Report to Mayor and City Council
Tuesday, June 21, 2016
Special Orders of the Day
SUBJECT:
Title
CONSIDER ADOPTION OF RESOLUTION NO. 16-081, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARSON ADOPTING THE FISCAL YEAR 2016-17 BUDGET IN THE GENERAL FUND AND SPECIAL REVENUE FUNDS
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I. SUMMARY
The proposed budget includes direction from City Council provided at workshops conducted on April 4th, May 16th, and June 13th. Staff has prepared a proposed resolution to adopt the budget (Exhibit A). Separate staff reports are included on this same agenda for the proposed 2016-17 Capital Improvement Program and the proposed revision to the Uniform Schedule of Fees. This report also includes recommendations for the Staff Reorganization of various departments.
II. RECOMMENDATION
Recommendation
ADOPT Resolution No. 16-081, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARSON ADOPTING THE FISCAL YEAR 2016-17 BUDGET IN THE GENERAL FUND AND SPECIAL REVENUE FUNDS
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III. ALTERNATIVES
TAKE another action deemed appropriate by City Council.
IV. BACKGROUND
The City Council's goal was to adopt a balanced budget on-time (by June 30th) for the coming fiscal year. We began the budget process this year with an estimated deficit of as much as $8.6 million, and the potential loss of Utility Users Tax (UUT). On June 7th, the voters approved Measure C and secured the UUT for another seven years. The City Council and Staff have worked together to correct the budget deficit, which now stands at an estimated $1.5 million.
The City has been faced with revenue losses and other factors outside our control, which have impacted the budget.
* Local recovery from the great recession has been slow. Property tax growth has not kept pace with surrounding cities.
* Carson's largest single revenue source is sales tax; which swings with the economy, and is expected to decrease by $0.8 million for FY16-17.
* The price of natural gas has decreased by 35% and Carson leads the ...
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