05. Mid-year budget adjustmentsADMINISTRATIVE SERVICES DEPARTMENT
CUPERTINO
CITY HALL
10300 TORRE AVENUE • CUPERTINO, CA 95014-3255
(408) 777-3220 • FAX (408) 777-3109
SUMMARY
Agenda Item No. 5
SUBJECT AND ISSUE
Meeting Date: February 19, 2008
Review and approve 2007/08 mid-year budget adjustments.
BACKGROUND AND FISCAL IMPACT
During the year staff reviews the budget and compares it to actual revenues and
expenditures. As a result of this review process, the attached mid-year budget adjustments
are being presented to the City Council to adjust our original revenue projections and to
reflect changes in operating and capital project needs.
General Fund Revenues
As discussed in the monthly ixeasuxer reports to Council, the revenue budget is being
boosted in the sales, property, hotel and utility user tax areas, in investment earnings, and
in fines. Budget projections are being reduced for building permits, planning and
engineering fees, vehicle license fees, and state mandated cost reimbursements. The overall
General Fund revenue budget is $1,252,000 higher from the current budget that was
adopted last June. Buried in this protection though is a definite turnaround in the economy.
A blistering first half of the year in sales tax revenues is anticipated to be flat in the second
half of the year, with declines to be realized in 2008-09. State borrowing and takeaways of
up to $1 million in 2008-09 are being forecasted.
General Fund Expenditures and Capital Projects
Some of the $1,252,000 in additional revenues is needed to fund $374,000 in added
General Fund outlays, earmarked mostly for capital work as follows:
• Library window storm damage repair - $200,000
• Civic Center Fountain public health protection study - $25,000
• Community Development department office reconfiguration - $50,000 with some
funding coming from budget savings in completed capital projects.
• Upgrade of vacant Senior Traffic Technician position to Assistant/Associate Civil
Engineer - $10,372 prorated this year; $20,744 ongoing annually
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2007/08 Mid-Year Budget Adjustments
February 19, 2008
Page 2 of 2
• Various information technology (IT) projects and copier maintenance- $43,750 in
General Funds; $20,000 from TT fund.
• ADA ramp at Blue Pheasant - $18,000
• Converting archives to digital media - $36,810
• Cable franchise issues - $10,000
In addition the following projects or purchases will be getting new or additional funding
resulting in shifts from other budgets and funding sources:
• Sterling-Barnhart Park acquisition - $525,000 additional funding shifted from the
Lawrence Linear Park purchase budget
• Library book drops and stairway modifications - $89,444 from other finished
capital projects and County reimbursements
• Stocklmeir Orchard rehabilitation - $28,000 from salary savings
• Code Enforcement patrol vehicle - $24,000 from replacement reserves
• Mobile radio upgrade for public works - $35,000 from replacement reserves
Funding for a community charette on the Crossroads Streetscape Plan will be considered
for the 2008/09 budget.
The remaining $878,000 in additional revenues to the General Fund will be temporarily
placed in the capital project reserve pending a review of other current capital projects.
The attached lists all of the proposed adjustments in detail.
RECOMMENDATION
Review and approve the 2007/O8 mid-year budget adjustments.
Submi by: Approved for submission:
David Woo [ ~„~David W. Knapp
Finance Director ~ City Manager
Attachments:
2007/08 Mid-Year Budget Adjustments
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City of Cupertino
2007/08 Midyear Budget Adjustments ~~
.s of 2-19-08
Capital Eqaipment/
__ cc
A
t Namber General Improvemt IT Funds
Revenue Adjustments: _
_
Taxes
Sales Taxes 110-0000-4020 ~ 1,320,000
Property Taxes 11 p-0000-4010 200,00
0
Transient Occupancy Taxes 110-0000-4030 _
110,004
Utility Users Taxes 110-0000-4040 1,140,000
UUT Reserve 110-0000-3043 -570,000
Other Taxes (Construction) 110-0000-4060 -370,000
Use_ of Money and Property
Investment earnings
110-0000-4211 _
Y 617,000
Intergovernmental
VLF
110-0000-4415 _
-146,000
Other State Monies _
110-0000-4420
-100,965 _
Safe Routes to School -Garden Gate grant adj 420-0000-4430 ~ y -33,500
_
Licenses and Permits 110-0000-4110 -142,000 ~~
Charges for Services 110-4510/4530 -916,000
Fines and Forfeitures 110-0000-4310 110,000
'ether Revenue
SCC Library -Book Drop Reimbursement 420-0000-4427 20,000
Operating Transfers In
MapGuide improvements ($21,250), security
improvements ($5,000), video programming storage
($5,000), advisor for city technology plans ($2,500)
610-0000-4910
33,750
Stocklmeir Orchard Rehab-Phase 1 Study 420-0000-4910 28,000
Civic Center Fountain/Library Windows 420-0000-4910 225,000
Community Development office reconfiguration 420-0000-4910 30,000
Total Adjustments to Revenue $1,252,035. $269,500 $33,750
Expenditure Adjustments:
Administrative
City Attorney-shift from salaries to contract services 110-1500-7014 47,000 _
110-150_0-5501 -47,000
Legal fees for cable franchise issues 110-1031-7075 10,000
Administrative Services ___
Code Enf patrol vehicle replacement 630-9820-9400 __ 24,000
Copier maintenance 110-4310-7013 10,000 _
Parks and Recreation ~ ~~
Director salary savings 110-6100-5501 -28,000
ADA Ramp -Blue Pheasant 110-6660-7014 18,000
Pegs 1
City of Cupertino _
2007/08 Midyear Budget Adjustments
As of 2-19-08
Capital Equipment/
Acct Number General
_... I_mprovemt IT Funds
_ _
Community Development ____
Converting archives to electronic media 110-7200-7014
~ 15,380
Public Works
~. _ _
~ M
Sr Traffic Tech upgrade to ACE (prorated 50%) 110-8601-5501 10,372
Mobile radio bandwidth changes-City Ha11 630-9820-4400 _ 35,000
i Converting archives to electronic media 110-8101-7014 _ 21,430
Information Technology _
MapGuide improvements ($21,250), PC bulk buying
($20,000 from fund balance}, security improvements
($5,000), video programming storage ($5,000),
advisor for city technology plans ($2,500)
10-48xx
3,750
Capital Projects
Civic Center Fountain public health protection study 420- 25,000
Library Window storm damage repair 420- 200,000
Sterling-Barnhart Park Acquisition Incr 420-9122-9300 525,004
Lawrence Linear Park $1.5M 420-9127-9300
____ -525,000
Stocklmeir Orchard Rehab-Phase 1 Study 420- 28,000
Safe Routes to School -Garden Gate grant adj 420-9549-9300 _ -33,500
Library Lighting Project 420-9232-9300 -36,844 ~_
Community Halt Door 420-9233-9300 -46,000
City Hall Kitchenette 110-8501-9300 -6,600
Library Book Drops/Stair Modifications 420- 89,444
Community Development office reconfiguration 420- _ ~ ~ 50,000
Operating Transfers Out
_
MapGuide improvements ($21,250), security
improvements ($5,000), video programming storage
($5,000), advisor for city technology plans ($2,500)
10-0100
3,750
'
Civic Center FountainJLibrary Windows 110-0100 ~ 225,000
Community Development office reconfiguration 110-0100 30,000
Stocklmeir Orchard Rehab-Phase 1 Study 110-0100 28,000
Total Adjustments to Expenditures $373,932 $269,500 $112,750
Net Fund Impact $878,103 $0 -$79,00()
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