SPECIAL JOINT MEETING CITY OF ENCINITAS SAN DIEGUITO WATER DISTRICT

AGENDA REPORT

Meeting Date April 27 2011

TO VIA

City Council
Phil

Cotton City Manager

FROM

Jennifer H Smith Director of Finance

Teri Shoemaker Finance Manager

Contributions from All

Departments

SUBJECT
Introduction of FY2011 and FY2012 Operating Budget and FY2012 Financial Plan 12 2017 13 and Capital Improvement Program and Revised Budget for FY2010 Third Quarter Financial 11

Update
BACKGROUND
Year City of Encinitas and San Dieguito Water District adopt a Two Operating Budget and for all funds Year Six Financial Plan Improvement Program Capital City staff currently monitors a total of 62 funds the General Fund is the City largest and most discretionary fund s and pays for many general governmental activities such as law enforcement fire protection parks beaches and street maintenance The two year budget is a detailed document that outlines the proposed revenue and expenditure plans for each Department over the next two years The year six financial plan improvement program is a longer term plan developed to capital demonstrate fiscal sustainability and to plan for the construction and replacement of infrastructure and other capital assets The The

year year two budget White Binder and six financial plan and capital improvement program are attached as separate documents and can also be obtained on the City website Black Binder s

org ctyofencinitas www Meetings are scheduled to allow the Council budget and financial plan as follows April 27
2011
to receive

public input and deliberate

the

proposed

Presentation and Discussion of

Year Two Financial

12 13 Operating Budget FY2011 and 2012 2017 Capital Plan Improvement Program FY2012

May 25

2011

Continued Review Discussion and Adoption of 12 Year Two Operating Budget FY2011 and 2012 13 Financial Plan ital Improvement Program FY2012 Ca 2017

ITEM J1

BUDGET PROCESS 07 Budgeting ZBB process in fiscal year 2006 ZBB is an contained activities are evaluated in a self approach budgeting budget year s with little or no weight given to the precedents of past years ZBB is contrasted to fashion incremental budgeting in which the budget justification is focused on the difference between the current year and the budget year In ZBB historical information may be useful for assessing trends but does not provide the justification for future expenditures
a

The

City began using

to

Zero Based

in which each

required to develop quarterly spending plans that anticipate expensed This process drives productivity reinforces budgeted allows for early identification of potential budget savings and allows for timely accountability or effective response to changing condition and priorities As a cost measure Department Heads are required to justify each position with the City Manager before filling a vacancy
when items will be

As in prior years Departments will continue to be

The

City Manager proposed budget s

is balanced in all

years six

of the financial forecast and

maintains all reserves at the target levels established in the Council Reserve Policy This has been s s accomplished by developing realistic budget assumptions while focusing on the Council highest

priorities providing

of

insuring public safety maintaining

services
to residents and businesses

the

s City

sizable infrastructure system and

core

ANALYSIS

General Fund Attachment B and Attachment C

The General Fund is the

s City largest

and most

discretionary

fund

The

projected ending

fund

12 7 by the end of the current fiscal year 14 million in FY2011 and 13 million in FY2012 Revenues are projected to increase by 2 to 52 million in FY2011 13 4 12 8 and 1 to 53 million in FY2012 Operating expenditures increase 5 to 48 million in 13 4 6 balance is 17 million
12 FY2011 and 2 to 49 million in FY2012 6 13 9

Nearly

half of this increase is due to from the Gas Tax Fund

an

accounting change 201 to the General Fund

revenues

which transfers street maintenance

expenditures

Fund

This transfer of expenditures is offset by a correlating transfer of from the Gas Tax Fund to the General Fund which as shown as a Transfer In

Factoring out this accounting change General Fund operating expenditures are increasing 3 The 12 8 General Fund is contributing 3 million to the capital program in FY2011 and 1 million in 13 FY2012 The debt service payment is 3 million in FY2011 debt ratio of 7 and 3 12 8 6 3 million in FY2012 debt ratio of 6 13 7
San The

Dieguito

Water District

SDWD Attachment D Dieguito

Water District includes overall
revenues

proposed budget

for the San

projected

at

12 13 3 15 million in FY2011 and 16 million in FY2012 There is an unmet revenue 12 13 Overall 6 0 million in FY2011 and 1 million in FY 2012 9 requirement of are projected at 17 million in FY2011 and 17 million in FY2012 12 13 The 6 expenditures 3 12 projected combined ending fund balance is 8 million in FY2011 and 6 million in

13 FY2012

The

budget projections
a rate

include

an

operating cash

flow reserve

capital

replacement

reserve and

stabilization

reserve

ITEM J1

All Other Funds

Attachment D
General

funds the City has 56 other funds Government Infrastructure Grant Development categories including Impact Lighting and Landscape Affordable Housing Encinitas Public Finance Authority Cardiff Sanitary Division Encinitas Sanitary Division and Internal Service Funds The set of financial plans for all funds is included in the Draft FY2011 12 through FY complete 17 2016 Financial Plan Black Binder Distributed to Council and available on the City s Website
in various

In addition to the General Fund and the Water District six s

Personnel Attachment E
time E T employees is measured in full equivalent F units One F works E T hours per year a half employee working 1 hours per year counts as time time 080 2 040 5 T 0 F There are currently 236 F The proposed budget reflects a slight reduction E 9 T s E to 236 F The City position classification system is divided into three occupational 85 T s E s and each year the Human Resources Division conducts a classification categories job families maintenance review of one of the three categories full

The number of

Fee

Study and Updates

At Council s

direction Staff has been reviewing various City fees including Development fees Building fees and the Internal Cost Allocation Plan The proposed two Processing year

operating budget
current

includes

fees items

The

is update to the assumptions of development activity but based on proposed fee changes and internal cost allocation are discussed in separate
an

agenda

11 FY2010 Current Year Third Quarter Review and Proposed Budget

The
and is

Adjustments

11 City Manager has completed the Third Quarter Review of the current fiscal year 2010 the following changes to the SDWD revenue and expenditure assumptions proposing

Due to above normal regional rainfall during FY2010 the San Dieguito Water 11 District has been able to rely more heavily on its local water supply than originally

supply when possible has proven to be cheaper regional water wholesaler the San Diego County Water As a result of these favorable conditions the District has not had to purchase as much water from SDCWA as anticipated during the FY2010 budget 11 and is experiencing considerable savings related to Water Purchases Therefore the District is proposing to reduce expenditures related to Water Purchases by 1 000 000 in FY2010 as part of a 3 Quarter budget adjustment 11 d anticipated Utilizing purchasing water Authority SDCWA
than from the Another
water

the local water

11 impact of the increased regional rainfall during FY2010 has been decreased customers and a corresponding reduction in water sales by the consumption by

ITEM J1

District
water

sales the District anticipates being under its original sales projection and is proposing to reduce revenue projections in this category by
Due to decreased water

000 500

significant decrease in recycled water sales due to recent feet projected selling 700 acre AF this year based upon our take contract with the San Elijo Joint Powers Authority SEJPA Actual sales are pay or projecting to be closer to approximately 500 AF this year Therefore the District is 000 proposing a 160 reduction to its revenue projection for Recycled Water Sales
seen a

The District has also

rainfall The District

000 finally the District is returning approximately 100 in excess CIP funds to fund balance by closing out three completed projects The completed projects are the Arroyo Drive Pressure Reducing Valve Stations project the San Dieguito Water District Master Plan work project and the San Dieguito Water District Security Upgrades project
And All current year changes appear in the attached Schedule A Attachment are included in the proposed FY2012 Six Financial Plan 2017 Year

in bold font and

Description of Budget
A

Draft Document and Attachments

summary of all City and District budgets including the beginning fund balance projected revenues proposed expenditures transfers to and from other funds and the projected ending fund balance is attached to this agenda report Attachment A Attachment B is a summary of the General Fund expenditures by Department and Division These budget summaries are also 12 13 included in Chapter 2 of the FY2011 and FY2012 Operating Budget Financial Summaries Graphs and Charts White Binder Attachments C and D of this agenda report discuss significant changes to General Fund Encinitas Sanitary Division Cardiff Sanitary Division and San Dieguito Water District revenue projections and expenditure proposals A s list of all revenues by fund is included in the draft budget document White Binder in Chapter 3 Revenue Detail Proposed expenditure plans for each fund and division are in Chapter 4 Expenditure Detail More detailed information about revenues and expenditures plans of the San Dieguito Water District as well as goals and accomplishments can be found in Chapter 5 San Dieguito Water District of the draft budget document
A

complete
a

Council in

copy of the proposed Capital Improvement Program is distributed to the separate binder Black Binder and is summarized in Attachment F

City

RECOMMENDATION

Provide direction

anticipation
Approve

of adoption of the

of Encinitas and
Third

proposed Operating Budgets and Capital Improvement Program in Operating Budget and Capital Improvement Program for the City the San Dieguito Water District on May 25 2011
on

the

Quarter adjustments
as

as

outlined in this

l 1 Schedule A attached

Attachment A

agenda report and displayed Adjustments are indicated in bold font

in FY2010

ITEM J1

ATTACHMENTS

Attachment A
Attachment B
Attachment C

Budget Summary
s City General
Discussion
on

of All

City

and District Funds

Schedule A
Divisions

Fund

Summary by Department

Schedule C

General Fund Revenues and Expenditures

Attachment D

Other City Funds including the Cardiff Sanitary Division Encinitas Sanitary Division and the San Dieguito Water District
Discussion
on

Attachment E
Attachment F

Summary

of Personnel

2017 Summary of FY2012 Capital Improvement Program

ITEM J1

10
A

9 Adjusted Projectd Bal nce 2

Fund

1950698 248735 1185074

0 0

2 521354 761 7982 3

0

2909 256097 34692

0

310 2 697861
367
0
0

283 73 9763 2
0

469702 1546 67 9932 6

8173 2 389 3 4 986
0 0 0

5 592 161 4 8829 527 18 6 1375 0 654 510867 2392

1758 19
0

16347 20589 213614

0

4 29750 941

107 04 26801827

Atachmen

Curent Year Sum ary

3458

248937 4109 3998 2 32193 16375 10876

0 0 0

2508 3 20149 18672 245980

0 0

570 10 1 17
0
0 0

67 32546 25341 22446 824605 707 565

0 0 0 0

63

930 4 240641
0 0 0

5 5 2185 531 930 14684 651 9873 0 40829

0

Interfund Transfer Capital

192 28
0 0

10750
0

6949 3 8050 150 0 25843 2824

0
0 0 0 0 0

0 0 1050 10 0 500 150

0
0 0

7808 403 5408 18

0

Interfund Transfer SDeervibcet

304182 9036
0 0 0 0 0 0 0 0 0 0 0 0 0 0
0

393218
0 0
0 0 0 0 0 0 0 0 0 0 0

Interfund Transfer Other 42963 3998 2 307 16375

0
0

3062 3
0 0 0 0 0 0 0 0 0 0 0

3998 2
0 0

Interfund Transfer Operating 3568 25829

0 0
0 0 0 0

3905 4635 9
0
0 0 0 0 0 0 0 0 0

J1
500
0

Adjustmen
Quarte
A

Aproved Expenditurs 428367 1058 38

0

15841 9132
0

1096783
367
0

0 275 15389 384176 14250 1415981 4924 8 46534 500 10 0 1684 4

9 3637 5 164 3140 3 1420 03 1034 0 597302 3451 4 2225 5 4075 3 151324 1180 1 67032

57968 ITEM
61751

5386109 8630 170 0 15841 1029 1014730 69943 693851 128 72 253418 Revnue Projectins 3rd 2010 262 119 72 32193 69507 7261 2708 3 274162 458236 53708 1943 943751 F1Y20 Adjusted Fund Balnce 17061 82
3
2
1

000 5 92 60340 170

0 0

1521 70 1154981
0

0 484 1830 42105 114 10 0 16

0 0

246 7 9 16254 3541 74 824605 62207 565 3062 3 430 290641 3998 2
0 0

63

July

7117 3 14642 4309 1584106 12032

221 222 225 226 227 228 229 261 262 263

7 4 8 3 771 120385 20194 556 4 7641 146 705 691 52017 34 12405 25 28 26314 4508 890 93124 21780
231 234 232 233 235 236 237 238 239 241 272

Schedul

FUND

101 113 119 152 192 135 146

201 202 263 204 205 210

290 291 292 295 296 297

CTS

Fund

Grant

DISTRI

10
A

9 Adjusted Projectd Bal nce 2

Fund
0
0

649723 7875 9 3669 4 1627 8 9768534 380784 2194 45 1091 94 9805 6802 2
0 0 0 0
0

184652 6135852
0 0 0
0 0

1904671 9025 85 37610 37610

0 0

97234 5785 2463 13702

172 69 8 148 22078
0 0
0

561970

Atachment

Curent Year Sum ary

3458

178562 178562
0 0

5907 6 35034 36 93 6431 26956 13548

0 0 0

23791 946347 2148 0 2148 0

0
0 0 0 0

Interfund Transfer Capital

195413 195413
393218 329318 78103 78103
0 0 0 0 0 0 0 0 0 0 0 0

125956 125956
0 0 0 0 0 0 0

560482 765482
0
0

2050
0 0 0 0

1670869 508418
0 0

Interfund Transfer SDeervibcet

Interfund Transfer Other Interfund Transfer Operating

1725368 1725368
0
0 0

1 37
0 0
0 0

1 37
0 0 0 0

J1
0 0 0 0
0

Quarte
3rd

Adjustmen

Aproved Expenditurs
Revnue Projectins
Adjusted Balnce July
Fund 2010
1

41368 41368 267892 308650 78403 65492 1503245 90452 24076 106018 2347876 1725368 50 0 175342 240813 240813 94612 48703 23172 160948 120 0 2706842 8645160
0

ITEM

28103 28103
0

474185 51255 3000 47920 278695 36 93 3015 98 1736250 16401

0 0

0 0 20 50 0 42174 1769305 23 3 23 3 94612 48703 150 900 10 247212

0 0

904609 529739

F1Y20
A

649723 9453 61 3669 4

1627 8 146306 35680 25910 165391 9805 5348241 158087 780564

521 522 523 525

80270 102419 38781 38781

561

93416 64083 223 157892 463

616 692 693 694 695

Schedul

FUND

AUTHORIY

321

501 502 503 504 506

FUNDS

FUNDS

FUNDS

531 534 536 537 539 535

10
A

9 Adjusted Projectd BFalunncde 2 1024809 2368 5

0

39850 107569
0

256097 52719
0

472 2 60480
162

296

7382 3 567 0
0

666 468 183752 94

0 0 0

076 365 742 976 09 486 9 9 3 4 174 6 5708 31041

16237

1365 273126 24624 157086 1096 7 151904 208746

0

Atachment

Curent Year Sum ary

3458

2 776 1050 1518074 132094 761 96 2909 27163 2829 1 292519

296

4153 226 6309 2 476 2 5

8 15 7318 3 338 1458 0 4557 8 185 324

32

513 87 2 649

509 6 2 1 457 1103 9764 4 156 14390

45160

Interfund Transfer Capital

Interfund Transfer SDebtervice

3735680 1185074

71204 62092 1958 26

27 74 10530

0 0 1050 10 0 500 10 0 150

2808

86940
3847516
0

374516
132094

10 0
1872 2 6490 2

Interfund Transfer Other 2618

Interfund Transfer Operating 52634 67912

128624
10523 1318085
162

4635 9
0 0 24674 17342 19862 1215 8 607294 4816 8 49602 593 100
600

J1
0 7 3428 8 173 2776 5 1327 983 59321

Aproved Expenditurs 46808 1961 53

0

5371648 ITEM 63594 26801827

F1Y201
Propsed
A

Revnue Projectins 54230265 170482 174672 1325851 1670 49 62092 1731 63 2538 201 248735 1518074 521354 7261 79283 2909 256097 34692 2310 697861 Adjusted Fund Balnce 1950698
0

8605 471346
0 0

171 3 607294 13792 30970

0

517

0 100
0 0

5 5 17687 28038 13550 47158 81315 324 1872 2 213 6574 9 6490 2
0

32

3313 9 210 3879 5 161059 1130 9 6471 6

7382 3 9763 2

July

469702 1546 67 9932 6

4 85 1 4 829 527 1895 2 1758 19 661 1375 0 654 510867 2392 16347 20589 213614 29750 941 104 07
231 234 232 233 235 236 237 238 239 241 272

FUND

101 113 119 152 192 135 146

201 202 203 204 205 210

221 222 225 226 227 228 229 261 262 263

290 291 292 295 296 297

CTS

10
A

9 Adjusted Projectd BFundla nce 2

0
0

291 7198 6385 16 14 1627 8 8973 41 39841 2574 17 1895 94 9805 6308 1 1596 74 3196 27 471385 2905 1 8927 05 30980 30980
0 0 0 0 0 0 0

56012 418514 38654 143628

492085

Atachment

Curent Year

Sum ary 3 458

0

2703 5 905483 5152

84793 7601 7 29528 8004 6654 1 12432 2048 25 471385 910348 973870
0
0 0

3863 9 3863 9
0

41261 160341 134913 34804

0

6724865

Interfund Transfer Capital

158076 180576
0

12978 12978
0
0 0

52813 3825

910348
0
0

86940
607 236
0

Interfund Transfer SDeervbicet Interfund Transfer Other

410683 410683 71520 70150

0

178609 178609
0

263067
0
0

0 340
0
0 0

57235 478395
0 0

31074 167321 478395

0

Interfund Transfer Operating

J1

Aproved Expenditurs
Revnue Projectins
Adjusted Bal nce July
Fund
1

42863 42863 281794 201 9 70450 5372 4 1593295 159016 3408 1 1230547 21030 178609 6080 10 50 1740269
18305 18305
0

0 31 149250 149250 978102 5316 10528 920 60 0 26

856957

ITEM

4746935

5152 300 0
0

487540 2809350 8040 2947350 15941 5000

0

6080
0 0

129851

0 27389 27389 978102 5316 480 1060 90780 2760 8

0 0

953042
561970

F1Y201
Propsed
A

201

649723 7875 9 3669 4

12768 9768534 380784 2194 45 191094 9805 60282 1684 52 6351852

S

1904671 925085 37610 37610

536 537 539 535
561

97234 5785 2463 13702

616 692 693 694 695

FUND

AUTHORIY

321

501 502 503 504 506

521 522 523 525

DS 531

534

FUNDS

FUND

FUN

10

9 Adjusted Projectd Balnce 2

Fund

1792391 2823472
0

983 1 21697
0

256097 31490
0

634 2 62731
162

592

518 7382 3 15 59720 1237 13 9080 4

0

263 203 0 791 5 85 13 217 3 2016 8 618 5213 42305

1671 45

17302 23178 28517 5726 1149 9 182 41 257146

0

10

Atachmen

Curent Year Sum ary

3458

321908 24109 398173

96802

9131 8

21309 2487 9

296

4084 9 15024 6140 2 475 6

187 8 72 185 5 76 338 15 153268 1 324

32

513 2 103819

433 6 3 2 2 402 953 18204 152 10347 128359

Interfund Transfer Capital

79326 171064

25091 2652 0

0 0 10 0 500 8705 150

2808

3460591 36491
0

Interfund Transfer SDeervicbet

354961
398173

10 0
1872 2 3985 4

Interfund Transfer Other 47659

Interfund Transfer Operating 38 52 60750

1045271
18578 143 14

4635 9
0 000 26087 17342 128710 1516 72 2105 4816 8 40672 593 10
300 1
32

J1
3557 2 1761 2 290 1623 39 987 53974 9 7

Aproved Expenditurs 4807295 150376

Revnue Projectins 5316317 1704826 2012 683 Fund Bal nce 1024809 25 Adjusted
1
0

50386791 ITEM

18578 1325851
0
0

1973507 104173
0

162

5 272 5 0 187 284138 8605 37901 171 3 2105 13792 40 60 100 76 28038 4872 5 20 48 1318 5 324 18 213 13829 3985 4 3313 9 2167 4 3943 3 1712815 1130 9 6471
296
0 0
0 0

517

6371452

F1Y230
Propsed
A

39850 107569

256097 52719

472 2 60480

283 007 73 56

July

6 468 183752 940

076 365 742 976 09 486 9 9 3 4 174 6 5708 31041

12637

1365 273126 24624 157086 1096 7 151904 208746

290 291 292 295 296 297

FUND

101 113 119 152 192 135 146

201 202 203 204 205 210

221 222 225 226 227 228 229 261 262 263

231 234 232 233 235 236 237 238 239 241 272

CTS

10

9 Adjusted Projectd Balnce 2

Fund
0 0

7198 503 54 6545 6

0
0

1627 8 7439 39841 265369 2609 94 9805 5493 73 2018 27 204 95 37 85 21643 650 483956 483956 61
0 0

36912 51914 487526 1246 3

0 0

4183620

11

Atachmen

Curent Year Sum ary

3458
0

1429362 14974
0

5152

0 8 848 8004 484 1453 1092732 800 15642 176 5 3618 6 3618 6
0 0
0

10 30 10 0 10 80 10 50
0

27085
3460591
0

Interfund Transfer Capital Interfund Transfer SDeervbicet Interfund Transfer Other

0

160795 160795
0

126785 126785
0 0
0

2472 2 123782

15642
0 0

3694 1 39461
0

74105 74105
0 0

171530 171530
0

2070 2070
0
0

0 450

0 450
0 0 0 0

Interfund Transfer Operating

J1

Aproved Expenditurs
Revnue Projectins
Adjusted Bal nce July
Fund
1

414061 401461 2794 05 293507 7405 6014 62 185 24 163570 2914630 158236 180 50 171530 70 0 10250 1568716 19763 19763 98547 5128 10760 7500 30 0 201649 9018402
10450 10450
0 0

ITEM

451870

255 0 51 300
0

464215 2582782 8040 2963782 10561 5000 70 0 190651 27389 27389 98547 5128 7300 10850 60780 24109 970698
0 0

F1Y230
Propsed
A

2012

291 7198 6385 16 14 1627 8 8973 41 39841 2574 17 1895 94 9805 6308 1

1596 74 396127 471385 2905 1 8927 05 30980 30980

FUNDS
531 534 536 537 539 535

56012 418514 38654 143628

616 692 693 694 695

492085

FUND

AUTHORIY

321

501 502 503 504 506

521 522 523 525

561

FUNDS

FUNDS

12
11

Column change
10

2 2

22212

0401212

17 2 2 1 0 1 2 0 0
0

320

01

142

1501

20

Atachment

Column F1Y21
9

idencrfom

Budget

846 7 642 654357 2495 105714 18 512 17 8068

500

0 0 0250 4553 500 1008 100 92341

133 7 1 2 0110 9 189 172 605

4 0 1 886 6 277 2 22914 226 243 320 2293 5 367 83 145046 450 38 722 801 1 438 4284 6

Column
8

13 12
FY

Propsed
9a

2761 69 778690 90615 23912 2198691 4870612 2705 609867 41820 73540 740642 8050 531631 93269
1 2822 12 0

0 100 5637 0 750 378501 70826 13506 15802 912504 145412 632805 547905 32 3508 15 23491 272652 935172 824728 714519 600 579 418540 98279 346315
19 2 7 7 11
8

Column change
7

15 3 9 5 6 2

16 4 2

10

64

29 22 4

4 76 0 6 0

Column F11Y10
6

idencrfom

Budget

8 681 6 419 5 26407 5105 7 56280 19 500 2564 9 943214 455 8818 4 193452 7082 0 39 400 150836

000 6 499 60 10 60 49047 9 23 64685

8 1 534 0 0 221 2047 2217 2 11 320 170 61 19045 5907 31497 4783 2 2932 9 1905 159 2857 4 468 2907 6

328726 268764 706829 92429 26805 213729 4961536 54230265 F1Y230 Column F1Y10 Revisd Budget 4210 7 3018265 253765 703412 95268 2080 2184560 492872 14905 528723 403123 8030 70381 7500 5386109 Transfe F1Y201 Column 1011 cycle Aproved Propsed Column 1011 Year Revise 21601 3018265 253765 703412 95268 2080 2184560 492872 14905 528723 403123 8030 70381 7500 5386109 Expenditurs Securd Taxes Revnues Adjustmen Revnue Curent
Column
12 11
FY

Propsed

205 60781 12458 72590 6932 7905

0 0 640 36718 736037 1489 15802 91439 1843 4 6210 50682 100 3508 1852 30 25461 239176 97637 863278 7802 600 572 429521 94871 395828 J1

0 540 3278 751637 163895 2106 834693 182901 63423 5168 3201 25901 1540 29 354056 2876 43 927963 729406 71321 2505 547346 46937 93823 3651293
0

ITEM

Prior

and

FY Off

and

FY

Mid

0 4136 0 5236 0 110 0 567 540 3278 713 163895 2106 849736 182901 63423 5168 3201 25901 194683 354056 237042 9179653 729406 71321 2505 547346 46937 93823 3651293

Fund Quarte

Date

Tax

Column

Adopti n

Flip

Triple

Transfer Fe s Permits Servics

REVNUS

Projects Council

Devlopmnt Technolgy Informatin

Services

Buildng Deposit Planig

SAedrmvicn

13
11

Column change
10

5 0 5 1 2 2 79 2 2

21243222

2 01 2

14 1 0 1 0 0 4 3
0

Atachment

Column
9

idencrfom
FY

Budget
1 12
FYI

4 8 334 59365 59365 864 157348 965 1184 3 19 26834

483

502 8 7265 4496 2439 3855 2722 15 178 6769 4

3 199 05148 316 5 5965 3

790 698 937 15 18748 3 152 5872 4

1947 172185

121785 32534
752319 365491 96802 3974120

13 Column 12
8

Propsed 1249625 8350 13976295 50786 906312 6902 14697 9386 19742 2845 16179 37268 1791 28130 24821 64254 19275 371098 251741 76157 7631 404519 592170 130825 42952 16294 6205 1127342 354085 4617913 4807295 49780295 341821
4

Column change
7

44

6 64 0 8 6

235 12 15 2 4 2 8 50

725

34

23 9 1 0 3 5

Column idencrfom F11Y10

S

Budget

9 0 952 138 4 907 40970 30 40940 3070 1 58160 2769 3 426 6489 4 643592 11 1412073 3427 8 2412 8 412 1061 4 1201 1121 5 1029 97 281602 5683 1524 8 196092 1861 3 32 2016 5 2237 5 4953 17 100 1232 2130 72 2130 72

12161
6

Propsed 17560 8350 18040 5692 947273 605317 195874 961542 1702318 23458 16452 3282 14870 240735 21795 6929 102947 362405 2641 3 73142 74632 398416 5120 102 7 459214 1524 68253 112695 354085 44076 46808 46808 38365 F1Y230 Column F11Y10 Revisd Budget 412701 1125603 8650 13050 53291 89103 602734 14580 86498 105816 2431 520359 25874 12632 159683 20635 6042 12352 243 08 225621 76289 70514 379 14 52380 112754 49709 99807 57268 11527 394095 438534 428368 428368 5059361
12 Column 11
4

FY

723590 J1 3573680 697584

3568 ft8 128 5014 3 92
3

4f

8 8 191 191 19 10 10 101 Transfe F1Y201 Column 1011 cycle Prior Aproved 3000 3000 309 309 17000 1700 807 Propsed Column2 1011 Year Revise 21601 1162503 8350 130470 53291 897124 602734 14580 86498 103895 2431 42839 25874 12632 159683 20635 60529 12352 243 08 225621 76289 70514 379 14 52380 112754 49709 99 57268 11527 394095 438534 426763 4672643 517026 Funds 3568 3 192 98 51360 0412 18
3

and

FY Off

Expenditurs

and

FY

Mid

City

Revnues Adjustmen
Fund Quarte

Date

Column

Sup ort Plan i g

Staions Yard

Other

Adoptin

Prepadns

Services

Control
Flo d

Mainte c Flod Servics Compliance

Control

Center Trails Services Senior

Aproiatns

TFrom Service Projects

Transfer

GF

of

Out

tD

In to to

Debt Capital

Attachment C

Discussion of General Fund Revenues and

Expenditures

GENERAL FUND REVENUES

Overall the City Manager proposed budget s

two years with a gradual recovery period However each revenue category has been

assumes a

over

the

slow economic recovery for the next year following four years of the six plan and

analyzed independently

projected according

to

the

unique characteristics of that funding

source

Property

Taxes

Current Secured

12 FY2011
13 FY2012

835 669 24 232 163 25

Property Taxes Property

the

revenues Since the

Tax every economy the
most

s City largest revenue source represents 62 of the total General Fund City merged with the Fire District in 1996 the City has seen an increase in year although the rate of growth has varied widely Under the current
seen a

City

has

high volume of requests for

reassessment of

slowdown of sales an increase in defaults and foreclosures and a property values Conversely the market value of

homes in Encinitas is still above the assessed value and adds value to the tax rolls when sold In addition the assessed value of homes assessed below market value but not sold

increases each year by 2 or the CPI whichever is less Normally a 2 CPI increase prevails 237 For next year the County however this year the index applied was a negative 753 s Assessor office will apply a 0 increase This combined with some modest increases due
to

large commercial properties is anticipated to result in a Staff is projecting a modest 2 revenue revenue for FYI 1 12 property slow recovery The City will receive the preliminary increase in FYI 2 assuming continued 13 s 1 FYI 12 property tax figures from the County Assessor Office in May prior to final adoption
development
and reassessment of
tax

92 increase in

of the

operating budget
12 FY2011
13 FY2012

Property Tax

In Lieu of Vehicle License Fees

396 143 5 265 246 5

May 2004 then Governor Schwarzenegger proposed a swap of local VLF revenues for local property tax revenues as part of a state budget agreement The City 0 which is projected at 5 a less than 1 receives this budget estimate from the County 397 143 12 13 increase for FYI 1 and 5 a 2 increase for FY12 265 246
In

additional shares of

ITEM J1

14

Attachment C

Sales Tax and Sales Tax

Triple Flip

12 236 FY2011 10 696

13 437 FY2012 10 025

Sales Tax the second largest revenue source represents approximately 19 of overall General Fund revenues The City received sales tax revenue in two ways Most of the sales tax revenue local is received directly from State Additionally as part of the May 2004 state government

agreement and pursuant to Proposition 57 of 2004 a portion of the local sales and use tax revenue is used to repay state fiscal recovery bonds Cities and counties are reimbursed for the
from a shift of property tax revenue referred to as Sales Tax Triple Flip Thus receives property tax in lieu of sales tax but treats the revenue as though it was sales City Sales and Use tax was originally tax since sales transactions are the underlying exchange
lost
revenue

the

projected
This
recover

to be flat for the current fiscal

year but

was

000 adjusted upward by 400

at

year mid

revenue

source continues to reflect slow but modest growth as the economy begins to and large commercial vacant properties are filled Staff is recommending a 6 increase
a

12 in FYI 1 and
on

13 conservative 2 increase for FY12 Staff provides a

to

quarterly

newsletter

sales tax

revenues
tax

the

discusses

sales

revenue

City Council and interested community groups This newsletter by business category by geographical area and provides

comparative

charts to other cities

Transient

Occupancy

Tax

TOT

12 FY2011

250 942

13 095 FY2012 961

TOT revenue is allocated 80 to the General Fund and 20 to the Coastal Zone TOT has remained low in the current economic climate but Fund The

Management
revenues

s City

are

expected

to meet

General Fund and

12 and FY12 13

projections predictions

for the current fiscal year of approximately 922 in the 500 are increased to approximately 942 and 961 in FYI 1 000 000

Short Term Rentals

Effective January 1 2009 the City began collecting TOT

on a

quarterly

Term basis from registered Short Vacation Rentals The total TOT collections for Short Term

Rentals

are

surpassing predictions
12 FY2011 12 FY2011

Documentary Transfer

Tax

600 285 312 291

Real estate transfer taxes are collected at the time ownership of a property is transferred usually by sale The tax is set at a percentage of the sale price The law allows a county to impose a tax of 1 per 1 of value on every real estate transaction If a city also chooses to impose 10 000 the then the 1 rate is split between the city and county The real property transfer tax is 10

tax

administered by the county which collects the tax on behalf of cities and remits any funds due Revenue trending over the last several years reflects better than projected receipts Staff is

recommending

revenue

increase to both years

ITEM J1

15

Attachment C

Franchise Fees

12 172 FY2011 2 319

13 FY2012

961 189 2 Cablevision

The

City

receives Franchise Fee

revenue

for the

use

of its

way of right

from
to

Utility companies City expects 850 146 2 for the current fiscal year Revenue predictions are increased 13 000 172 2 and 2 in FY I 1 12 and FY 12 000 190

and Solid Waste Collection

The

to meet its

predictions of approximately

Licenses and Permits

12 255 FY2011 200

13 755 FY2012 200

This category includes business other miscellaneous permits for Business

registration permits short term vacation rental permits and a total proposed budget of 200 255 Fees for the City s

1992 and were last increased in 2009 Under the this program is projected to generate 128 in revenue for each fiscal 000 The cost to administer the program is 138 currently this program is subsidized by 000 year the General Fund in the amount of 10 000

Registration revised fee schedules

were

established in

Motor Vehicle License Fees

12 FY2011

984 169

13 684 FY2012 169

There has been
a

dramatic decline in VLF revenues allocated to cities

over

the past several

years due to a decline in the total VLF revenue collections an increase in DMV charges since 1 the VLF swap in 2004 and a statutory formula that take the DMV share entirely from the 25

city

share

As

recently

as

FY2007 this

revenue was

more

than double the amount the City

receives

today The State issues estimates for VLF

revenues

All Other

Intergovernmental

12 FY2011

103 471

13 103 FY2012 496

This
revenue

source includes cost

recovery from

the Rancho Santa Fe Fire Protection District for services

the Cities of Solana Beach and Del Mar and provided under the Inter Fire Agency

Management Services Agreement

Internal Cost Allocation

12 722 FY2011 1 838

13 FY2012

838 722 1

The Internal Cost Allocation Plan allocates all citywide support costs including administrative department costs such as Finance and Information Technology as well as a number of fixed
costs

such

as

to all other

the costs to operate and maintain City Hall rent and charges these support costs City and Agency Funds that benefit from these services The General Fund receives

reimbursements from other

benefiting

funds for

000 722 approximately 1

ITEM J1

16

Attachment C

Charges

for Services

12 FY2011

417 425 2
982 419 2

13 FY2012

Categories in the Charges for Services section include planning building engineering and other development related fees In a separate agenda report staff is presenting the results of a fee study to update the City Development Fees for Planning and Building Engineering and Fire s s Prevention Services per Council direction The draft budget is based on the current fee schedule with updated volumes Proposed fees are projected to bring in the following revenues

Department
Planning

Projected
12 FYII

Projected
13 FY12

950 303

950 303

Building
Engineering
Fire

000 206 1 550 709

560 58

000 206 1
550 709

125 53

Use of

Investment Money Earnings

12 962 FY2011 477

13 FY2012

962 477

earnings are expected to remain at historically low levels for at least another year s possibly longer For the foreseeable future none of the City funds or programs can expect a significant contribution from investment earnings Investment earnings which are the 670 670 largest portion of this category were adjusted downward from 510 to 310 at mid and staff is recommending an additional reduction of 65 for each fiscal year 100 year
Investment

and

All Other Revenues

Fines and Penalties

This

revenue

category includes

revenues

received from red from

light
of

camera

citation vehicle code violation citations

and

vehicle abatement
to

citations

administrative citations
a

parking penalties

Revenues

are

anticipated

decrease

slightly

budget

000 800

13 12 The in the current year to approximately 730 in FYI 1 and FY12 000 in the area of vehicle code citations which is difficult to predict decrease is primarily

proposed

State Mandates

SB90 Reimbursements The SB90 Program was established to reimburse local agencies in part for unfunded State mandates Each year the State authorizes funding for various State mandated programs including but not limited to the Open Meetings Act Peace Officers Bill of Rights Absentee Ballot requirements elder abuse training sexual harassment training domestic violence requirements misdemeanor bookings and fingerprinting and stolen 000 vehicle notification The City has approximately 472 dating back several years in claims and is projecting revenues of 30 for each of the next two fiscal years 000 outstanding
Other Revenue

Other

revenue

include various cost

recoveries booking fees and outside

donations contributions

ITEM J1

17

Attachment C

OPERATING EXPENDITURES BY CATEGORY

Chapter

of the Draft Budget document

Summary
Overall General Fund
12 840 600 operating expenditures are proposed at 48 in FYI 1 and Schedule C Attachment B depicts the proposed budget for each 025 879 49 department by Department Overall the proposed budget represents a 5 increase Division 11 In FY11 the proposed budget over the approved budget of 46 million in FY10 12 6 increases 1 million or 2 The strategic process followed in developing the next two 3 year annual budget is included in the following narrative

in FY12 13

Approved

Proposed
12 FYll

Proposed
13 FY12

Expenditures by Categories
Salaries and Benefits
Materials and

11 FY10

464 421 23
658 711

117 254 25 122 876 872 374 21

366 939
309 20

022 699 25
444 864

Supplies

Contract and Services

364 411 20 673 586 1 058 20

809 160 22 152 006 1 598 33

000 40

Internal Support Services

Capital Outlay Operating

All Other Total Sub
Cycle Off Total
Prior

Leases

430 68
000 54 647 273 46

054 72
000 64

000 75
025 879 49

840 600 48

Approved Adjustments

191 10

838 283 46

840 600 48

025 879 49

000 The Off Prior Approved Adjustments includes off appropriations of 3 for Parking cycle Cycle 809 Enforcement a reduction of 3 for the matching share of a Federal grant for Fire turnouts which transferred to a project budget WFC10C and 11 for a franchise fee audit continuing appropriations for a total net 000 increase to the current year budget of 10 191

Personnel

largely a contract city personnel costs represent approximately 50 of the effective s City General Fund expenditures As a cost measure Department Heads are required to justify each position with the City Manager before filling a vacancy After consulting with the City Manager Department Heads determined that they will not actively recruit for the following positions therefore the positions are unfunded but will remain in the total FTE count
While the

City

is

ITEM J1

18

Attachment C

Positions That

Represent
Potential For

Vacancy Savings

Department osition
0 1 FTE 0 1 FTE

12 FY11

13 FY12

Deputy Fire Chief Fire

371 179

780 180
298 89
615 78 581 104

Deputy

Fire Marshal Fire

076 89
Recreation 413 78

0 1 FTE

Management Analyst Parks

0 1 FTE Senior Planner Planning

5 1 FTE
75 FTE

Building

315 104

Planners Planning

Building
Building

486 86
296 31 957 568

647 88
893 9

Program Assistant Planning

25 6 Total Vacancies

approximate savings

814 551

groups Encinitas Firefighters Association and Service Employees International Union SEIU Changes to the terms and conditions of City future employee agreements require approval by the Council prior to enactment Salaries and benefits for safety employees fire safety reflect terms of current bargaining agreements with the employees through December 31 2011 when the Firefighters Memorandum of s Understanding MOU expires The City MOU with employees in the bargaining unit safety represented by SEIU non personnel and marine safety also expires December 31 2011 12 MOU provisions are included in the FYI 1 budget until January 2012 Proposed budgets and financial plans were developed with no intention to predict or establish parameters term long
The

City negotiates

labor contracts with two labor

for future

negotiations

with

employee bargaining

groups

City also contracts with California Public Employee Retirement System CalPERS to provide retirement benefits to all represented and unrepresented employees Employer 0 contributions for safety employees under a 3 at 55 Plan are budgeted at 23 of payroll of 9 of payroll 0 The City also pays the employee required contribution Employer s 8 7 contributions for non members under a 2 at 55 Plan are budgeted at 17 of safety covered payroll The miscellaneous employees pay a negotiated portion of the employee s 0 required contribution of the 8 of payroll up to 5
The The first PERS rates for the City reflecting stock market losses from two years ago arrived in The actuarial valuations received in November impact employer late November 2010 a year in which 12 contribution rates for FYI 1 and are based on data as of June 30 2009

year in drop in investment returns A three phase of PERS rate increases to cover the losses will begin in this next budget cycle In addition last April PERS approved new actuarial assumptions based on changing demographic trends which also The budget factors in all known rate increases increased employer rates
PERS

experienced

4 23

ITEM J

19

Attachment C

Employer
Rate
11 FY10

Employer
Rate
12 FY11

Employer
Rate
13 FY12

Employee
Rate

Fixed
8 8

Miscellaneous
Miscellaneous

City employees
SDWD

7 15 8 11

8 17 8 14

1 18 2 15

employees
Public

Safety

Fire

2 18

0 23

0 24 2 22

9 9

Public

Safety Lifeguards

4 16
5 of the

3 21
Kate

Miscellaneous employees pay up to

Employee

The Ca1PERS portfolio has begun 3 benchmarks Ca1PERS earned 13

was

75 7

Continued strong

returns

prior market losses Beating market on investments in FY09 The assumed rate of return 10 lower future employer contributions may recovering
from

13 12 expected to increase approximately 8 in FYI 1 and 5 in FY12 and subsequent years Unemployment costs are expected to increase during the recessionary of 5 4 period and rates have been increased from 0 to 0 of payroll Three categories increase during the next two year period See workers compensation rates are also projected to discussion on the Self Insurance Fund of this agenda report for current and new rates There are year no other assumptions for increased projections during the next two period for life insurance or long disability rates term

Healthcare costs are

For additional discussion

Attachment personnel see E A list of City for the City of Encinitas and the San Dieguito Water Council approved positions and pay ranges District is included in the appendix of the draft budget document White Binder
on

proposed changes

to

Materials and

Supplies

Materials and

Supplies represent

less than 2 of the

13 12 444 122 876 for FYI 1 and 864 for FY12

operating budget and Materials and supplies

are are

budgeted projected

at to

increase 3 every year thereafter

Contracts and Services As

as law city the City contracts out for many governmental services such custodial enforcement building services waste hauling and disposal engineering inspection street services park maintenance landscape maintenance tree maintenance animal services street light and traffic signal maintenance and city sweeping and sidewalk power washing law enforcement contract which makes up s attorney services The City largest contract is the
a

contract

ITEM J1

20

Attachment C

more

than half of this

s category

costs

The law enforcement contract is

are

projected

to increase

by

7 3 each year All other contracts and services

projected

to

increase 3 each year

Internal Cost Allocation vehicle

rent

Expenses

replacement

costs

Previously

This category includes fleet maintenance and annual this category included an expense for Civic Center

Center Improvement Fund Fund 152 in order to make the debt services payments on the Civic Center Due to an accounting change which consolidates the Civic Center Improvement Fund with the General Fund this payment is now Service out shown directly as an equity transfer to the Debt Fund Fund 321 and is no longer classified as a General Fund expense This is an accounting change only there is no economic
Those funds
were

transferred to the Civic

or

fiscal

impact

Capital Outlay
This

category

includes

lease

payments

for

office

equipment

such

as

networked

printers copiers scanner

New Pro rg ams There

are a

total of four new programs included in the two budget year

a

proposal

12 General Fund In fiscal year 11 there are three programs at 13 cost for proposed programs in FY12 is 212 307

total cost

impact the of 60 The total 022

that

Human Resources is proposing the addition of a temporary half time contract employee to backfill for existing staff during the Tyler Technologies ERP system implementation The cost

of this program is

017 15 in

both fiscal years

two
new

Parks and Recreation is

proposing

programs PCI

Compliant

Solution and Hall

Property
PCI

Park Maintenance Solution

Compliant

In November 2009 the City received notice from the Payment Card Industry Security Standards Council PCI that online credit card payment systems would need to become compliant with newly established industry standards to better safeguard against theft and misuse or they may

heavy penalties for security breaches All major credit card companies participate on the Security Council and prescribe to the established standards In May 2010 the IT Division completed an analysis of credit card payment systems citywide and found the Parks and Recreation Department online registration payment server must come in to compliance s
risk

research the Parks and Recreation Department and IT Division have found a PCI compliant solution for online registration Active Network ActiveNet is an online recreational meet both the PCI standards and program registration and payment processing platform that will
After extensive

ITEM J1

21

Attachment C

program registration

time City One start up first year maintenance costs and annual fees are estimated at 35 The annual maintenance and fees are estimated to cost 000 000 25 annually beyond the first year There are no additional staff impacts Upon budget approval staff will enter in to an agreement with Active Network for compliance
needs of the

Property Park Maintenance are currently being prepared for phase 1 development of the park project Phase 1 generally consists of parking lots buffer areas both passive and active turf areas restroom facilities picnic facilities a skate park and a dog park
Hall

Construction documents

development will begin in the late summer 2011 and be completed by the late summer 2012 The City will assume all maintenance responsibilities within 60 days from up completion Maintenance activities consist of tree maintenance trash pick restroom cleaning lot sweeping weeding litter removal electricity pest control landscape maintenance parking water sewer irrigation maintenance and repairs and plant replacement Consistent with other park maintenance practices all work will be accomplished through the use of private contractors The work to be completed will be bid to ensure the best possible pricing
Construction of phase 1
13 Maintenance for approximately six months of FY12 is estimated to 14 full year of maintenance will begin in FY13 and is estimated to
cost
cost

290 172 The first

increase based
of the

account for inflation

one

Diego County Supervision of maintenance activities will three current Park Supervisor positions
on

the CPI for San

has been included in the fall under

5 580 344 A 3 subsequent years to the regular duties of

Planning and Building is proposing the addition of a temporary contract employee to assist in 12 005 purging of the Planning case files The cost of this program is 10 in FYI 1 only

OPERATING EXPENDITURES BY DEPARTMENT

Based Departments develop their budgets under a rigorous Zero Budgeting ZBB process Each year a Department assumed starting budget is zero and every requested expenditure s must be justified In addition Departments are required to develop Quarterly Spending Plans which are reviewed quarterly with the City Manager This process has been in place since 08 FY07 and has been instrumental in containing costs and driving productivity No fiscal proper realignments from the prior budget have been reinstated with out consideration and justification

ITEM J1

22

Attachment C

year Proposed expenditures for the next two budget following table See also Schedule C Attachment B

are

identified

by Department

in the

Mid Year

Proposed
12 FY11

Proposed
13 FY12

Expenditures by Department
General Government

11 FY10

963 715 9
123 569 3
000 347 11

766 377 9 829 598 3 000 844 11

038 721 11
235 640 3

172 532 9

Planning
Public

and

Building
Enforcement

315 641 3
965 379 12

Law Safety

Public

Marine Fire Safety Safety

Services

395 085 11 328 430 2 994 771 3 844 353 4 647 273 46

722 944 11

Public Works

199 708 3
459 001 4
193 671 4 025 879 49

Engineering

896 941 3

Parks and Recreation

Total Sub
Cycle Off
Prior

076 477 4

840 600 48

Approved Adjustments

191 10

Total
The

838 283 46
a

840 600 48

025 879 49

Cycle Off

Enforcement
a

project

Prior Approved Adjustments includes off appropriations of 3 for Parking 000 cycle 809 3 for the matching share of a Federal grant for Fire turnouts which transferred to 000 budget WFC10C and 11 for a franchise fee audit continuing appropriations for a total net
reduction of

increase to the current year

191 budget of 10

New Highlights of Proposed Changes Program the draft budget document White Binder

to

Operating Expenditures

Chapter 4 of

Overall the budget

safety

s was developed to meet the Council three infrastructure maintenance and critical customer service

key strategic priorities public

General Government

Departments

000 Community Grant Program Staff is proposing a budget of 64 in support for various civic 10 and arts projects and programs Beginning in FY09 the Mizel Family Foundation made a 10 000 s year five commitment to match up to 75 of the City allocation In FY09 the budget was decreased from 60 to 54 during the budget realignment process With the current 000 000 for grant funding as demonstrated by the economy the City has experienced a greater demand 12 000 increase in grant requests submitted to the City The proposed FYI 1 budget of 75 the matching dollar commitment by the Mize Family Foundation thereby meeting the leverages s community greater need for support ITEM J1 23

Attachment
The

s s City Council budget includes decreases to training and special event costs The Council San Diego Association budget includes memberships to several regional organizations including of Governments SANDAG the League of California Cities Local Agency Formation Commission LAFCO and California Coastal Coalition CalCoast The overall membership 12 fees are lower than previous years Staff has projected a 2 decrease in the budget for FYI 1
The City Attorney operates under contract approved by City Council by resolution Legal Services Division does not assume any contract adjustments In the future any negotiated contract change would appear before Council and the budget would be adjusted at that time
For FY11 outside consultant attorney and miscellaneous 12 expenses have increased

by

000 17
time s City Manager Department a vacant intern position was restored to half an increase Auto allowance was added to cover the new City Manager and to cover the Deputy 7 500 000 600 Meetings was also restored by 2 City Manager an increase of 9 Travel the anticipating the needs of the new City Manager The balance of 7 increase was due to salary and benefits adjustments
In the
of

s implement the City Arts Master Plan a robust partnership with Encinitas artists and organizations In collaboration with the through Commission for the Arts the division implements the annual Civic Arts Program for the s community with 32 exhibits 12 concerts 4 arts education workshops 3 reader theatre productions and maintains the Public Art collection The division produces and publishes the com monthly Encinitas Arts and Events Calendar maintains the EncinitasLive website and 12 The FYI 1 budget represents a 7 pursues grant funding for City projects and programming increase which is attributed to increased costs in personnel and a modest increase in programming
The Arts Administration Division will continue to

Development Division was created to evaluate plan and implement development priority projects and support existing services that promote citywide
The Economic

economic economic

continues to support the Highway 101 Corridor Coordinator the Downtown Encinitas Mainstreet Association DEMA Leucadia 101 Mainstreet Association the Cardiff 101 Mainstreet Association the San Diego Botanic Garden and the San Diego The Division will continue to support the Cardiff and Economic

improvement

The current

budget

Development Corporation

Leucadia 101 Mainstreet certification efforts and redistribute

the process

City support funding

to

facilitate

responsible for providing a human resources management system to support Managers and City Council in the delivery of public services while assuring that the City is able to recruit and retain talented and skilled employees Costs in this division the are increasing approximately 8 due in part to additional contract work to assist with implementation of the new Enterprise Resource Planning ERP System
The Human Resources Division is

Information Technology IT includes the Information Technology Division the Geographic Educational Information Systems GIS Division and oversight of the Governmental Access Fund 228 Attachment D IT helps staff meet City business needs by leveraging technology to provide better services to the public to promote increased citizen participation in government and to enhance

productivity

of the

s City

lptJ q1

24

Attachment C

Technology Division is responsible for strategic planning implementation and s support of the City government business applications Finance Human Resources utility document billing management permitting and other systems websites and e online government applications The division is also responsible for the security and reliability of the City technical infrastructure The division implements supports and maintains the City s s communications network data centers technology equipment information storage and retrieval software e operating systems office productivity database and other systems mail webcasting broadcasting systems telephones and mobile phone program and other technology used throughout the City
The Information

mostly related to a transfer of funds from Finance to IT for printer lease payments ongoing maintenance copier The hardware maintenance amount increased slightly due to maintenance requirements for a new house Finance system Several projects will be addressed by in staff such as the implementation of an Enterprise Resource Planning ERP System upgrading the City email system upgrades s based to the City website and implementing a new web Parks and Recreation application IT s division personnel will continue to concentrate on information security disaster recovery
The IT Division s

budget

has

an

12 overall increase in FYI 1 of 204 047 and

business process efficiencies and systems management

The

Geographic

related data within the

responsible including GIS desktop

management system
s The GIS Division

Information Systems GIS Division manages maintains and captures spatially City and disseminates that data to City staff and citizens GIS is also for implementing upgrading and supporting enterprise business applications
and web

applications

and the

s City

asset

inventory

work order

Cityworks
has
an

12 712 approximately 4 in FYI 1 of 22 a significant reduction in contract personnel category including mainly time hour employee funding 60 reduction to one 1000 contract position from 2 full contract positions and a decrease to FTE funding based on a proposal to fill a vacant position at a mid grade grade Analyst I level rather than a high Analyst II level

budget

overall decrease of

due to reductions in the

The GIS Division continues to support enterprise business applications such Cityworks and is currently involved in developing and supporting several internal

as

GIS and

and external

GIS web applications GIS also continues with data capture data maintenance data review and quality control QC for all departments and assists departments with business process reengineering by helping them take full advantage of newly implemented applications and

technology

to increase

their efficiency and effectiveness

a

12 in FY11 largely due to normal personnel cost increases A total of 000 in reductions were made to various 9 office supplies of 2 legal advertising of 3 and printing and line items including 000 000

The City Clerk Department FY11 budget reflects s 12

net increase of 2

duplicating expenses
The Finance

of

000 4
is

Department

responsible

for

managing

the

City

s and Water District fiscal

resources in order to protect and enhance the financial position and assure that adequate The Finance budget is increasing resources are available for City and District services 000 approximately 61 This increase is attributed to the filling of a finance analyst vacancy

600 58

and

slight

increase in

banking

fees

400 2

ITEM J1

25

Attachment C

The Central Services

budget accounts

for

collection of expenses that

are

not attributable to

specific department and are used to support the entire City and certain district operations They include citywide telephone expenses postage and office and copier supplies Up until this fiscal lease year this division covered the multifunctional devices MFDs or copiers maintenance and of the computers to these networked costs With the increased technology and integration printers the maintenance and lease costs of the MFDs have been transferred to the IT Division
The result is The
a

decrease of

000 101

to Central Services

division

Departmental Non Division was created to appropriate funds for those activities that provide The costs a citywide benefit and are not directly attributable to any one department or division retiree health care contributions OPEB and the fleet and included in this division are equipment maintenance and the vehicle and equipment replacement costs Based on the Fire the General Apparatus long term financing plan approved by the City Council in March of 2010 its contributions of 378 per year to the Fire Apparatus Fund 695 in Fund begins making 000 FYI 1 This scheduled increase is offset by the change in accounting for the Civic Center 12 facility charge This cost is now reflected directly as a transfer to the Debt Service Fund 321
to pay

the scheduled debt service on the Civic Center

The result of these

changes

is

net

decrease of 591 to this division 000

Planning
The

and

Building Department
in
to

11 829 598 123 569 s Department overall budget is increasing from 3 in FY10 to 3 13 12 1 and 3 in FY12 Inspection activity has increased and is predicted FYI 315 641 continue to do so over the next two year cycle In addition increases are due to a shifting this shift assignments over the next two year period and the related training needs to facilitate

of

5 Planning Department currently has vacancies in the Planner 2 FTE and Program 12 Assistant 75 FTE in FYI 1 and 25 in FY12 Staff is proposing to keep the positions 13 in the Department year positions vacant during the next two period Should the activity to reinstate funding to the positions In accelerate staff will return to City Council with a request the meantime remaining staff has been reassigned to work on current projects including the 13 12 General Plan Update which has been fully funded in the proposed FYI 1 and FY12 budget
The
The Customer Service and Administration Division is

responsible

for

reviewing

land

use

and

development applications to ensure compliance with City standards The Division provides direct assistance to the public responds to inquiries regarding land use and zoning issues handles directions This special projects such as code amendments and implements various city policies
Division is also
the

responsible for developing and monitoring the budget for the entire Department the City on coordinating the Citizen Participation Plan and Mills Act programs and representing
Downtown

Encinitas

Committees In the

13 FY12

Current Planning Program

Association and North 101 Corridor Facade Grant will be shifted from the Management Analyst position to the duties Assistant position which is currently vacant to allow more time for
MainStreet

will also require specialized Management Analyst to work on budget demands This needs as the transition takes place Housing Budget training

ITEM J1

26

Attachment C

The

Current Plannina Division is responsible for reviewing land use and development applications to ensure compliance with all General Plan and Local Coastal Program goals and

policies development and use regulations of the Municipal Code and applicable specific plans and adherence to design criteria contained in the City adopted Design Review Guidelines s The Division also recommends and implements changes to the above This Division provides staff support to the Planning Commission and oversees the operation of the Staff Advisory Committee which meets with prospective applicants on a weekly basis to familiarize them with year City standards and provide early input in the design process During the next two budget staff will be assisting on Municipal Code Amendments and the General Plan update process
The Applicant

Deposit

Division of Current Planning captures the cost of General Plan

amendments specific plan amendments zoning changes extended studies environmental impact reviews geotechnical reviews and wireless third party reviews Revenues are collected

applicants to reimburse the City via contracts for its cost of providing these reviews Staff has reduced the budget based on fewer requests for amendments Staff has reduced the budget based on fewer requests for amendments as well as a shift from a deposit based to a fee 500 based payment structure The overall budget for this division was reduced from 25 in
from the

11 FY10

to

000 6 for both

13 FY I 1 12 and FY 12

The Advanced Planning and

range responsible for addressing long planning addressing regional planning issues s City issues monitoring updating environmental review in compliance affecting Encinitas and coordinating and implementing This Division also provides with the California Environmental Quality Act CEQA and administrative support to the City affordable housing Community s management Development Block Grant CDBG Section 8 and Home Investment Partnerships HOME Due to a predicted decrease in funding of the Section 8 program the training budget for the two Section 8 staff members has been shifted from the Housing Division to the Advanced Planning

Housing
the

Division is

and

General Plan

Division

Municipal Code and initiates administrative local regulations The compliance with state criminal and civil basis with priority given to health and safety Division operates both on a proactive and complaint issues Code Enforcement is also responsible for the administration of the Private Property up Clean Assistance program contested parking citations review and graffiti removal The Private Property Clean Assistance program will be taking on more of a proactive approach in up an effort to up and maintain privately owned open space throughout the City keep
Code Enforcement

investigates violations

of the

enforcement actions to obtain

The Building Services Division is

plan checking building permits and inspection Corporation Clerical support and services that are provided coordination of this contract is handled by Planning and Building personnel Building services to this 13 12 setting are increased to 987 in FYI 1 and 987 in FY12 The off revenue 929 491 expenditure has also been increased
responsible
for under contract with the ESGIL

Safety Law Enforcement The City of Encinitas contracts for Law Enforcement Services with the San Diego County s Sheriff Department including patrol traffic detective and special purpose officers As part of the County law enforcement network Encinitas Sheriff Station also has access to countywide s an increase of 497 or 4 12 000 resources The proposed FYI 1 budget o27
Public

140 M760

Attachment C

the

adjusted

11 FYI 0

budget

and

budget

of

500 296 12

an

increase of

000 536

or

6 4 in

13 FY12

year budget was adjusted at mid to add a traffic deputy for rail accident reimbursed by North County Transit District Also during FYI 0 San 11 investigation fully a cost agreement with the City for one Dieguito Union High School District cancelled sharing assigned special services officer school resources officer and the position was re as a narcotics
11 The FY10

detective The FYI 1 12

years 7 3 contract services increase the average over the last four In anticipation of State funding reductions 100 in of the current contract 000 State Law Enforcement Fund costs have been shifted to the General Fund

budget

assumes a

Supplemental funding reductions to the County may require the City to pick up a portion of a partial year of 12 arrestee booking fees estimated at 110 for FYI 1 DEMA will no longer be required to 000 in reimbursement for parking enforcement thereby making a community services 300 pay 23 officer available for citywide enforcement
7 budget again assumes a 3 contract services increase although this will be the first year in a yet negotiated multi contract The additional incremental increase year be to assumes a full year of City booking fees estimated at 220 due to the anticipated 000 paid continuation of State funding reductions The FY12 13

Safety Fire and Marine Safety The Fire Administration Division provides management and administrative support to the overall
Public

Department There
The Fire

are no

significant changes

to the Division

budget during the

next two years

Operations Division is charged with maintaining an emergency response system that the life and property of the citizens of Encinitas from fire and other disasters The protects Division budget includes expenditures for fire safety personnel training dispatching through a With the exception of increases in contract station supplies and emergency equipment

personnel expenditures
remains flat

13 projected increase in the cost of dispatch services in FY12 the The division continue to leave a Deputy Chief will years budget position vacant This position will remain in the total FTE count but remain unfunded Expenditures for fire management services provided through an agreement with the City of Solana Beach and the Rancho Santa Fe Fire Protection District are completely offset by revenue collected in Intergovernmental Revenue
and
a

over

the next two

The Loss Prevention and Planning Division enforces the International Fire Code Building Code Life Safety Code and other fire safety related codes and ordinances The Division staff conducts

inspection and weed abatement programs processes plan checks and performs inspections for development and other annual State mandated inspections Additional plan check and inspection services are provided by contract The Division will continue to leave a Deputy Fire Marshal II position vacant This position will 165 remain in the total FTE count but remain unfunded Salary and benefits totaling 108 for the returned to the General Fund in the current fiscal year Staff is proposing slight position were reductions in non expenditures over the next two years personnel
fire

investigations

oversees the business

ITEM J1

28

Attachment C

Preparedness Division develops emergency procedures and citywide disaster s operations plans The budget includes the City membership in the Hazardous Incident Response Team HIRT and provides community training programs including the Community Emergency Response Team CERT There are no significant changes to the Division budget in 13 12 FY11 Staff anticipates an increase in the City share of the cost for HIRT in FYI 2 s
The Disaster
5 Safety Division provides ocean beach safety services for 3 miles of coastline of Encinitas beaches Expenditures for fuel and public education are expected to increase slightly The Marine 13 in FYI 1 and FY12 12 Public Works As part of the Public Works Department continuing efforts to better communicate financial s information about our various operations the Department is recommending that all Street costs be accounted for in one division the General Fund Street Maintenance

operational

12 Maintenance division beginning in FYI 1 Currently expenses for Street Maintenance are accounted for both in that division and in the Highway User Tax Account HUTA Fund

the expenses by funding This has made it more difficult to record and monitor street maintenance expenses The expenses formerly accounted for in the HUTA Fund in will now be reported as General Fund expense but their funding source will be a transfer from the HUTA Fund formally the State Gasoline Taxes Fund 210 HUTA is expected to bring in

essentially splitting

12 421 057 approximately 1 in FYI 1 12 Fund operations is 4 in FYI 1

and the overall increase in

expected spending

for General

The Public Works Administrative Division provides management direction and administrative support to the divisions comprising the Public Works Department and the San Dieguito Water District The Division also coordinates the Department accreditation efforts The Division s will The
Tax

help manage
Street

comprehensive citywide facility

Division is funded

assessment
the

over

the next two

years
additional

Maintenance the

through

General

Fund with

previously Highway supplementation by budget is now included in the Street Maintenance Division General Fund budget The 13 12 197 679 442 652 budget proposed is 1 in FYI 1 and 1 in FY12 Services performed street tree maintenance litter and graffiti removal utilizing both the County Probation include Department work crews and maintenance contractors and various maintenance tasks assigned to house a non group Partners with Industry In crews maintain the City rights s of way profit sidewalks and asphalt berms City crews install and including streets shoulders curbs maintain traffic signage and provide after hour emergency responses The Division oversees contract services for pavement surfacing street sweeping traffic striping and pavement
User Tax
revenue as

discussed

The former Gas

markings
The Public Works

responsible

oversees the Stormwater Maintenance Division This Division is for the maintenance of the City storm drain conveyance system to ensure s

Department

compliance with the National Pollutant Discharge Elimination System NPDES permit NPDES maintenance is provided by Street Maintenance personnel for the above ground system channels ditches and basins and Wastewater Collection personnel for the below ground system There are no significant changes to this Division The Divisions proposed budget is 11 12 100 922 629 in FYI1 which is a reduction of 4 or 12 from FY10

ITEM J1

29

Attachment C

is responsible for the maintenance and repair is s City drainage conveyance system Drainage provided by Street Maintenance personnel for the above ground system and Wastewater Collection personnel for the below ground system In addition contractual services are utilized when large scale or specialized repairs are needed The reduction is related to the reduction of a
The Flood Control Division is funded maintenance of the

by

the General Fund and

time full

employee

to a half time

employee in

the Division

Facility

Maintenance is

comprised

of four Divisions

including

the Civic Center the

s City

Fire

Stations and

022 74 conditioning HVAC maintenance contract costs at the Civic Center and planned maintenance at multiple facilities and increased energy costs at Fire
Engineering
Services

1 Lifeguard Towers the Public Works Yard and the Library An increase of 8 is projected primarily due to increased heating ventilation and air expenditures in
two Fire

Stations

Stations

Department portion of the Engineering Department budget is proposed to increase by 5 13 12 11 from 3 in FY10 to 3 in FYI 1 and by 2 to 4 in FY12 459 001 896 941 994 771 three divisions General Engineering The Engineering Services Department budget consists of Traffic Engineering and Stormwater Management
The General Fund The General Engineering Division supports four functional areas Capital Improvements Development Review and Field Operations

including Administration

Administration provides management

functions solicits grants for

applications

and administers the

analytical and clerical support to the public improvement financing processes s City Landscape and Lighting District

other
sewer

Engineering
annexation

Capital Improvement staff plan design and administer contracts for the City and District capital 12 improvement projects Capital Projects anticipated to be underway in FYI 1 include a CDBG 5 to install sidewalks on Balour Drive Encinitas Creek Channel Improvements 1 project Encinitas Boulevard improvements to Santa Fe Drive including sidewalks and Interchange at drainage improvements pipeline improvements for the Encinitas Sanitation Division and Cardiff Sanitation Division and alignment studies for Santa Fe Drive Manchester Avenue and Encinitas
Boulevard
The

Development Review

staff

responds

to citizen

requests and queries regarding engineering

related issues involved in public and private developments review approve and issue grading and encroachment permits as well as maintain City maps and records The division reviews and

places conditions on all private development projects to in compliance with the City standards and regulations s
The Field

ensure that the

proposed development

is

s Operations staff inspect the City capital improvement projects inspect private the construction of public improvements and grading operations construction projects involving way of inspect subdivision construction monitor and inspect right permits and utility permits and investigate right code violations and grading ordinance violations that occur without way of 12 the benefit of a permit Capital Projects anticipated to be under construction in FYI 1 include Coast to the railroad crossing at the intersection of Leucadia Boulevard improvements Vulcan Highway Avenue Balour Drive Sidewalks Olivenhain Pump Station Upgrade Hall Traffic Calming Annual Property Park Encinitas Creek Channel

ICardiff J

Stre80

Attachment C

Overlay

Pedestrian

Safe Route to

Undercrossing at Santa Fe Downtown ADA School Program projects Santa Fe Drive 5 I

Sidewalk

McKinnon

Improvements Local Improvements and

Birmingham
Overall
an

Fire Station

12 increase of 210 is proposed for the General Engineering Division in FYI 1 862

The increase is predominantly related to adjustments to personnel costs and contracts Personnel costs account for 60 of the increase in General Engineering A Senior Engineer vacancy in 11 Capital Improvements was funded for only part of the fiscal year in FY10 but has 12 been filled full time effective March 2011 and will be fully funded in FYI 1 A subsequently

by a corresponding 743 time savings of 35 in Personnel costs for temporary part coverage of a permanent employee on military leave Additionally as a result of increased inspection activity over the last currently twelve months the Department proposes to augment Contract Inspection by 48 to allow for 000 adequate response to increasing needs for grading and public improvement inspections In s 13 FY12 the Division operating costs for materials and contracts decrease services supplies 56 3 by 29
time one increase of

550 22

12 in Contractual Services in FY11 is offset

Engineering Division is responsible for traffic safety and transportation planning goal is to maintain a safe and efficient transportation system The division is for review of plans and specifications for all traffic control devices roadway and responsible intersection projects and issues traffic control permits and truck permits Traffic Engineering periodically conducts traffic studies including speed surveys and traffic counts at intersections
The Traffic
issues Their

12 calming projects and in FYII will be coordinating the construction of a pilot traffic calming project in the vicinity of Rubenstein Summit and Westminster A second traffic calming project in the Gardendale Road area will be under design and two potential projects at Willowspring and MacKinnon will be in the evaluation stage to determine eligibility for traffic calming treatments pursuant to the Encinitas Neighborhood Traffic Management Program ENTMP The division is also taking the lead on an American s Recovery and Reinvestment Act project to replace 20 of the City street lights with energy E efficient LED lights Staff will be working with SDG to secure eligible rebates for this E project and to update SDG billing databases to reduce monthly electricity charges associated with the energy efficient lighting The division will continue to work with Planning Department on the General Plan Update of the Circulation Element and on the development of the North 5 Highway 101 Streetscape Plan and with Caltrans on the I Freeway Interchange evaluation
The division is the lead
on

traffic

studies The Traffic

11 388 Engineering budget decreases by 7 or 56 from FYI 0 due to renegotiation of the Red Light Camera contract which resulted in significant monthly savings to the 12 operational cost of the system in FYI 1 and beyond There are no significant changes to the 13 division budget in FY12

The Stormwater Management Division

comprehensively

addresses

pollutant loading

into the

s City stormwater drainage system local waterways and beaches through an extensive program including water quality monitoring facility inspection enforcement and complaint response agency multi watershed management public and private development standards application training and community outreach and education activities Further the Division supports the maintenance functions including coordination and oversight of

Stormwate

otuind t

stmt

Attachment C

sweeping

storm

Public Works
In the
core

facility cleaning and inspection and Department to meet compliance standards

drain

waste

management programs with the

forthcoming fiscal year the Stormwater Management Division will continue to conduct programmatic activities and engage in strategic organizational and regionally significant projects and programs including the Citywide Channel Maintenance Environmental Permitting Project Bacterial Indicator Total Maximum Daily Load TMDL compliance planning and implementation San Diego County Municipal Stormwater Permit reissuance process and the Cottonwood Creek Watershed interpretive display project
12 941 Staff has reduced contractual Stormwater costs in FYI 1 to realize a savings of 7 to the 12 Overall FYI 1 costs are increasing a modest 2 which is attributable to division budget

normal personnel cost increases and there

13 FY12

are no

significant changes

s to the Division

budget

in

Parks and Recreation The overall

11 to

Department
General Fund

departmental

operating budget

is

of

232 076 477 4 a total of 123 13 117 194 or 4 for FYI 2

or

8 2 for FYI 1 and 12

844 353 increasing from 4 in FY10 to 4 a total 193 671 increasing

responsible for directing and supervising all divisions of the Department and providing a variety of administrative services including leases and operating of capital agreements contract management grant procurement and administration design financial planning accounts receivable projects advanced park and facility planning budgeting and payable special project management concession management program registration special operations permits processing management of the contract for animal services including dead animal removal and sitting on the board of the Encinitas Ranch Golf Authority This Division also provides administration of the Sister City Program and provides support for the Parks and
The Administration Division is

Recreation Senior and Youth Commissions This Division will maintain a vacancy in the 0 000 authorized Management Analyst 1 FTE position at an annual savings of over 78 Staff is insurance premiums 000 proposing a 5 increase to the budget for special operations permit There is offsetting revenue for the insurance paid by event producers so there is no net impact to the City General Fund as a result of this increase s
The Park Maintenance Division is

landscape maintenance and repair of park 55 63 facilities 10 miles of streetscapes 86 acres of open space and 334 acres of developed and this Division is responsible for administration of park capital undeveloped parkland In addition improvement projects which include bidding process contract preparation and construction oversight The Division also provides staff support to the Parks and Recreation Commission Staff is proposing a 26 increase to the budget to replace aging monument signs and for 900 13 000 increased tree and plant replacement and irrigation repairs For FY12 170 has been included for approximately six months of maintenance on the Hall property park site

responsible

for

The Beach Maintenance Division is

responsible

87 for maintenance of approximately 47

acres

of

beaches and

capital project administration

for all beach related

administration includes obtaining

Jsl appropfff p r

and

projects Capital project permits monitoring the bidding

32

Attachment C

Staff is proposing a 16 000 process contract administration and construction oversight increase to the budget to replace aging monument signs for increased tree and plant replacement and

irrigation repairs

and to

perform

beach

access

stairway structural

audits

responsible for a variety of recreational trail maintenance 4 activities for 40 miles of developed recreational trails and all City trail related projects This Division is used to track direct costs associated with implementation of the Recreational Trails Master Plan approved by City Council in April of 2002 Division responsibilities also include trail development trash pick brush clearing erosion control signage and sign maintenance up 500 and other maintenance activities as required Staff is proposing a 21 increase to the budget materials to include fencing decomposed granite and for new trail maintenance and associated
The Recreational Trails Division is

trail markers The Recreation Services Division is

responsible for planning

and

administering recreation

services and programming for youth teens adults and senior citizens In addition the Division is for planning and implementing citywide special events such as the Holiday Parade

concerts the Easter Egg Hunt Pet Health Expo Senior Information Fair and the Encinitas 5K Other tasks include field use scheduling providing staff support for the Youth and
summer

responsible

family enrichment programs teen expos and open gym The Division also administers the Recreation Program Division Fund 146 which programs provides recreational educational and sports activities on a fee for use basis Staff is proposing a due to become Payment Industry PCI compliant with the increase to the Card
Parks and Recreation Commissions
cost includes

000 35 budget The s line City on program registration and payment processing platform for the Department
annual maintenance and transaction fees

Operations and Maintenance Division is responsible for the operations Community and Senior Center at Oakcrest Park The facility provides recreational educational social and civic opportunities to the residents of Encinitas A wide include concerts variety of activities and events are available to people of all ages Activities recitals seminars and workshops instructional classes wedding receptions community group and clinics meetings teen special programs festivals indoor youth and adult sports leagues citizen outreach services family preschool activities senior citizen activities and events senior enrichment nights children and teen after school activities and community special events The Division also provides staff support for the Senior Commission The budget in this division increased slightly in both years due to normal personnel cost increases Staff is also proposing an 800 increase to the budget due to increased fuel costs
The Community Center and maintenance of the

The Parks and Recreation

of

Department

also

oversees

the contract with the

County

of San

Diego

Animal Services Service includes dog licensing emergency medical care for Department of lost licensed dogs public stray injured dogs and cats adoption services owner notification rabies prevention enforcement of local and state animal education and informational programs from laws spay rebate and referral programs and kennel licensing Dead animal removal neuter contract with a private way of public streets property and right is provided through a separate in funding for the annual Pet Health Expo from this firm Staff is proposing moving 1 400 Division to the Recreation Services Division as this event is now produced by the Recreation
Division

ITEM J1

33

Attachment D

Other Discussion of City Funds

Self Insurance Fund 113

provides the City of Encinitas with coverage for liability workers compensation unemployment property damage vehicles separation pay and other miscellaneous exposures City Departments are charged and premiums based on employee payroll as a means for funding the workers compensation
The Self Insurance Fund functions
as

the internal insurance company which

unemployment
Revenue

insured self program

charged
target

reserves

The fund revenue consists of workers compensation and unemployment premiums s to each City Department and insurance dividends To meet expense obligations and the the fund also receives an Interfund Transfer from General Fund The transfer

is calculated

annually

The

reserve

transfer has been calculated

000 675

the increased costs in

in FY12 The transfers represent an increase from 13 expenditures and funding

12 711 692 in FYI 1 and s prior year contribution to cover

at

time 12 193 615 Expenditures The overall expenditure plan is projected at 1 in FYII a one increase of 61 over the prior year due to an anticipated increase in costs in workers 385 13 is 1 which 077 536 compensation and unemployment The proposed budget for FY12 The decrease in budget is due in part to 116 represents a decrease of 79 over the prior year 12 reduction in workers compensation unemployment and liability premium Beginning FYI 1 a liability self insured retention SIR of 500 in place of the previous 000 the City will assume 000 150 SIR which in turn reduces the overall liability premium costs There is adequate funding in the Self Insured Fund for the assumption of the higher SIR The projected ending 13 837 12 242 833 625 balance of the Self Insured Fund for FYI 1 is 2 and FY12 2

12 Beginning FYI 1 the workers compensation premiums and unemployment premiums been adjusted as follows and are reflected in all citywide expenditure plans

have

City

District Workers
as a

Unemployment

11 FY10

12 FY11

13 FY12

Premiums

percentage of payroll

City

Workers

Comp Classification

11 FY10

12 FY11

13 FY12

7706 Fire Safety

8810 Office

80 5
00 1 55 1

25 7 25 1

Employee
Municipal Employee

9410 Non Manual 9420 Manual

75 1

Municipal Employee

30 4

50 5

ITEM J1

34

Attachment D

The Water District is insured with the Association of California Water Agencies Joint Powers Insurance Authority ACWA and is not part of the City Self Fund Water s Insurance JPIA

District

premiums as

year percentage of payroll will increase during the next two period

as

follows

District Workers

Comp Classification

11 FY10

12 FY11

13 FY12

7520 Manual Water 8742 Meter Readers

8810 Office

Employee

60 4

10 5
A N 01 1

03 1
90 0

Employee

Recreation Fund 146 The Recreation

to

Programs Fund provides for a variety of recreational educational and sports activities community on a fee for use basis Fees are designed to cover all direct program costs such as contractual staff services supplies and other related expenses Programs ranging from Pitter Patter Painter and Toddler Time to Ballroom Dance and Yoga are provided through
the
this division

000 to bring 000 proposing increasing revenues 136 and increasing expenditures 146 10 10 revenues and expenditures in line with FY09 actuals Since FY09 staff has implemented new programs including Beach Kids Super Movers Team Challenge Camps several successful 12 000 and Wonders Science For FYI1 staff is projecting a positive net of 91 for the fund and a positive ending fund balance as well
Staff is

Improvement Fund 152 After careful analysis and consultation with the City external auditors it has been determined s that the use of this fund as a separate tracking device is no longer needed It has been used as for funds a 1 a pass through for debt services payments on the Civic Center and 2 depository earmarked for Civic Center improvements Both of these items can be accomplished through the General Fund at this point Over the years this Fund has built up an unappropriated balance of about 330 These excess funds are scheduled to be transferred to the General Fund 000
Civic Center effective June 30 2011

Senior Nutrition Program Fund 221 The Parks and Recreation department tracks expenditures associated with the senior nutrition for local seniors and is funded through a grant from the program The program provides lunches efforts and a City Council County of San Diego donations from seniors other fundraising to 46 transfer from the General Fund of 539 Staff is proposing reducing both

approved
revenues

up

500 5

and

796 expenditures 5
Block Grant

based

on

prior

year actuals

Community Development
Funds 222 and 227

CDBG

and HOME Investment

Partnership

CDBG and

HOME funds

are

S federal entitlement grant funds from the U Department of

Housing

and Urban

Development

I eWed HUDJ1rEMy for certain community projects ant

Attachment D

activities

The

City

conducts

an

evaluation each year

to

identify which projects

will receive

funding

CDBG 12 771 390 is anticipated in both FY11 and 13 FY12 In addition to the annual funds staff recommends the reallocation of funds from 965 previous years totaling approximately 23 The City will utilize the funds on its Residential Rehabilitation program and Capital Improvement Projects specifically the Santa Fe Sidewalk Improvements
For the CDBG

program

HUD

funding

of

HOME
12 HOME program HUD funding of 205 is anticipated in both FYI 1 and 150 In addition to the annual funds staff recommends the reallocation of funds from 874 previous years totaling approximately 473 The City will utilize the funds on its Residential Rehabilitation program
For the

13 FY12

874 additional information on the reallocation of the 23 for CDBG and the 473 for 965 dated March 16 2011 Public hearing and funding see HOME please agenda report 12 recommendations for the FYI 1 Community Development Block Grant CDBG and HOME Investment Partnership HOME programs
For

Educational Governmental Access Fund 228

This fund tracks

or public access educational and government franchise agreements This fund supports provider PEG access to governmental and educational programming through the acquisition and maintenance of technical infrastructure This includes audio equipment in City Council Chambers visual in the video control room and the City Institutional Network I Net broadcast equipment s
revenues

and

expenditures

for the

monies received from video service

infrastructure

Revenue The
are

T City collects PEG fees from Time Warner Cable and AT The PEG payments and revenues are projected to remain stable T received quarterly from Time Warner and AT
two years

over the next

Expenditures
11 FY10
to

Annual

operating expenditures

are

expected

to

decrease

slightly

from

428 49

in

618 48

13 for FYI 1 and FY12 12

ITEM J1

36

Attachment D

Development Impact
Staff has based
13

Fee Funds

revenue

estimates

on an

assumption

12 of 32 units per year for FYI 1 and FY12

Development Impact
Funds

Fee

11 FY10

11 FY10
Year Mid Review

12 FY11

13 FY12

Approved

projections

Projections

Park 231

Improvement

Fees

Fund

694 59
246 74 470 494
821 159

654 124 246 74 265 840

541 334

187 76
150 35 758 145

187 76 275 48 028 224 838 203

Flood Control Fund 232

Traffic 233 Park

Mitigation

Fees Fund

Acquisition Fees
Fund 235

Fund

838 203
815 13 524 3 272 18
092 64

234

Open Space

Recreation Trails Fund 236

Community Facilities
237

Fund

763 10 741 2 275 14

892 39

607 22 765 5 263 30

815 13 524 3 272 18

584 39

Fire Mitigation Fees Fund 272

395892

Landscape District ELLD Fund 295 The City ELLD assesses property owners for the operation and maintenance of roadway wide ways of landscaping street lighting and traffic signals located within the street right of the City Revenues include a share of the 1 property tax assessment fees and investment earnings Some of the larger expenditures include contract services for traffic signal maintenance street light maintenance property maintenance landscape and tree maintenance and utilities such as electricity and water
wide City
Encinitas

Lighting

and

Revenue

Similar to the General Fund staff is

FYI 1 and 12

13 FY12 and investment

revenue

projecting a earnings projections

1
are

growth
flat

in

property
no

taxes for

There is

change

to

assessment fee

Expenditures
in FY10 to 11

Annual

operating expenditures are expected to decrease slightly 13 12 369 263 723 233 1 in FYI 1 and increase to 1 in FY12
a

from

014 240 1

The reduction is

mainly

due to

decrease

in

the Internal

Cost Allocation

Increases to Traffic
to

Signal

Maintenance and Tree Maintenance have been offset by savings

12 Significant electricity savings are anticipated in FY2011 from a s replace 20 of the City street light fittings with energy efficient LED lighting The project should be completed by Summer 2011 The budget also includes the last two years of a four in the next two year program to replace red and green LED lights in traffic signals Included of the battery replacement program 25 a year for four years for year budget is a continuation the Uninterrupted Power Supply UPS system to keep traffic signals operational during power

electricity and water federally funded project to

outages

ITEM J 1

37

Attachment D
The fund balance in the

citywide

zones

years While the fund will continue to

has been continually declining over the past number of have a positive year end fund balance during the next two

fiscal years future revenue projections indicate that the Citywide zones will have expenditure insufficient revenues and fund balance to offset expenditures beginning in FY13 this will 14 either require an increase in assessments reduction in services or other financial subsidy of the
zone An assessment rate

increase would require

ballot

measure as

outlined

by Proposition

218

Landscape and Lighting Act the Engineering Services Department prepares and files an Annual Report also referred to as an Engineer Report that outlines the s proposed operating budgets projected revenues assessments and methodology for apportioning assessments for each of the City landscape and lighting zones After the preliminary Annual s adopt Report is filed the 1972 Landscape and Lighting Act requires the Council to a resolution the intent of the Council to levy and collect assessments for the ELLD and set a date declaring for a public hearing This Resolution of Intention must then be posted at least 15 days prior to the public hearing This process is held separately but concurrently with the budgeting process
Pursuant
to the 1972

Other ELLD Funds

Funds 290 291 292 and 296 provide funding from levied assessments for localized landscaping and park improvements that were approved as development or subdivision map conditions Fund 297 provides funding from levied assessments for street lights traffic signals and for

maintenance of Las Verdes Park and Leo Mullen Sports Park within the Encinitas Ranch specific plan area No major projects are proposed for any of these funds in the next two year budget

Village Park MID Fund 290 A 1 reduction to water costs 555 expenditures
Villanitas MID Fund 291

is

being proposed

for this fund

resulting

in

savings

to

proposing a 495 increase to the budget due to increased tree maintenance cost Revenue projections are reduced by 5 due to lower than anticipated investments earnings There are no other significant changes being proposed for this fund
Staff is

Cerro Street MID Fund 292

368 proposing a 3 reduction to expenditures due to reduced water costs Revenue 656 projections have been decreased by 1 due to lower than anticipated investment earnings and lower supplemental property taxes
Staff is Wiro Park MID Fund 296
A 647 reduction to

Allocation There

are no

expenditures is proposed due to reduced water costs significant changes to revenue projections

and lower Internal Cost

ELLD Zone H Fund 297

A

214 39 reduction

to

expenditures

is

Internal Cost Allocation There

The and

are no

being proposed due to reduced water costs significant changes to revenue projections

and lower

Engineering Services Division will be holding a public hearing to adopt projected revenues expenditures plans for all Citywide Lighting and Landscape Districts per the provisions of the Landscaping and Landscape Act of 1972 This process is held separately but concurrently with the budgeting process 38

ITEM J1

Attachment D

Sanitary Divisions
See

Cardiff and Encinitas

Budget

Summaries

Attachment A

Sanitary Divisions provide wastewater collection and treatment majority City A Master Plan update which included a condition and a recommended Capital Improvement Plan was completed for assessment system mapping both of these Divisions in April 2011 A rate study and financial plan providing for the financial resources necessary to fund long operations and capital needs of each Division will be term FY 11 12 completed during
The Cardiff and Encinitas services to the of the

Sanitary Division Funds 501 through 506 600 Sanitary Division CSD serves a population of approximately 19 residents in the southern and easterly portions of the City including most of Cardiff and Olivenhain There are approximately 84 miles of sewer mains in the Division The annual sewer service charge for customers is based on a percentage of each customer water consumption The rate structure has s four different classifications under which customers are grouped
Cardiff The Cardiff

Sewage

flows to and is treated at the San with CSD and the

2695 Manchester Avenue

The treatment

Authority SEJPA plant

Revenues

Facility SEWRF located at managed by the San Elijo Joint Powers plant of Solana Beach each owning 50 interest in the City Elijo
Water Reclamation

is

5 Services related to water usage are projected to increase 2 from 12 11 FY10 to 4 in FYI 1 and by 4 in FY12 to 4 Investment earnings 13 301 475 626 658 are expected to remain at historically low levels for at least another year and possibly longer and

Charges

for

have been flat lined for the remainder of the six year

plan

Expenditures Sewer treatment costs at the San Elijo Joint Powers Authority pump station operating and maintenance costs and city line maintenance costs are expected to remain stable during the next two year cycle Increases in insurance premiums are expected in both years 12 There are 2 of Capital Projects proposed in FYI 1 and 2 in FY12 507 390 13 119 100

Sanitary Division Funds 521 through 524 500 Sanitary Division ESD serves a population of approximately 16 residents in the westerly portion of the City There are approximately 39 miles of sewer mains in the central Division The annual sewer service charge for customers is based on a percentage of each s customer water consumption The rate structure has four different classifications under which customers are grouped
Encinitas The Encinitas

Sewage

flows to and is treated at the Encina Wastewater

A Joint Powers that
serves

Authority EWA

treatment

facility in

Carlsbad

plant

ESD

EWA treatment

pays plant

agencies manages the treatment Authority 4 maintenance approximately 84 of the operating and capital costs of the
six member

ITEM J1

39

Attachment D
Revenues s ESD
revenue

13 8 12 5 includes rate increases of 3 in FYI 1 and 2 in FY12

However these increases combined with

will result in
ESD
are a

very

slight
to

reduction in

expected

decrease

anticipated reduced flows due to water conservation 13 Charges for Services in FY12 Connection fees in Similar to the CSD investment earnings are substantially
low levels for the foreseeable future

expected to

remain at
ESD

historically

Expenditures

expenditures have projected contract cost increases for sewer treatment at the Encina Wastewater Authority insurance premiums and city line maintenance costs There 13 Projects 12 are 1 of Capital Projects proposed for FYI 1 and 1 in FYI 2 576 360 956 501 are related to the Division share of capital projects at Encina Plant and Batiquitos Pump s owned Station which is co by the ESD and the Leucadia Wastewater District

San Dieguito Water District Funds 531 through 539

Chapter

5 in

Budget

Document

White Binder

Budget Summary
The San

also included in Attachment A

9 Dieguito Water District District services an area of approximately 8 square miles water to the western areas of the City The District serves approximately and provides potable 500 400 11 connections or a total population of 38 The District was originally formed for the of developing an adequate water supply for landowners and residents of the area In purpose 1948 the District Board of Directors voted to become a permanent member of the San Diego County Water Authority SDCWA the regional water supplier and the Metropolitan Water District of Southern California MWD to become eligible to purchase water transported into San Diego County via the infrastructure of the two agencies The District also partners with the E Santa Fe Irrigation District SFID in ownership of the R Badger Water Treatment Facility in order to take advantage of a local raw water supply from Lake Hodges

primarily adjustments increasing cost of purchasing water from SDCWA and increased water treatment costs For this and year two budget cycle the District is estimating purchasing 60 of its water from SDCWA utilizing its local water supply for the remaining 40 of its supply needs SDCWA estimates 12 that untreated water costs could increase anywhere from 8 to 18 in FYI 1 and from 5 to 8 in FY12 Given these estimates the District is budgeting for a 15 increase in SDCWA 13 13 5 12 water purchase costs in FYI 1 and a 7 increase in FY12 Furthermore it is anticipated 12 13 300 AF more water in FY12 than in FYI 1 and see a small that the District will purchase
increase in water treatment costs

The District last conducted a Water Rate Study in 2009 which determined water rates for calendar years 2010 and 2011 A new Water Rate Study is anticipated to be completed late in calendar year 2011 which will determine the next series of water rate adjustments if needed are needed to generate additional revenue to account for the Water rate

12 FY11 the District is reflecting a reorganization to consolidate functions and increase efficiency A new Division titled Customer Services 5313 has been created to house the utility billing water conservation and other administrative functions leaving the Administration Division 5311 to capture District costs and services The reorganization also includes the wide 0 0 elimination of 1 FTE Engineer II the addition of 1 FTE Program Coordinator as well as the
In

ITEM J1

40

Attachment D

reclassification of the Assistant

III to
a

Program Administrator The net number of positions in the Department

Superintendent to Superintendent and the Management Analyst impact of these personnel changes is zero change in the

12 The District has created a new Fleet Replacement Fund 539 in FYI 1 to separate its Vehicle time and Equipment Replacement funding from that of the General Fund A one transfer from s to 12 FY11 transfer the District share of deposits funds 693 and 694 into fund 539 will occur in

from the General District will Fleet The

Replacement Fund to the District Replacement develop its own fleet replacement schedule Deposits Replacement Fund will be made according to this schedule

Fund
into and

In future years the purchases from the

12 000 130 000 815 budget includes 2 and 1 in capital and work projects for FYI 1 and 12 New projects for FYI 1 include updating of the Districts Recycled 13 FY12 respectively s Water Rules and Regulations replacement of the District Utility Billing System and an update 13 of the District Rate Study No new projects are scheduled for FY12

supplies recycled water obtained from the San Elijo Joint Powers Authority s SEJPA for landscaping and government use along the District recycled water infrastructure 12 The District is anticipating slight increases in recycled water purchases and sales in FYI 1 and
The District also
13 FY12

Debt Service

figures

are also included in the District

Budget

ITEM J1

41

Attachment E

Summary of Personnel

E T time The number of employees is measured in full equivalent F units One F works E T full time 2080 hours per year For fiscal year 2010 the City and Water District total 11 9 s E T authorized full equivalents is 236 The F are allocated by department as follows time

Department City Clerk City Manager

Finance

11 FY10 00 5 35 27
90 11

12 FY11 00 5

35 27
90 11
75 26 00 63 25 54 42 27

Planning
Marine Fire Safety Public Works

75 26 00 63 25 54 47 27
18 21

Engineering
Recreation Parks Total

18 21
85 236

90 236

The

City provides

number of services

by

contract and sets

service performance standards

but

does not dictate the number of persons required to implement the service Where the number of persons providing the service is known we have provided the information below

Law Enforcement

provided through
Patrol

contract with the

County of San Diego

Deputies Deputies Motorcycle Deputies Special Purpose Officers Community Service Officers Sergeants
Traffic Detectives Detective Total

59 25 90 5 00 4 80 5

50 3

67 4
00 6 60

Sergeant

06 56

Building Services provided by Esgil Corporation

Building Official Building Inspector
Counter Staff 00 1 90

50 1 40 3

Total

ITEM J1

42

Attachment E

Engineering Inspection

Services

provided by Geopacifica
89

Inspector Engineering Inspectors

Geotechnical Consultant
Total

Clean Water

69 1 45 03 3

Legal Services provided by

1

Sabine

Morrison
as

Attorney on retainer additional attorneys

and Senior Center

needed

Community

Operations

contractual time 13 Part staff at any given time to assist the public with facility rentals and events and also provide general customer services and support for center operations staff serve on an as needed basis and typically do not
maintain a permanent work Recreation Services
9 fart contractual staff at any time contractual time staff serve on an

These part contractual time schedule

given
as

time to assist in event

needed basis and

production These part typically do not maintain a

permanent

work

schedule

Seasonal Lifeguard Services

40 Ocean

hazardous

lifeguards contract employees for summer beach coverage conditions coverage and Jr Lifeguard program instruction

season off

Other Contracts include

Custodial Services Blue Moon Community Center Senior T Janitorial Park Restrooms PW Yard and Library T

Busy

s B

Civic Center

City parks and beaches parking lot cleaning Canon Pacific Landscape Maintenance Excel Landscaping City Parks Beaches and Streetscapes Blue Skies City Parks Beaches and Streetscapes Pinnacle Landscaping City Parks Beaches and Streetscapes K Landscaping PW Yard R
Tree Maintenance

West Coast Arborists

County of San Diego excluding dead animal removal Dead Animal Removal D Disposal Cannon Pacific Street Sweeping and Sidewalk Power Washing Maintenance Southwest Signal Street Light and Traffic Signal Vegetation Management County of San Diego Probation Crews Traffic Striping and Legend Painting Orange County Striping Services Inc
Animal Services

Concrete

Repair

Victor Concrete

ITEM J1

43

Attachment E

City Manager Department is responsible for conducting routine maintenance on the City of Encinitas position classification system Human Resources has divided the City position classification system into 3 different occupational categories job s families and each year conducts a Classification Maintenance Project which reviews one of the three categories This enables Human Resources HR to maintain the City position s on a 3 year cycle The schedule for the Classification Maintenance Project classification system is intended to coincide with the City budget cycle Below are findings from the results of the s FYI 0 Classification Maintenance Project 11
The Human Resources Division of the
As part of the

classification and compensation program the City HR Division has performed s

the Classification maintenance

Project

11 2010 with the

following

results

Fire

Department Safety Captain

Grade

Marine

Pa Current Classification

Marine Safety Captain

Grade 44

Pa Proposed Classification Marine Safety Captain

Grade

Grade 44 HR did find the Marine Safety Captain classification level of duties to more accurately reflect management category criteria This management category of employment is Will considered an At employment position The current incumbent will retain his current employment property rights but upon vacancy of the position the classification
Will will be considered At status Other will

management category employment provisions

July 1
2011

apply

to this classification effective

Fire Marshal

Pa Current Classification
Fire Marshal

Grade

Pa Proposed Classification Grade Fire Marshal Fire Prevention Battalion

Grade 61
HR did find for

Chiefi
Grade 61

changing

the title used for

Fire Marshal Grade 61 to Fire Marshal

Fire

Prevention Battalion

Chief
the

Grade 61 to reflect
or

job
some

title

Encinitas Fire Department and title conventions used by

The intention is not to Fire

preference of the other fire departments

change Marshal but rather to provide honorary the management hierarchy of the Fire Department This position will continue

identified level

nature of work for the Encinitas identification for the Fire Marshal within
to be

excluded from the provisions of the Firefighters Procedural Bill of Rights and Labor Code Section 4850 after the title change becomes effective Jul 1 2011

ITEM J1

44

Attachment E

City Manager Department Information Technology Division

Information

II Technology Project Manager I

Grade

Pa Current Classification

Proposed
Grade 43

Pa Classification

Grade

Information Technology 44 II I Grade 43

Project Manager

Information Technology
Information Grade 44

Project Manager

Technology Supervisor

did find in its review for 2 of existing positions of the Information Technology Project Manager II Grade 44 be reclassified to an Information Technology Supervisor classification at Grade 44 The new Information Technology Supervisor classification is responsible for the administration of separate fields within the Information Technology Division Operations Applications and Geographical Information Systems The 44 Information Technology Project Manager I Grade 43 is recommended to become a II level classification of Information Technology Project Manager Grade 43 One single existing position of the Information Technology Project Manager I Grade 43 to remain in the single level classification at the current Grade 43
HR

Proposed Reorganization
The

Information Technology Division

Technology IT Department requested HR to include their proposed organization departmental re in the annual Classification Maintenance Project IT submitted their for proposed changes in structure and classification duties to HR review
Information
s If the IT Division

proposed reorganization is approved by

the

budget authority

HR

findings

are

as follows
Information

Technology Analyst

III II I

Pa Current Classification

Grade III

Pa Pro posed Classification

Grade

Information Technology
Grade 42

Analyst

Information
Grade 44

Technology Supervisor

s organization HR did find in its review of Information Technology Division proposed re for reclassification of 1 of the 4 current Information Technology Analysts III Grade 42 to Information Technology Supervisor Grade 44 The new title will more

position

accurately

reflect the

proposed

duties

required

of the

position

and the

proposed

organizational

structure
Public Works

Proposed Reorganization
The Public Works

Department

organization
changes

in the annual

PW Department requested HR to include their proposed departmental re Classification Maintenance Project PW submitted their proposed

in structure and classification duties to HR for review

ITEM J1

45

Attachment E
If the Public Works

San Department Dieguito

are as

Water District reorganization is

approved by

the

budget authority HR findings

Assistant

follows

Superintendent
Grade

Current Classification Pa
Assistant

Pa Proposed Classification Grade

Superintendent

Superintendent
Grade 45

Grade 42

HR did find in its review of the Public Works proposed re for a reallocation organization of one of the 2 existing positions of the Assistant Superintendent Grade 42 be reallocated
to

management proposed addition of the mid duties of overall water system infrastructure operations to the already established day to day administration of San Dieguito Water District water distribution system operations
Superintendent
Grade 45 due to the

111 11 Management Analyst I Pa Current Classification

Grade

Management Analyst
42 25 Grade 24

III II I

Pa Proposed Classification Grade Program Administrator

Grade 43

organization proposed re for a reallocation of 1 of the 2 existing positions of the Management Analyst III Grade 42 be reallocated to Program Administrator Grade 43 due to the nature of the duties including utility billing district budgeting and supervisory responsibility for water conservation programs and technical staff Rather than create a unique classification at the utility billing finance 41 or 42 for the mixed duties assigned to this position it is supervisor pay grade consistent with the City of Encinitas use of the consultant designed broad classification of Program system to align the occupational definitions used for the existing broad class Administrator to accommodate the budget requirements managing the rate setting process and utility billing function duties assigned to this position upon reorganization
HR did find in its review of the Public Works

Engineer

II I Grade

Current Classification Pa

Engineer

II I

Pa Proposed Classification Program Coordinator

Grade 22

Grade

45 Grade 44

HR did find in its review of the Public Works proposed re for a reallocation organization 45 of the existing position of the Engineer I Grade 44 to Program Coordinator Grade II

Proposed reorganization duties to be assigned to this position will require technical administrative leadership and unique water district administrative knowledge necessary to resolve procedural ambiguities and advance program operations in unusual situations
22

ITEM J1

46

Attachment F
Summary
Each year City Management
This list is then of

Capital Improvement Program

prioritizes all existing and proposed capital projects against a set of criteria presented to the City Council at their Strategic Goal Setting Session Projects prioritized are divided among four categories Core Infrastructure Projects Projects Substantially Underway or With Restricted Funding Projects Beyond Six Years and All Other Projects The first three categories are exempted from the prioritization process Core Infrastructure Projects are automatically considered highest priority for funding and are therefore exempted from the prioritization process They include the following projects Annual Street Overlay Program Storm Drain Repairs Traffic Signal Upgrades IT System Replacement including replacement of the City mainframe system H E T s that are substantially underway or have restricted funding are also exempt from the process Projects because their funding is not available to be redirected to other projects Projects beyond six years fall outside of the timeframe of the six program and therefore are not competing for funding year remaining projects are subject to the rigorous prioritization process submitted to Council and s then groups into Priority Tiers Once endorsed by Council staff then works to fund Council highest priority projects Below are the Priority Tiers endorsed by Council at their most recent Strategic Goal Setting Session Total Proposed Project Additional Estimate Appropriations Project
All other
TIER I
Hall Property Park Development Site Hall Property Park Off Improvements Safe Routes to Schools
Phase I

299 437 20 305 295 3

Ongoing Crossing
Santa Fe Drive

Grade

Separated

Pedestrian Rail

Improvements

Vulcan 101 Leucadia Blvd Avenue

769 604 6 000 500 1

754 287 12 000 200 481 989 3 769 604 6 290 501 1
013 561

Funding 994 062 1

305 095 3 000 200 1
0

Recreational Trails

Development
Streetsca
e

Ongoing
TBD

000 90
0

Moonlight
N Coast Earl

Beach

Design and Development

Hwy 10 1

000 150 5
TBD

Habitat Multi Conservation Plan

El Camino Real Storm Drain Channel

000 907 1
TBD

922 674 2 000 200 3 980 92 000 650

0

Way Side Horn

TIER 2

Warning System

000 950 1 600 375 000 257 1 000 150

3 Additional Grade

Separated

Pedestrian Rail

Crossings

TBD

Facade Improvement Program Playground Equipment Replacement Cottonwood Creek Outfall Replacement Open Habitat Space Acquisition Traffic Safety and Calming
Arroyo
Drive Storm Drain

Ongoing

000 155
0
0

000 15
000 450
0

Ongoing
000 700 Ongoing Ongoing

397 020 1 272 056 1

0
0

000 690
0

Facilities

Capital Replacement

Master Plan

Study

000 200 000 65

000 200 000 65

ITEM J1

47

Attachment F
TIER 3
Leucadia Boulevard

Housing

Element

Improvements Phase II Update Five Year Cycle

and Median

000 500 3 000 50

TBD

0 0

000 50
0 0 0 0

Cardiff Town Center Storm Drain

El Camino Real

Widening

Replacement Study Imp Design

000 20
0

000 425 5

4th Street Storm Drain Cottonwood Creels Zoning Code

000 800
000 3000 2 000 150 000 50
Plan Review

700 505 000 300

0 0 0 0

4th Improvements 2nd Streets

Update
Leucadia Specific

000 150

Downtown Encinitas S ecific Plan Review North 101 Corridor

000 50
000 50
0

000 50

Mailing Notification

Application

000 15

NOT RATED
Citizen Satisfaction Survey

Ongoing

000 66

Priority Tiers as a guideline staff has made several modifications to the Capital Improvement Program It is important to note that the Capital Improvement Program is a planning document and only includes those projects for which funding is proposed in the six timeframe Projects that are already year Using
fullv fielded
is
a or

the

do not have

any

2017 arooosed fundiniz in FY2012 do

not aaaear in

the document

Below

summary of all

proposed projects

in the FY2012 2017

Capital Improvement Program including

12 proposed funding for FY2011 and any changes information A detailed discussion of each pertinent in the FY2012 Financial Plan and Capital Improvement Program Black Binder 2017 project is included

comprehensive status report of all active projects was presented to Projects that are highlighted have been modified or have been newly adopted Council Capital Improvement Program
A
CONSULTANT S ERVICES STUDIES

Council in

February

2011

added since the issuance of the last

Project

FY2012

WORK PROJECTS Pertinent Changes Information

Community Satisfaction

Proposed Funding 000 20

This is other

newly
to

Survey NEW
Facade Improvement
Incentive Program Finance Studies Fees and
0

year

proposed program that is to be conducted every obtain public opinion and feed back on City provided
rogratnmed in FYI 1 13 and 15 16 12 14 is

services Funding is
No
No

proposed changes Proposed funding

programmed

ever other

year

000 60

Liabilities
Traffic

Signals Red Light Replacement Early MHCP

Green LED
Im lementation Pro

and

800 28

proposed changes Proposed funding every other year for Fee Update No proposed changes This project is a four year program to replace red and green LED lights in traffic signals FYI1 is the third 12
Studies and GASB 45 Actuarial
year

the of four

year

program

600 62
grarn

No

proposed changes
a

Zoning

Code

Update

0
0

This is

newl

proposed project Funding

for the study has been

NEW
Downtown Encinitas

added in FY14 and FY15 15 16 Newly

Plan Revlevy

Specific
NEW

proposed project City Council goal is to evaluate the Specific Plans following the General Plan consistency Funding
is

in

13 FY12 Element Five Year

Housing
Cycle

Newly proposed project Funding

4 11
I I L ivi

proposed

in FY 14 15
A 0
ru

NEW

j rr

Attachment F
North 101 Corridor

Newly

Leucadia Specific Plan Review NEW

proposed project Specific Plans following

a

City Council

goal

is to evaluate the

the General Plan consistency

contract

Funding
with

for

the study has been added in FY 13 14

Non Management Attorney Representative for Union Negotiations with the ERA
and SEIU NEW SDWD Rate

560 35

This is

newly proposed project for

unions

employee

expected

to

begin

in

negotiations August 2011

Studv

000 125
000 40

SDWD Recycled Water

Rules and

Regulations Update NEW SDWD Utilitv Billing System Replacement Project

SDWD Urban Water

12 000 Updates programmed for FYI 1 125 1 000 000 150 and FY15 100 Newly proposed project to review and update the Districts Recvcled Water Rules and Regulations along with the Districts

Water Rate Study

14 FY13

Administrative Code to be consistent with current State guidelines

000 150

Newly
Utilitv

proposed project for soffivare and implementation of a Billing System to ensure integration with the City s new hiring a consultant to complete the Management Plan UWMP that is required Funding is proposed in FY 14 15
for

ERP system

This

project provides
five
vears

Management Plan NEW

FY2015 Urban Water

even

INFORMATION TECHNOLOGY PROJECTS

Project

FY2012

Pertinent Changes

Information

Digital Topography GIS Basemap Updates Technology Replacement

Project
E T H Systems

Proposed Funding 000 50

Now includes

newly proposed project

to map easements from

plat

maps and City Clerk records Additional 13 16 proposed from FY12 until FY15

funding

for this effort is

600 163

Project objectives and funding requirements have been updated

This is
an

ongoing

prograrn to

replace

outdated

technologN

equipment
0

Additional
A

permitting

14 I5 system costs in FY13 and FY14 that will

Replacement Project
Educational Governmental Access

000 73

newly proposed project

Project

maintenance of audio visual

provide updates and equipment in City Council Chambers

and the City s

Equipment Update

broadcast

Institutional

equipment in the video control room Net I Network infrastructure

DRAINAGE PROJECTS

Project

FY2012

Pertinent Changes

Information

Proposed Funding
Storm Drain
Storm Drain

Repair

Fund

000 250
000 257 1

No

El Camino Real Channel

proposed changes Additional funding to repair provide drainage course improvements and re of new channel improvements vegetation
This is
a

Improvements Repairs
Arroyo Drive Storm Drain

Tier 2

project

and additional

funding

is scheduled in

Phase II NEW

Bevond 6

years

ITEM J1

49

Attachment F
WASTEWATER PROJECTS

Project

FY2012

Pertinent Changes

Information

CSD Share of Capital

Proposed Funding 163 492

Capital

contributions have been

updated

to reflect the latest

figures

Improvements Elijo Water Reclarnation Facility SEWRF ESD Share of Capital Improvements at Batiquitos Pump Station ESD Share of Capital Improvements at Enema
CSD Master Plan

at the San

received from SEWRF

000 50

No

proposed changes

to this

project

406 497 956 607 1 550 954

Capital

contributions have been

updated

to reflect the latest

figures

received from Enema Wastewater Authoritv

Implementation
ESD Master Plan

Implementation

Figures are updated annually operational priorities Figures are updated annually operational priorities
PUBLIC FACILITIES

after review of infrastructure and after review of infrastructure and

Project

FY2012

Pertinent Changes

Information

Civic Center

Improvements

Proposed Funding 000 100

000 65

Funding temporarily
New

reduced

pending completion

of proposed

Master Facilities Plan

Facilities Master Plan

project
project

to

NEW
Secondary EOC

maintenance and

provide finding for a study to determine capital need for City owned facilities
emer
g

Setup

000 184

New

to fund installation of an

ency

NEW
Library HVAC

generator and fiber

network cable at the PW Facility

Upgrade

000 130

Additional

funding

for

upgrades

to the

existing

HVAC System

NEW
PA RKS

BEACHES PROJECTS

Project

FY2012

Pertinent Changes Information

Proposed
Fundin6

Hall

Property Park

299 062 1

Funding
this

has been modified to accommodate

to the Hall

anticipated

construction

Open Watershed Habitat Space Acquisition

000 115

Recreational Trails Standard Pacific Park Site

000 30 0

proposed Site Property Off Improvements see Streets and Rail Projects Categoiv Funding proposed in out five years is slightly modified but consistent with prior capital program Amount per year varies due to projected revenue in Open Space Acquisition Fee fund Habitat contributions Overall the amount of fiulding is paid Developer lower than previously programmed No proposed changes No proposed changes

schedule In FYI 1 962 is 12 705

to be transferred from

project

and

Development Playground Equipment Replacement Program

NEW

000 150

Funding

is

proposed

to

replace

play

structure ever other

year

ITEM J1

50

Attachment F
STREETS
RAIL PROJECTS

Project

FY2012

Pertinent Changes

Information

Proposed Funding
Annual Street Overlav
N Coast Hive 101

000 200 1
000 650

No

proposed

changes
FYI 1 FY12 12 13

Streetscape

Funding has been moved up to This funding is for the Refined

Avenue

14 FY13

Phase I which includes the La

Costa Roundabout that has been

incorporated

into La Costa

Improvement Project

Safe Routes to
Pathways Schools Program Traffic

000 200
000 50

No
No

proposed changes
proposed changes
for this

Signal

Modifications Hall Site Property Off Improvements Rail

705 962

Funding
address

project

has been modified to coincide with

Quiet

Zone dy

000 300

Chesterfield Avenue

Property Park Improvements mitigation measures required in EIR Newly funded project for design engineering permitting and implementation of a Federal Rail Administration Quiet Zone

construction schedule of Hall

NEW
La Costa Avenue

000 200

Funding

for

design

has been added in FY12 with construction 13

Design Improvements
Downtown Sidewalk

in FY14 The cost of this I5

project will
this

be shared with the Citv in FYI 1 12 of

of Carlsbad

000 375 0

Additional
Newly

finding

to

complete

project

Repairs NEW Intersection Improvements

cr Hivv 101
K Street

proposed project to provide design and construction improvements to this bus stop and intersection Funding is funding
for

NEW
Wav Side Horn

Warning System Highway Rail Grade Crossing NEW

000 150

14 program ed in FYI 3 Newly proposed project with Future

design

in FYI 1 12

funding

in

13 FY12

14 15 FY13 FY14 and FY15 16

would fund construction

WATER PROJECTS

Project

FY2012

Pertinent Changes Information

Water Infrastructure

Proposed Funding 000 600

Improvements NEW

Badger Plant Capital Acquisitions E R Badger CIP

Meter

000 40

projects previously called Water Distribution Line Upgrades Replacement have been merged into this one beginning in FYI 1 12 roject No proposed changes to this project
and Water Valve This No
No

The

000 975
000 100

project

is modified based
to this

on

priorities

identified in the

Badger Master Plan

Replacement

and

proposed changes proposed changes

project project

Automated Program Motorized Actuators for

000 100

to this

Transmission Lines

ITEM J1

51