SUPERVISOR JACKIE SPEIER TOWN HALL Ask questions and share concerns; listen to presentations about wildfire safety and immigration rights. THURSDAY, MARCH 13 6to7p.m. San Bruno Recreation & Aquatic Center 251 city Park Way San Bruno a ) ) SAN BRUNO GENERAL FUND MID-YEAR BUDGET UPDATE & 5-YEAR FORECAST CITY COUNCIL NICK PEGUEROS MARCH 11, 2025 CHIEF FINANCIAL OFFICER SAN BRUNO OBJECTIVE Consider a Resolution Amending the Fiscal Year 2024- 25 (FY25) Budget Receive updated General Fund forecast for consideration during the FY26 operating budget deliberations. 2 SAN BRUNO MID-YEAR BUDGET UPDATE 3 GENERAL FUND $67.12 MILLION ADOPTED BUDGET SAN BRUNO $0.6 MILLION ESTIMATED SURPLUS Revenues Expenditures $3.6 million lower: $4.2 million lower: Taxes Personnel Parking fines Operating budgets VLF in-lieu (at risk) 4 PARKING FUND SAN BRUNO Table 2. Parking Fund Notes: As of 2/28/2025 soft close ($ million) FY25: July 1st to Feb 28th Beginning Balance, 7/1/24 ($0.26) Revenue Citation estimates Paid parking revenue 0.42 Citation revenue" 0.56 Personnel & overhead Total Revenue $0.98 charges Expenditure Personnel 0 Loan repayment tentative Equipment & supplies 0.50 Citation processing fees" 0.11 Operating deficit of $0.02 Internal services/ Overhead Charges 0 -2% of revenue Loan Repayment to General Fund" 0.39 million; Total Expenditure $1.0 Surplus/ (Deficit) ($0.02)3 Ending Balance, 2/28/25 ($0.28) 5 BUDGET AMENDMENT REQUESTS SAN BRUNO OI Table 3. Budget Amendment Requests Summary of requested amendments and expenditures by fund Net Impact per Fund Number Fund Name Revenue Expenditure Fund 001 General Fund $ $ 68,000 $ (68,000) 003 One-time CapitalF Fund $ $ 820,000 $ (820,000) 201 Park and Facilities $ 50,000 $ 50,000 $ 203 Street Improvement $ 56,000 $ 56,000 $ 207 Technology Capital $ 120,000 $ 120,000 $ 611 Water $ $ 3,181,000 $ (3,181,000). 621 Stormwater $ 400,000 $ 561,000 $ (161,000) 631 Wastewater $ $ 801,000 $ (801,000) 651 Parking Fund $ $ 165,000 $ (165,000) 703 General Equipment $ 194,000 $ 194,000 $ Grand Total $ 820,000 $ 6,016,000 $ (5,196,000) 6 SAN BRUNO 5-YEAR FORECAST 7 5-YEAR FORECAST ASSUMPTIONS SAN BRUNO o Maintain FY25 service levels Growth factors Revenue 2-5% Expenditure 3.5-7% Incorporate known and anticipated events - Major housing and commercial developments - Measure Q CityNet sale No substantial one-time revenueslexpenditures 8 GENERAL FUND RESOURCES SAN BRUNO HISTORICAL $90 Resources by category $80 Resources include - Transfers in revenues and transfers in $70 Creation of two SRFS in Other Revenue FY25: RAC and CD $60 Use of Money and $50 Property - Fines and Forfeitures $40 - Intergovernmental $30 Licenses and Permits $20 - Charges for Services $10 - Taxes $0 2022 2023 2024 2025 9 GENERAL FUND RESOURCES SAN BRUNO 5-YEAR FORECAST $90 Resources by category $80 Resources include - Transfers in revenues and transfers in $70 Creation of two SRFS in Other Revenue FY25: RAC and CD $60 Use of Money and $50 Property - Fines and Forfeitures $40 - Intergovernmental $30 Licenses and Permits $20 - Charges for Services $10 - Taxes $0 2022 2023 2024 2025 2026 2027 2028 2029 2030 10 GENERAL FUND REQUIREMENTS SAN BRUNO OE HISTORICAL $90 Requirements by Activity Type $80 I Transfers Out Requirements include $70 a Non-Departmental expenditures and transfers Community Services out $60 Public Works ISF, Admin OH, UAL $50 changes in FY25 Community Development $40 Fire $30 Police $20 - Administrative Services - City Attorney $10 a City Manager's Office $0 2022 2023 2024 2025 a City Council -$10 11 GENERAL FUND REQUIREMENTS OE SAN BRUNO 5-YEAR FORECAST $90 Requirements by Activity Type $80 I Transfers Out Requirements include I Non-Departmental $70 expenditures and transfers Community Services out $60 Public Works ISF, Admin OH, UAL $50 changes in FY25 Community Development $40 Fire $30 - Police $20 - Administrative Services City Attorney $10 a City Manager's Office $0 2022 2023 2024 2025 2026 2027 2028 2029 2030 - City Council -$10 12 SAN BRUNO NET OPERATING REVENUE Resources Over (Under) Requirements Resources minus $6 Requirements $4 Structural deficit of increasing over $2 forecast period $0 1.8% in FY26 bs, Fbs be Fb b b, b bs bo 5.2% in FY30 $2 -$4 -$6 13 SAN BRUNO Recommendation Adopt a Resolution Amending the Fiscal Year 2024-25 (FY25) Budget 14 SAN CITY BRUNO QUESTIONS 15 SAN BRUNO 2024 MEASURE Q& 2019 MEASURE G FY26 PROPOSED SPENDING PLANS Nick Pegueros City Council Administrative Services Director & CFO March 11, 2025 AGENDA SAN BRUNO Proposed Spending plans 2024 Measure Q General Obligation Bond 2019 Measure G 0.5% Local Sales Tax Next Steps 2 SAN BRUNO OBJECTIVE Provide direction on the Measure G & Q spending plans for the Fiscal Year 2025-26 (FY26) operating and capital improvement program budget. 3 Purpose SAN BRUNO FY26 budget development 2024 Measure Q = new funding source for: Stormwater Streets Fire stations 2019 Measure G - - funding source for any municipal purpose Primarily funded street improvements 4 SAN BRUNO MEASURE Q PROPOSED SPENDING PLAN 5 BOND FUNDED PROJECTS SAN BRUNO PROCESS J 8 8 / & 4 / A / 0y A f A Q / / / A / 6 2024 MEASURE Q SAN BRUNO BALLOT QUESTION Shall City of San Bruno measure be adopted to: repair deteriorating storm-drains, preventing failure, flooding, water pollution/ sinkholes; repair potholes/ city streets; upgrade fire stations, improving emergency response, accommodate modern firefighting/ lifesaving emergency medical equipment, function during earthquakes! natural disasters; authorizing $102,000,000 in bonds, at a tax rate of 3f per $100 of assessed value, while bonds are outstanding, initially generating $3,300,000 annually, without funds for administrators, cannot be taken by the State of California, with citizen oversight independent audits? 7 2024 MEASURE Q ELECTION RESULTS SAN BRUNO OE 17,380 VOTES 4,677 27% 12,703 73% Yes No 8 BOND FUNDED PROJECTS - SAN BRUNO DETERMINING FACTORS Eligible projects - Storm drains, Fire Station No. 52, Pavement Management Program Cashflow 85% completion within 3 years of bond issuance Staff capacity - Existing staff capacity & adopted Capital Improvement Program 9 FY26 Proposed Measure Q Budget SAN BRUNO Proposed Measure o Spending Plan FY26 FY27 FY28 FY29 Totar Bond Proceeds Series 2025-26 (FY26) $17,500,000 $ $ 6 $17,500,000 Series 2028-29 (FY29) 27,000,000 27,000,000 Total $17,500,000 $ $ $27,000,000 $44,500,000 Capital Program Pavement Management Progrann 9,000,000 2,500,000 2,500,000 2,500,000 16,500,000 Stormwater 1,000,000 1,000,000 1,000,000 1,000,000 4,000,000 Fire Station No. 52 2,000,000 2,000,000 10,000,000 10,000,000 24,000,000 Total $12,000,000/ $ 5,500,000 $13,500,000 $13,500,000 $44,500,000 10 Forward-Looking CIP Project Funding SAN BRUNO OI FY26 FY27 FY28 FY29 Total Pavement Management Program Gas Taxes (State) $ 700,000 5 750,000 $ 800,000 $ 850,000 $ 3,100,000 Measure A (County sales tax) 1,300,000 1,400,000 1,500,000 1,600,000 5,800,000 Measure G (Local sales tax) 3,000,000 3,500,000 3,600,000 10,100,000 Measure Q (GO Bond) 9,000,000 2,500,000 2,500,000 2,500,000 16,500,000 Subtotal $11,000,000 $ ,650,000 $ 8,300,000 $ 8,550,000 $35,500,000 Stormwater Measure Q (GO Bond) $ 1,000,000 $ 1,000,000 $ 1,000,000 $ 1,000,000 $ 4,000,000 Grants (Federal) Subtotal $ 1,000,000 $ ,000,000 $ 1,000,000 $ 1,000,000 $ 4,000,000 Fire Station No. 52 Measure Q (GO Bond) $ 2,000,000 S 2,000,000 $10,000,000 $10,000,000 $24,000,000 Grand Total $14,000,000/ $10,650,000 $19,300,000 $19,550,000 $63,500,000/ 11 SAN BRUNO MEASURE G PROPOSED SPENDING PLAN 12 2019 MEASURE G SAN BRUNO BALLOT QUESTION Shall the City of San Bruno's measure to fund city services/facilities such as: - neighborhood police patrols; - fire prevention services; a urban wildfire protection; crime uppesoninvesitoaton pothole/street repair; increasing parking supply; L upgrading parks/other city services/facilities: - expanding services supporting local businesses; by levying a 1/2g sales tax, providing approximately $4,000,000 annually, until ended by voters, with independent citizens' oversight, no money for Sacramento, all funds spent locally, be adopted? 13 2019 MEASURE G ELECTION RESULTS SAN BRUNO OE 7,591VOTES 2,914 38% 4,677 62% Yes No 14 2019 Measure G SAN BRUNO General tax - may be used for any municipal purpose at discretion of the City Council Estimate: $3.5 to $4.0 million per year %2 cent sales tax Appropriations since 2019 Category 5-year total % of ($million) total Pavement Management Program $15.0 78% Maintain services during COVID-19 Emergency 2.0 10 Streetlight, sidewalks, signage 1.5 8 Wildfire mitigation 0.4 2 Public safety vehicles/faciities 0.3 2 $19.1 100% 15 Revenue Measure Committee SAN Oversight BRUNO (RMOC) 2/13/25 RMOC Meeting 1I provide feedback to the Staff proposed 3/11/25 City Council FY26 spending Plan regarding the staff RMOC input to City to RMOC recommended Council allocation of the tax revenue as part of the budget process" 16 FY26 Proposed Measure G Budget SAN BRUNO Proposed Budget Item FY26 Est. ($) City Council top priority initiatives . Community communications and engagement program 0.10 million . Mitigation of illegal dumping and maintenance of street medians 0.50 . Residential Parking Permit Program (RPPP) assessment 0.30 Retrofit of regulated output (RO) streetlight system 1.80 . Strategic analysis of major City-owned properties 0.20 Augment wildfire mitigation 0.30 Enhance education and enforcement for the July 4th holiday 0.08 Community event grant program 0.20 Total $3.48 million 17 Forward-Looking CIP Project Funding SAN BRUNO OE FY26 FY27 FY28 FY29 Total Pavement Management Program Gas Taxes (State) $ 700,000 5 750,000 $ 800,000 $ 850,000 $ 3,100,000 Measure A (County sales tax) 1,300,000 1,400,000 1,500,000 1,600,000 5,800,000 Measure G (Local sales tax) 3,000,000 3,500,000 3,600,000 10,100,000 Measure Q (GO Bond) 9,000,000 2,500,000 2,500,000 2,500,000 16,500,000 Subtotal $11,000,000 $ ,650,000 $ 8,300,000 $ 8,550,000 $35,500,000 Stormwater Measure Q (GO Bond) $ 1,000,000 $ 1,000,000 $ 1,000,000 $ 1,000,000 $ 4,000,000 Grants (Federal) Subtotal $ 1,000,000 $ ,000,000 $ 1,000,000 $ 1,000,000 $ 4,000,000 Fire Station No. 52 Measure Q (GO Bond) $ 2,000,000 S 2,000,000 $10,000,000 $10,000,000 $24,000,000 Grand Total $14,000,000/ $10,650,000 $19,300,000 $19,550,000 $63,500,000 18 Vote & Discussion SAN BRUNO 3-2 in concurrence with the recommended spending plan Caveats Voter intent for Measure G Maintain robust PMP funding Measure Q or other source 19 SAN BRUNO Next Steps 20 City Council Budgetary Actions and SAN BRUNO OE Direction Measure Q reimbursement resolution March 25th CIP Preview Financial policies update FY26 Priority Initiatives Scoping April 8th Master Fee Schedule April 22nd General Fund budget preview 6/10 - Budget public hearing June 6/24 - Budget adoption 21 Measure Q Proposed Measure Q Spending Plan SAN BRUNO FY26 FY27 FY28 FY29 Total Bond Proceeds Series 2025-26 (FY26) $17,500,000 $ $ $ $17,500,000 Series 2028-29 (FY29) 27,000,000 27,000,000 Total $17,500,000 $ $ $27,000,000 $44,500,000 Capital Program Pavement Management Prègram 9,000,000 2,500,000 2,500,000 2,500,000 16,500,000 Stormwater 1,000,000 1,000,000 1,000,000 1,000,000 4,000,000 Fire Station No. 52 2,000,000 2,000,000 10,000,000 10,000,000 24,000,000 Tolal $12,000,000 - $ 5,500,000 $13,500,000 $13,500,000 $44,500,000 Measure Proposed Budget Item FY26 Est. (SA City Council top priority initiatives . Community communications and engagement program 0.10 million Mitigation of illegal dumping and maintenance of street medians 0.50 Residential Parking Permit Program (RPPP) assessment 0.30 Retrofit of regulated output (RO) streetlight system 1.80 Strategic analysis of major City-owned properties 0.20 Augment wildfire mitigation 0.30 Enhance education and enforcement for the July 4th holiday 0.08 Community event grant program 0.20 TotaN $3.48 milliop/ 22 SAN CITY BRUNO QUESTIONS 23