HomeMy WebLinkAboutCC Resolution 13194 (Measure S Report)RESOLUTION NO. 13194
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF SAN RAFAEL ADOPTING THE MEASURE'S'
COMMITTEE REPORT COVERING THE PROPOSED
FISCAL YEAR 2011-2012 GENERAL FUND BUDGET
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 transaction and use tax within the City of San
Rafael; and
WHEREAS, the enabling ordinance required the appointment of an independent
citizen's 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 10, 2011 the Committee met and reviewed the City's
General Fund Revised Budget for fiscal year 2010-11 as it compares to the previous fiscal
year; and
WHEREAS, the Committee noted that in 2010-2011 sales taxes were higher than
the previous year; there were impacts on the City budget due to potential loss of
redevelopment, library and police funding; and 2010-2011 expenditures were flat
compared to 2009-2010 after years of decline; and
WHEREAS, the Committee also reviewed 2010-2011 budgeted expenditures for
three departments (Fire, Police and Public Works) and noted staffing remained at the
2009-2010 levels with the exception of fire's paramedic program increase which is
separately funded; and
WHEREAS, on May 12, 2011, the Committee met and reviewed the City's
Proposed General Fund Budget for fiscal year 2011-2012; and
WHEREAS, the Finance Director reported to the Committee on the status of the
2011-2012 budget and outlined the steps the Council was considering to address the
budget deficit; and
WHEREAS, the Committee finds 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
decline in General Fund revenues.
NOW, THEREFORE, BE IT RESOLVED, that the San Rafael City Council adopts the
report from the Measure 'S' Committee, which is attached as EXHIBIT I and on file with the
City Clerk.
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I, 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 Tuesday the 5th day of July, 2011, by the following vote, to wit:
AYES: COUNCIL MEMBERS
NOES: COUNCIL MEMBERS
ABSENT: COUNCIL MEMBERS
Brockbank, Connolly, Heller, Levine & Mayor Boro
None
None
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ESTHER C. BEIRNE, City Clerk
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Exhibit I
City of San Rafael
Measure S Oversight Committee Report
June 30, 2011
The City of San Rafael Measure S Oversight Committee (the Committee)
reviewed the projected budget for the term July 1, 2011 to June 30,
2012 for the City of San Rafael at its meeting on June 30th, 2011 with
particular attention to the budgeted expenditures for the Police
Department, Fire Department and Public Works Department which are
considered the core of the "essential services" contemplated under
Measure S.
The Committee finds that, in the aggregate, the expenditures for two of
the the three "essential services" departments, Police and Fire, is
slightly larger ($302,932) than 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 will not be possible to maintain the level of "essential
services" that are provided by these departments, despite the use of
increased overtime and the incorporation of additional efficiencies.
Projected expenditures for the the third "essential service" department,
Public Works, are projected to be $1,041,795 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.
Despite the issuance of a pension obligation bond, Total General Fund
revenue is projected to decrease in budget year 2011-12 by $977,054
compared to revenue in the 2010-11 budget 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 05/06
base year level.
Respectfully submitted:
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All
ckie Schmidt, Chair
Lisa Goldstein Fait, Vice -Chair
Larry Luckham, Committee Member
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Gladys Gall' and, Comittee Member
Cliff Detz, Committdvember
Vickie Hatos, Committee Member
Respectfully submitted:
Jackie Schmidt, Chair
Lisa Goldstein Fait, Vice -Chair
L m, Committee Member
Gladys Gilliland, Committee Member
Cliff Detz, Committee Member
Vickie Hatos, Committee Member