and reduce
frequency of median maintenance.
Shift Sidewalk
Maintenance to
Property
Owners
$1,000,000 Maintenance of
Sidewalk, Curb
and Gutter
Service Level
Reduction
$600,000 $(400,000)
City would continue to maintain sidewalks.
New SLR will shift the sidewalk
maintenance focus from removal and
replacement to grinding of tripping
hazards, except in extreme situations.
Potential Service-Level Reductions
Grouping Reductions
1/17/2024
Updated
Reductions
4/15/2024
Operations and Maintenance
Reduce sidewalk, curb, and gutter. Move some Public Works contract services in-house,
extending maintenance timelines. Reduce Public Works PT staffing. Shift credit card fees to
customers. Remove library extra hours from the base due to available State funding to cover
these costs. Various other reductions.
3,080,725 3,000,725
Infrastructure
Reduce funding to CIP of $2M annually for the first 5 years of the forecast. Will utilize the existing
fund balance to cover these costs. Lengthen tree trimming cycle, reduce frequency of median
maintenance, shift focus of sidewalk maintenance
4,372,402 2,980,000
Fiscal Accountability
Align law enforcement costs with prior year actual hours. Reduce applications used in the City,
extend tech refresh cycles, and remove the new Enterprise Resource Planning (ERP) software
from the budget.
2,555,421 2,555,421
Community Benefit
Reduce 4th of July Event, partnerships, City events/outreach, paid events, concerts and movies,
select City Work Program projects.
463,690 463,690
Total $10,472,238 $8,999,836
Recommendation and Next Steps
Roadmap to FY 2024-25 Budget Adoption and Balancing
Co
u
n
c
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l
G
o
a
l
S
e
t
t
i
n
g
/
Wo
r
k
P
r
o
g
r
a
m
Budget Update
1st Quarter Report
Budget Update
Mid-Year Report
Fee Study and
Revenue Tax
Measures
Budget Update
-SLR Review #2
-Community Meeting
Updates
FY 2024-25 Proposed
Budget
-Community Funding
-Festivals & Fee Waivers
FY 2024-25 Adopted
Budget
Bu
d
g
e
t
U
p
d
a
t
e
Se
r
v
i
c
e
L
e
v
e
l
R
e
d
u
c
t
i
o
n
(S
L
R
)
P
r
e
v
i
e
w
October 2023 November 2023 January 2024
April 2024 June 2024
February 2024
Community Budget
Meeting #1
Commission/
Committee Feedback
Labor Contracts
March 2024
Budget Update
3rd Quarter Report
May 2024
City Hall &
Blackberry Farm
Update
Community
Budget Meeting #2
Budget Update
-Audit Update
-Committed Reserve
Revenue Tax
Measures
December 2023
Budget Update
Capital Improvement
Plan (CIP)
Last Updated 4.12.2024
Provide confirmation on potential service-level
reductions for the FY 2024-25 Proposed and Final
Budgets
Recommendation
Questions?