HomeMy WebLinkAboutCC Resolution 13306 (Measure S Report)RESOLUTION NO. 13306
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN
RAFAEL ADOPTING THE MEASURE 'S' COMMITTEE REPORT
COVERING THE ACTUAL FISCAL YEAR 2010-2011 GENERAL
FUND FINANCIAL RESULTS
WHEREAS, on November 8, 2005, the voters of San Rafael approved a Transactions and
Use Tax ("Measure S"). This measure amended the San Rafael Municipal Code to establish a .5%
retail transactions and use tax within the City of San Rafael; and
WHEREAS, the enabling ordinance required the appointment of an independent citizens'
oversight committee that is required to review the collection and expenditure of tax revenues
collected under the authority of this ordinance; and
WHEREAS, on February 15, 2012, the Committee met and reviewed the City's General
Fund actual financial results for fiscal year 2010-2011, and issued a written report dated February
20,2012;and
WHEREAS, the Committee reviewed budgeted expenditures for three departments (Fire,
Police and Public Works) and found that expenditures ranged from 1.77% to 11.5% less than the
inflation-adjusted fiscal year 2005-2006 baseline; and
WHEREAS, the Committee found that Measure `S' revenues are being spent consistent
with the Transactions and Use Tax Ordinance; the Committee noted that even with Measure 'S'
funding it was necessary to reduce some essential service levels due to the fact that General Fund
revenues remain lower than the inflation-adjusted baseline.
NOW, THEREFORE, BE IT RESOLVED, the San Rafael City Council adopts the report from the
Measure 'S' Committee, a copy of which is hereby attached hereto as Exhibit A and by this
reference made a part hereof.
1, ESTHER C. BEIRNE, Clerk of the City of San Rafael, hereby certify that the foregoing resolution
was duly and regularly introduced and adopted at a regular meeting of the City Council of said City
held on Monday the 5th day of March, 2012, by the following vote, to wit:
AYES:
COUNCIL MEMBERS:
Connolly, Heller, Levine, McCullough & Mayor Phillips
NOES:
COUNCIL MEMBERS:
None
ABSENT:
COUNCIL MEMBERS:
None
ESTHER C. BEIRNE, City Clerk
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EXHIBIT A
City of San Rafael
Measure S Oversight Committee Report
February 20, 2012
The City of San Rafael Measure S Oversight Committee (the Committee)
reviewed both the revised budget for the city of San Rafael fiscal year
beginning on July 1, 2011 and the actual final figures for the previous
fiscal year ending June 30, 2011. The Committee paid particular
attention to the actual and budgeted expenditures for the Public Works
Department, the Fire Department and the Police Department which are
considered the core of the "essential services" contemplated under
Measure S.
Comparing the actual General Fund expenditures for the fiscal year July
1, 2010-2011 and the revised budgeted expenditures for the fiscal year
July 1, 2011 - 2012 to the inflation adjusted 2005 - 2006 baseline year,
the Committee finds the following:
Fire Department
Police Department
Public Works
Actual 10/11 vs base
+9%
+3.6%
-14.4%
Budget 11/12 vs base
The Committee finds that the expenditures for two of the the three
"essential services" departments, Police and Fire, are close to keeping
up with the inflation adjusted 2005-2006 baseline year total
expenditures for these departments. By this metric, Measure S funds
are being properly allocated. Nonetheless, due to operating cost
increases beyond inflation, and shortfalls in all sources of city general
fund revenues, including the Measure S Transaction and Use Tax, it has
not been, and will not be, possible to maintain the level of baseline year
„essential services" that are provided by these departments, despite the
use of increased overtime, the incorporation of additional efficiencies,
and recent wage concessions. Expenditures for the the third "essential
service" department, Public Works, are projected to be well below the
inflation adjusted baseline expenditure for this department, also
resulting in an inability to maintain the level of service as at the baseline
year. There has been an aggregate headcount decrease in the three
"essential service" departments since the base year of approximately
13.2% for fiscal year 2010 - 2011, and 15.1% for fiscal year 2011 -2012.
Total General Fund revenue is projected to decrease in budget year
2011 - 2012 by $2M (3.5%) compared to revenue in the 2010 - 2011
budget year, and it will have decreased by $4.3M (7.16%) compared to
the inflation adjusted revenue of the 2005 - 2006 baseline year.
Therefore, in the opinion of the Committee, these essential services are
not being, and will not be, maintained as contemplated by Measure S.
While the Committee finds that Measure S funds are being spent
consistent with the Transaction and Use Tax ordinance, the revenue
from Measure S, combined with the general fund revenue from all other
sources, is insufficient to maintain "essential service" levels at the 2005
- 2006 baseline year level.
Respectfully submitted:
k"/Zckie Schmidt, Chair
-Y
Lisa Pqldstein Faitvyl e -Chair
a am, Committee Member
( y
4
adys Gillilod, Coffim ittee Member
Cliff Detz, Committee Member
Vickie Hatos, Committee Member