Live Life Lincoln Live Life Lincoln. Live Life  Lincoln Live Life Lincoln Live Life Lipcoln  MINUTES  CITY OF LINCOLN CITY COUNCIL & LINCOLN REDEVELOPMENT SUCCESSOR AGENCY SPECIAL MEETING MINUTES Budget Workshop April 20, 2021  Budget Workshop  No Physical Location, Meeting conducted electronically on Zoom. CALL TO ORDER by' Vice Mayor Andreatta at 4:00PM.  1.  ROLL CALL: Councilmembers present: Holly Andreatta - teleconference  Paul Joiner- teleconference Dan Karleskint- teleconference William Lauritsen - teleconference Alyssa Silhi- -1 teleconference (delayed/left early) Jennifer Hanson, City Manager - teleconference Kristine Mollenkopf, City Attorney teleconference Jennifer Brown; IT/GIS Manager = teleconference Kathryn Hunt, Library Manager- teleconference Gary LeCheminant, Finance Dir.- teleconference Doug Lee, Public Safety Chief- - teleconference Steve Prosser, Comm. Dev.Dir. -t teleconference Veronica Rodriguez, HRI Manager-t teleconference  Mayor  Roll Call: 5 members present, 0 members absent.  Staff members present:  Gwen Scanlon, City Clerk  Various City employees, consultants and members of the public were also present via  teleconference. 2.  PUBLIC COMMENT ON NON-AGENDA ITEMS - none.  3. STAFF REPORTS 3.A. Budget Presentation  Gary LeCheminant, Finance Director, gave a staff report and revised powerpoint presentation, made a part oft these minutes by mention thereof. A lengthy City Council discussion ensued regarding: Lighting & Landscaping increased costs and decreased service levels; decreased Service Charge revenue and absorption rate; decreased Intergovernmental revenue due to fire callout reimbursement not included in the budget because it is an unknown amount; public safety staffing levels and revenue from Placer County Tax Sharing Agreement and possibly from SAFER grant; Other Post Employment Benefits (OPEB) included in the budget at a lower level than suggested by the City's Actuarial Consultant as Staff needed to meet with them to discuss this issue further; Enterprise fund challenges and need for completion of rate studies; resolution of Placer County not paying their fair share of the wastewater facility (WWTRF) and SMD1 costs; reduced Capital Improvement Projects (CIP) but budget will include five year CIP budget; and CARES and American Rescue Plan COVID-19 relief will be kept separate from budget for tracking. Mayor Silhi left the meeting at 4:59PM and' Vice Mayor Andreatta opened the discussion to the spent. He also stated his concern that public safety staffing should be increased but not against  public at 5:00PM with the following comments:  a)  Albert Scheiber, al Placer County resident, asked how the $600,000 CARES grant was  City Council policy of using one-time monies on ongoing staffing expenses.  600 Sisth Street Lincoln, CA 95648 www.dilincoln.cA.us 916-434-2400    Live - Life - Lincoln Live Life Lincoln. Live Life. Lincoln Live Life Lincoln Live Life Lipcoln  Page 2of2 City Council, Public Finance Authority and Redevelopment Successor Agency Budget Workshop Meeting Minutes April 20,2021  Jennifer Hanson, City Manager, responded the CARES revenue was spent mainly on public safety salary but did include equipment purchased sO that employees could work remotely and assisting businesses sO they could provide outdoor dining. She continued the revenue from the recent tax sharing agreement with Placer County is not one-time money sO using this to pay for new staff is  not against City Council policy.  4. ADJOURNMENT adjourned by' Vice Mayor Andreatta at 5:09PM.  Bluen &arl  Submitted by Gwen Scanlon, City Clerk  600 Sixrh Streer Lincoln, CA 95648 www.dllincoln.ca.us 916-434-2400    2021-2022 Operating and  Capital Improvement Budget  Wbrkshop  April 20, 2021  Lin    Funds Overview  General Fund (Fund100)  Public Safety Tax Share Fund (Fund101) -newfund created  Development Services Fund (Fund248)  PFEFunds  Enterprise Funds  Linc    Budget Challenges  Increased Landscape &Lighting deficit impact to General Fund  CalPERSRate Increases  Funding OPEBObligations  Pensionimpacts (Major mpactstoP/2022/23 Budget)  Negative Fund Balances (PFE)  Funding Capital Replacement Projects  Increased PropertyandUiability Insurance  Lin    Annual Budget: OerviewandHghigits  Total proposed combined budget is $93,874,816 across 52funds  Anticipationdf corsirnuctiontocntine onsimilar paceas20/2  Maintained minimal budget increasesacrossal. divisions  Capital mgesmpxedtonutureyeastopressrvelund  balances  Lin    General Fund  Linc    P/2021-202GFBriget  The General Fundisthemain operatingfund ofthe Qty for public  safety, recreation andlibraryservices  Pimmyrevenuesaures are Property Taxes and Sales Taxes  Lin    GFBudget Assumptions  Nonewsourcesd revenue  Projecting 4% secured Prgpertytaxincrease  Projecting Salestaxtoincrease  Increasing Operating reserveto28% - df aperating  expenses  Rebound of smererationpuyansant revenues  Decreased servicelevelsfor citywide parks  Ling    FY2021-2022 GFBudget  Beginning unaudited balance  July1,2021  8,258,169  Total Inflows  22,162,589  -Total Outflows*  (24,419,316)  Projected ending balance  June30,2022  6,001,442  "Outflowsindude LDdeficit expense, transfer toReservesandtransfertoFindi0n  Lin    General Fund - Key Revenue Types  Property Tax - Secured Propertytax, Supplemental tax,  FomeownersPrgperty Tax; Property Transfer tax  Salesand Other leves-SlesandUietaxes Transient  Occupancytax  Service Charges-P PGSE/VEroadband -  Franchise Fees  Business License Fees/Admin Fees/Plan CheckFees  Lin    General Fund Funding Sources  FY2019-20 Actual  FY2020-21 Projected  FY2021-22 Proposed Budget  Projected Increase/Decre ase  Funding Sources (includingtransfers in)  Property Taxes* Sales & Other taxes Intergovernmental Recreation Services Fees & Permits Service Charges Transfer In Other Revenues Total Sources  11,103,454 4,470,571 347,839 878,622 1,059,095 1,913,115 456,956 1,400,548 21,630,200  12,241,974 4,494,515 705,816 620,802 1,224,000 1,934,552 1,184,909 597,777 23,004,345  11,742,405 4,875,280 159,000 986,250 1,265,000 1,604,181 756,973 773,500 22,162,589  -4% 8% -77% 59% 3% -17% -36% 29%  * Decrease due to movement of Limited Term Property taxi to new Fund 101  Linc    Funding Sources  3% 3%  7%  6% 4% 1%  53%  22%  Property Taxes Fees & Permits  S Sales & Other taxes Service Charges  Intergovernmenta. Transfer In  Recreation Services C Other Revenues  Linc    Key Revenue Assumptions  Secured Property Tax  14%  O (limited term Prop tax moved to new fund)  Sales Tax  4%  All Other Revenue  12%  - Franchise Fee / Charges for Services /  Fees and Permits / Recreation Fees/Transfers in  Ling    PY2021-2022GF Funding Ubes  Funding Uses  FY2019-20 Actual  FY2020-21 Projected  FY2021-22 Proposed Budget  Salaries & Benefits Operations & Maintenance Capital Outlay Allocation  12,874,864 3,534,772 62,520 2,569,392  12,775,983 3,301,294 261,229 2,435,946 318,156  14,689,622 4,613,163 578,213 2,238,056 1,208,245 749,741 342,276 24,419,316  Transfer to Operating Reserve Transfer to Fund 101 Debt Service Total Uses  295,324 19,336,872  342,276 19,434,884  Lin    GFExpenditures Comparison by Department  $8.0 $7.0 $6.0 $5.0 $4.0 $3.0 $2.0 $1.0  -  Proposed 2021-22 Projected 2020-21  goe  Ce  oe    /  /  Lin    GFExpenditures sby Department  3% 2% 4% 7%  Police Fire  31%  Debt erCDwemeao/muang R Recreation Library  3% 3% 6%  Community Development Parks/Fadilties/Fet  City Council/City Manager/City Attorney L&L Zone Deficit Finance  13%  28%  Lin    Key GF Expenditures Changes  Inclusionof: 2seasonal librayasisantsfar12: Bidges sLibrary  - Part-time Library Manager redasstoFul-tie Library Drector  - Operating reserveincreased to 28% df operating expenses  Increased ADdeficit contribution  Cminuedraictigsloegendtursasaiatel with Parks  Lin    Oreation of newFund101 -Public Safety Tax Share  Established toaccount for newPolice department hires  Funded bythe Umtadliempyarylswring agreement with  Placer County  Includeshiring of1Ful-Time Police Officer and2F -  Full-Time  Dispatchers  Includesthe lease df two Dodge Charger patrdl vehicles  Lin    Y20ZI-2022Public Safety -  Tax Share Fund101  Beginning unaudited balance  July1,2021  -Total Inflows  1,599,741  Total Outflows  (464,750)  Projected ending balance  June30,2022  1,134,991  Lin    PY2021-2022 Development Services Budget Fund248  Beginning unaudited balance  July1,2021  6,332,545  Total Inflows  3,564,000  -Total Outflows  (3,048,245)  Projected ending balance  June30,2022  6,848,300  Linc    Key Expenditures ChangesFund248  Inclusiondf InewBilding Inspector andlnewEngneering  Construction Manager position  Realignment of Engineering under the Community Development  Department  Lin    Summary of PFEFuNdS  Available Funds July 1, 2021  Projected 2021-22 Revenues/Expenses  Available Funds June 30, 2022  Fund #  Fund Name  240 Transportation 241 CS-Police 243 CS-Administration 244 CS-Library 246 CS-P Parks  334,381 845,676 1,214,339 641,759 5,530,981  1,237,086 328,211 335,982 (91,708) 1,189,556  1,571,466 1,173,887 1,550,321 550,051 6,720,537  242 CS-Fire 247 Drainage  (7,074,408) (1,026,110)  189,478 530,379  (6,884,930) (495,731)  Lin    Reviewof PFEFUNdS Deficit  CSFre - Constructiondi three Fre Sationstoprovide Qtywid  coverage  Lranage-Aqustion of Regional Retention Sitetoserve entire  General PlanArea  Linc    Enterprise Funds  Water (Fund710)  Wéstewater (Fund720)  SolidWaste (Fund730)  Transit (Fund740)  Airport (Fund750)  Linc    PY2021-2022 Enterprise Funds Overview  Sourcedf revenues are primarily user fees designedtorecover  all related costs  Rates studyiscurently being urdetaenonvestewater rates  SolidWésterate study completed andcurrent rateswill  ctinvethrugh.une 30,2 2022  Lin    PY2021-2022 Enterprise Funds Overview Cont.  Airport Fundhas been focusdfintense effort toclose estructural  operating deficit.  Transit servicesare provided by Placer County per annual  agreements originally executedin2015. The dtysdbligationfor 202-202215569,000 Whichisfulyfunded throughstate and  federal funds.  Linc    Enterprise Funds Overview Cont.  Challenges  AL Enterprise Funds  CalPERSRate Increases  Labor Market Competitiveness Funding OPEBObligations  Funding Capital Replacement Projects  Airport  Long-lermHscal Sustainability  Lin    EnterpriseFunds Budget Overview&  Hghlights  Transit; Airport; Wéter; Wéstewater, Solid  Waste  Lin    a  LINCOLN TRANSIT  Transit Fund  Lince    PY2021-2022 Transit Fund740  gmrguraudtedbalare  July1,2021  314,112  -Total Inflows  481,738  Total Outflows  (793,107)  Projected ending balance  June30,2022  2,744  Fullyfunded by State andl Federal fanspartationfuning and operatedby  Placer County Transit  Line    Airport Fund  Lincoln Regional Airport  Linc    PY2021-2022Ampart Fund 750  > Beginning unaudited balance  July1,2021  (6,424,744)  Total Inflows  1,579,000  -Total Outflows  (1,557,882)  O Projected ending balance  June30,2022  (6,403,626)  Linc    Airport Enterprise Fund  2,000,000  1,750,000  1,500,000  1,250,000  1,000,000  2016-17 1,305,211  2017-18 1,467,220 1,368,448  2018-19 1,621,821 1,518,371  2019-20 1,573,480 1,577,749  2020-21 Projected 1,386,444 1,445,894  2021-22 Proposed Budget 1,579,000 1,557,883  Revenue Expenses 1,620,061  * Revenue Expenses  Lin    Airport Revenue by Type  - Fuel & Oil 54%  Leases 43%  Taxes & Other. 3%  Lin    Water Enterprise Fund  Lin    PY2021-2022 Water Fund 710  Beginning unaudited balance  July1,2021  2,938,832  -Total Inflows  14,927,700  -Total Outflows  (13,739,924)  Projected ending balance  June30,2022  4,126,608  Linc    Water Fund  Funding Sources & Uses  FY2019-20 Actuals  FY2020-21 Projected  FY2021-22 Proposed Budget  Charges for Service Utility Billing Charges Other Revenues Transfer in from Fund 711 Total Sources  12,007,429 183,784 194,017  12,144,710 118,403 34,321  11,768,200 126,000 33,500 3,000,000 14,927,700  12,385,230  12,297,434  Purchased Water Operations & Maintenance Salaries & Benefits Capital Outlay Debt Service Total Uses  7,467,123 1,983,548 2,047,831 2,475 202,420 11,703,397  8,434,000 2,030,221 2,648,068 120,270 220,031 13,452,590  8,700,000 1,803,628 2,985,265 31,000 220,031 13,739,924  Lin    Wastewater Enterprise Fund  Lin    FY2021-2022 Wéstewater Fund Operations Budget  Beginning unaucitedbalance  July1,2021  3,463,849  Total Inflows  10,100,100  -Total Outflows  (11,419,092)  Projected ending balance  June30,2022  2,144,857  Lin    Wéstewater Fund  Funding Sources & Uses  FY2019-20 Actuals  FY2020-21 Projected  FY2021-22 Proposed Budget  Charges for Service- City Charges for Service - County Rents Revenues Other Revenues Total Sources  8,529,020 3,332,299 72,690 262,486 12,196,495  8,470,394 1,482,148 72,090 44,219 10,068,851  8,500,000 1,500,000 72,000 28,100 10,100,100  Wastewater Treatment Operations & Maintenance Salaries & Benefits Capital Replacement Debt Service Total Uses  5,673,013 2,033,380 1,882,323 185,086 272,123 10,045,925  6,718,660 2,128,077 2,153,311 6,239 201,235 11,207,522  6,565,320 2,170,919 2,401,619 80,000 201,235 11,419,093  Lin    Solid Waste Enterprise Fund  Lin    PY2021-2022 SolidWéste Fund Operations Budget  Beginning unaudited balance  July1,2021  4,060,407  -Total Inflows  7,440,400  -Total Outflows  (7,273,826)  Projected ending balance  June30,2022  4,226,981  Ling    SalidWésteFund  Funding Sources & Uses  FY2019-20 Actuals  FY2020-21 Projected  FY2021-22 Proposed Budget  Charges for Service Other Revenues Total Sources  7,280,717 357,161 7,637,878  7,336,663 150,255 7,486,918  7,375,700 64,700 7,440,400  Disposa/Processing Operations & Maintenance Salaries & Benefits Capital Outlay Transfer out to Fund 731 Debt Service Total Uses  1,929,765 542,390 3,351,410  2,094,119 905,853 2,463,364 4,213 3,100,000 235,257 8,802,806  3,015,709 1,163,948 2,858,912  265,583 6,089,148  235,257 7,273,826  Lin    Capital Improvement Projects  Technology Projects  $630,000  Vehicles & Equipment  $1,723,400  Airport Projects  $666,000  Water Projects  $4,105,000  Streets Projects  $6,399,864  Public Buildings Projects  $519,500  Parks Projects  $456,000  $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,0  Lino    OP-Funding Source  245 Park Tax  246 Park PFE  PARKS  $ 456,000  Bella Breeze Park Master plan Joiner Park Restroom ADA Improvements  425,000 $ 425,000  31,000  > 31,000  221 tax  223  298  565 2011  711  Streets-Gas Streets-TDA Federal Grants 12 Bridges Series Water Capital  STREETS pr Lincoln Blvd Ph3 East Joiner Parkway Widening 1st Street Resurfacing  $ 6,399,864 $ 25,000 200,000 $ 581,590 $ 4,780,0 $ 335,0 $ 43,2 $ 435,0 $ 200,0  Auburn Rav Bridge Replacement @ McBean Park  25,000  381,590  4,780,000  335,000 435,000 200,000  Bicycle Infrastructure (offsetting TDA revenue) Ferrari Ranch Road UPRR Crossing Street &J JStreet Rehabilitation  43,274  Line    OP-Funding Source  711 Water Capital  WATER  $ 4,105,000  Water aistribution rehabilitation FY21/22 East Advanced Metering Infrastructure Fire hydrant replacement program FY21/22 Large water meter replacement FY21/22 Water distribution Rehab FY 21/22 Design  2,875,000 $ 2,875,000  95,000 250,000 210,000 675,000 $  $ $ $  95,000 250,000 210,000 675,000  540 Capitol Improvements  750 Airport  755 Federal Aviation Grants  AIRPORT  $  666,000  Reconstruct Runway 15-33 Airport Oil/Water Seperator  89,100  486,900 $ 576,000 $  90,000  90,000  Line    OP-Funding Source  100  241  244  290  540 Capitol Facility Maint/  620  General Fund PFE-Police Library PFE Oak Tree  PUBLICBLDGS CDS Unit Installation Corp Yard Walk path matting Fire Station 33 exterior Waterproofing Fire Station 33repairs Fire Station 346 exterior repairs Library mat replacement Police Dept ADA Parking lot  Mitigation mprovements Improvement  $519,500 $ 69,000 52,000 $ 52,000 $ 79,500 $ 88,000 $ 70,000 16,000 $145,000  69,000  79,500 88,000 70,000  16,000  145,000  630 Technology  TECHNOLOGY City-wide Financial Software  $  630,000 630,000  630,000 $  Lin    aP-Funding Source  100  101 Share  243  248  285  721  731 735 Capital  GeneralFund Public Safety Tax PFEAdmin Development CFD2018-1 Wastewater Solid PFESolid  Services Maintenance Capital Waste Waste  VEHICLES City Hall back up generator Tesco SCADA EJoiner/Nicholas Rd Lift station podge Durango Police Lieutenant FordF F350u utility trucks 2Dodge Durangos Police supervisors (lease) 2Dodge Charger Police Patrol (lease) Wastewater bypass pump 2Solid Waste sideloaders  $1,723,400 $80,000 $120,000 $42,000 $65,000 $21,000 $21,000 $80,000 $36,000 $16,400 $35,000 $39,000 $33,000  80,000  120,000  42,000 21,000  65,000  21,000  80,000 36,000  750,000 $750,000  Chevy Silverado 1500 Wastewater Treatment Plant Tahoe Command vehicle Fire (lease) Toro Top dresser for turf Chevy Silverado 1500 Solid Waste City Hall pool vehicle Durango Solid Waste frontloader  16,400  35,000  39,000  33,000  385,000 $385,000  Lincoln    COUNCIL DISCUSSION  Lin