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Resource Allocation Plan 2011
CITY OF NEWPORT BEACH Resource Allocation Plan Fiscal Year 2010 -11 NEWPORT BEACH, CALIFORNIA RESOURCE ALLOCATION PLAN FISCAL YEAR 2010 -2011 r� O� v !F.W PO\ �,�LI FO R��P Prepared for the Newport Beach City Council: Mayor Keith D. Curry Mayor Pro Tem Michael E Henn Council Member Leslie J. Daigle Council Member Nancy Gardner Council Member Steven Rosansky Council Member Edward D. Selich Council Member Don Webb Cover photo location: Crystal Cove State Beach Cover photo & design: Maurice Turner, City Employee Introduction 4 City Officials 5 City Manager's Transmittal Letter An introductory letter from the City Manager 6 Budget Overview Highlights of the budget and presentation of the key issues and challenges 12 User's Guide An explanation of the City's annual budget process and related City policies 17 City Facilities & Locations Map 20 Organization Chart 21 Organizational Values Summaries 24 Revenue Summary Historical & projected revenues by category 27 Expenditures by Fund Historical & proposed operating expenditures by fund 28 Operating Expenditures by Department & Type 29 Operating Expenditures -All Funds Presented by department and account 34 Summary of Estimated 2009 -10 Year End Balances 37 Summary of Estimated 2010 -11 Year End Balances Department Budgets An overview of each department budget, presented by function General Government 42 City Council 46 City Clerk 48 City Manager 52 Human Resources 56 City Attorney 60 Administrative Services Public Safety 64 Police Department 68 Fire Department Department Budgets (continued) Community Development 72 Planning Department 76 Building Department Public Works 80 General Services 84 Public Works 86 Utilities Community Services 90 Library Services 94 Recreation & Senior Services Other Budgets An overview of budgets for funds, projects and activities that are not included in the department budgets 100 Description of Internal Service Funds 102 Debt Service & Other Activities 106 Capital Improvements An overview of the capital improvement program which includes improvements and major maintenance to the City's facilities and infrastructure Appendices 112 Tide & Submerged Land Fund 113 Capital Asset Schedule Presented as of June 30, 2009, the last audited fiscal year 117 Equipment Maintenance & Replacement Fund A schedule of rolling equipment replacement for FY 2010 -11 118 Rolling Stock in Service A three -year history of rolling stock in service 119 Three -Year Comparison of Full -Time & Part-Time Positions 120 Historical Capital Projects Spending 122 Glossary of Fund Descriptions & Accounting Terms i � • � �• . ;� - :, �, = C � • \� ��3 • • 4 P'' l �n t 9C!It:ppl4�� �, nZ Y ri i L to R: Mayor Pro Tern Michael F. Henn, Mayor Keith D. Curry, Council Members: Edward D. Selich, Leslie J. Daigle, Nancy Gardner, Steven Rosansky and Don Webb City Attorney David R. Hunt Dana M. Smith ............ ............................... Tracy M. McCraner ..... ............................... Jay Elbettar ................ ............................... Steven Parker ............. ............................... Mark Harmon .............. ............................... Terri L. Cassidy .......... ............................... Cynthia Cowell ........... ............................... Vacant........................ ............................... Jay Johnson ............... ............................... Steve Badum .............. ............................... LauraDetweiler .......... ............................... George Murdoch ........ ............................... 0 City Manager Dave Kiff City Clerk Leilani Brown .............................. Assistant City Manager Administrative Services Director /Treasurer .......... ............................... Building Director ................ ........................Interim Fire Chief .......................... General Services Director ........................ Human Resources Director ...... ......................Library Services Director ................. .......................Planning Director ................. ............................... Police Chief .. ............................... Public Works Director ...... Recreation & Senior Services Director ........... ............................... Utilities Director CITY OF NEWPORT BEACH Honorable Mayor Curry and City Council Members City of Newport Beach 3300 Newport Boulevard Newport Beach, California 92663 Dear Mayor Curry and Council Members: As directed by the Newport Beach City Charter, it is my pleasure to submit the 2010 -2011 proposed City Budget to you. As you know, the Budget is a plan of financial activity for the fiscal year that starts July 1, 2010 and ends June 30, 2011, The Budget is contained in three major volumes • Resource Allocation Plan — This document provides a reader - friendly version of the Budget and Capital Improvement Plan. • Budget Detail -- This document provides revenue estimates and line by line proposed expenditures for operations and maintenance of City services. • Capital Improvement Program or "CIP" — This document provides a description of the significant capital projects and infrastructure improvements planned for Fiscal Year 2010 -11. To assist readers in the review of the documents, we have included a User's Guide and a Glossary of Terms within the Resource Allocation Plan. The User's Guide includes a description of the Budget process, how the Budget is administered after adoption, and a description of the various funds utilized by the City to properly account for its revenues and expenditures. Readers will find the Glossary of Terms at the end of the Resource Allocation Plan. This Glossary defines many of the terms used in governmental accounting within budgets, including a definition of each fund used by the City. I have summarized the information within the Budget — as well as how the Budget meets the goals and priorities of the City Council — in a Budget Overview that follows this letter. This Overview is intended to provide background and supporting information for review of the budget itself. The development of the annual budget takes an enormous amount of staff time and effort, and has to be completed within a compressed timeline. My sincere appreciation is extended to the City Council for their leadership and support; and, to all department directors, division managers, and departmental budget liaisons for their contributions Special recognition is extended to staff members in the Administrative Services Department and the Public Works Department for providing overall coordination of the budget development and document production. Sincerely, G ,1C7K1 David A. Kiff ` \ City Manager The budget of the City of Newport Beach is intended to be a reflection of the City policies, goals, and priorities. It communicates to citizens and staff what resource allocation decisions have been made by the City Council. The proposed budget maximizes existing staff resources and confirms the commitment to maintain the high levels of service that the community expects and deserves. Here is an overview of the proposed FY 2010 -11 budget for all funds: ADOPTED BUDGET -ALL FUNDS Appropriation Operating Budget Capital Improvement Budget Estimated Proposed FY 2009 -10 FY 2010 -11 191,430,350 187,928,187 46,762,962 52,916,798 Increase (Decrease) Amount Percent (3,502,163) -1.83% 6,153, 836 13.16% 238,193,312 240,844,985 2,651,673 1.11% This was a challenging budget to prepare as the City is experiencing declining revenues due to the economic recession that is affecting the national, state, and our local economy. Cities are generally among the last to feel the effects of a downturn in the economy and that is definitely the case in the City Newport Beach. After enjoying several years of revenues well in excess of expenditures, FY 2008 -09 ended with General Fund revenues just over General Fund expenditures and the FY 2009 -10 budget was prepared recommending use of reserves for the annual Facilities Financing Plan contribution. We continued watching our three top revenue sources, property tax, sales tax, and transient occupancy tax (TOT), during the first half of FY 2009 -10 and presented revised budget estimates that showed projected budget shortfalls in the General Fund of approximately $8 million in FY 2009 -10 and almost $12 million in FY 2010 -11. Staff embarked on several plans to evaluate service delivery and scheduling, and staffing and purchasing efficiencies in an effort to close the budget gaps. One of the more significant plans approved by Council in December 2009 was an Early Retirement Incentive Plan (ERIP) that resulted in 52 mid -year retirements. Of those positions, 27 were permanently removed from the City's authorized full -time employee list, an estimated annual savings of approximately $1,850,000 in FY 2009 -10 and approximately $3 million in FY 2010 -11. Other actions taken in FY 2009 -10 included operating savings (almost $2.5 million), a reduction in Workers' Compensation and General Liability charges to departments due to excess reserve funding ($618,325), deferred CIP projects ($250,000), early liquidation of some completed encumbrances ($190,043) and early liquidation of completed CIP accounts ($919,048). We are projecting that the FY 2009 -10 budget will be balanced. We have been closely tracking FY 2009 -10 revenues and feel that at this point in time they are a good prediction of year -end. On the expenditure side, past experience has shown approximately $1 million in additional appropriation savings, above and beyond what departments have already 6 committed to assist in the budget deficit, and this savings will be returned to increase the General Fund fund balance. As mentioned previously, our mid -year projections for FY 2010 -11 identified a shortfall of as high as $12 million. This includes projected revenue declines in property taxes as well as slower revenue growth in sales and TOT taxes, an extraordinary one -time capital expense for Rhine Channel dredging offset with the estimated ERIP operational savings. Departments were again asked to review their operating budgets to identify additional savings. Several departments committed to salary and benefit reductions by delaying recruitments for vacant positions. The City also negotiated a retirement contribution from the Newport Beach Firefighters Association of 3.5% of base salary, or just over $354,000 for FY 2010 -11. The total FY 2010 -11 operating budget reduction is just over $4.9 million. Other FY 2010 -11 identified budget reductions include a reduction to the Equipment Internal Service Fund due to fleet reductions ($209,743) and the second year of reduced Workers' Compensation and General Liability charges due to excess reserve funding ($618,325). Another significant change to FY 2010 -11 is an increase in parking and parking meter fees approved by the City Council in April 2010 which is projected to be $2.1 million. The proposed FY 2010 -11 budget will be balanced. An exciting upcoming event that resulted in increased FY 2010 -11 revenue and expenditures is the new OASIS Senior Center which will open this fall. Revenue estimates were increased almost $300,000 for fitness center fees ($120,000), facility rental fees ($54,000), and additional programming /classes ($113,328). Expenditures related to the new facility were increased to provide staffing and operations of the fitness center in the amount of $186,943 and staffing for extended hours (evenings and weekends) and facility janitorial /maintenance costs in the amount of $267,068. GENERAL FUND vs. TOTAL BUDGET. The General Fund is the key operating fund within the City's budget. The General Fund is used to account for discretionary revenues and expenditures while all other funds are used to account for enterprise activities, internal service activity, major capital improvement projects and special revenue sources that are otherwise restricted for specific purposes. Enterprise funds include the activities of the Water and Wastewater operations. Internal service funds are essentially internal cost centers used to account for centralized activities including claims management, equipment replacement, compensated absences and post employment medical benefits. Capital project funds account for major facility and infrastructure improvements, such as the new Civic Center and OASIS Senior Center. Special revenue funds include Gas Tax revenues, Measure M taxes and revenues generated from Tidelands just to name a few. For the purposes of this overview, enterprise activity, special revenue sources and major capital improvement funds are segregated from General Fund activity and are summarized as "All Other Funds." REVENUE OUTLOOK. We are projecting FY 2010 -11 General Fund revenues at $146.1 million, a decrease of approximately $1.7 million from our FY 2009 -10 estimated revenue. Property tax revenues which account for almost 50% of total General Fund revenues are estimated to be down over $1 million in FY 2010 -11 due to the negative CPI in October 2009. The October CPI is used by all county assessors, as directed by the State, when calculating assessed valuations. While this is good news for property owners, it will negatively impact the City's property tax revenues. Sales tax and Uniform TOT are the next largest components of the City's General Fund. The FY 2010 -11 sales tax estimate is $17.8 million, an increase of 3.6% over FY 2009 -10 estimated revenue, but still down approximately 3.1% over FY 2008 -09 actual sales tax receipts. TOT is estimated to decrease 4.2% or $426,628 from FY 2009 -10 estimated revenue, however effective FY 2010 -11, we are reporting actual TOT receipts followed by the contracted payment to the Conference and Visitor's Bureau (CVB). This improves disclosure over prior years where the CVB payment was recorded as an abatement to TOT revenues, but it also skews the FY 2010 -11 TOT revenue reporting as it appears that we are budgeting an increase of 17.5% over FY 2009 -10 estimated TOT revenue. This change is footnoted on page 1 of the Budget Detail book. The table below highlights some of the areas of change and projected change in General Fund revenues and all other revenues: Revenue Total Property Taxes Taxes Other than Property Licenses and Permits Intergovernmental Charges for Services Fines, Forfeitures & Penalties Use of Money and Property Other Revenue Total General Fund Revenue All Other Revenue Total City Revenue Less Internal Premiums Total City Revenue Net of Internal Charges 2009 -10 2009 -10 2010 -11 Change from Original Amended Budget Proposed Budget Amended $ 71,119,504 46,781,119 2,947,790 2,051,200 14,380,989 3,645,000 7,418,404 $ 71,999,679 41,357,702 2,603,618 2,693,785 15,210,976 3,739,303 7,495,504 $ 70,642,840 43,732,841 2,663,975 1,840,272 13,878,895 3,651,000 8,282,797 595,600 1,814,044 433,050 148,939:606 146, 914, 611 145,125,670 69,847,604 78,212,764 200,609,811 218,787,210 225,127,375 345,735,481 (14,938,989) (14,283,072) (14,149,469) -1.88% 5.74% 2.32% - 31.68% -8.76% -2.36% 10.50% - 76.13% -1.22% 156.49% 53.57% -n 94% $ 203,848,221 $ 210,844,303 $ 331,586,012 57.27% Total City revenues, excluding internal premiums, are expected to increase almost 60% over revised projections for FY 2009 -10, from $216.8 million to $345.8 million. The reason for this increase is due to the projected $130 million bond issuance to finance the new Civic Center and potentially other facilities as will be decided upon this fall. Without the revenue related to the bond issuance, total City revenues would be relatively flat over revised FY 2009 -10 estimates. EXPENDITURE OUTLOOK. The General Fund contains expenditures for all operating City departments except for the Harbor Resources Division within the City Manager Department and the Oil and Gas Division of the Utilities Department which are funded through Tidelands, and the Water and Wastewater Divisions within the Utilities Department respectively. The General Fy Fund is the main operating fund for the City and is generally of most interest to residents. In FY 2010 -11, the proposed General Fund expenditures, including General Fund capital improvements, total $149.3 million, an increase of $492,499 (0.3 %) from the revised FY 2009- 10 General Fund budget. New General Fund capital improvement project funding for FY 2010- 11 is proposed to be $1.1 million, however $4.0 million projects will be re- budgeted from FY 2009 -10 to FY 2010 -11. The proposed FY 2010 -11 General Fund operating budget is $144 million. This represents a decrease of 1.6% from the FY 2009 -10 revised budget. The reductions can be seen by account in the Budget Detail document. Total proposed City expenditures in FY 2010 -11, including debt service and capital projects, is $240.8 million. Excluding internal service premiums charged to fund insurance reserves, equipment maintenance and replacement, and post employment medical benefits, total expenditures are proposed to be approximately $226.7 million. The budget shortfall between total external revenues and expenditures is due to the timing of Capital Improvement Project (CIP) revenues and expenditures. CIP projects often span one or more fiscal years and it is estimated that $29 million CIP projects will be rebudgeted from a prior fiscal year because the project was delayed or is only partially completed. These funds are reserved in a Capital Appropriations reserve, but when the appropriation is carried forward to the following year, this re- appropriation causes expenditures to exceed current year revenues. Recommended in the FY 2010 -11 budget are some personnel changes that result in one additional full -time position. 01 2009 -10 2009 -10 2010 -11 Change Original Estimated Proposed from Function and Activities Budget Budget Budget Revised GENERAL FUND BUDGET General Government $ 16,281,291 $ 15,507,638 $ 15,723,625 1.39% Public Safety $ 78,617,750 $ 76,762,238 $ 76,878,354 0.15% Community Development $ 8,746,353 $ 8,086,829 $ 7,910,348 -2.18% Public Works $ 31,026,388 $ 28,966,026 $ 28,892,972 -0.25% Community Services $ 13,790,978 $ 13,109,514 $ 14,063,479 7.28% Debt Service $ - $ - $ 780,000 n/a Total General Fund Operating Budget $ 148,462,760 $ 142,432,245 $ 144,248,778 1.28% General Fund Cps $ 8,636,613 $ 7,127,010 $ 5,054,497 - 29.08% Total General Fund Budget $ 157,099,373 $ 149,559,255 $ 149,303,275 -0.17% TOTAL CITY BUDGET Total Operating Budget $ 195,805,687 $ 191,430,350 $ 187,928,187 -1.83% Total CIP Budget $ 60,784,459 $ 46,762,962 $ 52,916,798 13.16% Total City Budget $ 256,590,146 $ 238,193,312 $ 240,844,985 1.11% Less Internal Charges $ (14,938,989) $ (14,283,072) $ (14,149,469) -0.94% Total City Budget Net of Internal Charges $ 241,651,157 $ 223,910,240 $ 226,695,516 1.24% Total proposed City expenditures in FY 2010 -11, including debt service and capital projects, is $240.8 million. Excluding internal service premiums charged to fund insurance reserves, equipment maintenance and replacement, and post employment medical benefits, total expenditures are proposed to be approximately $226.7 million. The budget shortfall between total external revenues and expenditures is due to the timing of Capital Improvement Project (CIP) revenues and expenditures. CIP projects often span one or more fiscal years and it is estimated that $29 million CIP projects will be rebudgeted from a prior fiscal year because the project was delayed or is only partially completed. These funds are reserved in a Capital Appropriations reserve, but when the appropriation is carried forward to the following year, this re- appropriation causes expenditures to exceed current year revenues. Recommended in the FY 2010 -11 budget are some personnel changes that result in one additional full -time position. 01 Position changes: • Add one full -time Department Assistant and one additional full -time Paralegal in the Office of the City Attorney. • Add one full -time Budget Manager in Administrative Services. • Eliminate three full -time Maintenance Worker II positions (employees will be re- assigned) due privatization of street sweeping. • Add one full -time Recreation Coordinator in Recreation, assigned to the new facility that is scheduled to open in Fall 2010. The approval of these changes will bring our total full -time position count to 807 and 134.74 full - time equivalents (part- time). To review historical staffing trends, please refer to the Three -Year Comparison of Full -Time and FTE Positions in the Appendix Section. CAPITAL IMPROVEMENT PROGRAM (CIP). The CIP serves as a funding plan for public improvements, special projects, and many ongoing maintenance programs. Projects in the CIP include construction and rehabilitation of arterial highways, local streets, storm drains, bay and beach improvements, parks and buildings, and water and wastewater improvements. The FY 2010 -11 CIP budget is just approximately $52.9 million, more than $23.7 million in new project funding and approximately $29.2 million in projects that will be re- budgeted or carried forward from FY 2009 -10 to FY 2010 -11. A significant FY 2010 -11 CIP project is $4 million from the Tidelands fund for dredging of the Rhine Channel. Specific project plans for this budget year are discussed in more detail in the CIP section of the Budget documents, as well as the printed Capital Improvement Program budget document. There is also a summary of Historical Capital Projects Spending in the Appendix Section of this document. FUTURE ISSUES. FY 2010 -11 is likely to be the most difficult year for the City. Revenue projections will continue to increase slowly in the coming years and the effect of the Early Retirement Incentive Plan will continue to provide operating savings. However, we will need to address rising retirement contributions. Our miscellaneous and safety PIERS employer 10 FY 2010 -11 Category Budget Facilities $1,663,350 Streets and Drainage 23,475,450 Traffic 1,581,494 Parks, Harbors and Beaches 18,246,768 Water Quality and Environmental 2,883,018 Water 2,325,000 Wastewater 865,052 Miscellaneous 1,876,666 $52,916,798 Specific project plans for this budget year are discussed in more detail in the CIP section of the Budget documents, as well as the printed Capital Improvement Program budget document. There is also a summary of Historical Capital Projects Spending in the Appendix Section of this document. FUTURE ISSUES. FY 2010 -11 is likely to be the most difficult year for the City. Revenue projections will continue to increase slowly in the coming years and the effect of the Early Retirement Incentive Plan will continue to provide operating savings. However, we will need to address rising retirement contributions. Our miscellaneous and safety PIERS employer 10 contribution rates increased slightly for FY 2010 -11 and projected to increase again moderately for FY 2011 -12. In FY 2012 -13, though, we are anticipating a significant increase as that's when the FY 2007 -08 investment losses of 25 %, or approximately $125 million, are factored into contribution rates. We currently have $5 million in our Reserve for PERS Rate Changes which will help offset rate increases. It is important to note that similar to the Newport Beach Firefighters Association retirement contribution mentioned above, the City's miscellaneous employees have been making a 3.42% retirement contribution since January 2008, which helps offset the City's retirement contribution obligation. CONCLUSION. Newport Beach is a full service city, providing nearly all public services including police, fire, water, sewer service, trash collection, libraries, street maintenance, traffic management, parks, and marine safety. This budget will assist the City of Newport Beach in continuing to provide and improve the quality of services that the citizens of this community have come to expect and deserve. The financial plan for FY 2010 -11 is conservative and directs significant resources toward the priorities identified by the City Council. I am pleased to present the FY 2010 -11 budget to the City Council and to the citizens of Newport Beach, California. 11 Each year the City prepares and adopts, by formal Resolution, an annual budget as required by the City's Charter. The budget is the operating and capital expenditure plan for the City for the fiscal year beginning on July 1 and ending on June 30 of the following year. Budget Process — During December of each year, the Administrative Services Department prepares preliminaryfund balance estimates forthe currentyearand preliminary revenue estimates for the next fiscal year. In January of each year, the Administrative Services Department prepares a budget calendar and issues budget instructions and expenditure detail to each department for use in preparation of the next year's City budget. Included in these instructions are budget guidelines and appropriation limits for each department. These guidelines are developed by the Administrative Services Director and approved by the City Manager. After submission of revenue and appropriation requests by each department, the Administrative Services Department summarizes the requests for review by the City Manager and department heads. After review at the City Manager level, the Administrative Services Department prepares the City's proposed budget for the next fiscal year and submits it to the City Council. Thereafter, the City Council holds as many budget study sessions as it deems necessary. Subsequent to Council review and prior to its final adoption, the City Manager provides each Council Member with an itemized list of all proposed changes to permit a roll call vote by the City Council on each item during the budget hearing at the regular Council meeting. The City Council holds the budget hearing and adopts the budget on or before June 30 as required by the City Charter. Citizen input is encouraged during the Council study sessions or during the budget hearing. The Budget is prepared on a modified accrual basis with all appropriations lapsing at the close of the fiscal year. If an expenditure of an appropriation is required but unexpended at the close of the fiscal year, the appropriation must be rebudgeted or reappropriated by the City Council. Administration of the Annual Budget — During the budget year, department heads and their designated representatives may only authorize expenditures based on appropriations previously approved by City Council action, and only from accounts under their organizational responsibility. In addition, budget expenditures may only be authorized in the year appropriated. Department heads are responsible for not authorizing expenditures above budget appropriations in any given expenditure classification within their purview, without additional appropriation or transfer as specified below. New Aoorooriations. During the Budget Year, the City Council may appropriate additional funds for special purposes by a City Council Budget Amendment. The City Manager has authority to approve requests for budget increases not to exceed $10,000 in any Budget Activity or Capital Project. All budget amendment increases exceeding $10,000 shall be referred to the City Council for approval. Transfers. During the fiscal year, actual expenditures may exceed budget appropriations for specific expenditure line items within departmental budgets. If a total departmental budget, within a specific Classification, is not exceeded, the Administrative Services Director has the authority to transfer funds within that Classification and department, to make the most efficient use of funds appropriated by the City Council. (Salaries and Benefits, Maintenance and Operation, Other Charges, and Capital Outlay are the City's four Classifications.) 12 Realignments. Further, funds may be realigned between one Department Budget Activity and another, within the same Classification, with City Manager approval. For example, if a Fire Department function and the employee who accomplishes it are replaced by a slightly different function assigned to the Police Department, the City Manager may authorize the transfer of appropriate salary and benefit funds to support this function. Reorogrammina. Any reprogramming of funds among the four Classifications (Salaries and Benefits, Maintenance and Operation, Other Charges, and Capital Outlay) within a given fund requires the City Manager's approval. Any budget revision that changes the total amount budgeted for any fund (other than the minor provisions allowed for the City Manager) must be approved by the City Council. Capital jects. The department head having primary responsibility for a Capital Project (usually the Public Works Director) is authorized to encumber and approve subsequent expenditure of City funds for Capital Projects. However, contracts in excess of $30,000 require specific City Council authorization at the time of contract award. In addition, any contracts not of format and wording already approved by the City Attorney require specific City Attorney review and approval prior to contract award. The budget document is intended to provide the public concise and readable information about the City of Newport Beach's proposed operating and capital budgets, as well as anticipated funding sources. The document is actually prepared in three separate volumes: the Resource Allocation Plan, the Budget Detail, and the Capital Improvement Program. The Resource Allocation Plan is designed to be the summary "user friendly" document for the public. It is divided into the following five major sections: (The Table of Contents lists every subject covered in the budget document and its page number.) Introduction — includes the Table of Contents, City Organization Chart, List of City Officials, and the City Manager's Letter of Transmittal. Summaries — includes Revenues by Source, Expenditures by Function, Estimated Fund Balances, and Schedule of Fund Transfers. Department Budgets — includes proposed operating budgets by department. Other Budgets — includes a description of internal service funds, debt service information, and the proposed capital improvement budgets by funding source. Appendix— includes a summary of the Tide and Submerged Land Fund; a Capital Asset Schedule (Land, Structures and Improvements for the City); a summary of Rolling Stock in Service; a Three -Year Comparison of Full -time and Full -time Equivalent Positions; a history of capital projects spending; and a glossary of accounting terms and definitions of terms used in the Newport Beach Budget documents. 13 Both the Budget Detail volume and the Capital Improvement Program volume are designed to provide the reader more detail on the proposed operating and capital improvement expenditures. The Capital Improvement Program volume also serves as a Five -Year Proposed Capital Improvement Plan. For the most part, the General Fund is the portion of the City's operating budget that funds the majority of City services. This fund is used to account for fiscal resources which are dedicated to the general government operations of the City, and which are not required to be accounted for in another fund. Examples of the services funded by the General Fund include Police, Fire, and Lifeguard Services; Refuse Collection; Public Library; Recreation Programs; much of the City's expenditures on street maintenance; Planning and Building, and Engineering services; as well as the general administration of the City. In addition, many Capital Improvements are funded by the General Fund. The General Fund and its activities are primarily supported by property, sales, and transient occupancy taxes. In addition, the other revenue sources supporting General Fund activities include: Licenses, Fees and Permits; Intergovernmental Revenues; Charges for Services; Fines, Forfeitures and Penalties; Revenue from the Use of Money and Property; Contributions; and Other Miscellaneous Revenue. By far, the City's largest revenue source is Property Taxes. The City's second largest single revenue source is Sales Tax, followed by Transient Occupancy Tax. Together, these three revenue sources provide just over 74% percent of total General Fund revenues. In addition to the City's General Fund, there are numerous other funds that help finance City expenditures, particularly capital improvements. The City's Special Revenue Funds are used to account for the proceeds of special revenue sources, which are legally restricted to expenditures for specific purposes. The best example of a special revenue fund is the City's Gas Tax Fund, which is funded by the State Gasoline Tax, and which can only be expended for street repair, construction, and maintenance. The City has many other special revenue funds that are all included in the Budget. The City employs Internal Service Funds to account for vehicle maintenance and replacement, as well as all compensated absences, general liability, workers' compensation, and other insurance payments. These internal service funds are funded by charging each of the operating departments a rate computed to support these activities. Finally, the Budget includes Enterprise Funds, which are used to account for City operations that are financed and operated in a manner similar to private business enterprises. The objective of segregating activities of this type is to identify the costs of providing the services, and to finance them through user charges. The two main City enterprise funds are the City's Water Fund and the Wastewater Fund. Both of these funds are financed by user charges to the customers (residents and businesses of Newport Beach). 14 The following table lists the City departments and the funds they use. General Fund Administrative Services, Building, City Attorney, City Clerk, City Council, City Manager, Fire, General Services, Human Resources, Library & Cultural Arts, Planning, Police, Public Works, Recreation & Senior Services, Utilities - Electric Division Tidelands Fund City Manager - Harbor Resources, Utilities - Gas & Oil Water Enterprise Fund Utilities - Water Wastewater Enterprise Fund Utilities - Wastewater Equipment Internal Service Fund General Services - Equipment Appropriation (Gann) Limit — Article XI IIB of the California Constitution (Proposition 4) specifies that tax based appropriations of government entities (with certain exclusions) may increase annually only by a limited amount (primarily to allow for population increases and inflation). Newport Beach has been under its Gann Limit by a comfortable margin each year. For 2010 -11, the appropriations limit adopted by the City Council, in accordance with Revenue and Taxation Code Section 7910, was $140,588,741. Calculations determining this amount, which is $29.2 million greater than the budgeted proceeds of taxes (even without adjusting for exclusions) are verified as part of the City's annual audit. In addition to the Annual Budget, the City's audited financial statements for the prior fiscal years are available in the Administrative Services Department, City Clerk Department, and each of the City's library branches. Fund Balance Policy— Policy F -2 in the City of Newport Beach Council Policy Manual defines reserve levels among the various funds. This policy, in part, states that "The City Council has determined that a General Fund Contingency Reserve be created and that the balance in this reserve shall be maintained with not less than 12.0 percent of the appropriation budget total within the General Fund of the City's annual approved budget." The balance in this reserve is currently at the targeted amount. In addition, Policy F -2 includes a designated Reserve for Capital Improvement to fund replacement of City owned buildings. In addition to the General Fund's reserves, other reserve levels have been established. In the Tide and Submerged Land Fund, reserves are designated for Upper Newport Bay restoration projects. The City's Permanent Endowment Fund (Robinson SkinnerAnnuity) provides investment earning be reserved for dredging projects in Newport Bay. Reserves in the City's Water Enterprise Fund and the Wastewater Enterprise Fund are designed to guarantee their operation and are to be used for emergency repairs of the systems. Reserves have also been established for the City's Internal Service Funds, which fund such activities as Equipment Maintenance and Replacement, and Insurance Reserves for such items as liability, workers' compensation, compensated absences, and retiree insurance. is Debt Administration —The City does not issue debt instruments to finance operating activities; therefore Debt Service Expenditures are the result of capital financing ventures. There are two principal reasons why debt instruments are issued. The first circumstance is when the cash flow for the construction or purchase of a long -term asset would cause a significant strain on the City's cash flow and the asset to be financed will benefit many service periods. In no instance would the City select the duration of a given debt instrument to extend beyond the expected life of the asset financed. The second scenario arises when an asset to be purchased may not cause a significant cash flow strain but it would be economically advantageous to finance the asset rather than to purchase it outright (e.g. occasionally the City can borrow money at a lower rate than its investment portfolio is earning). Information regarding the City's current Debt Service Expenditures is included in the section entitled, Other Budgets. Cash Management — The City pools all cash and investments of all funds, except for funds required to be held by outside fiscal agents under the provisions of certificates of participation and investment funds in its deferred compensation plan. Under the provisions of the City's investment policy, and in accordance with Section 53601 of the California Government Code, the City may deposit and invest in the following: • Certificates of Deposit • Negotiable Certificates of Deposit • Bankers Acceptances • U.S. Treasury Issues • Federal Agency or U.S. Government - Sponsored Enterprise Obligations • Commercial paper • Repurchase Agreements and Reverse Repurchase Agreements • Passbook Savings Accounts • Local Agency Investment Fund (State of California) • County Investment Pool (Los Angeles) • Medium Term Corporate Bonds /Notes • Mortgage- backed Securities and Asset - backed securities • Municipal Bonds • Money Market Funds The City allocates interest to all funds as required by Federal, State, County, or local code. Each fund allocated interest is indicated on the Revenue Summary of the Budget Detail book. 16 Facilities and Locations c City of Newport Beach 9 V .,;,,,,.�' Population: 86,738 PACIFIC 19 1* z "E UPPER 1 a'- C% �¢ 18 ni J/ -� F� ° N EWPORT TASN,ON i ` RIDPE ISLAND v p 30 -4 1 Newport Beach City Hall la Future Newport Beach City Hall Location -� 2 Community Youth Center - ° 9 Corona del Mar Lifeguard Station - ° S 4 General Services Department Yard PACIFIC 19 1* z "E UPPER 1 a'- C% �¢ 18 ni J/ -� F� ° N EWPORT TASN,ON i ` RIDPE ISLAND v p Newport Beach City Facilities n 1 Newport Beach City Hall la Future Newport Beach City Hall Location -� 2 Community Youth Center - ° 9 Corona del Mar Lifeguard Station - ° S 4 General Services Department Yard 5 Harbor Resources/ Balboa Yacht Basin 6 Lifeguard Headquarters 7 Newport Coast Community Center 8 Oasis Senior Citizens Center 9 Police Department 30 Utilities Department Yard \ i 11 West Newport Community Center © Newport Beach Libraries 12 Central Library 13 Balboa Branch 14 Corona del Mar Branch 15 Mariners Branch �j 1jt1 Newport Beach Fire Stations 16 Balboa (Station 1) 17 Lido (Station 2) 18 Newport Center (Station 3) 19 Balboa Island (Station 4) 20 Corona del Mar (Station 5) 21 Mariners (Station 6) `°@ab 22 Santa Ana Heights (Station 7) 23 Newport Coast (Station 8) OM 5 (po ,� �7 13 } l2 r{ >' i � 23 = 2 z t4 8 OCEAN ' � A S WPOR {�S COA91 U O 05 I� CRYSTAL COVE STATE PARK Miles -\ Ar N1 1: i7' -. SeplembE02010 CnLCOetians_11XWColcr_2010,mxd City Boundary Parks 17 r DOILDING CODE —! L IOARDOFA=P& —J r CIVIL SERVICE BOARD , L-- - - - - -J r-- - - - - -� PLANNING COMMISSION L-- - - - - -J II ELECTORATE III MAYOR III r BOARD OF LIBRARY 1 L-- TS.Du9 u - -J r PARKS, BEACHES & 1 LRECREATION COMMISSION) r-- - - - - -i CITY ARTS COMMISSION r HARBOR COMMISSION , CITY MANAGER ACMIOperations CITY CLERK Business licancherning I IT CITY ATTORNEY Publiclnform- ADMINISTRATIVE SERVICES MUNICIPAL OPERATIONS AcrommorglRapoNnglBUdgating Treasury Management Administration Operations Support Still, & Receivables PaymillACCOUntII Payable Equipment Maintenance Field Maintenanoa Cashiering Parking I-Me Adminishotion Weler Service Oil &Gas Producflon Revenue Printi ng & Postal Services Parka and Street These Refuse Collection Purchasing &Warehousing Eletlnical Services Wastewater CulllecGon FIRE Fire Suppression (Operations) Ocean LHeguaNs Thdoing and Education Hazardous Materials Fire Prevention Junior Ldeguam Program Administrai Emergency Medical Services POLICE Patrol Support Services TaPoc Chief of Pollee Detersive O ELECTED OFFICIALS Fiscal Year 2010 -2011 20 PUBLIC WORKS Engineering CIP Design & Coneurn ion actors Master Planning Development S.i Planning & Engineering Publat Right M Way Permitting Nor Resources NPDES &Water Quality LIBRARY SERVICES Central Library & Branches Board of Library Trustees Support AduB & Youth Programs Iof woratbn & Reference Service. Lttenacy Services Sister City Nisoclabon Suppon Ara & Cultural Services City Ans Commission Support RECREATION & SENIOR SERVICES tough &Adult Sports Programs Smira Programs & Services Playgmundi Development Special Evena mility Man egemenUReem.s.ns Marine Lib Refuge PB &R Commission Supped COMMUNITY DEVELOPMENT HUMAN RESOURCES Rcmitment General Liability Emplu,:11-amer Relations Damage Administration ClesarlcatioNCompenselon WP+ers'Compenead- CltygideTheming Retiree Counseling & BenaNs Civil Service Board Support graveness &Disuielnes O ELECTED OFFICIALS Fiscal Year 2010 -2011 20 PUBLIC WORKS Engineering CIP Design & Coneurn ion actors Master Planning Development S.i Planning & Engineering Publat Right M Way Permitting Nor Resources NPDES &Water Quality LIBRARY SERVICES Central Library & Branches Board of Library Trustees Support AduB & Youth Programs Iof woratbn & Reference Service. Lttenacy Services Sister City Nisoclabon Suppon Ara & Cultural Services City Ans Commission Support RECREATION & SENIOR SERVICES tough &Adult Sports Programs Smira Programs & Services Playgmundi Development Special Evena mility Man egemenUReem.s.ns Marine Lib Refuge PB &R Commission Supped COMMUNITY DEVELOPMENT Land Use and Development Building minsinions LongRange Planning Plan ChecklPermlt Services I Planning Commission Support Use and Occupanq Housing Programs Residandal Building Records Economic Development Code Enforcement L- - - -J COUNCIL APPOINTED BOARDS & COMMISSIONS COUNCILAPPOINTED POSITIONS CITY DEPAR EN "Newport Beach is an exceptional community because of its nautical heritage, the natural beauty of the bay and ocean, and its outstanding enhancements. As employees of the City of Newport Beach, we have been entrusted to be the stewards of the quality of life cherished by those who live, work and visit here. In support of that trust, we commit to provide excellent service that respects the uniqueness and diversity of the community." As Employees of the City of Newport Beach, we choose to embrace and practice the following values: In practicing integrity, we strive to be honest, reliable, respectful, ethical, fair, and authentic. We will serve in a manner consistent with community values and follow through on our commitments. In practicing empathy, we will be sensitive to the needs of others by being compassionate, thoughtful, open- minded, willing to understand, and by being good listeners. In practicing service, we understand our roles as representatives of the City. We will endeavor to practice humility, to make things better for others, and to treat others, as we want to be treated. In practicing excellence, we will strive to do our best by demonstrating competence and a commitment to quality. We will be innovative, thorough, efficient, and effective in our work. In creating a positive work environment, we will express our appreciation for, and recognize, others. We will follow a work ethic, take pride of ownership in our work, be courteous, encourage creative thinking, seek and be open to challenges, create esprit de corps, maintain a safe environment, and act with enthusiasm. In creating unity of purpose, we will practice cooperation and teamwork. We will practice open communication by keeping others informed, considering the needs of others, and at times deferring to the needs of others. In practicing responsibility, we will be accountable in our work, take initiative, make appropriate decisions, and act decisively. We will acknowledge our errors and correct them. In practicing loyalty, we will respect the individual and the position. We will support each other, abide by decisions, and strive to always present a positive image of the City. 21 • �.9L� FO RVo REVENUE SUMMARY 2010 -11 2006 -07 2007 -08 2008 -09 2009 -10 2010 -11 Percent Actual Actual Actual Estimated Proposed Increase Fund7Revenue Category Revenue Revenue Revenue Revenue Revenue (Decrease) GENERALFUND PROPERTYTAXES 63,003,057 67,388,839 70,126,680 71,999,679 70,642,840 -1.51% TAXES OTHER THAN PROPERTY 48,804,390 50,913,153 45,086,961 41,357,702 43,732,841 10.19% LICENSES AND PERMITS 3,108,652 3,494,304 2,896,033 2,603,618 2,663,975 5.29% INTERGOVERNMENTAL 3,811,672 3,083,153 2,597,107 2,693,785 1,840,272 - 31.00% CHARGES FOR CURRENT SERVICES 14,368,650 14,935,334 15,230,315 15,210,978 13,878,895 -3.63% FINES, FORFEITURES & PENALTIES 3,706,151 3,957,864 3,711,086 3,739,303 3,651,000 0.66% USE OF MONEY AND PROPERTY 9,101,178 10,767,772 9,346,556 7,495,504 8,282,797 3.11% OTHER REVENUE 3,291,015 4,161,242 1,139,756 1,814,044 433,050 - 62.43% TOTAL GENERAL FUND 149,194,765 158,701,661 150,134,494 146,914,612 145,125.670 0.91% ASSET FORFEITURE FUND INTERGOVERNMENTAL 69,478 160,795 105,045 316.650 - - 100.00% USE OF MONEY AND PROPERTY 3,603 5,612 8,084 7,508 3,689 - 12.20% OTHER REVENUE 0.00% TOTAL FORFEITURE FUND 73,081 166,407 113,129 324,158 3,689 - 91.66% OTS GRANT INTERGOVERNMENTAL 116,612 239,949 183,538 40,279 - 86.40% TOTAL OTS GRANT FUND 116,612 239,949 183,538 40,279 - 86.40% SLESF - COPS FUND INTERGOVERNMENTAL 162,501 161,946 81,004 119,072 80,000 - 2727% USE OF MONEY AND PROPERTY 2,571 1,472 659 747 150 - 25.00% TOTAL SLESF - COPS FUND 165,072 163,418 81,663 119,819 80,150 - 27.27% JAG FUND (FORMERLY LLEBG) INTERGOVERNMENTAL - - 13,825 67,672 - - 100.00%. USE OF MONEY AND PROPERTY 285.00 0.00% TOTAL LLEBG FUND 13,825 67,957 - 100.00% CDBG FUND INTERGOVERNMENTAL 567,510 344,865 551,715 470,499 385,189 - 14.82% USE OF MONEY AND PROPERTY 781 0.00% TOTAL CDBG FUND 568,291 344,865 551,715 470,499 385,189 - 14.82% STATE GAS TAX FUND INTERGOVERNMENTAL 1,505,806 1,136,183 1,731,934 1,384,963 2,179,232 62.24% USE OF MONEY AND PROPERTY 148,474 166,858 115,341 67,355 31,107 -4.31% OTHER REVENUE 0.00% TOTAL GAS TAX FUND 1,654,280 1,303,041 1,847,275 1,452,318 2,210,339 60.67% PROP IB TRANSPORTATION FUND INTERGOVERNMENTAL - 1,354,589 1,252,014 - - 0.00% USE OF MONEY AND PROPERTY 51,274 24,109 19,846 0.76% TOTAL PROP I B TRANSPORTATION FUND 1,354,589 1,303,288 24,109 19,846 0.76% TRAFFIC CONGESTION FUND INTERGOVERNMENTAL 699,791 - 718,852 781,202 842,019 10.60% USE OF MONEY AND PROPERTY 25,148 1,964 4,468 3,316 2,000 - 11.11% TOTAL TRAFFIC CONGESTION FUND 724,939 1,964 723,320 784,518 844,019 10.54% TIDELANDS FUND LICENSES, PERMITS AND FEES 1,299,946 1.310,620 1,311,650 1,271;375 1,370,000 5.38% INTERGOVERNMENTAL - - 28,084 - - 0.00% CHARGES FOR SERVICES 84,071 137,845 123,981 82,400 62,000 - 16.22% FINES, FORFEITURES & PENALTIES 1,049 - 1,704 242 500 - 50.00% USE OF MONEY AND PROPERTY 7,662,643 8,813,660 7,654,324 8,630,984 9,512,862 20.15% OTHER REVENUE 28,084 280 (8,992) 0.00% TOTAL TIDELANDS FUND 9,047,709 10,290,209 9,120,023 9,976,009 10,945,362 17.78% CONTRIBUTIONS FUND INTERGOVERNMENTAL 4,880,885 2,232,264 1,165,289 1,903,669 60,000.00 - 98.12% USE OF MONEY AND PROPERTY 216,684 213,478 185,006 95,625 63,328 - 15.56% OTHER REVENUE 55,911 47,242 83,883 174,020 1,500,000.00 553.57% TOTAL CONTRIBUTIONS FUND 5,153,480 2,492,984 1,434,178 2,173,314 1,623,328 - 53.48% CIRCULATION AND TRANS FUND LICENSE, PERMITS AND FEES 394,703 704,578 859,820 366,087 250,000 0.00% USE OF MONEY AND PROPERTY 133,397 110,726 105,443 92,853 63,328 36.74% OTHER REVENUE 24,450 420,450 3,675,000 - 100.00% TOTAL CIRCULATION FUND 552,550 1,235,754 965,263 4,133,940 313,328 - 92.11% BUILDING EXCISE TAX FUND LICENSES, PERMITS AND FEES 166,063 169,864 175,830 74,947 - - 100.00% USE OF MONEY AND PROPERTY 13,334 15,604 9,983 6,469 4,013 -0.09% OTHER REVENUE 0.00% TOTAL BET FUND 179,397 185,468 185,813 81,416 4,013 - 96.14% 24 REVENUE SUMMARY 2010 -11 1,409,562 1,730,412 1,797,798 5,059.457 2006 -07 2007 -08 2008 -09 2009 -10 2010 -11 Percent Actual Actual Actual Estimated Proposed Increase Fund /Revenue Category Revenue Revenue Revenue Revenue Revenue (Decrease) MEASURE "M "FUND INTERGOVERNMENTAL USE OF MONEY AND PROPERTY OTHER REVENUE TOTAL MEASURE "M "FUND AHRPFUND INTERGOVERNMENTAL USE OF MONEY AND PROPERTY TOTAL AHRP FUND AIR QUALITY MGMT FUND INTERGOVERNMENTAL USE OF MONEY AND PROPERTY OTHER REVENUE TOTAL AQMD FUND ENVIRONMENTAL LIABILITY FUND OTHER REVENUE USE OF MONEY AND PROPERTY TOTAL ENVIRONMENTAL LAB FUND OIL SPILL REMEDIATION FUND TOTAL OTHER REVENUE USE OF MONEY AND PROPERTY TOTAL OIL SPILL FUND NEWPORT ANNEXATION FUND INTERGOVERNMENTAL USE OF MONEY AND PROPERTY TOTAL ANNEXATION FUND ASSESSMENT DISTRICT PROJECTS OTHER REVENUE USE OF MONEY AND PROPERTY TOTAL ASSESSMENT DIST. FUND FACILITIES FINANCING PLAN FUND USE OF MONEY AND PROPERTY TOTAL FACILITIES FINANCING FUND MAJOR FACILITIES REPLACEMENTS FUND USE OF MONEY AND PROPERTY OTHER FINANCING SOURCES USES TOTAL MAJOR FACILITIES FINANCING FUND CIOSA FUND OTHER REVENUE USE OF MONEY AND PROPERTY TOTAL CIOSA FUND BONITA CANYON DEV. FUND OTHER REVENUE USE OF MONEY AND PROPERTY TOTAL BONITA CANYON DEV. FUND MARINERS LIBRARY INTERGOVERNMENTAL OTHER REVENUE USE OF MONEY AND PROPERTY TOTAL MARINERS LIBRARY FUND OASIS SR CENTER INTERGOVERNMENTAL OTHER REVENUE USE OF MONEY AND PROPERTY TOTAL OASIS SR CENTER FIRE STATION #7 INTERGOVERNMENTAL OTHER REVENUE USE OF MONEY AND PROPERTY TOTAL FIRE STATION #7 FUND BACK BAY SCIENCE CENTER INTERGOVERNMENTAL OTHER REVENUE USE OF MONEY AND PROPERTY TOTAL BACK BAY SCIENCE CENTER 1,800,975 1,409,562 1,730,412 1,797,798 5,059.457 93.63% 115,038 147,583 169,319 78,546 45,942 12.29% 200,352 6,512,473 1,569,879 1,611,570 3.38% 0.00% 1,916,013 1,557,145 1,899,731 1,876,344 5,105,399 92.37% - - - - - 0.00% 2,318 746,740 545,050 670,918 - - 0.00% 31917 0.00% 746,740 548,967 670,918 0.00% 101,725 100,327 98,737 97,868 48,830 0.00% 10,712 16,038 17,778 10,627 3,700 - 17.70% 0.00 112,437 116,365 116515 108,495 52,531 - 1.49% 422,606 456,209 497,932. 452,063 661,127 3.00% 127,978 135,963 120,921 73,396 58,307 15.74% 550,584 592,172 618,853 525,459 719,435 3.93% - - - - - 0.00% 2,631 1,121 700 0.00% 2,631 1,121 700 0.00% - 2,000,000 - - - 0.00% 682,253 520,761 439,355 201,059 - 100.00% 682,253 2,520,761 439,355 201,059 - 100.00% 16,200 1,901,886 8,073,604.00 5,801,903 - 0.00% 89,171 7,662 14,469 52,887 48,883 1.50% 105,371 1,909,548 8,088,073 5,854,790 48,883 1.50% 200,000 0.00 %. 200,000 0.00 %. 598,000 0.00% 119,600,000 0.00% 120,198,000 0.00% - - - - - 0.00% 140,243 110,594 104,414 40,285 0.00% 140,243 110,594 104,414 40,285 0.00% - 811,355 190,500 153,871 - - 100.00% 4.101 1,067 3,322 51 - 100.00% 4.101 812,422 193,822 153,922 - 100.00% - 1,758,771 - 318,074.00 - 0.00% - - - 0.00% 592.00 - 0.00% 1758.771 318666 0.00% - 200,352 6,512,473 1,569,879 1,611,570 3.38% - - - - - 0.00% 0.00% 200,352 6,512,473 1,569,879 1,611,570 3.38% 1,600,000 5,850,000 - - - 0.00% - - - - - 0.00% 2,318 1,189 0.00% 1,600,000 5,850,000 2,318 1,169 0.00% 2,802,290 923,726 450,000 300,000 - - 100.00% - - 24,370. - - 0.00 %. 0.00% 2,802,290 923,726 474,370 300,000 - 100.00% 25 REVENUE SUMMARY 2010 -11 2006 -07 2007 -08 2008-09 2009 -10 2010 -11 Percent Actual Actual Actual Estimated Proposed Increase Fund /Revenue Category Revenue Revenue Revenue Revenue Revenue (Decrease) SAH COMMUNITY CENTER INTERGOVERNMENTAL 100,859 - - - - 0.00% OTHER REVENUE - - - - - 0.00% USE OF MONEY AND PROPERTY 0.00% TOTAL SAH COMMUNITY CENTER 100,859 0.00% MISC SAH PROJECTS INTERGOVERNMENTAL 500 182,587 - 4,944,909 - - 100.00% OTHER REVENUE - - - - - 0.00% USE OF MONEY AND PROPERTY 0 18,750 100.00% TOTAL MISC SAH PROJECTS 500 182,587 4,944,909 18.750 - 99.75% WATER ENTERPRISE FUND LICENSES, PERMITS AND FEES - - - - - 0.00% INTERGOVERNMENTAL - - 22,588 - - 0.00% CHARGES FOR SERVICES 17,825,993 17,166,497 16,878,827 17,269,587 23,680,761 30.10% USE OF MONEY AND PROPERTY 413,595 399,251 309,339 157,726 103,409 9.82% OTHER REVENUE 92,976 - 996,718 - 27,343 (21,020) 28,000 - 44.33% TOTAL WATER FUND 16,332,564 16,569,030 17,183,411 17406.293 23,812,170 2979% WASTEWATER ENTERPRISE FUND INTERGOVERNMENTAL - - - - - 0.00% CHARGES FOR SERVICES 3,502,724 3,544,721 3,471,389 3,363,458 3,471,665 -8.02% USE OF MONEY AND PROPERTY 120,030 124,767 130,018 70,790 32,217 -2.66% OTHER REVENUE 32,327 8,059 8,177 (24,870) 2,000 0.00% TOTAL WASTEWATER FUND 3,655,081 3,677,547 3,609,584 3,409,378 3,505,882 -7.92% INSURANCE RESERVE FUND WORKERS'COMP PREMIUM 3,199,422 3,199,421 3,199,422 2,769,262 2,769,262 - 13.44% GENERAL LIABILITY PREMIUM 3,328,697 3,328,697 3,328,696 3,140,532 3,140,068 -5.67% DISABILITY INSURANCE PREMIUM 172 172 172 172 - 0.00% OTHER REVENUE 488,487 620,316 1,211,345 636,931 291,859 -9.37% TOTAL INSURANCE FUND 7,016,778 7,148,606 7,739,635 6,546,897 6,201,189 -9.47% RETIREE MEDICAL FUND CHARGES FOR SERVICES 1,449,950 1,479,851 4,168,095 3,492,096 1,512,000 0.70% USE OF MONEY AND PROPERTY 244,210 241,202 - - - 0.00% OTHER REVENUE 1,333,299 1,884,823 2,608,726 2,000,000 8.11% TOTAL RETIREE MEDICAL FUND 1,694,160 3,054,352 6,052,918 6,100,822 3,512.000 479% COMPENSATED ABSENCE FUND INTERGOVERNMENTAL - - 12.116.00 - 0.00% CHARGES FOR SERVICES 2,054,073 2,139,954 2,266,002 2,383.307 2,420,702 1.57% USE OF MONEY AND PROPERTY 69,315 94,849 123,792 50,063 43,774 -4.32% TOTAL COMP. ABSENCE FUND 2,123,388 2,234,803 2,389,794 2,445,486 2,464,476 1.46% EQUIPMENT MAINTENANCE FUND INTERGOVERNMENTAL - - - - - 0.00% EQUIPMENT MAINTENANCE 1,907,898 2,138,835 2,318,160 2,295,281 2,222,291 -4.02% EQUIPMENT REPLACEMENT 2,520,203 2,953,500 2,996,399 3,002,573 2,905,201 -3.81% OTHER REVENUE 505,522 599,985 496,979 343,210 275,000 -6.45% TOTAL EQUIPMENT FUND 4,933,623 5,692,320 5,811,538 5,641,064 5,402,492 4.03% PD EQUIPMENT MAINTENANCE FUND EQUIPMENT REPLACEMENT 886,917 878,570 878,570 691,945 691,945 0.00% OTHER REVENUE 153,755 137,183 127,627 132,742 97,000 - 26.30% TOTAL PD EQUIPMENT FUND 1,040,672 1,015,753 1,006,197 824,687 788,945 -4.20% ACKERMAN FUND USE OF MONEY AND PROPERTY 52,074 55,072 50,565 25,491 17,117 -0.53% OTHER REVENUE 0.00% TOTAL ACKERMAN TRUST FUND 52,074 55,072 50,565 25,491 17,117 -0.53% NEWPORT BAY DREDGING FUND USE OF MONEY AND PROPERTY 207,909 220,996 204,147 104,074 72,942 2.14% OTHER REVENUES 0.00% TOTAL BACK SAY DREDGING 207,909 220,996 204,147 104,074 72,942 2.14% DEBT SERVICE FUND USE OF MONEY AND PROPERTY 30,148 22,559 22,023 21,999 8,487 -0.53% OTHER FINANCING SOURCES USES 10,400,000 0,00% TOTAL DEBT SERVICE FUND 30,148 22,559 22,023 21,999 10,408,487 121898.23% TOTAL ALL FUNDS 215,163,983 233,132,541 229 ,905,289 225,127,375 345,735,481 58.30% Less- Internal Premiums (13,897,382) (14,639,149) (14,987,421) (14,283,072) (14,149,469) NIA TOTAL ALL CITY FUNDS, NET OF INTERNAL PREMIUMS 201,266,601 218,493,392 214,917,868 210,844,303 331,586,012 62.97% 26 EXPENDITURES BY FUND 2006 -07 2007 -08 2008.09 2009 -10 2010 -11 % of Total Actual Actual Estimated Estimated Proposed Operating Function and Activities Expenditures Expenditures Expenditures Expenditures Expenditures Budget GENERAL FUND BUDGET General Government 5,261,188 5,711,349 6,805,959 5,379,784 5,118,500 2.72% City Council 1,184,210 1,531,704 1,188,990 1,163,486 1,044,410 0.56% City Clerk 467,725 558,111 469,507 382,360 492,538 0.26% City Manager 1,521,190 1,426,985 1,779,540 1,502,081 1,769,813 0.94 Human Resources 1,750,807 1,992,697 2,053,500 2,331,841 2,292,046 1.22% City Attorney 1,480,305 1,636,695 2,097,159 2,688,217 2,348,842 1.25% Administrative Services 7,301,824 7,361,911 7,978,960 7,439,653 7,775,976 4.14% Total General Government 13,706,061 14,508,103 15,567,656 15,507,638 15,723,625 8.37% Public Safety 184,685 70,315 123,878 108,537 M.864 0.08% Police Department 40,023,194 42,707,208 44,919,067 43,350,642 42,823,171 22.79% Fire Department 28,609,178 30,296,841 33,356,318 33,411,596 34,055,183 18.12% Total Public Safety 68,632,372 73,004,049 76,275,385 76,762,238 76,878,354 40.91% Community Development 4,725 1,450 19,350 4,650 5,000 0.00% City Manager 549,669 655,139 660,941 563,378 667,205 0.36% Planning 2,916,490 3,119,517 3,324,759 3,125,983 3,005,540 1.60% Building 4,086,318 4,388,407 4,713,078 4,397,468 4,237,603 2.25% Total Community Development 7,552,477 8,163,063 8,698,778 8,086,829 7,910,348 4.21% Public Works 215,705,476 213,717,967 225,033,978 238,193,312 240,844,985 General Services 21,587,395 22, 134, 733 22440,344 22,160,950 22,034,946 11.73% Public Works 4,673,057 5,161,516 5,644,502 5,646,082 5,550,535 2.95% Utilities 1,258,650 1,390,610 1,454,692 1,158,994 1,307,491 0.70% Total Public Works 27,519,102 28,686,859 29,539,538 28,966,026 28,892,972 15.37% Community Services City Council - Centennial 519.466 2,034 - - - 0.00% Recreation & Sr. Services 5,137,147 6,222,052 6,760,245 6,555,331 7,590,671 4.04% Libraries & Arts 6,092,403 6,415,158 6,521,718 6,554,183 6,472,808 3.44% Total Community Services 11,749,016 12,639,244 13,281,963 13,109,514 14,063,479 7.48 General Fund Debt Service 2,000,000 1,642,500 1,571,250 - 780,000 0.42% Total General Fund Op. Budget 131,159,028 138,643,818 146,934,570 142,432,245 144,248,778 76.76% General Fund CIPs 10,368,748 10,455,571 5,910,047 7,127,010 5,054,497 2.69% Total General Fund Budget 141,527,776 149,099,389 152,844,617 149,559,255 149,303,275 79.45% ENTERPRISE FUNDS Water - Operations 15.627,903 15,758,904 16,806,079 16,908,256 19,761,460 10.52% Water - CIP 1;899,764 3,303,475 1,433,341 1,714,482 2,475,500 1.32% Water - Debt Service 1,584,900 1,582,765 1,581,325 1,585,000 - 0.00% Wastewater - Operations 2,402,472 2,677,294 2,792,917 2,711,550 3,042,666 762% Wastewater -CIP 1,475,733 486,315 423,255 369,261 1,471,552 0.78% Total Enterprise Funds 22,990,772 23,808,753 23,036,917 23,288,549 26,751,178 14.23% INTERNAL SERVICE FUNDS Insurance Reserve 5,261,188 5,711,349 6,805,959 5,379,784 5,118,500 2.72% Equipment Fund - Operations 3,837,663 3,792,464 3,266,604 3,850,214 2,516,398 1.34% Equipment Fund - CIP 102,270 - 65,709 57,950 82,000 0.04% Equipment Fund - Debt Service 129,513 49,820 - - - 0.00% PD Equipment Replacement 769,526 456,803 477,300 802,540 430,000 0.23% Compensated Absences 1,854,659 1,807,046 2,158,082 6,432,776 1,635,100 0.87% Retiree Medical 3,559,779 14,772,828 8,249,701 5,720,155 5,848,000 3.11% Total Internal Service Funds 15,514,598 26,590,310 21,023,355 22,243,419 15,629,998 8.32% OTHER FUNDS Police Grants 211,576 482,366 278,959 440,533 119,210 0.06% CDBG - Operations 114,062 117,878 124,479 134,720 116,770 0.06% CDBG - Debt Service 191,224 193,482 196,253 197,535 199,345 0.11% Tidelands- Harbor Resources 1,928,465 1,838,903 1,921,292 1,806,717 1,924,804 1.02% Tidelands- Oil and Gas 629,471 720,977 671,273 711,311 793,720 0.42% Tidelands - Debt Service 237,062 237,082 237,062 237,062 237,062 0.13% Circulations &Trans Debt Service - - - 183,044 - 0.00% AOMD 19,035 17,402 16,705 14,342 14,235 0.01% Environmental Liability 184,685 70,315 123,878 108,537 M.864 0.08% Newport Annexation - Debt Service 1,200,000 1,200,000 1,200,000 1,200,000 1,200,000 0.64% Library - Debt Service 566,335 564,480 565,463 569,379 568,275 0.30% CIOSA Debt Service - - - - - 0.00% Ackerman Fund 4,725 1,450 19,350 4,650 5,000 0.00% All Other CIP 30,385,690 8,775,200 22,774,375 37,494,259 43,833,249 23.32% Total Other Funds 35,672,330 14,219,515 28,129,089 43,102,089 49,160,534 26.16% TOTAL OPERATING BUDGET 171,473,271 190,697,406 194,427,251 191,430,350 187,928,187 100.00% TOTAL CIP 44,232,205 23,020,561 30,606,727 46,762,962 52,916,798 TOTAL CITY BUDGET 215,705,476 213,717,967 225,033,978 238,193,312 240,844,985 LESS: INTERNAL CHARGES (13,697,382) (14,639,149) (14,987,421) (14,283,072) (14,149,469) TOTAL BUDGET NET OF INTERNAL CHARGES 201,808,094 199,078,818 210,046,557 223,910,240 226,695,516 27 2010 -11 EXPENDITURES BY DEPARTMENT Maintenance Salaries& %, of and %of Capital %of Debt Total %of Benefits Total Operation Total Outlay Total Service Budget Total DEPARTMENT SERVICES % % GENERAL BUDGET TOTAL TOTAL TYPE Narcotic Asset Forfeiture - City Council 209,105 0.17% 828,305 1.37% 7,000 0.38% - 1,044,410 0.43% City Clerk 341,943 0.28% 150,595 0.25% - 0.00% - 492,538 0.20% City Manager 2,819,149 2.30% 1,518,673 2.50% 24,000 1.30% - 4,361,822 1.81 %. Human Resources 1,380,258 1.13% 905,788 1.49% 6,000 0.32% - 2,292,046 0.95% City Attorney 1,805,155 1.31% 719,329 1.19% 24,358 1.32% - 2,348,842 0.98% Administrative Services 6,094,655 4.98% 1,342,104 2.21% 339,219 18.33% - 7,775,978 3.23% Police 36,628,420 29.92% 5,976,692 9.85% 218,059 11.78% - 42,823,171 17.78% Fire 28,549,380 23.32% 5,314,993 8.76% 190,810 10.31% - 34,055,183 14.14% Planning 2,577,788 2.11% 541,022 0.89% 3,500 0.19% - 3,122,310 1.30 %. Building 3,796,334 3.10% 413,369 0.68% 27,900 1.51% - 4,237,603 1.76% General Services 9,768,711 7.98% 12,244,735 20.18% 21,500 1.16% - 22,034,946 9.15% Public Works 4,690,514 3.83% 835,786 1.38% 24,235 1.31% - 5,550,535 2.30% Utilities 5,980,984 4.89% 18,866,501 31.09% 57,850 3.13% - 24,905,335 10.34% Library Services (Intl Cultural Arts) 4,854,805 3.97% 1,543,903 2.54% 74,100 4.00% - 6,472,808 2.69% Recreation and Sr. Services 4,226,373 3.45% 3,337,848 5,50% 26,450 1.43% - 7,590,671 3.15% INTERNAL SERVICES Insurance Reserve - 0.00% 5,118,500 8.44% - 0.00% - 5,118,500 2.13% Equipment Maint. & Replacement 1,346,019 1.10% 709,579 1.17% 460,800 24.90% - 2,516,398 1.04% PD Equipment Replacement - 0.00% 85,000 0.14% 345,000 18.64% - 430,000 0.18% Compensated Absence 1,635,100 1.34% - 0.00% - 0.00% - 1,635,100 0.68% Retiree Medical 5,848,000 4.78% - 0.00% - 0.00% - 5,848,000 2.43 %. DEBT SERVICE Office Equipment Leases - 0.00% - 0.00% - 0.00% 780,000 780,000 0.32% CDBG Balboa Village Loan - 0.00% - 0.00% - 0.00% 199,345 199,345 0.08% Balboa Yacht Basin Construction Loan - 0.00% - 0.00% - 0.00% 237,062 237,062 0.10% Circulation and Transportation - 0.00% - 0.00% - 0.00% - - 0.00% Newport Annezaticn - 0.00% - 0.00% - 0.00% 1,200,000 1,200,000 0.50 %. Central Library Construction - 0.00% 5,250 0.01% - 0.00% 563,025 568,275 0.24% CIOSA - 0.00% - 0.00% - 0.00% - - 0.00% Groundwater Improvement Bonds - 0.00% - 0.00% - 0.00% - - 0.00% Rolling Stock Leases - 0.00% - 0.00% - 0.00% - - 0.00% OTHER ACTIVITIES % % GENERAL BUDGET TOTAL TOTAL TYPE Narcotic Asset Forfeiture - 0.00% 39,060 0.06% - 0.00% - 39,060 0.02% OTS Grant - 0.00% - 0.00% - 0.00% - - 0.00% SLESF 69,872 0.06x/ 10,278 0.02% - 0.00% - 80,150 0.03% LLEBG - 0.00% - 0.00% - 0.00% - - 0.00% AOMD - 0.00% 14,235 0.02% - 0.00% - 14,235 0.01% Environmental Liability Fund - 0.00% 148,864 0.25% - 0.00% - 148,864 0.06 %. Ackerman Donation - 0.00% 5,000 0.01% - 0.00% - 5,000 0.00% Capital Improvement Projects - 0.00% - 0.00% - 0.00% - 52,916,798 21.97% Total Budget 122,422,565 100.00% 60,675,409 100.00% 1,850,781 100% 2,979,432 240,844,985 100.00% Less: Internal Charges (5,189,964) (8,959,505) - - (14,149,469) Total Budget Net of Internal Charges 117,232,601 51,715,904 1,850,781 2,979,432 226,695,516 OPERATING BUDGET Salaries and Benefits Maintenance and Operation Capital Outlay Debt Service Total Operating Budget CAPITAL IMPROVEMENTS TOTAL BUDGET W1 52,916,798 100.00% 21.97% 240,844,985 100.00% 100.00% % % GENERAL BUDGET TOTAL TOTAL TYPE BUDGET 122,422,565 65.14% 50.83% 60,675,409 32.29% 25.19% 1,850,781 0.98% 0.77% 2,979,432 1.59% 1.24% 187,928,187 100.00% 78.03% 52,916,798 100.00% 21.97% 240,844,985 100.00% 100.00% 5,054,497 100.00% 3.39% 149,303,275 100.00% 100.00% %OF % GENERAL BUDGET TOTAL FUND TYPE BUDGET 106,963,185 74.15% 71.64% 35,526,812 24.63% 23.80% 978,781 0.68% 0.66% 780,000 0.54% 0.52% 144,248,778 100.00% 96.61% 5,054,497 100.00% 3.39% 149,303,275 100.00% 100.00% OPERATING EXPENDITURES -ALL FUNDS Acct Code Activity - Function City Council City Clerk City Manager Human Resources City Attorney Admin Services Police Fire Planning Building General Services Public Works Utilities Library Services Recreation & Sr Svcs Internal Svc Funds Other Activities Total Activity - Function Acct Code 7000 SALARIES - MISC - 239,209 1,723,461 878,203 1,093,451 4,130,454 6,023,711 1,257,491 1,839,178 2,856,308 6,150,525 3,349,173 3,885,005 2,652,446 1,961,506 883,709 - 38,923,830 SALARIES -MISC 7000 7010 SALARIES - SAFETY 14,805,384 12,682,642 27,488,026 SALARIES - SAFETY 7010 7020 SALARIES - PERM PART TIME &TEMP 431,124 123,628 94,363 215,527 840,366 1,313,117 10,039 55,161 56,176 109,525 18,658 1,057,818 1,110,596 19,718 5,455,816 SALARIES -PERM PART TIME &TEMP 7020 7040 OVERTIME, MISC 1,308 29,822 2,533 19,958 283,381 55,424 52,369 450,139 15,535 208,194 6,456 11,732 19,826 1,156,677 OVERTIME, MISC 7040 7041 OVERTIME, SAFETY 1,122,921 1,122,921 OVERTIME, SAFETY 7041 7042 OVERTIME, PLANNED 560,514 560,514 OVERTIME, PLANNED 7042 7043 OVERTIME, VACATION RELIEF _ _ _ _ _ _ _ 1,587,589 _ _ _ _ _ _ _ _ _ 1,587,589 OVERTIME, VACATION RELIEF 7043 7044 OVERTIME, UNCONTROLLED 947,160 947,160 OVERTIME, UNCONTROLLED 7044 7059 PACKER/CALLBACK/STANDBY PAY 73,597 127,300 89,140 290,037 PACKER/CALLBACK/STANDBY PAY 7059 7060 COPTER, TILLER & EMT PAY _ _ _ _ _ _ 14,400 79,898 _ _ _ _ _ _ _ _ _ 94,298 COPIER & TILLER 7060 7062 NIGHT DIFF, MISC 4,500 49,947 150 2,325 10,363 475 67,760 NIGHT DIFF, MISC 7062 7063 CERTIFICATION PAY 859 10,705 203,287 3,218 23,476 17,400 8,437 25,700 715 293,797 CERTIFICATION PAY 7063 7066 BILINGUAL PAY 9,000 33,600 11,431 7,200 1,800 1,800 1,800 66,631 BILINGUAL PAY 7066 7067 LONGEVITY PAY 75,152 89,276 164,428 LONGEVITY PAY 7067 7070 SCHOLASTIC ACHIEVEMENT 647,185 439,343 1,086,528 SCHOLASTIC ACHIEVEMENT 7070 7071 EDUCATION RETENTION, MISC _ _ _ _ _ _ 112,624 _ _ _ _ _ _ _ _ _ _ 112,624 EDUCATION RETENTION, MISC 7071 7072 HOLIDAY PAY, MISC 242,822 242,822 HOLIDAY PAY, MISC 7072 7074 HOLIDAY PAY, SAFETY 600,990 314,590 915,580 HOLIDAY PAY, SAFETY 7074 7076 LEADERSHIP PAY, SAFETY _ _ _ _ _ _ 22,554 _ _ _ _ _ _ _ _ _ _ 22,554 LEADERSHIP PAY, SAFETY 7076 7085 UNEMPLOYMENT & TERMINATION PAY 1,175,000 1,175,000 UNEMPLOYMENT & TERMINATION PAY 7085 7088 PAID FLEX/SPILLOVER PAY 450,000 450,000 PAID FLEX/SPILLOVER PAY 7088 7100 COUNCIL ALLOWANCES 107,154 _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ 107,154 COUNCIL ALLOWANCES 7100 7210 HEALTH /DENTAWISION 83,196 41,598 249,588 138,660 138,660 734,898 3,087,708 2,147,796 305,052 429,846 1,317,270 443,712 776,496 568,506 402,114 180,258 11,045,358 HEALTH /DENTAL/VISION 7210 7226 RETIREE INSURANCE- MERP 3,600 2,980 10,985 4,665 43,025 241,058 131,639 19,163 15,495 73,823 46,019 35,660 36,364 20,369 2,321,035 3,005,880 RETIREE INSURANCE -MERP 7226 7250 SALARY SAVINGS /REIMBURSEMENT 88,495 82,000 1,777,664 754,529 85,000 330,000 81,433 98,240) 235,667) 8,210 340,000 69,872 3,131,366 SALARY SAVINGS /REIMBURSEMENT 7250 7251 RETIREE INSURANCE 3,195,000 3,195,000 RETIREE INSURANCE 7270 OTHER MISC BENEFITS 6,000 5,100 6,000 4,800 39,300 2,400 5,550 69,150 OTHER MISC BENEFITS 7290 LIFE INSURANCE 73 315 1,890 1,010 1,042 5,493 24,872 16,363 2,310 3,240 9,746 3,255 5,702 4,025 2,988 1,365 83,689 LIFE INSURANCE 7295 EMPLOYEE ASSISTANCE 69 413 229 229 1,215 5,455 3,576 481 711 2,177 710 1,284 940 665 298 18,452 EMPLOYEE ASSISTANCE 7370 WORKERS' COMP, MISC 4,913 55,446 14,622 18,046 87,430 146,594 89,102 31,259 56,125 327,362 88,626 95,905 71,087 139,792 44,347 1,270,656 WORKERS' COMP, MISC N7371 7371 WORKERS' COMP, SAFETY _ _ _ _ _ _ 819,784 678,822 _ _ _ _ _ _ _ _ _ 1,498,606 WORKERS' COMP, SAFETY 7373 COMPENSATED ABSENCES 8,372 60,321 30,737 38,271 144,566 728,915 487,706 64,371 99,832 215,269 117,221 135,975 92,836 68,653 30,930 2,323,975 COMPENSATED ABSENCES 7425 MEDICARE FRINGES 1,639 3,747 33,646 15,725 18,600 57,726 351,230 252,920 28,058 42,688 84,071 52,501 56,986 55,117 45,812 20,947 1,121,413 MEDICARE FRINGES 7439 PERS EPMC -MISC 5,862 17,917 129,159 75,037 88,967 321,857 514,584 98,156 137,995 219712 461,272 249,534 291,456 231,449 203,808 66,268 3,113,033 PERS EPMC -MISC 7440 PER EMPLOYER CONTRBN -MISC 7 039 21,515 155,101 90,109 106,837 386,504 618,189 117,871 165 713 263,843 553,925 299,655 349,999 277,938 244,745 79,579 3,738,562 PERS EMPLOYER CONTRBN -MISC 7441 PERS EMPLOYER CNTRBN- SAFETY 5,377,682 4,612,760 9,990,442 PERS EMPLOYER CNTRBN- SAFETY 7441 7442 PERS EPMC - SAFETY _ _ _ _ _ _ 1,602,650 1,020,022 _ _ _ _ _ _ _ _ _ 2,622,672 PERS EPMC - SAFETY 7442 7460 RETIREMENT PART TIMEFFEMP 542 15,329 689 3,496 12,326 47,941 377 328 3,689 2,451 700 23,327 13,263 839 125,297 RETIREMENT PART TIME/TEMP 7460 SUBTOTAL SALARY & BENEFITS 209,105 341,943 2,819,149 1,380,258 1,605,155 6,094,654 1 36,628,420 1 28,549,3801 2,577,7881 3,796,3341 9,768,711 1 4,690,5141 5,980,9851 4,854,8051 4,226,3731 8,829,1191 69,872 122,422,565 SUBTOTAL SALARY & BENEFITS 8010 ADVERT & PUB RELATIONS 4,000 6,181 8,000 22,500 16,650 26,500 5,000 1,000 14,000 12,500 14,460 130,791 ADVERT & PUB RELATIONS 8010 8020 AUTOMOTIVE SERVICE 6,700 8,350 330,435 214,836 1,600 8,000 344,040 17,600 136,500 6,000 38,250 15,500 1,127,811 AUTOMOTIVE SERVICE 8020 8021 AUTOMOTIVE EXTERIOR MAINT 52,768 3,000 55,768 AUTOMOTIVE EXTERIOR MAINT 8021 8022 EQUIPMENT MAINTENANCE 23,952 36,368 520,688 3,474 41,767 1,085,424 42,910 385,447 7,061 56,342 18,859 2,222,292 EQUIPMENT MAINTENANCE 8022 8023 AUTOMOTIVE PURCHASE _ _ _ _ _ _ 141,445 _ _ _ _ _ _ _ _ _ _ 141,445 AUTOMOTIVE PURCHASE 8023 8024 EQUIPMENT REPLACEMENT 20,781 28,135 590,500 1,238,727 1,830 33,902 1,035,010 34,796 428,074 5,493 61,676 16,777 3,495,701 EQUIPMENT REPLACEMENT 8024 8030 MAINT &REPAIR - EQUIP 150 15,439 12,341 1,000 552 281,770 89,037 152,887 1,000 28,000 16,650 255,000 9,200 13,300 8,000 3,500 887,826 MAINT &REPAIR - EQUIP 8030 8031 MAINT &REPAIR - COPIERS 112,645 3,500 116,145 MAINT &REPAIR - COPIERS 8031 8032 MAINT & REPAIR - GYM 8,000 8,000 MAINT & REPAIR - GYM 8032 8033MAINT & REPAIR - PRINTERS 1,000 6,100 5,000 12,974 48,000 7,000 4,660 5,100 3,950 8,700 1,975 8,950 7,085 975 121,469 MAINT &REPAIR - PRINTERS 8033 8034 MAINT &REPAIR - NOC _ _ _ _ _ _ _ _ _ _ 36,859 30,000 _ _ _ _ _ 66,859 MAINT - E. COAST HIGHWAY 8037 8040 MAINT &REPAIR - FACILITIES 4,000 41,720 20,000 176,120 233,469 81,250 43,150 101,400 96,938 798,047 MAINT &REPAIR - FACILITIES 8040 8050 PSTGE,FREIGHT,EXPRESS NOC 1,000 2,000 10,000 5,000 4,600 42,394 52,615 14,120 10,000 3,400 1,500 3,906 76,000 15,000 51,698 293,233 PSTGE, FREIGHT, EXPRESS NOC 8050 8060 PUBLICATIONS & DUES NOC 50,000 650 9,240 3,500 3,910 13,450 24,363 30,008 8,000 17,450 1,250 8,100 6,550 4,310 3,505 1,500 185,786 PUBLICATIONS & DUES NOC 8060 8070 RENTAUPROP & EQUIP NOC 5,700 7,280 19,101 42,443 17,000 6,200 1,200 102,408 10,278 211,610 RENTAL /PROP & EQUIP NOC 8070 8078 EMPLOYEE RECOGNITION 10,000 10,000 EMPLOYEE RECOGNITION 8078 8080 SERVICES -PROF &TECH NOC 240,000 108,400 629,111 460,997 115,000 174,282 746,600 291,340 76,000 102,000 1,380,988 147,165 426,290 4,264 1,862,215 123,500 96,400 6,984,552 SERVICES-PROF & TECH NOC 8080 80802 SERVICES -OTHER SPECIAL 80,306 48,183 10,000 5,250 143,739 SERVICES -OTHER SPECIAL 80802 80805 SERVICES -TREE RELATED 130,000 130,000 SERVICES -TREE RELATED 80805 80808 SERVICES - NPDES /TMDL ADMIN _ _ 443,318 _ _ _ _ _ _ _ _ _ _ _ _ _ _ 443,318 SERVICES - NPDES/TMDL ADMIN 80808 8081 SERVICES- JANITORIAL 10,000 91,473 8,821 298,340 71,525 169,963 650,122 SERVICES- JANITORIAL 8081 8085 SERVICES- NEWPORT COAST 580,000 580,000 SERVICES - NEWPORT COAST 8085 8088 SERVICES - CONTRACT _ _ _ _ _ _ _ _ _ _ 2,415,628 _ _ _ _ _ _ 2,415,628 SERVICES - CONTRACT 8088 8091 SERVICES - COMPUTER CONSULT 79,353 5,000 84,353 SERVICES- COMPUTER CONSULT 8091 8100 TRAVEL & MEETINGS NOC 9,000 4,100 18,700 7,500 4,600 27,915 8,770 58,830 10,000 6,100 2,500 8,000 5,250 5,275 11,800 1,275 189,615 TRAVEL & MEETINGS NOC 8100 8105 TRAINING 3,000 10,500 10,500 6,900 34,500 132,283 58,074 9,000 17,500 5,300 26,500 18,700 5,200 25,850 5,000 800 369,607 TRAINING 8105 8106 TRAINING, POST 86,991 86,991 TRAINING, POST 8106 8107 TRAINING, CITY WIDE 20,000 20,000 TRAINING, CITY WIDE 8107 8112 UTILITIES - TELEPHONE 1,960 14,220 2,660 4,140 159,140 215,135 66,608 2,955 25,295 19,600 21,900 50,400 30,755 14,134 4,000 632,902 UTILITIES- TELEPHONE 8112 8114UTILITIES- NATURAL GAS 500 5,000 12,155 13,000 4,000 15,653 12,100 2,500 64,908 UTILITIES - NATURAL GAS 8114 8116 UTILITIES - ELECTRICITY 54,600 174,720 134,279 174,500 2,204,200 183,228 114,500 32,000 7,400 3,079,427 UTILITIES - ELECTRICITY 8116 8118 UTILITIES -WATER 6,000 5,000 21,300 682,746 30,700 14,804 27,303 787,853 UTILITIES -WATER 8118 8140 SUPPLIES - OFFICE NOC 3,455 4,790 17,210 13,458 8,050 70,341 65,285 26,495 10,200 12,600 6,650 19,900 5,600 29,650 170,810 1,000 465,494 SUPPLIES - OFFICE NOC 8140 8142 SUPPLIES- COMPUTER/COPY MACHINE 12,175 46,500 75,127 42,664 176,466 SUPPLIES- COMPUTER/COPY MACHINE 8142 8145 SUPPLIES -AUTO PARTS EXPNS 92,000 369,500 461,500 SUPPLIES -AUTO PARTS EXPNS 8145 8148 SUPPLS - CHKS /INVOICES/FRMS 6,800 11,750 18,5501 SUPPLS -CHKS /INVOICES /FRMS 8148 8150 SUPPLIES - JANITORIAL NOC 3,000 750 13,000 23,100 79,834 3,500 24,100 29,578 176,862 SUPPLIES - JANITORIAL NOC 8150 29 OPERATING EXPENDITURES -ALL FUNDS Acct Code Activity - Function City Council City Clerk City Manager Human Resources City Attorney Admin Services Police Fire Planning Building General Services Public Works Utilities Library Services Recreation & Sr Svcs Internal Svc Funds Other Activities Total Activity - Function Acct Code 8155 WASTEWATER/SEWER PROGRAMS - - - - - - - - 15,000 - - - - 15,000 WASTEWATER /SEWER PROGRAMS 8155 8156 WELLS & STATION MAINTENANCE _ _ _ _ _ _ _ _ _ _ _ _ 288,000 _ _ _ _ 288,000 WELLS & STATION MAINTENANCE 8156 8160 MAINT & REPAIR MATRLS NOC 600 1,468 4,700 1,477 28,220 1,000 216,994 4,700 719,556 11,950 28,825 1,019,490 MAINT & REPAIR MATRLS NOC 8160 8165 MAINT- IRRIGATION REPAIR _ _ _ _ _ _ _ _ _ _ 28,093 _ _ _ _ _ _ 28,093 MAINT- IRRIGATION REPAIR 8165 8166 MAINT - STORM DRAINS 105,400 105,400 MAINT -STORM DRAINS 8166 8168 MAINT - PIERS /FLOATS /DOCKS 15,000 15,000 MAINT - PIERS /FLOATS /DOCKS 8168 8170 MAINT- BEACH CLEANING _ _ _ 25,000 _ _ _ _ _ _ 17,600 _ _ _ _ _ _ 42,600 MAINT -BEACH CLEANING 8170 8173 MAINT- BLDG /PLYGRND EQ RPR 5,000 5,000 MAINT- BLDG /PLYGRND EQ RPR 8173 8176 MAINT - TRAFFIC CONTROL 6,500 6,500 MAINT - TRAFFIC CONTROL 8176 8178 ABLE EXPENSES 980,510 980,510 ABLE EXPENSES 8178 8180 MAINT - OUTSIDE LABOR 60,000 60,000 MAINT - OUTSIDE LABOR 8180 8181 MAINT -COMP SOFTWARE 337,281 73,000 7,000 417,281 MAINT -COMP SOFTWARE 8181 8182 MAINT -COMP HARDWARE _ _ _ _ _ _ 21,100 _ _ _ _ _ _ 17,000 _ _ _ 38,100 MAINT -COMP HARDWARE 8182 8183 MAINT- BACKFLOW & SCADA 75,000 75,000 MAINT - BACKFLOW & SCADA 8183 8186 MAINT-SEWER 235,750 235,750 MAINT -SEWER 8186 8190 WATER PROGRAMS _ _ _ _ _ _ _ _ _ _ _ _ 529,750 _ _ _ _ 529,750 WATER PROGRAMS 8190 8200 SPECIAL DEPT SUPPLIES NOC 2,000 9,600 12,000 72,755 101,660 404,603 4,075 32,665 24,820 8,152 470,700 23,000 234,495 78,000 1,478,525 SPECIAL DEPT SUPPLIES NOC 8200 8202 COMPUTER SUPPLIES 1,500 12,900 14,400 COMPUTER SUPPLIES 8202 8204 UNIFORM EXPENSE 1,900 125,000 265,027 51,500 15,900 4,540 9,500 473,367 UNIFORM EXPENSE 8204 8206 PRISONER CUSTODY EXPENSE 62,500 62,500 PRISONER CUSTODY EXPENSE 8206 8208 PHOTO EXPENSE 5,000 5,000 PHOTO EXPENSE 8208 8209 SHOOTING RANGE SUPPLIES _ _ _ _ _ _ 53,150 _ _ _ _ _ _ _ _ _ _ 53,150 SHOOTING RANGE SUPPLIES 8209 8210 S.W.A.T. SUPPLIES 32,165 32,165 S.W.A.T. SUPPLIES 8210 8211 CANINE SUPPLIES 12,590 12,590 CANINE SUPPLIES 8211 8212 STREET CLEANING EXPENSE _ _ _ _ _ _ _ _ _ _ 55,050 _ _ _ _ _ _ 55,050 STREET CLEANING EXPENSE 8212 8214 CARPENTER SHOP SUPPLIES 3,300 3,300 CARPENTER SHOP SUPPLIES 8214 8216 SAFETY EQUIPMENT 600 4,000 4,600 SAFETY EQUIPMENT 8126 8220 SIGN SHOP SUPPLIES _ _ _ _ _ _ _ _ _ _ 14,600 _ _ _ _ _ _ 14,600 SIGN SHOP SUPPLIES 8220 8222 TRAFFIC SUPPLIES & CONTRACT 106,000 106,000 TRAFFIC SUPPLIES & CONTRACT 8222 8224 ROADWAY PAINTS & BARS 21,000 21,000 ROADWAY PAINTS & BARS 8224 8228 SIGNS AND SIGN MATERIALS _ _ _ _ _ _ _ _ _ _ 38,300 _ _ _ _ _ _ 38,300 SIGNS AND SIGN MATERIALS 8228 8232 SIGN INSTALLATION MATRLS 23,000 23,000 SIGN INSTALLATION MATRLS 8232 82341NSCTCDES /HRBCDES /FNGCDES 6,000 6,000 INSCTCDES /HRBCDES /FNGCDES 8234 8235 PLANT MATERIALS/TURF RENOVATION _ _ _ _ _ _ _ _ _ _ 20,000 _ _ _ _ _ _ 20,000 PLANT MATERIALS 8235 8236 FERTILIZER/TOP SOIL/AMENDMENTS 20,000 20,000 FERTILIZER/TOP SOIL/AMENDMENTS 8236 8238 ASPHALT /CONCRETE MATERIALS 410,000 410,000 ASPHALT /CONCRETE MATERIALS 8238 8240 TOOLS, INSTRUMENTS, ETC 800 3,100 4,500 1,000 300 1,000 10,500 1,150 9,200 6,000 37,550 TOOLS, INSTRUMENTS, ETC 8240 8250 SPECIAL DEPT EXPENSE NOC 456,700 100,000 41,938 54,733 116,418 162,080 4,150 1,767,920 231,000 166,000 2,000 3,000 3,105,939 SPECIAL DEPT EXPENSE NOC 8250 8254 CITY GRANTS 25,000 40,000 65,000 CITY GRANTS 8254 8255 TUITION REIMBURSEMENT _ _ _ 95,500 _ _ _ _ _ _ _ _ _ _ _ _ _ 95,500 TUITION REIMBURSEMENT 8255 8257 SISTER CITIES 20,500 20,500 SISTER CITIES 8257 8259 EMPLOYEE RIDESHARE PRGM 11,235 11,235 EMPLOYEE RIDESHARE PRGM 8259 8260 LIBRARY MATERIALS _ _ _ _ 26,592 _ _ _ _ _ _ _ _ 619,740 _ _ _ 646,332 LIBRARY MATERIALS 8260 8265 FIREWORKS 30,000 30,000 FIREWORKS 8265 8292 HAZARD MITIGATION 179,816 179,816 HAZARD MITIGATION 8292 8295 IMPORTED WATER EXP -MWD _ _ _ _ _ _ _ _ _ _ _ _ 6,252,713 _ _ _ _ 6,252,713 IMPORTED WATER EXP -MWD 8295 8296 GROUNDWATER EXP 3,480,624 3,480,624 GROUNDWATER EXP 8296 8297 RECLAIMED WATER EXP -OCWD 180,000 180,000 RECLAIMED WATER EXP -OCWD 8297 8298 OTHER AGENCY FEES _ _ _ _ _ _ 20,363 598,564 _ _ _ _ 235,500 _ _ _ _ 854,427 OTHER AGENCY FEES 8298 8301 STATION OPERATIONS 71,200 71,200 STATION OPERATIONS 8301 8303 WATER CNSERV EDU & PUB REL 5,000 100,000 105,000 WATER CNSERV EDU & PUB REL 8303 8330 SVC CHARGE - ADMINISTRATIVE _ _ _ _ _ _ _ _ _ _ _ _ 1,904,021 _ _ _ _ 1,904,021 SVC CHARGE - ADMINISTRATIVE 8330 8340 GENERAL INSURANCE 5,475 108,612 16,673 25,985 87,535 861,519 497,321 113,078 74,440 686,323 197,307 268,052 122,181 39,833 36,193 3,140,527 GENERAL INSURANCE 8340 8511 CITY SCHOLARSHIP TRUST 5,000 5,000 CITY SCHOLARSHIP TRUST 8511 8551 CDBG _ _ _ _ _ _ _ _ 116,770 _ _ _ _ _ _ _ _ 116,770 CDBG 8551 8621 BENEFITS & RECRUITING 123,500 123,500 BENEFITS & RECRUITING 8621 8638 EXCESS INSURANCE 5,700 350,000 68,864 424,564 EXCESS INSURANCE 8638 8656 ATTORNEY FEES /OUTSIDE COUNSEL _ _ _ _ 507,000 _ _ _ _ _ _ _ _ _ _ _ _ 507,000 ATTORNEY FEES /OUTSIDE COUNSEL 8656 NIA WORKERS' COMPENSATION 2,273400 2,273,400 WORKERS' COMPENSATION N/A N/A GENERAL LIABILITY _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ 2,495,100 _ 2,495,100 GENERAL LIABILITY N/A SUBTOTAL MAINT. & OPERATION 828,305 1 150,595 1 1,518,6731 905,7881 719,329 1 1,342,103 1 5,976,692 1 5,314,9931 541,022 1 413,369 1 12,244,735 1 835,786 1 18,866,502 1 1,543,903 1 3,337,848 1 5,9137079 222,687 60,675,409 SUBTOTAL MAINT & OPERATION 9000 OFFICE EQUIPMENT 9,000 6,000 8,000 44,119 1,500 5,935 9,000 2,000 7,000 92,554 OFFICE EQUIPMENT 9000 9005 PC REPLACE & SOFTWARE LICENSE 14,758 211,500 188,317 15,100 9,100 7,200 63,100 1,800 510,875 PC REPLACEMENT 9005 9010 COMPUTER EQUIPMENT 2,000 15,000 6,100 20,400 4,000 5,000 9,000 10,950 500 72,950 COMPUTER EQUIPMENT 9010 9020 FITNESS /PLAYGROUND EQUIPMENT _ _ _ _ _ _ 5,000 15,000 _ _ _ _ _ _ 5,000 _ _ 25,000 FITNESSIPLAYGROUND EQUIPMENT 9020 9100 ROLLING EQUIPMENT 520,000 520,000 ROLLING EQUIPMENT 9100 9102 CONTRACTED SET UP 3,500 3,500 CONTRACTED SET UP 9102 9106 EQUIPMENT RENOVATION _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ 230,000 _ 230,000 EQUIPMENT RENOVATION 9106 9200 SHOP EQUIP & COPIER PURCHASES 79,500 2,000 13,000 94,500 SHOP EQUIP & COPIER PURCHASES 9200 9300 EQUIPMENT, N.O.C. 15,000 9,742 154,610 16,000 33,650 3,500 37,000 269,502 EQUIPMENT,N.O.C. 9300 9400 OFFICE FURNITUREIFIXTURES 7,000 1,600 2,100 2,000 7,500 1,500 9,200 1,000 31,900 OFFICE FURNITURE /FIXTURES 9400 SUBTOTAL CAPITAL OUTLAY 7,000 - 24,000 6,000 24,358 339,219 218,059 190,810 3,500 27,900 21,500 24,235 57,850 74,100 26,450 805,800 - 1,850,781 SUBTOTAL CAPITAL OUTLAY DEBTSERVICE 2,979,432 2,979,432 DEBT SERVICE TOTAL OPERATING EXPENSES 1,044,410 492,538 4,361,822 2,292,046 2,348,842 7,775,976 42,823,171 34,055,183 3,122,310 4,237,603 22,034,946 5,550,535 24,905,337 6,472,808 7,590,671 15,547,998 3,271,991 1 187,928,187 TOTAL OPERATING EXPENSES CAPITAL IMPROVEMENT PROJECTS 52,916,798 CAPITAL IMPROVEMENT PROJECTS TOTAL 1,044,410 492,538 4,361,822 2,292,046 2,348,842 7,775,976 42,823,171 34,055,183 3,122,310 4,237,603 22,034,946 5,550,535 24,905,337 6,472,808 7,590,671 15,547,998 3,271,991 240,844,985 31 SUMMARY OF ESTIMATED 2009 -10 YEAR END FUND BALANCES - 145914,612 Actual Actual Actual Actual Actual Budget Capital Year End Funtl Balance Revenue Transfers Transfers Expenditures Improvements Fund Selene rnd l Account 2008.09 2009 -10 In Out 2009.10 2009.10 2009 -10 General Fund - 145914,612 16,017,572 16,742,702 142,432,245 3,757,237 - Accounting Reserves Reserve for Inventories 219,698 - 18,576 - - - 238,274 Reserve for Long term receivables - - 471,250 - - - 471,250 Reserve for Prepaid Items 451,138 - - 17,001 - - 434,137 Reserve for Encumbrances 3,474,339 - 2,273,936 3,474,339 - - 2,273,036 Affordable Housing Reserve 1,686,724 - 101,861 - - 1,103,486 49,117 Designated Reserves - - - - - - - Reserve for Facilffies Replacement Plan 25,090,000 - 2,509,009 - - - 27,500,000 Senior Citizen Site 23,790 - - - - - 23,790 Off Street Parking 115,965 - 9,051 - - 125.016 - Pardmedic Program 406,201 - 73,166 - - - 479,367 Recreation Instruction Reserve 340,983 - 78,749 - - - 419,732 Park In Lieu Fees 687,826 - 78,958 80 - 6,125 760,579 In Lieu Parking Fees 559,823 Neighborhood Enhancement Res. A 259,030 - 69,275 - - 629,098 - Neighborhood Enhancement Res. B 1,079,850 - 38,556 23,013 - 89,718 184,855 Oceanfront Encroachment 1.050,742 - 472,551 85,419 - 1,416,330 50652 Cable Franchise 1,257,436 - - 128,951 - - 1557,773 START Video 316,417 - 98,707 - - - 1,356,143 Hoag Circulation Improvements 134,760 - 57,313 - - - 373,730 Contingency Reserve 18,614,125 - - - - - 134,760 Stabilieation Reserves - - 667,014 - - 17,947,111 Appropriations Reserve (Operations) 13,098,656 - 5,153,699 - - - 18.252,355 Appropriations Reserve (CIP rebudget) 4,736,613 - 3,993,497 4,7361613 - - 3,993,497 Fair Value Adjustment 1096,648 - 707,200 1,096,648 - - 707,290 Reserve for PERS Rate Changes 5,000,000 5,000,000 79,610,964 146,914,612 32,213,017 26,971,980 142,432,245 7,127,010 82,207,357 Ackerman Donation Fund - - - - - - - Appropriations Reserve - 25,491 - - 4.650 - 20,841 Appropriations Reserve - Scholarship 151,267 - - - - - 151,267 Appropdatlons Reserve - Hi Tech 9,482 - - - - - 9,482 Penn Scholarship Endowment Reserve 245,097 - - - - - 245,097 Perm Equipment Endowment Reserve 735,291 - - - - - 735,291 Fair Value Adj. Reserve - - - - - - - Reserve for Encumbrance - - - - - - - CDBG Fund - - - - - - Appropriations Reserve (15,722) 470,499 1,827 - 332,255 141,702 (17,353) Reserve for Encumbrance 15,722 - - 1,827 - - 13,895 AQMD Fund - - - - - - Appropriations Reserve 462,373 108,495 - - 14,342 154,000 402,526 Reserve for Encumbrance - - - - - - - Asset Forfeiture Fund - - - - - Appropriations Reserve 237,784 324,158 49,212 - 71,789 - 539,365 Fair Value Adj. Reserve - - - - - - - Reserve for Encumbrances 49,212 - - 49,212 - - - OTS Grant Fund (42,849) 183,538 - - 180,968 - (40,279) Reserve for Encumbrances - - - - - - - SLESF - COPS Fund - 119,819 - - 119,819 - - JusliceAssistance Gran ((formerly LLEBG) - - - - - - Appropriations Reserve - 67,957 - - 67,957 - - Fair Value Adj. Reserve - - - - - - - State Gas Tax Fund - - - - - - Appropdatlons Reserve 2,221,716 1,452,318 430,405 160,000 - 471,280 3,473,159 Fair Value Adj. Reserve - - - - - - - ReserveforEncumbrances 542,837 - - 430,405 - - 112.432 Pride 1 B Transportation Fund Appropriations Reserve 1,303,377 24,109 - 6,730 - 945,210 375,546 Fair Value Adj. Reserve - - - - - - - Reserve for Encumbrances - - 6,730 - - - 6,730 Traffic Congestion Relief Fund - - - - - - Approfin.tbns Reserve 384,213 784,518 - 608,011 - 638,840 (78,120) Fair Value Adj. Reserve - - - - - - - ReserveforEncumbrances 9,258 - 608,011 - - - 617,269 Measure M Fund Tumback 3,117,583 1,157,284 473,963 - - 1,404,075 3,344,755 Fair Value Adj. Reserve - - - - - - - Turnback Encumbrances 734,737 - - 473,963 - - 260,774 Competttive (724,895) 719,060 564,566 - - 683742 (125,011) Competitive Encumbrances 689,669 - - 564,566 - - 125,103 34 SUMMARY OF ESTIMATED 2009 -10 YEAR END FUND BALANCES 40,265 10,489 - - 1,485,489 Actual Actual Actual Actual Actual Budget Capital Year End Fund Balance Revenue Transfers Transfers Expenditures Improvements Fund Balance 'und /Account 20080 2009 -10 In Out 2009 -10 2009 -10 2009 -10 AHRP Fund 40,265 10,489 - - 1,485,489 490,615 10489 - 10,489 - - - ApprapriationsReserve - - - - - - - ReserveforEncumbrances - - - - - - Tide and Submerged Land Fund Appropriation Reserve - 9,976,009 53,172 6,071,654 2,755,090 1,197,037 - FalrValueAdj.Reserve 47,695 - - 47,695 - - Appropriations Reserve (CIP redudget) - - 842,538 - - - 842,538 Reserve for Encumbrances 351,011 - 836,253 - - - 1,187,264 Upper Bay Reserve (38,743) - 90,294 6,077 45,474 Oil and Gas 280,000 - 40,000 - - - 320,000 Contributions Fund Misc Cooperative Projects (1,935,337) 2,173,314 298,084 - - 1,590,096 (1,054,035) Bristol Street Relinquishment 562,045 - (2,505) 160,000 - 25,119 374,421 PCH Relinquishment 3,795,299 - 8,255 - - 8,255 3,195,299 Environmental Contributions (444,743) - 87,141 - - (24,861) (332,741) Reserve for Encumbrances 641,469 - - 390,975 - - 250,494 Circulation and Transportation Fund Appropriations Reserve 1,767,208 4,133,940 - 567,270 183,044 684,073 4,466,761 Fair Value Adj Reserve - - - - - - Resewe for Encumbrances 250,620 - 487,270 - - - 737,890 Building Excise Tax Fund Appropriations Reserve 248,086 81,416 9,848 - - 56,052 283,298 Fair Value Adj. Reserve - - - - - - - ReserveforEncumbrances 14,448 - - 9,848 - - 4,600 Environmental Umalllty, Fund Appropriation Reserve 3,087,636 525,459 - 17,407 106,537 - 3,487,151 Fair Value Adj. Reserve - - - - - - - Reserve for Encumbrances 309 17,407 - - - 21,016 Oil Spill Remomatlon Fund Appropriation Reserve - - - - - - - Fair Value Adj,Reserve - - - - - - - Reserve for Encumbrances - - - - - - - Newpod Annexation Funds Receipt Fund 9,600,000 201,059 - 1,401,059 - - 8,400,000 Fair Value Adf. Reserve- Receipt - - - - - - - Allocation Fund - - 1,200,000 - 1;200,000 - - Fair Value Adf. Reserve - Allocation - - - - - - - Building Fund - - - - - - - Fair Value Act ,Reserve- Building - - - - - - - ReserveforEncumbrances- Building - - - - - - Debt Service Fund Appropriation Reserve - 21,999 547,257 - 569,379 - (123) Reserve for Debt Service 565,778 - - - - - 565,778 Assessment District Projects Appropriation Reserve 2,951,653 5,854,790 64,070 - - 4,195,274 4,675,239 Reserve for Encumbrances 259,052 - - 64,070 - 194,982 Fair Value Adj, Reserve - - - - - - - Major Faculties Replacement Civic Center (1,750,812) - 5,687,472 21,772,875 7,301,578 (25,137,793) Reserve for Encumbrances -Civic Center 21,772,875 21,772,875 (1,750,812) - 27460347 21,772,875 - 7,301,578 (3,364,918) Marina Park (1,045,563) 117,344 - - 290,839 (1,219,058) Sunset Ridge Park (829,630) - 149,077 - - 659,857 (1,340,410) Police Facility (22,200) - 20,025 - - (2,175) Lifeguard Headquarters (30,179) - - - - (30,179) Reserve for Encumbrances 6,260,364 - - 5,973,918 - - 286,446 CIOSA Fund Appropriation Reserve Fair Value Adj. Reserve Bonita Canyon Development Fund Appropriation Reserve Reserve for Encumbrances Mariners Library Fund Appropriation Reserve Reserve for Encumbrances 1,925,330 40,265 10,489 - - 1,485,489 490,615 10489 - 10,489 - - - 977,962 153,922 - - - 1,031,884 100,000 318,666 - 318,666 35 SUMMARY OF ESTIMATED 2009 -10 YEAR END FUND BALANCES - 13,288 Actual Actual Actual Actual Actual Budget Capital Year End Fund Balance Revenue Transfers Transfers Expenditures Improvements Fund Balance Fund l Account 2000-09 2009 -10 In Out 200910 2009 -10 2009 -10 OASIS Sr. Center Appropriation Reserve Reserve for Encumbrances Fire Station p7 Fund Appropriation Reserve Reserve for Encumbrances Back Bay Science Center Fund Appropriation Reserve Reserve for Encumbrances MISC SAD Projects Fund Appropriation Reserve Reserve for Encumbrances Newport Bay Dredging Fund Permanent Endowment Appropriation Reserve Fair Value Adj. Reserve Insurance Reserve Fund Workers Compensation Reserve Liability Reserve Fair Value Adj. Reserve Retiree Medical Fund Operating Fund Conversion Fund Fair Value Adj. Reserve Compensated Absence Fund Appropriation Reserve Fair Value Adj. Reserve Equipment Fund Equipment Maintenance Equipment Replacement - All Other Equipment Replacement - PO Fair Value Adj. Reserve Reserve for Encumbrances Water Enterprise Fund Water System Reserve Stabilization Reserve Future Infrastructure Reserve Fair Value Atlj. Reserve Reserve for Encumbrances Wastewater Enterprise Fund Wastewater System Reserve Stabilization Reserve Future Infrastructure Reserve Fair Value Adj. Reserve Reserve for Encumbrances TOTAL 9191 (6,920,924) 1,569,879 8,540,120 - 12,406,fl41 - - $540,120 52,318 1,169 - - (449,488) - 13,288 - 29,340 30,000 - 13,288 (561,753) 4,944,909 118,061 - 144,032 - - 118,061 3,857,000 - 905,727 - 801,653 104,074 - 905,727 14,115,801 3,087,900 6,591,741 3,458,998 17,314 6,11 (6,605,339) 2,445,486 9,654,410 (6,465,335) - 3,866,721 53,487 5,273 (141,473) 16,052 4,895,035 (393,818) - 25,971 4,762,727 3,101,130 - 14,102,571 2,278,654 - 7,772,085 5,720,155 - 397,981 6,432,776 - (10,593,629) - 2,295,281 - - 2,156,687 57,950 80,644 17, 267405 3,345,703 - 1,656,492 1,693,527 - 17,257,169 4,131,773 824,687 - - 802540 - 4,153,920 968,015 - 1,056,492 - - 2,024,507 - 17,406,293 6,629,007 555,113 18,493,256 1,714,482 3,272,449 5,916,343 - - 4,918,547 - - 997,796 1,614,096 - - 1,614,096 - - - 96,364 - - 96,364 - - 288,079 555,113 843.192 7,914,882 17,406,293 7,184,120 7,184,120 18,493,256 1,714,482 5,113,437 - 3,409,370 1,848,805 2,341,912 2,111,550 369,261 (164,540) 1,988,531 - - 610,984 - - 1,377,547 710.190 - - 710,190 - - - 400,206 - - 488,206 - - 39,425 - - 39,425 - - 355,404 2,341,912 2,697.316 3,58T756 3,409,378 4,190,717 4,19,717 2,711,550 369,261 3,910.323 172824,218 225.127375 88 693 222 08693,222 191430.350 46762962 158144.1/4 SUMMARY OF ESTIMATED 2010 -11 YEAR END FUND BALANCES - - - Estimated Estimated Estimated Estimated Budget Capital Year End Fund Balance Revenue Transfers Transfers Expenditures Improvements Fund Balanct and /Account 2009 -10 201011 In Out 2010 -11 201011 2010 -11 General Fund Accounting Reserves Reserve for Inventories Reserve for Long term receivables Reserve for Prepaid Items Reserve for Encumbrances Affordable Housing Reserve Designated Reserves Reserve for Facilities Replacement Plan Senior Citizen Site Off Street Parking Paramedic Program Recreation Instruction Reserve Park In Lieu Fees In Lieu Parking Fees Neighborhood Enhancement Res. A Neighborhood Enhancement Res.B Oceanfront Encroachment Cable Franchise START Video Hoag Circulation Improvements Contingency Reserve Spollizal on Reserves Appropriations Reserve (Operations) Appropriations Reserve (CIP rebudget) Fair Value Adjustment Reserve for PERS Rate Changes TOTAL Ackerman Donation Fund Appropriations Reserve Appropriations Reserve - Scholarship Appropriations Reserve- Hl Tech Perm Scholarship Endowment Reserve Perm Equipment Endowment Reserve Fair Value Ad. Reserve Reserve for Encumbrance CDBG Fund Appropriations Reserve Reserve for Encumbrance AOMD Fund Appropriations Reserve Reserve for Encumbrance OTS Grant Fund Reserve for EncumtAances Asset Forfeiture Fund Appropriations Reserve Fair Value Atlj. Reserve Reserve for Encumbrances SLESF - COPS Fund Justice Assistance Grant (formerly LLEBG) Appropriations Reserve Fair Value Adj. Reserve State Gas Tax Fund Appropriations Reserve Fair Value AtlJ. Reserve Reserve for Encumbrances Prop 1B Transportation Fund Appropriations Reserve Fair Value Adj. Reserve Reserve for Encumbrances Traffic Congestion Relief Fund Appropriations Reserve Fair Value Atlj. Reserve Reserve for Encumbrances 145,125,670 12,292,672 8,405,067 144,313,778 4,699,497 238,274 - - - - - 238,274 471,250 - - - - - 471,250 434,137 434,137 - 2,273,036 - - 2,273,036 - - - 1,557,773 - - - - - 1,557,773 27,500,000 - 3,800,000 31,300,000 - - - 23,790 - - - - - 23,790 - - 11,000 - - - 11,000 479,367 - - - - - 479,367 419,732 - 10500 70,000 - - 454,732 760,579 - - - - - 760,579 - - 67,000 22,468 - - 44532 184,855 - 32,000 - - - 216,855 50,652 - 293,000 - - 355,000 (11,348) 49,117 - 180,000 - - - 229,117 1,356,143 - 100,000 100,000 - - 1,356,143 373,730 - - 12,500 - - 361,230 134,760 - - - - - 134,760 17,947,111 - - - - - 17,947,111 18,252,355 - 1,689,067 - - - 19,941,422 3,993,497 - - 3,993,497 - - - 707,200 - - 707,200 - - - 5,000,000 5,000,000 82,207,358 145,125,670 18,569,739 47,317,905 144,313,778 5,05Q497 49,216,587 20,841 17,117 - - 151,267 - - - 9,482 245,097 - - - 735,291 - - - (17,353) 385,189 13,895 - 13.895 - - 13.895 402,526 52,531 (40,279) 40,279 539,365 3,689 80,150 37,958 5,000 - 146,267 9,482 245,097 - 735,291 316,115 50,000 15,616 14,235 - 440,022 39,060 - 503,994 80,150 3,473,159 2,210,339 112432 160,000 - 3,907,750 1,728,180 112,432 - - 112432 - - - 375,546 19,846 6,730 - - - 402,122 6,730 - - 6,730 - - - (78,120) 844,019 9,258 617,269 9,258 197,344 577,813 608,011 37 SUMMARY OF ESTIMATED 2010 -11 YEAR END FUND BALANCES Estimated Estimated Estimated Estimated Budget Capital Year End Fund Balance Revenue Transfers Transfers Expenditures Improvements Fund Balanci and /Account 2009.10 2010 -11 In Out 2010 -11 201041 201011 Measure M Fund Tumback 3,344,755 1,850,263 260,774 - - 3,058,000 2197,792 Fair Value Adj. Reserve - - - - - - - Turnback Encumbrances 260,774 - - 260,774 - - - Competitive (125,011) 3,255,136 125,103 - 4,01 (809,584) Competitive Encumbrances 125,103 - - 125,103 - - - AHRP Fund Appropriations Reserve - - - - - Reserve for Encumbrances - - - - - - Tide and Submerged Land Fund Appropriation Reserve - 10,945,362 2,029,802 4,377,040 2,955,586 5,642,536 - Fair Value Adj. Reserve - - - - - - - Appropriations Reserve (CIP rebudget) 842,538 - - 842,538 - ReserveforEncumbrances 1,187,264 - - 1,187,264 - - UpperBayReserve 45,474 - 97,206 - - - 142,680 Oil and Gas 320,000 - 40,000 - - - 360,000 Contributions Fund Mlsc Cooperative Projects (1,054,035) 1,623,328 210,530 - 5,207470 (4,419,647) Bristol Street Relinquishment 374,421 - 2,505 - 73,000 303,926 PCH Relinqulshment 3,795,299 - 16,297 - - - 3,811,596 Environmental Contributlans (332,741) - 13,162 - - 101,860 (421,439) Reserve for Encumbrances 250,494 - - 250,494 - - - Circulatlon and Transportation Fund Appropriations Reserve 4,466,761 313,328 737,890 80,000 - 5,134,890 303,089 Far Value Adj. Reserve - - - - - - - Reserve for Encumbrances 737,890 - - 737,890 - - - Building Excise Tax Fund Appropriations Reserve 283,298 4,013 4,600 - - 50,000 241,911 Fair Value Adj. Reserve - - - - - - - Reserve for Encumbrances 4,600 - - 4,600 - - - Environmental Liability Fund Appropriation Reserve 3,487,151 719,435 21,016 - 148,864 - 4,078,738 Fair Value Adj. Reserve - - - - - - - Reserve for Encumbrances 21,016 - - 21,016 - - - Oil Spill Remediatlon Fund Appropriation Reserve - - - - - - - Fair Value Adj. Reserve - - - - - - - ReserveforEncumbrances - - - - - - Newport Annexation Funds Receipt Fund 8,400,W0 - - 1,400,000 - 7,000000 Fair Value Adj. Reserve- Recelpt - - - - - - Allocatlon Fund - - 1,200,000 - 1,200,000 - Fair Value Adj. Reserve - Allocation - - - - - - Building Fund - - - - - - - Fair Value Adj. Reserve Building - - - - - - - ReserveforEncumbrances- Bulldog - - - - - - - Debt Service Fund Appropriation Reserve (123) 10,408,467 569379 10,405,990 568,275 - 3,478 Reserve for Debt Service 565,778 - 10,405,990 569,379 - - 10,402,309 Assessment District Projects Appropriation Reserve 4,675 239 48,883 - - - - 4,724,122 Reserve for Encumbrances 194,982 - - - - - 194982 Fair Value Adj. Reserve - - - - - - - Facilities Financing Plan Fund Appropriations Reserve - 200,000 31,300,000 - - - 31,500,000 Major Facilities Replacement Civic Center (25,131,793) 120,198,000 21,772,875 - - 1,000,000 115,833,082 Reserve for Encumbrances -Civic Center 21772,875 21,772,875 (3,364,918) 120,198,000 21,772,875 21,772,875 - 1,000,000 115,833,082 Marina Park (1,219,058) - - - - 3,189,700 (4,408,758) Sunset Ridge Park. (1,340,410) - - - 9,807,205 (11,147,615) Police Facility (2175) - - - - - (2,175) Lifeguard! Headquarters (30,179) - - - (30,179) Reserve for Encumbrances 286,446 - - - - 286,446 SUMMARY OF ESTIMATED 2010 -11 YEAR END FUND BALANCES Estimated Estimated Estimated Estimated Budget Capital Year End Fund Balance Revenue Transfers Transfers Expenditures Improvements Fund Balance Fund l Account 209 -10 2010 -11 In Out 2010 -11 2010 -11 2010 -11 CIOSA Fund Appropriation Reserve 490,615 - - - 450,330 40,285 Fair Value Adj. Reserve - - - - - - Reserve for Encumbrances - - - - - - - Bonita Canyon Development Fund Appropriation Reserve 100,000 - - - - 108000 - ReserveforEncumbrances - - - - - - - Mariners Library Fund Appropriation Reserve - - - - - - - ReserveforEncumbrances - - - - - - - OASIS Sr. Center - Appropriation Reserve (6,465,335) 1,611,570 3;866,721 - - 568,350 (1,555,394) Reserve for Encumbrances 3,866321 - - 3,866,721 - - Fire Station #7 Fund - Appropriation Reserve 53,407 - - - - 53,487 Reserve for Encumbrances - - - - - - Back Bay Science Center Fund - Appropriation Reserve (141,473) - 16,052 - - - (125,421) Reserve for Encumbrances 16,052 - - 16,052 - - - MISC SAH Projects Fund - - - - - - - Permanent Endowment (393,818) 18350 25,971 - - 1,230,000 (1,579,097) Appropriation Reserve 25,971 - 25,971 - - - Newport Bay Dredging Fund Permanent Endowment 4,762,727 - - - - 4,762,727 Appropriation Reserve - 72,942 - - - 72,942 Fair Value Adj. Reserve - - - - - Insurance Reserve Fund Workers'Compensation Reserve 14,102,571 3,061,121 - - 2,623,400 - 14,540,292 Liability Reserve 7,772,085 3,140,068 - - 2,495,100 - 8,417,053 Fair Value Adj. Reserve - - - - - - - Retlree Medical Fund Operating Fund 397,981 3,512,000 2,128,000 - 5,848,000 - 189,981 Conversion Fund - - - - - - FalrValueAdj.Reserve - - - - - - - Compensated Absence Fund Appropriation Reserve (10,593,629) 2 464 476 - - 1,635,100 - (9,764,253) Fair Value Adj. Reserve - - - - - - Equipment Fund Equipment Maintenance 80,644 2,222,291 64,708 - 2,070,898 02,000 296,825 Equipment Replacement - All Other 17,257,169 3,180,201 2,024,507 64,788 445,500 - 21,951,589 Equipment Replacement PD 4,153,920 788,945 - - 430,000 - 4,512,865 Fair Value Adj. Reserve - - - - - - Reserve for Encumbrances 2,024,507 - 2,024,507 - - - Water Enterprise Fund 3,272,449 23,012,170 843,192 1,063,288 19,761,460 2,475,500 4,627,563 Water System Reserve 997,796 - 1,063,288 - - - 2,061,084 Stabilization Reserve - - - - - - - Futurelnfrastructure Reserve - - - - - - FalrValueAdj.Reserve - - - - - - - ReserveforEncumbrances 843,192 643,192 5,113,437 23,812,170 1,906,480 1,906,480 19,761,460 2,475,500 6,688,647 Wastewater Enterprise Fund (164,540) 3,505,882 3,619,099 - 3,042,666 1,477552 2,446,223 Wastewater System Reserve 1,377,547 - 921,783 - - 455,764 Stabilization Reserve - - - - - - - Future Infrastructure Reserve - - - - - - - Fair Value Atlj. Reserve - - - - - - - ReserveforEncumbrances 2,697,316 2,697,316 3,910,323 3,505,882 3,619,099 3,619,099 3,042,666 1,471,552 2,901,987 TOTAL 158,144,175 345,735,481 101,178,801 101,178,801 187,993,187 52,916,798 382,249,670 eul � • � �• . ;� - :, �, = C � • \� ��3 • • "To protect Newport Beach's unique quality of life for the full enjoyment of its residents, visitors and business owners and to direct the efficient and effective delivery of municipal services." Newport Beach is one of more than 100 California cities designated as a charter city. Unlike a general law city that only has certain powers granted by the state, a city governed by a voter - approved charter establishes its own powers and authorities. This provides for more local control. When Newport Beach voters approved the city's charter, they had a hand in determining how their city government is organized and retained the ability to enact legislation related to local, municipal affairs. The Newport Beach city charter governs many city operations and sets forth a governing board of seven members. Though the seven members of the Newport Beach City Council each represent and reside in one of seven districts, they are elected at -large by all of the city's registered voters and therefore serve the broader constituency too. Serving as a City Council Member is considered a part -time job, but the actual time commitment can exceed 40 hours a week. In addition to City Council meetings and study sessions, Council Members hold special committee assignments, meet frequently with city staff, local residents and business owners to discuss issues and projects, and regularly attend a variety of community events. Per the city's charter, another City Council duty is hire a chief executive officer, called the City Manager, to run the day -to -day operations of the City. The City Manager oversees the hiring and management of the rest of the staff. While it is the City Council's responsibility to enact policy, it is the City Manager's job to implement it. The City Manager, the City Clerk and the City Attorney are the only employees directly hired by the City Council. 2007 -08 2008 -09 2009 -10 2010 -11 Actual* Actual* Estimated* Proposed Salaries and Benefits $ 188,641 $ 206,926 $ 206,763 $ 209,105 Maintenance and Operations $ 1,345,098 $ 982,064 $ 944,798 $ 828,305 Capital Outlay $ - $ - $ 7,000 Total $ 1,533,739 $ 1,188,990 $ 1,151,561 $ 1,044,410 ' Includes Spheres Issues The City Councils budget includes the cost of the City's membership in key associations that work towards common municipal purposes, like the League of California Cities and the Southern California Association of Governments (SCAG). WA In Newport Beach, the City Council reviews and approves two primary tools that are critical to implementing policy - the City's yearly budget and the various priorities that the Council sets. For 2010, the Council has identified six goals with multiple associated projects: PROTECT AND ENHANCE OUR QUALITY OF LIFE: The following are ongoing, top City priorities. Minimize the adverse impacts of John Wayne Airport by protecting the Settlement Agreement's caps on average daily departures and passengers as well as the curfew and current noise ordinances. Implement group home regulations to minimize adverse impacts on residential neighborhoods. Make decisions today that will protect and enhance the City's fiscal health into the future. Provide services that enhance safety and protection in the community. FISCAL SUSTAINABILITY: Protect and enhance the Citys economic and fiscal health so that the community continues to thrive. Adopt and follow a Fiscal Sustainability Plan. Adopt a balanced budget that adjusts to lower revenues; provide quarterly financial forecasts and budget implementation updates to the Council. • Achieve and maintain the highest possible bond rating. Update the Facilities Financing Plan (FFP) to reflect priorities for capital projects funding. • Update the City's harbor fees in a manner that is fair; secure a funding mechanism for funding harbor projects like dredging and additional harbor amenities. Initiate a results -based budgeting system. EFFECTIVE MANAGEMENT: Make strategic decisions that support efficient use of resources, intended outcomes of City programs and continuous improvement of the services delivered. Restructure City government to become more efficient and effective in the delivery of valued services. Provide quarterly reports to City Council on performance measurements (comparing ourselves to ourselves) and information on feasibility of benchmarking (comparing ourselves to other agencies). Conduct a second Citizen Satisfaction Survey. Update the City Charter. Improve customer service by mirroring the "gold standard" of service in the public or private sector. • Improve communications with residents and businesses. Restructure development services to improve customer service. Adopt an updated Zoning Code and Transportation Fair Share Fee and obtain certification of Housing element. Address the economic impact of new regulations considered by the City Council. ECONOMIC SUSTAINABILITY: Facilitate a strong underlying economy in order to enhance the tax base and property values. Support the renovation of Fashion Island and the prompt opening of Nordstrom. Abate nuisances and improve Mariners Mile. Start implementation of The Irvine Company's North Newport center project. 43 Dredge the Lower Bay and establish a long -term funding source for repeat dredging efforts. Continue to support business development efforts consistent with the Strategic Plan for Economic & Fiscal Stability and with the Council's Fiscal Sustainability Plan. Identify a process and the resources needed to support innovative planning of and improvement in Lido Marina village, including Via Oporto and other nearby properties. Complete update of vision for Balboa Village. ENVIRONMENTAL SUSTAINABILITY: Strengthen and improve the community's environmental quality of life. Respond to the results of the JWA air quality study. Reduce our use of potable water and our dependence on imported water sources. Improve recreational water quality. Assist the Corps and County in dredging the Upper Bay and establish a long -term funding source to repeat the UNB dredging. Dredge the Rhine Channel. Create a plan for responding to future sea level changes that may affect properties. COMMUNITY ENHANCEMENTS: Increase opportunities for recreational and arts enjoyment, provide essential facilities and facilitate sound land use decisions. Incorporate a public art component into the new Civic Center. Break ground on the Civic Center Project, including the park. Complete the EIR and seek funding sources for the Banning Ranch property. Start construction of Sunset Ridge Park. Start construction of Marina Park (Phase I or all phases). Complete construction of and open the new OASIS Senior Center. Reduce fire hazard in Buck Gully and Morning Canyon. Implement traffic management plan (including traffic synchronization) to improve traffic flows. Implement a comprehensive parking program for the Balboa Peninsula. Widen Jamboree Road in the Airport Area (especially Jamboree and Bristol). • Acquire Coast Highway between Jamboree road and the Santa Ana River & Newport Blvd. from Finley to West Channel Bridge; create a process for initiating a longer range planning process for Mariner's Mile traffic, Pedestrian, and Parking Comprehensive Plan. Facilitate Newport Beach Arts opportunities through: 0 Opening of remodeled Port Theater; 0 The Newport Beach Film Festival; 0 Encouraging fundraising to renovate the Balboa Theater and implement the Newport Nautical Museum's master plan; Assisting VisitNB.com or the Chamber in publishing and promoting a Mater Calendar of Events. Plan the future of the current City Hall site at 3300 Newport Boulevard. Work to change the dynamic in West Newport on July 4 to have a more family - friendly celebration and lower law enforcement costs. 44 15 -POINT FISCAL SUSTAINABILITY PLAN for Newport Beach City Government 1. The City will proactively seek to protect and expand its tax base by encouraging a healthy underlying local economy. 2. The City will work to enhance and protect the property values of all Newport Beach residents and property owners. 3. The City will encourage shopping, dining, and visiting at Newport Beach stores, restaurants, and hotels. 4. The City will establish and maintain appropriate cash reserves. 5. The City will manage its Facilities Finance Plan to not exceed the 5% of General Fund expendi- tures threshold. 6. City revenue performance will be reviewed no less than quarterly and appropriate budget adjust- ments will be made in advance of the end of a budget year if revenue performance is not meeting projections. 7. The City will initiate a "results -based budgeting" approach that allows the public and the City Council to prioritize City expenditures strategically rather than simply adjusting legacy expenditures to reflect inflation. 8. The City will implement a Performance Measurement /Management Strategy as part of an ongoing effort to ensure high - quality and efficient performance. 9. The City will consider competitive contracting of services and equipment when appropriate and where clear, cost - effective alternatives exist. 10. The City will make it a priority to be energy efficient in its provision of public services. 11. The City will establish appropriate cost - recovery targets for its fee structure and will annually adjust its fee structure to ensure that the fees continue to meet cost recovery targets. 12. The City will oppose efforts of the State and County governments to divert revenues from the City or to increase the unfunded service mandate of City taxpayers. 13. The City will work in partnership with its employees to ensure fair compensation and that costs re- lated to pension and other benefits are appropriately allocated between employer and employees. 14. The City will vigorously defend itself and its taxpayers against frivolous lawsuits. 15. The City will seek additional intergovernmental funding and grants, with a priority on funding one- time capital projects. Grant - funded projects that require multi -year support will be reviewed by the Finance Committee. 45 "To provide service to the Mayor and City Council, City Manager, City Departments and the public in a courteous, timely and efficient manner while remaining neutral and impartial. To improve the administration of the affairs of the City Clerk's office consistent with applicable Iaws and through sound management practices to provide easier access to local government and fulfill our responsibility to the residents of Newport Beach." City Clerk's Office Staffing: 3 $492,538 One City Clerk Two Deputy City Clerks Prepare and publish agendas for City Council meetings in accordance with the legal requirements for public meetings. Record and maintain the proceedings of the City Council meetings. Maintain official records associated with formal actions of the City Council. Assist the public with research and retrieval of information, and retrieve and certify public documents. Maintain the document imaging system in order to reduce staff time in searching, retrieving and copying records, as well as providing storage for permanent records. Provide staff and the residents with online access to the Newport Beach Municipal Code; Council Policy Manual; Boards, Commissions and Committees Manual; applications and vacancy notices for Boards and Commissions; and City Council agendas, minutes and staff reports. Assist the public in understanding and participating in the decision and policy making process. Maintain the Appointive List for Boards and Commissions as required under the Maddy Appointive List Act. Process legal publications, postings and notices. Ensure accurate codification of City- adopted ordinances. Act as Filing Officer for the Political Reform Act of 1974 regulations (Campaign Disclosure Forms and Statements of Economic Interest). Receive and open bids for City projects. Receive and process Claims for Damages, and Summons and Complaints against the City. Serve as the City's Election Official and receive petitions relating to initiatives, referendums or recalls. Serve as custodian of the official records of the City and maintain custody of the City Seal. Execute all ordinances, resolutions and contracts. Administer oaths, affirmations and acknowledgements. Process passport applications in accordance with U.S. Department of State procedures. ED] Budget Overview 2010 -2011 ($392,538) (Excludes Elections) ■Salaries - $240,516 (61 %) ■Benefis - $101,427 (26 %) DAdvertising /Publications /General Liability- $12,306 (3 %) DSupplles /Maintenance - $25,789 (7 %) ■Profffech Services - $8,400 (2 %) ■Travel /Meelings- $4,100 (1 %) ? %1% / The City Clerk's Office provides service to the Mayor, City Council, City Manager, and administrative departments, as well as to the public. As a service providing department, the budget is primarily allocated to salaries and benefits with a small amount budgeted for maintenance and operation costs. 2007 -08 2008 -09 2009 -10 2010 -11 Actual Actual Estimated Proposed Salaries and Benefits 2007 -08 2008 -2009 2009 -10 2010 -11 Service Indicators Actual Actual Estimated Proposed $ 56,013 $ 66,493 $ Council Meetings, Regular 23 23 22 22 Council Meetings, Special or Adjourned 27 22 25 25 Resolutions adopted 83 87 85 85 Ordinances adopted 22 17 20 25 Claims /Summons and Complaints processed 98 96 100 120 Contracts /Agreements processed 182 266 300 300 Notices of Completion /Release Bonds 30 32 30 25 Documents process to Orange County Recorder 51 41 40 35 Passports Processed 319 329 320 320 2007 -08 2008 -09 2009 -10 2010 -11 Actual Actual Estimated Proposed Salaries and Benefits $ 349,712 $ 322,353 $ 326,865 $ 341,943 Maintenance and Operations $ 56,013 $ 66,493 $ 55,495 $ 50,595 Capital Outlay $ - $ - $ - $ - Total $ 405,725 $ 388,846 $ 382,360 $ 392,538 Elections $ 157,368 $ 80,661 $ - $ 100,000 Grand Total $ 563,093 $ 469,507 $ 382,360 $ 492,538 47 "To maintain the delivery of high quality municipal services and legislate and manage the affairs of the City according to law and for the benefit of residents and property owners." Code & Water Quality Enforcement Division Staffing: 5 plus .25 FTE $667,205 Division Manager Water Conservation Coordinator Senior Code & Water Quality Enforcement Officer Three Code & Water Quality Enforcement Officers P/T Office Assistant TOTAL $4,361,822 18 Positions, plus 11.33 FTE City Manager Staffing: 6 $1,306,475 City Manager Assistant City Manager Executive Assistant to the City Manager Administrative Assistant Department Assistant Public Information Division Staffing: 2 plus 2.31 FTE $463,338 Public Information Manager Public Information Officer Seven PIT Production Assistants Harbor Resources Division Staffing: 5 plus 8.77 FTE $1,924,804 Division Manager Division Supervisor Harbor Permit Technician Parking Lot Supervisor Marine Protection & Education Supervisor 10 PIT Tidepool Rangers 2007 -08 2008 -09 2009 -10 2010 -11 Actual Actual Estimated Proposed Salaries and Benefits $ 2,848,754 $ 3,052,018 $ 2,785,551 $ 2,819,149 Maintenance and Operations $ 1,042,903 $ 1,291,518 $ 1,019,251 $ 1,518,673 Capital Outlay $ 29,370 $ 18,237 $ 2,970 $ 24,000 Total $ 3,921,027 $ 4,361,773 $ 3,807,772 $ 4,361,822 59 The City Manager The City Council appoints the City Manager to make sure the City's policies are implemented, its priorities are achieved and the day -to -day city operations run effectively. The City's Charter prescribes specific duties to the City Manager, including the power to appoint department directors and to develop the annual budget. The Charter also directs the City Manager to report back to the Council each year on the fiscal operations of the City, to see that the City follows the laws of the Charter and the State of California, and more. In addition to attending Council meetings, the City Manager convenes meetings of the City's management team (department directors) and of individuals and groups throughout the city. Other topics, more regional in nature, also fall under the City Manager's responsibilities. The City Manager's Office monitors the political and economic environment outside the city to ensure that external forces do not compromise Newport Beach's quality of life, public safety system or its finances. Because the strategic issues supervised by the City Manager's Office can require the use of specialized expertise, this budget also includes funds for short-term contracts with consultants. Code & Water Quality Enforcement Division The City's Code and Water Quality Enforcement Division is among the most respected in Orange County. It has two major emphases: protecting the community's quality of life via the enforcement of the municipal code (regarding noise, nuisances, signage, zoning and more) and protecting Newport Bay and our ocean shoreline by implementing State and Federal clean water requirements. The Division is recognized for its outstanding, proactive education and enforcement efforts regarding "best management practices" (BMPs) for water conservation and water quality. It plays an active role in water conservation education. An issue of particular importance to the Division relates to improving nuisance properties (dilapidated structures, trash, weeds, illegal dwelling units, and more) throughout the city. Newport Beach is known for its attractive, well- maintained residential areas and the Division is committed to helping maintain this quality standard in all city 7-, sN�lsan even enles neighborhoods. As illustrated by the included pie szw •Water duality Violations chart, nuisance properties make up one third of -ZOOI gIssues the Division's total workload. ow -other -MC Violations taw Public Information Division The Public Information Division follows a strategic communication plan designed to maximize existing resources and develop new tools and channels to continuously improve the city's communication with residents, businesses and visitors. The Division assists city departments with public outreach for programs and projects, and in turn, gathers information from the community that often helps fine -tune these efforts. Media relations, community relations and video production are among the Division's main responsibilities. The Division's NBTV component — broadcast on Time Warner Channel 3, Cox Channel 30/852 and available through the City website — utilizes a team of personnel for research, editing and camera work. NBTV programming includes Newport Beach Study Sessions and City Council meetings, and original program productions on city history, arts and culture, pet adoption, library services, city department functions and activities, coastal and harbor resources protection and public safety. W11 Harbor Resources Division The Mission Statement of this Division is to protect and improve the resources of Newport Harbor, Upper Newport Bay, and the ocean beaches to ensure their proper use and enjoyment by all things that derive life, recreation or commerce from our City's most important asset. More than 2,400 individuals and businesses have a pier, mooring or marina in Newport Harbor. Environmental protection, water quality improvement, construction and dredging permits and harbor management are the primary focus of the Harbor Resources. The Harbor Commission, a seven - member board appointed by the City Council, also plays an important role in hearing appeals and recommending changes in the rules and regulations to the Council. The Harbor Resources Division also includes an innovative Marine Protection and Education program at the Corona Del Mar Tidepools and the Back Bay Science Center, as well as being the property managers for the Balboa Yacht Basin which includes a 172- slip marina, restaurant, shipyard and apartments. Harbor Resources is located at the Balboa Yacht Basin at the end of Harbor Island Drive. Harbor Resources will focus on the following tasks this year: Continue coordination with the Army Corps of Engineers to dredge the federal channels in the Lower Bay in 2011. Coordinate disposal of Newport's contaminated material into the Port of Long Beach's Middle Harbor Redevelopment Project. Complete the environmental documentation and begin dredging the contaminants from the Rhine Channel. Tidepools in Corona del Mar Continue to pursue federal funding opportunities through the City's Washington DC lobbyist and the local Corps division. Inter- agency coordination for the completion of the Upper Bay Ecosystem Restoration Project in 2010. Continued coordination and planning for the Marina Park project. Various in -bay beach sand replenishment projects. Changes to the mooring transfer rules and administration. Transfer day to day management of the Balboa Yacht Basin marina to private industry. Harbor Resources Allocation so ■Harbor Dredging ■Mooring Management ❑Marine Education Program ■Balboa Yacht Basin ■Harbor Commission Support ®Harbor Maintenance ■ Pumpout Stations Management ■Construction Permits ■Inspections Service Indicators Code & Water Quality Enforcement Division Administrative Citations Issued Notices of Violations Issued Water Quality Education Impressions Harbor Resources Division Dock Construction Permits Reviewed Dredging Permits Reviewed Other Harbor Compliance Warnings and Citations Contacts via Marine Education Program Program Public Information Division N13TV News & Special Programs' Outside Government Programming Web Streaming of NBTV News Programs City Manager Resident Newsletter News Releases "Includes Study Sessions & City Council 2007 -2008 2008 -2009 2009 -2010 2010 -2011 Actual Actual Estimated Projected 440 254 480 480 1,111 943 1,150 1,150 720,000 740,000 740,000 740,000 90 80 80 80 13 20 20 20 25 100 100 100 70,000 70,000 80,000 80,000 290 300 300 350 153 168 137 100 93 90 64 60 91 89 72 72 6 7 5 6 24 61 44 48 1 Balboa Yacht Basin �l "The Human Resources - Risk Management Department delivers professional, innovative and timely personnel, employee relations and risk management services while offering leadership and guidance to assist City departments and employees in providing exceptional services to our residents and visitors." Human Resources partners with departments and employees to hire, compensate, support and develop a workforce dedicated to delivering high quality services to the community. We are required to be informed about employment - related laws and best practices that minimize the City's liability, and we continue to provide training and expertise. This includes being informed in such areas as workers' compensation, liability prevention, risk management topics and assessing our benefit program for viability and cost effectiveness. Human Resources has been working more closely with the City Manager's Department in putting the City's vision of efficiency and innovation into place. As the City progresses through complex change encountered this last fiscal year (FY 2009 - 2010), with the fiscal downturn, Human Resources has played a key role by assisting departments with succession planning, restructuring and moving forward. Minimize the City's liability in employment matters. Provide cost effective, quality employment services. Provide opportunities for growth of the organizational culture that supports the City's values. Create and enhance policies, programs and systems that support sound management practices. Offer viable and cost effective resources to City employees. Provide administrative support to departments to assist with employee retention. 52 TOTAL $2,292,046 10 Positions, plus 1.5 FTE Risk Management & Employee Benefits Staffing: 5.25 $966,212 Benefits Administration CalPERS (Pension Assistance) Deferred Compensation Disability Benefits & Retirements DMV Employer Pull Program DOT Drug Program Employee Assistance Program Employee Health Fair Employee Relations Employee & Retirement Counseling Employee Verifications FMLA/H IPPA Compliance General Liability Insurance Procurement Loss Control New Hire Orientation Personnel Policies & Procedures Records Management Retiree Medical Insurance Safety Program Special Event Review Workers' Compensation Claims Administration Human Resources Administration & Operations Staffing: 4.75 plus 1.5 FTE $1,325,834 Cash Out Requests City -Wide Training Civil Service Board /System Support Classification & Compensation Studies Employee Identification Cards Employee Relations Employee Service Awards Employment Verifications Exit Interviews Grievances & Disciplines Labor Relations MOU (Contract) Administration PARS (Part -Time Retirement) Coordination Personnel Transactions Pre - Employment Physical Exams Recruitment/Selection Restructuring Assistance Scholarship Program Administration Tuition Reimbursement Unemployment Administration *1 Service Indicators Full Time Recruitments Part Time Recruitments Total Recruitments: Tuition Reimbursements Unemployment Claims Personnel Transactions Classification /Compensation Studies Labor Relations Employee Relations Benefit Transactions Actives & Retirees General Liability Claims Workers' Compensation & Disability Claims Industrial Disability Retirements Processed Retirements 2007 -2008 2008 -2009 2009 -2010 2010 -2011 Actual Actual Estimated Projected 86 65 71 68 59 91 103 97 144 156 174 165 197 281 285 290 37 30 30 30 1,816 1,567 1,575 1,600 28 24 34 10 45 15 55 30 35 30 65 50 1,700 1,889 2,100 2,335 104 110 101 105 142 142 137 139 2 2 2 2 21 22 60 35 54 180 169 166 160 160 140 120 120 100 88 IN Employee Separations 80 GNew Hires 60 2 40 20 —i3 0 2007 2008 2009 2010, as of April 27 2007 -08 2008 -09 2009 -10 2010 -11 Actual Actual Estimated Proposed Salaries and Benefits $ 1,189,739 $ 1,364,325 $ 1,423,142 $ 1,380,258 Maintenance and Operations $ 629,849 $ 676,716 $ 882,622 $ 905,788 Capital Outlay $ 173,109 $ 12,459 $ 5,774 $ 6,000 Total $ 1,992,697 $ 2,053,500 $ 2,311,538 $ 2,292,046 55 "The mission of the Office of the City Attorney is to provide excellent, prompt, practical, solution oriented legal advice to the Council, staff, and Boards and Commissions of the City of Newport Beach. We seek to integrate the legal function with administrative and policy functions of the City at the most basic levels in order to assist in achieving the Council's objectives and protect the City from liability risks." The Office of the City Attorney performs the following functions: Advise the City Council, City advisory boards and commissions, and City staff on all legal issues that they face on a daily basis in the complex area of municipal operations in California, including, but not limited to: General laws and ethics in the day to day operations of the City, such as: • Open Meeting Laws • Public Records Act • Political Reform Act • Procedural Due Process; • Election matters such as the conduct of elections, campaign financing, and ballot materials and compliance; • Managing public property such as the Beacon Bay lease sites; • Personnel matters such as hiring, discipline, and Civil Service System; • Planning and Zoning such as assisting with permitting, policy, and long range planning documents; • Public projects and contracting such as assessment districts, rights of way, construction of City facilities; • Revenue and finance such as taxes, rates and fees; bond issuance; concession agreements and other income matters; and • Utilities issues such as oil field 'royalties," operation and management of wastewater systems, water rates; • Represent the Council, staff, and the City as an institution either directly or through special counsel relationships before administrative bodies, such as the California Coastal Commission and Regional Water Quality Control Board, and before all courts in all litigation such as contract disputes, specialty municipal litigation, environmental, and election matters; • Enforce either directly or through special counsel relationships all aspects of the municipal code in matters such as nuisance abatement, building regulations, and zoning enforcement; and • Administerthe legal business of the City through managing in -house legal services and outside counsel relationships to assure excellent quality, responsiveness and value in performing legal work for the City. 56 The Office of the City Attorney is currently staffed with four and a half lawyers, and seeks funding for five full -time lawyers and one contract lawyer, to meet the demands of the coming fiscal year. We work together as a team, sharing responsibilities, in order to allocate resources to the areas of greatest need as the business of the City demands. Staffing sought for the FY 2010 -2011 would be structured as follows. At present, the Office of the City Attorney has the following resources performing the roles as noted: One City Attorney. Oversight of all legal services provided to the City, both in -house and outside counsel; management of the department; oversee combined budget for in -house services ($1,604,603 FY 2010 -2011) and outside counsel services ($523,000 FY 2010 -2011) for a total budget for legal services of $2,127,603, as amended; quality assurance; legal strategies and handling of sensitive matters. Two Assistant CityAttorneys: Direct Department representation and support and their related boards and commissions; quality assurance of legal work provided to assigned departments; special projects as assigned; supervise the legal work for their respective departments performed by Deputy City Attorneys and Paralegal. Two Full Time and One Half (Time -Wise) Deputy CityAttorneys We are currently staffed with two full -time and one half (time -wise) Deputy CityAttorneys. The Deputy CityAttorneys perform task oriented assignments to support the City Attorney and Assistant City Attorneys; and stewardship delegated projects as assigned. Two Paralegals Document custodian and information management; factual investigation; liaison to outside counsel on investigation and discovery issues; first level document review for consistency; tasks as assigned. Administrative Assistant to the CityAttorney. Direct support to the City Attorney both secretarial and administrative; support of other department legal personnel as needed. One DepartmentAssistant. Staff support of four legal personnel, typing, calendar, scheduling, tasks as assigned. One Office Assistant. Assist and support Administrative Assistant to the City Attorney and Department Assistant. One Part Time Office Assistant Assist and support Administrative Assistant to the City Attorney and Office Assistant. The Office of the City Attorney seeks approval for moving the last permanent part-time Deputy City Attorney position to a full -time position within this budget cycle. If this action is taken, there will be five and a half attorney positions, the City Attorney, two Assistant City Attorneys, two full -time Deputy City Attorneys, and one temporary, part-time, contract Deputy City Attorney. The additional capacity sought has provided litigation support services in order to allow the Office of the City Attorney to perform more litigation in- house, thus reducing the expense of outside counsel services over time. 57 CITY ATTORNEY David R. Hunt Mayor and Council City Manager (Except Harbor Resources, Public Information and Code Enforcement) City Clerk Oversee Office and All Outside Counsel Administrative Assistant to the City Attorney Debbie Alcaraz Direct support to the City Attorney both secretarial and administrative; support of other department legal personnel as needed Assistant City Attorney Assistant City Attorney Leonie Mulvihill Mynette D. Beauchamp Administrative Services Code Enforcement Building Department $ Fire Department General Services Department Human Resources Department Harbor Resources 1,400,520 Police Department Library Services Maintenance and Operations Public Information Office Planning Department $ Public Works Department Utilities Department 1,275,668 Recreation and Senior Services Department (Including first level oversight of Outside Counsel for (Including first level oversight of Outside Counsel for matters arising from assigned Departments) matters arising from assigned Departments) Deputy City Attorney Deputy City Attorney (0.7 FTE) Deputy City Attorney Michael Torres Catherine M. Wolcott Kyle E. Rowen Assist and Support City Attorney Assist and support ACA Assist and support ACA Projects and Assignments as Directed Group Homes Banner and Sign Issues Projects and Assignments as Directed Paralegal (1 New) Paralegal Kristy Parker Website Issues Contract Review Contract Review Projects and Assignments as Public Records Act Requests Public Records Act Requests Directed Liability Claims Liability Claims Code Enforcement including Dog Bites Liaison to Outside Counsel Office Assistant Cristal McDonald Assist and Support Administrative Assistant to the City Attorney and Office Assistant Part -time Office Assistant Elizabeth Arcinieaa TOTAL $2,348,842 10 Positions, plus .7 FTE Code Enforcement including Dog Bites Liaison to Outside Counsel 2007 -08 2008 -09 (1 New) Department Assistant) Staff support of legal personnel, typing, calendar, scheduling, tasks as assigned 2009 -10 2010 -11 Actual Actual Estimated Proposed Salaries and Benefits $ 821,794 $ 1,032,398 $ 1,400,520 $ 1,605,155 Maintenance and Operations $ 801,530 $ 1,062,001 $ 1,275,668 $ 719,329 Capital Outlay $ 13,371 $ 2,760 $ 6,057 $ 24,358 Total General Fund $ 1,636,695 $ 2,097,159 $ 2,682,245 $ 2,348,842 Insurance Reserve Fund Litigation $ - $ 760,308 $ 71,898 $ 160,000 Total City Attorney $ 1,636,695 $ 2,857,467 $ 2,754,143 $ 2,508,842 it.] We have the following goals in order of priority: 1. Provide current, practical, solution oriented legal service to the Council, staff, and boards and commissions of the City by integrating the legal function into the policy and administrative functions at the most basic lev- els; this effort alone requires resources be dedicated to ongoing training and representation of boards and commissions and to day -to -day advice to staff and Council on legal issues as they arise in the City; 2. Catch -up on back logged legal work, addressing outstanding issues that remain from times of reduced avail- ability of legal resources; 3. Begin bringing legal services back in -house from outside counsel, such as day -to -day advice on core legal issues, code enforcement, and appropriate specialty litigation; leaving outside counsel to perform appropri- ate tasks in three areas of service: such as handling unique legal issues that are needed for providing legal services that cannot otherwise be provided by the City in an in -house department. Ideally, outside counsel are used in three circumstances: (1) provision of specialty legal services that cannot effectively be provided by an In -house legal office due to their unique nature, bond counsel work for example; (2) for projects or litigation that are transitory and of such a magnitude an in -house office cannot effectively staff for them on an ongoing basis; and (3) tort claims litigation, which by the nature of the insured /insurer relationship makes it inconvenient to perform the services in- house. We are working on developing meaningful indicators of levels of service. We do not believe past indicators accu- rately, or meaningfully, measure the amount or quality of the legal services being provided to the City. In our four categories of service, our current workload is as follows: Advice: From July 1, 2009 through March 30, 2010, we have opened 291 new advisory matters, which include contracts, liability claims, specialty advice matters, etc. Represent: At present we are representing the City on 14 cases; Enforce: We currently have nine active code enforcement matters pending, four criminal and five civil, with nine addi- tional cases assigned to outside counsel awaiting filing; Administer. In addition, we oversee and monitory twelve ongoing outside counsel relationships dealing with current is- sues. In addition to assisting in some routine advice matters, those outside counsel represent the City in ten tort claims cases for monetary damages; one case alleging employment torts; five cases of municipal specialty litigation of a non -tort nature arising from municipal operations; and four cases aris- ing from specialty land use, planning and zoning matters. Of those relationships, there are four general areas of legal work requiring very extensive dedication of resources: (1) dealing with the issues caused by the residential influx into the Irvine Business Complex and the litigation spawned by those prob- lems; (2) addressing the issues resulting from the proliferation of sober living facilities and group homes in concentrations within residential neighborhoods of the City; (3) addressing the issue of eelgrass mitigation programs and their impacts on lower bay dredging; and (4) ongoing code enforcement activities to meet established Council objectives and address quality of life issues. "To provide prudent financial management of publicly entrusted resources and to support the organization with the highest quality financial, administrative and information technology services." The Department's primary purpose is to act as the financial steward for the public and to provide a wide variety of support functions generally encompassed by finance, administration, automation and communication. We provide solutions to the entire organization and members of the public accessing city government services and information. These services and solutions are critical to the City's financial stability and the City's ability to consistently deliver the highest quality of municipal services our residents have grown to expect. Administrative Services 2010 2007 -08 2008 -09 2009 -10 2010 -11 Actual Actual Estimated Proposed Salaries and Benefits $ 5,921,034 $ 6,475,652 $ 6,178,912 $ 6,094,655 Maintenance and Operations $ 1,207,107 $ 1,214,433 $ 979,429 $ 1,342,104 Capital Equipment $ 233,704 $ 288,815 $ 262,701 $ 339,219 Total $ 7,361,845 $ 7,978,900 $ 7,421,042 $ 7,775,978 60 ADMINISTRATIVE SERVICES DEPARTMENT Resources By Division Staffing Total Department Division Full -Time Part-Time Budget Percentage Finance & Treasury 3 - $ 557,546 7.2% Accounting 9 0.75 $ 1,203,244 15.5% Fiscal Services 16 2.12 $ 1,841,551 23.7% Information Technology (IT) 14 0.50 $ 2,652,260 34.1% Revenue Division 11 1.60 $ 1,521,377 19.5% 53 4.97 $ 7,775,978 100.0% The Administrative Services Department had ten employees who participated in the Early Retirement Incentive Program that was offered by Council in the fall of 2009. Of those employees, five were permanently removed from our authorized budget. This, along with a new department director, has focused our efforts on evaluating how we will deploy our remaining workforce so that we continue to provide the same level of service to all of our customers, both internal and external. We have prepared our FY 2010 -11 budget using the same department structure, however we anticipate proposing some changes in FY 2011 -12. Finance & Treasury Division The Finance & Treasury Division is the executive division of the Department that oversees four functional divisions: Fiscal Services, Information Technology, Revenue, and Accounting. Providing executive and administrative support, the Finance & Treasury Division also provides financial planning, treasury management and a variety of specialized financial and technical guidance to the organization Accounting Division The Accounting Division is in charge of the City's overall accounting and financial reporting, audit management and the development and administration of the City's operating budget. In this capacity, this division monitors and implements new accounting pronouncements to ensure the City adheres to generally accepted accounting practices and plays a key roll in the organization's overall financial analysis, planning, and policy development. This division also manages several complex accounting processes including: payroll processing, general ledger maintenance; debt administration, assessment district administration, grant accounting and the performance of several key internal control procedures. Revenue Divsion The Revenue Division is responsible for overall revenue administration, including development, recovery, and analysis. As local control over revenue streams has shifted to State and County agencies, Revenue staff have played an increasingly important role in the City's ability to maintain consistent service levels by monitoring legislative changes impacting municipal service, reviewing the accuracy of subventions collected from state and other local government agencies, maximizing the benefits arising from use of public property and ensuring a level playing field for all taxpayers within each tax base. f.Yil In addition, the Revenue division provides several organization -wide services including centralized receivables management and related customer service, income contract administration, reimbursement of State mandated costs, adjudication of all non - criminal actions taken by City Departments (e.g. parking and administrative citations), revenue specific compliance and allocation audits, license inspection and other revenue enhancement measures. Fiscal Services This Fiscal Services division provides a broad and diverse spectrum of fiscal processing solutions, graphics and print production and shipping and receiving services. This division strives to deliver cost effective solutions while satisfying the organizations most basic needs. Services include central cashiering; parking meter collection and maintenance, accounts payable, purchasing, warehouse control of inventory and disposal of surplus equipment; mailroom and remittance processing, graphics and printing. Other activities include management of the Citywide purchasing card program, encumbrances, and contract administration. Information Technology Division The mission of this division is to deliver automation solutions and communications services to all City Departments, the City Council, and members of the Public by consolidating, developing and maintaining a dynamic, progressive, service oriented, information technology system. Information and communication technology is a fast moving, ever changing industry that the City must embrace and grow with in order to keep up with the demands of our Community and using Departments. Functions performed by the IT Division include: administration of shared computer systems, security, email & voicemail; development and administration of the City's web sites; centralized database applications development and support; network administration and training. The IT Division also supports a Geographic Information System designed to provide complex analysis and mapping capabilities. The Telecommunications section operates and maintains all City telephone systems and communication devices. Major Administrative Services Priorities for FY 2010 -11: Support the City Council's Fiscal Sustainability Plan by focusing on our budget processes, working toward a Performance Based Budget. Continue to refine the Facilities Financing Plan (FFP) and issue bonds to finance the new Civic Center. Participate in the IT Strategic Plan development and implementation. Other significant Department efforts for this fiscal year include: Complete the first phase of the cost -of- services study (update the cost allocation plan, study Harbor Tidelands and Police). Update fee schedule including a review of harbor fees. Implement GASB 54, Fund Balance Reporting and Governmental Fund Type Definitions. Implement an Ethics and Fraud Policy and an Escheating Policy. Fully cross -train and integrate Cashiers and Revenue customer service staff, relocate staff so they're closer together (if economically feasible). WA Streamline the DAC process and have one database that will track, bill and notify operators of short term lodging violations. Develop and fully maintain a consistent TOT and lease agreement /contract revenue audit schedule (and other audits as the need arises). Design and Installation of new OASIS Senior Center network and workstations. Develop Deployment Strategy for Microsoft Windows 7 Operating System. Analyze Network Bandwidth utilization in order to develop strategies and solutions designed to meet and /or increase bandwidth where needed. Design and implementation of Phases 4,5 and 7 of the Traffic modernization plan. Upgrade Sungard CommPlus software, the implementation will require a rewrite of MasterlD and Quest web applications to the new database structure. Develop address and facilities inventory for all the parks using GIS. Implementation of a new PC Card Interface module with accounts payable. It will allow credit card transactions to appear in accounts payable under the appropriate vendor. 1 Budget Administered represents the gross budget administered (including internal service charges) 2 Increase due to unusually high CIP activity 3 Starting in FY10 Blanket Agreement and Maintenance Agreements will be counted in the total Purchase Orders Issued 4 Parking Lots will move from Harbor Resources Division to Administrative Services Department as part of reorganization in FY 2010 -11 D-111 2007 -2008 2008 -2009 2009 -2010 2010 -2011 Service Indicators Actual Actual Estimated Projected Financial Reporting Excellence Award Yes Yes Yes Yes Audit Reportable Conditions None None None None Single Audit Compliance Findings None None None None Total Budget Administered' $213,722,951 $258,128,9162 $255,977,982 $240,844,985 Paychecks Processed 28,157 28,116 27,500 26,500 Accounts Payable Checks Issued 13,478 14,928 12,750 13,000 Total Value of Payables Processed $108,506,108 $139,323,604 $132,000,000 $127,500,000 Checks Deposited 173,102 171,000 150,205 140,450 Purchase Orders Issued 811 830 1,2003 1,300 Images Printed 4,116,519 3,439,210 3,091,476 3,265,343 Mail Processed 221,044 225,000 220,000 160,000 Municipal Statements 174,854 196,117 177,000 180,000 Accounts Receivable Billings 9,027 8,666 8,000 8,000 New Business Licenses 5,165 1,810 2,645 2,500 Business License Renewals 14,117 20,184 17,870 17,000 Parking Citations Processed 69,275 66,248 62,775 62,000 Administrative Citations Processed 2,764 2,338 2,600 2,500 Adjudications 3,599 3,821 5,208 5,000 Business Tax Notices 31,968 4 33,443 39,250 38,000 Transient Tax Notices 3,104 3,200 3,200 3,200 Number of Vehicles at Balboa Lot 235,000 235,000 235,000 4 235,000 Number of Vehicles at CDM Lot 145,000 150,000 150,000 4 150,000 Film Permits 168 126 150 155 1 Budget Administered represents the gross budget administered (including internal service charges) 2 Increase due to unusually high CIP activity 3 Starting in FY10 Blanket Agreement and Maintenance Agreements will be counted in the total Purchase Orders Issued 4 Parking Lots will move from Harbor Resources Division to Administrative Services Department as part of reorganization in FY 2010 -11 D-111 The Newport Beach Police Department is committed to providing our Community with the highest quality police services possible to maintain the quality of life that is cherished by those who reside, work, and visit here. Our mission is to: "Respond positively to the Community's needs, desires, and values and in so doing be recognized as an extension and reflection of those we serve. Strive to provide a safe and healthy environment for all, free from violence and property loss resulting from criminal acts, and injuries caused by traffic violators. Manage inevitable change and welcome the challenge of future problems with creative solutions which are financially prudent and consistent with Community values." Enhancing the Feeling of Safety in the Community The Department has set measurable goals that focus on Enhancing the Feeling of Safety in the Community. These efforts will include a Department -wide focus on crime reduction; information dissemination by use of media sources, informational sign boards, and the Department's Facebook and Twitter pages; conducting Parole and Probation operations to ensure compliance by parolees and probationers; tracking and reducing response times to emergency calls for service, and reducing call answering times for calls into the Communications Center; tracking and reducing criminal investigation clearance rates; use of the grant- sponsored Alcoholic Beverage Control Investigator to ensure compliance by licensed restaurants and bars, and to conduct various alcohol - related operations; conducting bicycle safety seminars for adults and bicycle safety rodeos for children; conducting Boardwalk Safety operations; increasing Neighborhood Watch participation; and conducting various Community Outreach events across the City. Enhancing Interdepartmental Relations The Department has set measurable goals that will continue to focus on its outreach to other City departments that comprise the City organization. The intent of this effort is to maximize efficiency, increase Members of the Police Department participate in the annual Special Olympics torch run. The Police and Fire Departments provide vehicle escorts to ensure support and safety for the runners. 64 communications, and enhance relations with other City staff members. This will involve more face -to- face interaction and increased involvement with other City departments to address Community issues. This will be an ongoing effort among the various units within the Police Department, involving members at all levels. Specific Management Staff members will be assigned to individual City departments to serve as liaisons and to facilitate the communications even further. This effort will enhance efficiency between City departments, in order to provide the highest level of service possible to the Community. Planning for the Future The Department has set measurable goals that focus on Planning for the Future of the organization efforts will include a Department -wide focus on improving overall emergency preparedness, including Emergency Operations Center training for all Department supervisors, and disaster training for field personnel; implementation of the Peninsula emergency traffic plan, and conducting evacuation procedure reviews with employees; updating of the Department's Succession Plan; conducting regular meetings with all Management Staff; reviewing scheduling options for uniformed divisions; conducting a review of all Patrol beat assignments to ensure maximum efficiency; distributing the Department Goals to all employees, and providing employees with an opportunity to offer comments and suggestions; conducting of Family Outreach events for employees; implementing new Department Manual, which will include daily training for employees on policies and procedures; conducting a review of Department's Crime Analysis Unit; and distributing monthly reports Department -wide on favorable conduct of employees. Note: These Sergeant Spencer Arnold monitors police activity across the City, in the Jail, and in the Police Department Lobby from the Watch Commanders Office. Each individual goal has been assigned to a specific Staff member, who will ultimately be responsible for the goal completion and outcome. 2007 -08 2008 -09 2009 -10 2010 -11 Actual Actual Estimated Proposed Salaries and Benefits $ 35,513,359 $ 37,933,300 $ 36,904,324 $ 36,628,420 Maintenance and Operations $ 6,785,406 $ 6,722,495 $ 6,126,450 $ 5,976,692 Capital Outlay $ 408,443 $ 256,442 $ 307,119 $ 218,059 Internal Service Fund $ 456,803 $ 477,300 $ 588,835 $ 430,000 Total $ 43,164,011 $ 45,389,537 $ 43,926,728 $ 43,253,171 Sworn Personnel 149 149 149 149 Non -Sworn Personnel 92 92 92 89 Part-time (FTE) 15.55 15.55 15.55 15.55 Total Personnel 256.55 256.55 256.55 253.55 I-M Chief of Police Traffic Fleet Maintenance Staffing: 10 plus 0.49 FTE Staffing: 32 plus 3.74 FTE Staffing: 2 $2,022,820 $5,240,270 $1, 692, 849 Professional Standards Traffic Services Parts Inventory D.A.R.E. Accident Investigations Automotive Service Media Relations Motors Equipment Replacement Environmental Services Parking Control Collision Repair Community Relations Crossing Guard Vehicle Maintenance Crime Prevention Traffic Education Citizens' Academy Animal Control Detectives Volunteer Program Special Events Planning DUI Enforcement Staffing: 43 plus 0.19 FTE $7,614,818 Patrol Support Services Detective Services Staffing: 98 plus 4.29 FTE Staffing: 53 plus 6.84 FTE Crimes Against Persons $16,744,973 $9,507,441 Property Crimes Watch One Alarms Officer Juvenile /Sex Crimes Watch Two Communications Narcotics Section Economic Crimes Watch Three Property Unit Crime Scene Investigations Jail Unit Polygraph Unit Vice /Intelligence S.W.A.T. Fiscal Services Crime Suppression Unit Bicycle Unit Records Section Crime Analysis Canine Unit Training Section Auto Theft Task Force (O.C.A.T. T.) Disaster Planning Range /Armory School Resource Helicopter Program (A.B.L.E.) Computer Systems Regional Narcotic Suppression Reserve Officer Unit Planning /Research Program (R.N.S.P.) Hostage Negotiation Unit Facility Maintenance ABC Liaison Officer Electronic Equipment Repair Regional Computer Forensics Lab TOTAL $42,823,171 238 Positions, plus 15.55 FTE (Figures do not Include Asset Seizure, other grant funds, or internal service funds) The Police Department is comprised of the following divisions of responsibility: Office of the Chief of Police, Patrol /Traffic, Detectives, Support Services, and Fleet Maintenance. Under the leadership of Chief Jay Johnson, the Department's management team includes three Captains and eight Lieutenants. Of the Department's authorized strength of 149 sworn officers, over 90% are assigned to the field or investigative positions. Personnel- related costs comprise approximately 85.5% of the Police Department's total budget, with the remainder devoted to training, technology, office equipment, supplies, and other operational costs. Detective COP 23% 5% Traffic Support 13% Services 3% Patrol 40 56% Sworn Officers by Division [0] Fleet Detectives Maintenance 18% 4% COP Support 5% Services Traffic 22% 12% Patrol 39% Budget by Division (NAFF and Grant Funds Not Included) Officer Rick Henry responds to a Call for Service. Part One are the eight most serious crimes (Homicide, Forcible Rape, Robbery, Aggravated Assault, Burglary, Larceny- Theft, Auto Theft, and Arson) as defined by the FBI in the Uniform Crimes Reports. " Projected Service Indicators for FY 2010 -11 are derived from mathematical formulas based on historical data and are not indicative of recent downward trends. [IN 2007 -08 2008 -09 2009 -10 2010 -11 Service Indicators Actual Actual Estimated Projected`* Part One Crimes' 3,055 2,941 2,758 2,745 Adult Arrests 3,196 3,245 3,307 3,332 Juvenile Detentions 267 257 263 269 Crime and Miscellaneous Reports 10,289 10,458 10,517 10,603 Calls for Service 69,524 69,911 71,527 71,555 CAD Events 84,851 95,674 96,252 96,451 Domestic Violence Cases Investigated 221 206 204 203 Number of Cases Assigned for Investigation 4,321 4,432 4,363 4,341 Number of Cases Assigned per Detective 315 316 312 310 Value of Property Recovered 2,865,401 3,033,904 3,126,915 3,201,235 Field Interviews Conducted 4,422 4,195 4,269 4,277 False Alarms Handled 3,719 3,444 3,415 3,419 Animals Impounded 550 538 551 571 Animal Control Citations Issued 815 1,092 985 990 Fatal Traffic Collisions 6 4 4 4 Injury Traffic Collisions 539 441 439 437 Property Damage Collisions 867 816 803 810 Vehicle Code Citations /Warnings Issued 17,828 19,774 19;792 19,807 Other Citations Issued 2,996 3,940 4,035 4,028 Parking Citations Issued 70,150 65,176 66,310 67,459 Part One are the eight most serious crimes (Homicide, Forcible Rape, Robbery, Aggravated Assault, Burglary, Larceny- Theft, Auto Theft, and Arson) as defined by the FBI in the Uniform Crimes Reports. " Projected Service Indicators for FY 2010 -11 are derived from mathematical formulas based on historical data and are not indicative of recent downward trends. [IN "To reduce the loss of life and property from fire, medical, marine, and environmental emergencies through education, prevention, hazard reduction, and response." The mission statement above provides the framework for all of the goals and activities of the Newport Beach Fire Department. The Department's 156 full -time employees and over 225 seasonal employees provide 24 -hour protection and response to the City's residents and visitors. Identify and reduce fire and environmental hazards that may threaten life and property. Provide a safe, effective, and expeditious response to requests for assistance. Develop an adequately trained work force to effectively perform their duties. Participate in the community development planning process to improve fire and life safety. Encourage department personnel to assume leadership roles in the organization. Plan for response to natural and man -made disasters that affect the community. Educate and train City employees and the community to assist them in maintaining a safe environment. Salaries and Benefits Maintenance and Operations Capital Outlay Total Non -Sworn Personnel Sworn Personnel Total Full -time Personnel Seasonal - (FTE) 68 Garage fire 2007 -08 2008 -09 2009 -10 2010 -11 Actual Actual Estimated Proposed $ 25,057,708 $ 28,214,274 $ 28,217,618 $ 28,549,380 $ 4,948,481 $ 4,815,522 $ 4,579,765 $ 5,314,993 $ 290,652 $ 333,352 $ 485,295 $ 190,810 $ 30,296,841 $ 33,363,148 $ 33,282,678 $ 34,055,183 16 16 16 16 140 140 140 140 156 156 156 156 33.13 33.13 35.26 33.13 Emergency Medical Services Staffing: 1.5 $2,200,901 EMS Financial Management Continuing Education Employee Health Exposure Control Medical Quality Assurance Medical Disaster Planning Training Staffing: 7 plus 10.74 FTE $2,205,432 Administration Staffing: 8.5 plus 1 FTE $1,119,375 Apparatus & Equipment Budgeting Communications Facility Management Mapping Personnel Purchasing and Procurement Fire Training Lifeguard Training Junior Lifeguard Program Lifeguard Cadet Program Junior Firefighter Camp Community Relations & Education Public Information Disaster Preparedness Emergency Management C.E.R.T. Program Community Disaster Preparedness Jr. Firefighter Camp I, Fire Prevention Staffing: 6 $1,439,003 Fire Code Enforcement Hazardous Materials Regulation Hazardous Vegetation Management Knox Box Access System Fire & Arson Investigation Fire Code Plan Checks Fire Code Building Inspections Special Event Management Safety Operations Staffing: 133 plus 21.39 FTE $27,090,472 Fire Suppression EMS Response & Transportation Ocean Safety /Beach Rescue Dive Team Rescue Boats Hazardous Materials Response Hazardous Situation Mitigation Fire Prevention Inspections TOTAL $34,055,183 156 Positions, plus 33.13 FTE CERT Responding of Wildland Fires With strong roots and a long history, the Fire Department continues to develop and enhance its mission of superior safety, service, and professionalism. The Fire Department continues to build on past successes and strives to meet the future demands of a unique and expanding community. Today, the Newport Beach Fire Department places emphasis on Emergency Services, Fire Prevention, Disaster Preparedness, and the Training and Education of those who serve as well as those to be served. Emergency Services Firefighter and Lifeguard Operations The Newport Beach Fire Department will continue to provide the same high level of services that our community has come to expect. Emergency Medical Services Our emergency medical service responders rely on advanced equipment to save lives. Over the next year, we will continue to provide leading -edge emergency medical response. To achieve this, our highly trained Paramedics and Emergency Medical Services Responders will utilize the latest in medical treatment and technology available. House Fire in Santa Ana Heights Trainina and Education Fire Prevention Firefighters Respond to Traffic Collision The goal of the Fire Prevention Division is to safeguard the community from fire and environmental hazards through programs providing for adherence to fire regulations, public education, and hazard mitigation. During the 2010 -2011 budget year, the Fire Prevention Division will be focusing its efforts on the City's hazardous materials disclosure program. Assembly Bill 08 -2286 requires all public agencies to switch to an internet -based reporting system by 2013. We believe that the change will be very beneficial to the Newport Beach business community and have decided to transition to the new system this year. The Newport Beach Fire Department continues to strive for excellence in training and education for both department employees and our community. Department employees participate in a combination of classroom instruction and field drills. Newport Beach Fire and Lifeguard personnel consistently receive the highest scores in the training classes completed. The mission and capability are enhanced for 2010 with the commissioning of the first Urban Search & Rescue (US &R) team in Newport Beach. This capability provides added safety and security for residents and visitors in the unlikely event of unintended structural entrapment from a building collapse or spontaneous failure, or as a result of a seismic event. Lifeguard Assisting Beochgoers 1111 Firefighter Training Firefighter Training continues to improve with the addition of our Santa Ana Heights Training Facility. We will continue to utilize this location to train our firefighters in the newest equipment, firefighting and rescue techniques, and latest in medical procedures. All of our training requires that we maintain the appropriate records. This includes DMV class B licensing, Emergency Medical Technician recertification (EMT), equipment training, and drills. We also maintain our Incident Qualification System (IQS) database. The IQS program allows us to make our resources and specialized personnel available on a state or county level in the event of a large -scale incident. Community Fire and Beach Safety Education The Fire Department also provides excellent community education. Department members provide safety instruction and training to school -age children every year through the following programs: Junior Firefighter Safety Academy Junior Firefighter Camp Junior Lifeguard Program Lifeguard Cadet Program CPR in the Schools The Fire Department will also be launching its improved website with better public information. Better communication with the community will continue to be a top priority. Disaster Preparedness The primary goal of the Disaster Preparedness Section is to continue to provide education and training to all City employees and residents. The FY 2010 -2011 goal for the City's Emergency Management Program is to update the City's Emergency Management Plan (EMP). The purpose of the EMP is to provide guidance for the City of Newport Beach's response to extraordinary emergency situations associated with natural disasters, technological incidents, and national security emergencies in or affecting the City of Newport Beach. This EMP describes the operations of the City of Newport Beach Emergency Operations Center (EOC), which is the central management entity responsible for directing, coordinating, and supporting the various City departments and other agencies in their emergency response activities. The EMP does not address ordinary day -to -day emergencies or the established departmental procedures used to cope with such incidents. The EMP is required to be updated every three years by the California Emergency Management Agency (Cal EMA). Once the plan is updated, we will be conducting training and an exercise for EOC staff to ensure they understand their roles and responsibilities stated in the EMP. Community Preparedness The FY 2010 -2011 goals for Community Preparedness are to certify 120 residents as disaster service workers through the Community Emergency Response Team (CERT) training program, certify 50 CERT volunteers as county -wide mutual aid responders, host at least 25 neighborhood disaster response classes, 25 business disaster response classes, and school emergency response team trainings in all public and private schools in Newport Beach. These goals will be met by hosting at least four CERT training programs, two in the winter and two in the fall, with two annual "Drill the Skills" days. One -day School Emergency Response Team (SERI) trainings will be continued in all 11 public schools and at any requesting private school. Furthermore, business emergency response team trainings will be available to any requesting business. Other offered advanced trainings include: HAM Radio class, CPR /AED class, Mutual Aid class, and a Shelter Management class. In addition to the community, business, and school training programs, neighborhood disaster preparedness classes will continue to be offered to any requesting group in the City. Service Indicators Fire Responses Medical Responses Fire Medics Membership Water Rescues Lifeguard Medical Aids Boats in Distress/Warnings Preventive Actions Fire Alarm Responses Other Emergency Responses Public Education Contacts Fire Inspections New Construction Inspections Beach Attendance 2007 -2008 Actual 2008 -2009 Actual 2009 -2010 Estimated 2010 -2011 Projected 393 371 338 350 6,874 6,804 6,985 6,950 6,500 6,200 6,000 6,000 3,848 4,809 4,352 4,500 4,924 6,056 6,099 6,000 216 25 120 100 78,992 86,223 101,207 100,000 812 1,232 1,739 1,500 2,387 930 2,198 3,000 7,262 6,324 10,348 11,000 7,250 6,912 7,000 7,000 931 992 865 900 7,315,536 7,681,651 9,813,821 10,500,000 71 "A responsive, knowledgeable team of professionals guiding community development in the public interest." Planning Division Planners prepare and implement short and long -term strategies that promote City Council priorities for enhancing the physical environment and the character and quality of neighborhoods in Newport Beach. Planners are responsible for interpreting and applying the provisions of the General Plan, Zoning Code, Local Coastal Program and related codes. Planners work with customers in determining appropriate uses of properties, in identifying suitable site plan configurations and in designing buildings of size, scale and character consistent with traditions of excellence that define Newport Beach. Planners provide the staffing resources for the Planning Commission and the City Council for a variety of land use and development projects requiring public hearings pursuant to the Newport Beach Municipal Code. Economic Development Division • The Economic Development Division develops and implements the City's economic development policies and programs, including the Strategic Plan for Fiscal and Economic Sustainability. • Economic Development staff are the City's liasons to the Economic Development Committee, five Business Improvement Districts (BIDS) and many of the City's business associations and community -based organizations like the Mariners' Mile Business Association and the Newport Beach Film Festival. Economic Development staff administer the City's Community Development Block Grant. 72 Planning Department Staffing: 22 plus AD FTE $3,005,540 (excludes CDBG Fund) Planning Management Strategic Planning Project Review Staffing: 4 plus .40 FTE Staffing: 2 Staffing: 7 City Council Staff Support Planning Commission Staff Support Project Assignment and Monitoring Staff Training and Professional Development Budgeting Inter - departmental Coordination Information Systems Management General Plan Administration Zoning Code Updates Local Coastal Program Implementation Housing Programs Special Studies Inter - agency Collaboration Legislative Monitoring Code Administration Economic Development Staffing: 7 Staffing: 2 Public Information Counter Real Property Information General Plan and Zoning Inquiries Local Coastal Program Inquiries Zoning Code Interpretation Development Plan Checks Use Permit Monitoring Code Enforcement Support Economic Development Strategic Plan Implementation Business Retention and Recruitment Process Assistance for Business Permitting Liaisons to Business Improvement Districts Special Studies / Projects Community Development Block Grant Administration Economic Planning Development Management., 10 0/I 7% Site Development Permits Major Use Permits Variances Tract Maps Reports and Recommendations to City Council Reports and Recommendations to Planning Commission Specific Plans and Planned Community Texts Coastal Residential Development Permits Minor Use and Modification Permits Comprehensive Sign Programs Condo Conversion and Parcel Maps Staff Hours by Planning Department Activity Code Compliance 4% Plancheck 15% Project Review 30% strategic Planning -- - - - 21 .. Property Records Requests 13% 73 Planning Division Implement the General Plan - Complete comprehensive Zoning Code update - Gain State certification of updated Housing Element - Prepare Local Coastal Program Implementation Plan Continue to improve customer service and streamline discretionary project processing Enhance planners' expertise and customer service skills through ongoing in -house and outside professional development and training courses Continue planning case files electronic format archival program Prepare and administer new development review processes as required after adoption of the new Local Coastal Program and Zoning Code Manage the preparation of CEQA documents - Newport Banning Ranch - Newport Beach Country Club - Conexant residential development - Koll Center Newport residential development Prepare General Plan revisions consistent with Coastal Land Use Plan amendments Finalize Planning Department Procedure Manual Continue to process Group Home and Reasonable Accommodation applications Prepare vision plans for Balboa Village and Lido Marina Village Economic Development Update and continue to implement Strategic Plan for Fiscal and Economic Sustainability • Provide support for Balboa Village and Lido Marina vision plans Continue to administer the Community Development Block Grant Creation of Parking Management Districts 74 2007 -08 2008 -09 2009 -10 2010 -2011 Actual Actual Estimated Proposed Salaries and Benefits $ 2,185,544 $ 2,536,501 $ 2,579,086 $ 2,577,788 Maintenance and Operations $ 895,346 $ 780,269 $ 529,833 $ 424,252 Capital Outlay $ 38,627 $ 7,989 $ 982 $ 3,500 CDBG Fund $ 117,878 $ 124,479 $ 120,825 $ 116,770 Total $ 3,237,395 $ 3,449,238 $ 3,230,726 $ 3,122,310 74 Projects Reviewed Approval Authority City Council / Planning Commission Zoning Administrator Planning Director / Staff Proposed Medical Office building located at 328 -340 Old Newport Blvd 2007 -2008 2008 -2009 2009 -2010 2010 -2011 Actual Actual Estimated Projected 35 30 26 28 137 72 48 45 3,352 2,449 2,400 2,350 Reverse Corner LotAnalysis - Title 19 Subdivision Code Balboa Center Renovation - 3707 -3127 Newport Blvd 75 "To ensure the quality of life of those who live, work and visit the City by promoting building safety through regulating construction, building use and occupancy." The Building Department ensures the health and welfare of the residents of Newport Beach by regulating the construction, use, and occupancy of buildings and other alterations through the application of standardized model building codes. It continues a tradition that can be traced through recorded history for over 4,000 years in which people have become increasingly aware of their ability to avoid the catastrophic consequences of building construction failures. The Building Department ensures that the standards set by these codes for construction are met through plan review, permit issuance and on -site inspections. The Newport Beach Building Department continues to be a key member of the uniformity effort to develop a uniform set of codes and guidelines throughout Orange County. Through its efforts with the Orange County Chapter of ICC, the Building Department promotes building safety through regulating building use and occupancy by taking a customer - oriented approach to finding educated, cost effective solutions. Highlights The Building Department is responsible for reviewing construction drawings and inspecting building construction to verify compliance with mini- mum building safety $so standards required by $4.5 local and State $,.o construction codes. g The Building Depart- c$'.s ment budget is divided > _ $3 0 into three sections: x$25 Administration, Plan d Check /Permits $20 Services and inspec- $,.$ tions. The department revenue is generated $10 by collecting fees for $0.5 the services it $0.0 provides. Fiscal Years 76 2007 -08 Actual 2008 -09 Actual 2009 -10 Estimated 2010 -11 Proposed Salaries and Benefits $ 3,339,997 $ 4,058,951 $ 4,063,805 $ 3,796,334 Maintenance and Operations $ 1,022,728 $ 636,628 $ 327,757 $ 413,369 Capital Outlay $ 25,682 $ 17,499 $ 5,576 $ 27,900 Total $ 4,388,407 S 4,713,078 $ 4,397,138 $ 4,237,603 This coming year one very important goal for the Building Department is the City Council adoption and implementation of 2010 California Building Codes including the California Green Building Code. Building Department staff is getting ready for applying the green building code by attending training and getting certified through green construction professional organizations. The Building Director set the example by attending training, taking the test, and getting certified by the United States Green Building Council. Additional Building Department staff is attending similar green code training. Staff will continue to work with the project design team during the design phase of the new Civic Center to assist with code compliance, plan check and inspection. DIVISION OVERVIEW Administration Division Provide customer service for telephone and walk -in customers; process utility releases; process applications for requests for modifications, alternate material or method of construction, and exemption from disabled access Set department policy and standard operating procedures Inform and teach new California codes to public Track and file building plans for all departments involved in development review Design and update building forms; responsible for correspondence and department web page Assist customers with retrieving archived records, including plans, permits and support documents from microfiche and the digital database, including subpoenas Provide FEMA flood zone determinations Process complaints regarding unsafe or illegal construction Archive all documents, including plans, permits, supporting documents and microfiche into a digital database Plan Check/Permits Services Division Process applications and associated drawings for construction r_ permits - ,•^^°'"� " "" Review construction documents for code compliance for struc- Nnaw�� . We Wert far Y+o tural, architectural, grading, and fire safety Provide assistance on the technical requirements of codes over the counter to homeowners, contractors, architects and design engineers by Building Department staff engineers Provide over the counter plan check service by appointment. Provide quality and timely processing of all construction docu- Engineer is consulting with ments and permits customer Produce a variety of statistical reports Consistently meet the stated goal of 90% of plan reviews within four weeks or less 77 Inspections Division Ensure compliance with the approved plans and applicable codes, and local ordinances Confirm that site conditions are accurately reflected on the approved plans Provide Residential Building Records (RBR) inspections upon the sale or transfer of residential properties Utilize combination inspections Maintain inspection records electronically in real time Initiate code enforcement action when appropriate Provide investigation of customer complaints on building safety $350 $300 $250 0 $200 o= $,50 0 U $100 $50 $0 Number of Customers Assisted at the Permit Counter 18,660 Total Customers Jan. 2009 to Feb. 2010 Customers 4 assisted by a permit technician 65% Customers that waited more than 30 minutes 2% c�mmema - a,yedxa Fiscal Years Imaua•s cmm ceniep Administration' Staffing: 5 plus .33 FTE $618,686 Plan Check/Permits Services Inspections Staffing: 15 plus .83 FTE Staffing: 11 $2,292,593 $1,326,324 TOTAL $4,237,603 31 Positions, plus 1.16 FTE ` The Building Department pools clerical support staff for all three divisions under the Administration Division. IW Maintain a management system that effectively and efficiently utilizes resources to achieve the mission of the organization. Continue enhancements to the "Accela" permit tracking and processing system. Continue to look for ways to improve service delivery to our customers. • Facilitate compliance with City- adopted codes and State - mandated standards. Train staff on the new 2010 State building codes. Update correction lists, forms, handouts, standard plans, policies, and inspection standards according to the newly adopted 2010 State building codes. Continue the quality assurance program for all department activities. Continue to process permit applications efficiently and complete 90% of all plan reviews within four weeks turn - around goal. Utilize new technological advances to make customer dealings with the Building Department more efficient and convenient. Track and monitor Building Department performance measurements Continue to catalog and integrate the County records as they are received from the County of Orange for Newport Coast and West Santa Ana Heights for customer and staff access. • Continue to improve plan tracking and storage methodologies to provide easier access to plans and permits. Convert digital archive to GIS, allowing for easy access to permit and plan information in a centralized, web -based environment. Reorganize file management to simplify and clarify document and plan storage and retrieval. Achieve consistency in plan check, inspections, and interpretations through staff training and interaction. Expand our current on -line inspection information to enable our customers to read inspection comments online. Participate in the planning for a new city hall including preliminary code compliance and plan review. • Adopt the 2010 State Building Codes, including the Green Building Code Provide outreach to the community regarding the new codes Inspections Building Code Enforcement 199 2007 -2008 2008 -2009 2009 -2010 2010 -2011 Service Indicators Actual Actual Estimated " Projected Plan Submittals Total Plan Checks: 2,379 2,232 2,060 2,160 Permits Issued Total inspections: 27,677 26,044 25,324 31,200 Building /Combination Permits Issued 2,727 2,301 2,393 2,512 Grading Permits 15 0' 0 " 1 ` Electrical Permits 635 487 * 520 " 546 ` Plumbing Permits 608 409 * 409 ' 429 ` Mechanical Permits 408 315 * 348 ' 365 ' Pool /Spa Permits 154 90 105 110 Harbor Permits 83 70 76 80 Residential Building Records Permits 825 613 650 682 Fire Permits 406 414 477 508 Total Permits Issued: 5,861 4,699 ` 4,978 ` 5,233 ` Inspections Building Code Enforcement 199 397 148 155 Inspections related to Complaints 1,076 1,441 2,880 2,160 RBR Inspections 485 250 1,042 1,094 Construction Inspections 25,917 23,956 21,254 27,791 Total inspections: 27,677 26,044 25,324 31,200 `Significant number of additional permits are Included with the combination permits. "`Seasonal conditions and economic factors can significantly affect future projections. AW1 "To provide cost - effective service in order to maintain a clean and safe city infrastructure to ensure a high quality of life for residents and the enjoyment of our community by visitors." The General Services Department is responsible for providing maintenance support services to residents, visitors, and other city departments. The department is divided into six functional divisions that are responsible for administrative support; residential refuse collection and recycling; maintenance of the City's urban forest, parks and landscaped areas; street sweeping, storm drains, tide valves, beaches, traffic signs, and public facilities; management and replacement of the City fleet of vehicles and equipment; and improvement of public streets and sidewalks. Administration Staffing: 6 $906,942 Administrative Functions Customer Service Financial Management Parks and Street Trees Staffing: 16 $6,152,890 Tree Health & Safety Park & Median Maintenance Coordinate New Development & Public Works Projects F.Y11 TOTAL $24,551,344 108 Positions, plus 3.0 FTE Equipment Maintenance Staffing: 13 plus .75 FTE $2,516,398 Maintain, Repair, and Replace City Vehicles Ensure Safety & Environmental Compliance Operations Support Staffing: 26 plus 1.5 FTE $5,709,523 Cleaning & Repair of Beaches & Facilities Street Sweeping Storm Drain Maintenance Tidal Valve Operation Graffiti Abatement Field Maintenance Staffing: 22 plus .75 FTE $3,480,072 Roadway, Sidewalks, Curb /Gutter Repair & Replacement Street Signage Refuse Staffing: 25 $5,785,519 Residential Refuse & Recyclable Collection Transfer Station Operation Street Sweeping City vs Contract Annual Cost $1,000,000 $800,000 $600,000 _ $400,000 $200,000 $0 FY 2010 -11 FY 2011 -12 FY 2012 -13 Contract Services Annual Cost Alley Sweeping $84,782 Biological Monitoring Services (Back Bay View Park) $10,940 Biological Monitoring Services (Morning Canyon Park) $6,500 City Catch Basin & V -Ditch Cleaning $156,905 City Yard & City Hall Custodial Services $80,719 Materials Recovery Facility $1,433,120 Refuse Collection • Build on previous successful efforts to reduce costs while maintaining excellent levels of service Move forward with the purchase of alternative fuel replacements for fleet vehicles and complete modification of equipment maintenance facilities to accommodate CNG equipment Evaluate the impact of reduced staff positions on internal services 2007 -08 2008 -09 2009 -10 2010 -11 Actual Actual Estimated Proposed Salaries and Benefits $ 9,815,926 $ 10,241,356 $ 10,282,658 $ 9,768,711 Maintenance and Operations $ 12,286,665 $ 12,194,943 $ 11,760,903 $ 12,244,735 Capital Outlay $ 32,141 $ 4,045 $ 14,034 $ 21,500 Internal Service Funds $ 3,792,464 $ 3,266,604 $ 3,604,887 $ 2,516,398 Total" $ 25,927,196 $ 25,706,948 $ 25,662,482 $ 24,551,344 Authorized Full -time Personnel 127 122 122 108 Seasonal (FTE) 1.25 3.50 3.50 3.00 Includes Equipment Maintenance and Replacement Fund Expenditures (Internal Service Fund) 1.11 Administration Core Services Coordinate department operations Provide administrative and financial support to department staff Manage contracts including refuse collection franchise contract Primary Objectives Ensure that the delivery of services aligns with the priorities and directives of Council and City Manager Ensure compliance with Federal, State, and municipal laws, regulations, and mandates Facilitate intradepartmental and community communication Contract administration Equipment Maintenance Core Services Vehicle maintenance and repair Vehicle specifications, purchase, and salvage Ensure compliance with Federal, State, and Air Resources mandates and regulations Primary Objectives Preventative maintenance and repair of all City vehicles (except Police) Contract administration Field Maintenance Core Services Inspect and repair asphalt and concrete surfaces including roadways, sidewalks, curbs, and gut- ters Mark streets, parking lots, and curbs, and maintenance of traffic and street signs Special event and project management and support Primary Objectives Maintenance of infrastructure Contract administration Operations Support Core Services Facilities maintenance Storm drain and tidal valve maintenance Street sweeping Beach maintenance Graffiti abatement Primary Objectives Clean streets, sidewalks, and beaches Clean and maintain city buildings Monitor and maintain storm drain and tidal valve system Fabricate and repair fixtures and furnishings Fabricate signs, banners, decals, and custom signage requests Provide operational and logistical support to city departments that operate on the beach (Life- guards, Police, and Recreation) Coordinate CIP and construction projects Contract administration F:YA Parks and Street Trees Core Services Park, median, and tree maintenance Special event coordination Provide technical support for project review and development Primary Objectives Scheduled plant and tree maintenance in parks and rights -of -way Plan review and on -site inspection of new development and Public Works projects including repair and restitution of encroached /damaged public properties Irrigation management and water conservation practices Weed abatement for fire safety Special event support and traffic control Provide staff support to Parks, Beaches & Recreation (PB &R) Commission Refuse Core Services Collection, transfer, and recycling of the residential waste stream Management of commercial franchise program and Newport Coast residential contract Compliance with state materials diversion mandate for environmental protection Primary Objectives Collect residential refuse Operate Transfer Station Mandated diversion of recyclable materials Contract administration Orange County's newest CNG station at the City Corporation Yard Service Level Indicators Residential Refuse Collected (tons) Beach Debris Collected (tons) Diversion Rate Sidewalk Repair (feet2) Curb & Gutter Replacement (linear feet) Street Sweeping (yards) Street & Pavement Marking (linear feet) Graffiti Incidents Parks Maintained 2007 -2008 2008 -2009 2009 -2010 Actual Actual Estimated 43,888 1,485 54% 58,000 4,000 6,550 783,462 2,500 56 32,013 1,540 52% 49,644 4,641 5.941 223,397 1,268 55 Landscaped Acres Maintained 607 608 Trees Trimmed 15,550 16,000 ' Per S131016, diversion rate has been replaced by per capita disposal equivalent beginning with the 2009 report. 34,000 2,220 48,000 2,800 6,000 30,800 1,400 56 620 9,500 i WA 2010 -2011 Projected 36,000 1,600 50,000 3,600 5,800 200,830 1,600 57 640 7,550 131 "Protecting and providing quality public improvements and services." The City of Newport Beach is committed to maintaining a high quality of life by providing essential infrastructure and public facilities. The Department of Public Works is responsible for managing a comprehensive and ambitious improvement program designed to meet the current and future needs of the community and to protect the City's physical and natural assets. Capital projects include improvements to the City's roads, intersections, bridges, sidewalks, storm drains, traffic signals, water quality and environmental features, piers, water and sewer systems, street lighting, public buildings and parks. Another core service area focuses on the use of engineering expertise to solve problems and to promote a safe and efficient transportation system. Public Works adds quality and safety to our lives through the use of engineered controls and measures such as traffic signals, signage, and pavement maintenance. Public Works also protects public property from unpermitted encroachments, ensures the safety of utility company activities, private construction and special events in the public right -of -way, and reviews plans for residential and commercial development as they relate to the public right -of -way. The Public Works Team consists of 32 dedicated full time employees and is comprised of two divisions: Administration and Engineering Services. The Engineering Services Division is further divided into sections including Capital Improvement Program Delivery, Construction Management, and Transportation and Development Services. To accomplish the department's mission, staff manages a combination of contract employees, consultants and contractors to deliver projects and services. 84 Administration Division Staffing: 9 plus .47 FTE $1,205,768 Strategic planning Organizational development Budget development / administration Capital Improvement Program management Contracts and grants administration Customer service / communications Permit issuance Centralized support services Records management Geographical Information systems Engineering Services Staffing: 23 plus 2.11 FTE $4,344,767 Capital Improvement Program Delivery Feasibility studies, planning, permitting, master plans Right -of -way acquisition, utilities coordination Environmental programming Project management Construction management Public right -of -way inspection Community outreach / education Utility undergrounding district administration and coordination Transportation and Development Services Traffic engineering, traffic studies, and transportation planning Traffic signal system operations, coordination and maintenance Neighborhood traffic calming Plan check services Subdivision engineering Land use coordination Surveying and mapping Encroachment permits and temporary street closures TOTAL $5,550,535 32 Positions, plus 2.58 FTE ' Does not include assessment district project funds nor encumbered funds for work in progress; actual data reflects amounts expended 2007 -08 2008 -09 2009 -10 2010 -11 Actual Actual Estimated Proposed Salaries and Benefits 2007 -2008 2008 -2009 2009 -2010 2010 -2011 Service Indicators Actual Actual Estimated Proposed CIP funds managed` $23,020,561 $30,606,727 $60,962,102 $52,916,798 CIP projects completed within two months of $ 835,786 Capital Outlay $ baseline schedule- target 85% 78% 90% 85% 85% CIP projects completed within awarded contract 24,235 Total $ 5,161,517 value, plus 10% contingency- target 95% 83% 77% 70% 75% Encroachment / Temp Street Closure permits issued 1,221 1,102 981 970 Plan checks completed within target date 91% 92% 93% 92% Underground Assessment Districts managed 12 9 12 9 Total department personnel 33 33 33 32 ' Does not include assessment district project funds nor encumbered funds for work in progress; actual data reflects amounts expended 2007 -08 2008 -09 2009 -10 2010 -11 Actual Actual Estimated Proposed Salaries and Benefits $ 4,044,792 $ 4,644,788 $ 4,679,009 $ 4,690,514 Maintenance and Operations $ 1,037,054 $ 948,435 $ 916,024 $ 835,786 Capital Outlay $ 79,671 $ 51,279 $ 11,041 $ 24,235 Total $ 5,161,517 $ 5,644,502 $ 5,606,074 $ 5,550,535 8� "To provide quality, cost effective utility services to the community of Newport Beach." Meet current and future needs for infrastructure, services, and resources for citizens and visitors. Provide the City a safe and reliable water supply. Operate and maintain the City's water, wastewater, oil and gas, and street lighting systems in an efficient and innovative manner. Provide outstanding customer service and education to the public, other departments, and agencies. Promote team spirit and pride through our actions and activities. Encourage continuous employee assessment and development programs. Facilitate the flow of information by maintaining a records management system. The Utilities Department is responsible for providing water service, wastewater collection, oil and gas production, electrical services and street lights to the citizens of Newport Beach. Water is delivered to homes and businesses, wastewater is transported for treatment, and streets and beach parking lots are made safer with lighting. The Utilities Department has four divisions: Electrical, Oil & Gas, Water, and Wastewater. FTII The Administrative Division team provides administrative support for the department to achieve its Mission and Goals, including contract management, regulatory compliance, safety program, budget development and oversight. Administration ensures customer service requests are taken care of in a timely manner for residents and other departments. The Administrative Division also provides engineering support services for utility system repair and construction projects. The Electrical Division team is responsible for servicing the water and sewer pump stations, supervisory control and data acquisition system, instrumentation and control systems, emergency generators, and over 6,500 street and parking lot lights. The division provides electrical support services for City facilities, including park sites and community buildings. The Electrical team responds to over 1,000 customer service requests each year. The Oil & Gas Division provides contract administration and oversight for a small oil tank farm consisting of 16 wells in West Newport Beach. The operation and maintenance of the oil operation is contracted. Natural gas is a by- product of the oil production which is delivered to Hoag Hospital for reuse. The Water Division team consists of four sections; Water Maintenance and Repair, Customer Service, Water Quality and Water Production. The team ensures safe drinking water is supplied to the City through the operation of pumps, reservoirs, pressure stations, water quality testing, meter reading services, and responding to customer service requests. This division performs year -round operation and maintenance of 2,746 fire hydrants, 8,004 shut -off valves, 296 miles of transmission and distribution mains and provides water meter customer service for more than 26,000 accounts. The Wastewater Division team operates, maintains and repairs the City's 200 miles of wastewater collection system, over 6,000 manholes and 90 miles of private lateral lines, including 21 wastewater lift stations that transport the City's wastewater for treatment at the Huntington Beach plant. This division cleans all wastewater lines and takes closed circuit television (video) to determine the condition of the pipelines for needed repairs. This division's work is essential to eliminate possible wastewater spills that can reach the bay, harbor and ocean. BH Service Indicators Electrical Division Miles Street Light Cable Installed /Pulled Street Light Devices Replaced Emergency Responses Number of Service Requests Oil & Gas Division Barrels of Oil Produced MCF` of Gas Produced Barrels of Water Injected Water Division Acre Feet" Water Purchased /Produced Acre Feet of Reclaimed Water Used Number of Fire Hydrants Serviced /Repaired Number of Water Meters Read Number of Main Breaks Number of Service Requests Wastewater Division Miles of Pipe Cleaned Miles of Pipe Video Inspected Number of Dig Outs Number of Service Requests `MCF = one thousand cubic feet "Acre Foot = 325,850 gallons 88 FY 2007 -08 FY 2008 -09 FY 2009 -10 FY 2010 -11 Actual Actual Estimated Projected 1,105 473 1,200 2,750 1.29 3.13 2.7 2.5 1106 1,763 2,936 2,800 59 85 192 100 1,262 1,194 1,196 1,100 31,089 31,248 29,199 30,100 14,150 14,832 14,279 14,050 411,854 403,211 392,034 401,000 18,077 17,155 17,160 17,600 265 300 410 450 1,105 473 1,200 2,750 78,206 161,503 161,715 161,932 11 8 15 12 1,200 1,415 1,475 1,550 212 209 200 225 38 24 27 30 56 44 53 50 608 584 440 500 Wastewater Electrical Oil & Gas 13% 6% 3% Water 78% TOTAL $24,905,335` 56 Positions, plus 0.50 FTE Electrical Staffing: 4 $1,307,490 Water and Sewer Pump Stations SCADA and Control Systems Emergency Generators City Facilities Electrical Service Street and Parking Lot Lighting Wastewater Staffing: 15 $3,042,665 Sewer Main Cleaning Sewer Mainline Video and Repair Pump Station Maintenance Sewer Lateral /Cleanout Replacement ` Doesn7 include CIP. Utilities CIP funding is reported in the CIP budget document. Oil & Gas Staffing: 0 $793,720 Oil Production Gas Production Oil & Gas Remediation Water Staffing: 37 plus 0.50 FTE $19,761,459 Water Production and Distribution Water Quality Monitoring Regulatory Compliance Water Meter Reading Reclaimed Water Water Conservation Customer Service Requests Public Education Water Maintenance & Repair Underground Service Locating 2007 -08 2008 -09 2009 -10 2010 -11 Actual Actual Estimated Proposed Salaries and Benefits $ 5,799,685 $ 6,218,436 $ 5,791,225 $ 5,980,984 Maintenance and Operations $ 14,700,195 $ 15,394,546 $ 15,598,660 $ 18,866,501 Capital Outlays $ 47,905 $ 117,054 $ 43,955 $ 57,850 CIP $ 3,806,512 $ 2,005,782 $ 2,083,743 $ 3,947,052 Total Expenditures $ 24,354,297 $ 23,735,818 $ 23,517,583 $ 28,852,387 Charges for Services $ 20,712,675 $ 20,350,613 $ 17,567,211 $ 27,152,426 Intergovernmental $ - $ 22,588 $ - $ - Use of Money & Property $ 661,783 $ 510,682 $ 228,516 $ 135,626 Sales of Oil & Gas $ 2,677,309 $ 1,872,713 $ 1,838,336 $ 1,800,000 Other Revenue $ (976,651) $ 17,525 $ 172,793 $ 45,000 Transfer (To) From Reserves $ 1,279,182 $ 961,698 $ 3,710,727 $ (280,665) Total Revenue $ 24,354,297 $ 23,735,818 $ 23,517,583 $ 28,852,387 89 "To serve as the cultural, educational, and informational heart of the City through the Central Library and branch libraries." Library Service is the Newport Beach community's mostvaluable resource for educational, informational, and cultural enrichment. Under the direction of the Board of Library Trustees, the Central Library and its three branches, Balboa, Corona del Mar and the Donna & John Crean Mariners Branch, offer a diverse range of materials, information and special programs for every age group in our community. The Library connects with over a million customers during the 3,550 hours that the doors are open each year. We also have resources available to our customers online 24/7. Library Services and Cultural Arts are supported by many volunteers including The Board of Library Trustees, Newport Beach Public Library Foundation, Friends of the Newport Beach Public Library, Newport Beach Library Literacy Board, City Arts Commission, Sister City Association, and City Arts Foundation. Provide current information that meets the varying needs of the Community through print, media and online resources. Deliver quality service to customers by providing accurate answers, quick responses and assistance. Create an inviting and educational experience for the children and teens. Have a commitment to Branch Libraries to meet the specific needs of their neighborhood. Plan programming for audiences of all ages. Provide Literacy Services. Support Arts and Cultural events and programming. HSI TOTAL $6,472,808 41 Positions, plus 26.48 FTE Administration Staffing: 7 plus 2.99 FTE $1,730,063 Support of the Library Board Trustees, the Friends of the Library and Library Foundation Provide support in the areas of personnel, recordkeeping and marketing Facilities maintenance Financial monitoring and budgeting Information Systems Staffing: 1 $357,021 Maintain the Library's 230 computers and associated software Operate the Library automated system which Is associated with the circulation, purchasing, processing of materials as well as how they display in the public catalog Maintain the Library network including internet access, WIFI access and customers' access to printing and copying Literacy Staffing: .40 FTE" $26,116 Provide tutoring for adult literacy learners Support the Library Literacy Board in raising funds and setting educational goals "The Literacy staff consists of part -time employees, one of which is totally funded through donations and grants. Public Service Staffing: 28 plus 23.09 FTE $3,839,640 Serve customers at the Central Library and Branches seven days a week Circulate over a million items each year from a large collection of books, magazines, movies and audio discs for all age groups Information staff is available to answer questions and assist customers in person, by phone and via email Provide technology training to customers Plan and host programs for children, teens and adults throughout the year Create and update the Library's website to keep it user- friendly and informative Collection Staffing: 4 $333,004 Purchase materials in various formats to meet the needs of the Community Technical Processing support to order, receive and label materials Arts & Cultural Services Staffing: 1 $186,964 Support the City Arts Commission and the Sister City Association Arrange exhibitions at the City Hall & Library Galleries and Juried Art Shows Administer Arts & Cultural Grants Plan and execute programs and cultural events 91 2007 -08 2008 -09 2009 -10 Actual Actual Estimated 2010 -11 Proposed Salaries and Benefits $ 4,232,364 $ 4,662,245 $ 4,871,732 $ 4,854,805 Maintenance and Operations $ 1,505,524 $ 1,501,295 $ 1,383,665 $ 1,543,903 Capital Outlay $ 149,175 $ 133,974 $ 92,578 $ 74,100 Subtotal Expenditures $ 5,887,063 $ 6,297,514 $ 6,347,975 $ 6,472,808 Expenditures funded through donations* $ 543,768 $ 224,204 $ 175,566 $ - Total Expenditures $ 6,430,831 $ 6,521,718 $ 6,523,541 $ 6,472,808 *Community donations are used to enhance Library programs and services and are not considered when establishing the City's operating budget. 1�4 Pirates Day at Balboa Shakespeare in the Park Major Areas of Expenditures What's Cooking 0Y Software & Salaries & Library Equipment Benefits Materials Facilities Maintenance 2009 -10 $ 4,954,035 $ 639,740 $ 452,029 $ 246,094 2010 -11 $ 4,854,805 1 $ 619,740 $ 442,020 $ 246,094 0Y CDA4 Library's 50th Anniversary Imagination Celebration 2009 Service Indicators Circulation Customers Served in the Library Reference Questions Asked Program Attendance 2007 -2008 2008 -2009 2009 -2010 2010 -2011 Actual Actual Estimated Projected 1,701,476 1,575,518 1,694,145 1,738,027 1,239,790 1,200, 664 1,213, 294 1,225,426 178,028 181,315 211,983 216,222 41,987 43,419 44,742 45,636 Arts and Cultural Services reach out to the citizens each year with programs and events such as: Concerts in the Park Imagination Celebration OC Juried Art Show Shakespeare in the Park Art Exhibits and Receptions Newport Beach Film Festival Arts and CulNral Information Systems Services ColleRion W blic Service Lderacy •Administradon Collection .Li ., Nblic Service 4nformadan Systems •Arts and Cuhral Services 93 "To enhance the quality of life by providing diverse opportunities in safe and well maintained facilities and parks. We pledge to respond to community needs by creating quality educational, recreational, cultural, and social programs for people of all ages." Provide well rounded recreational and social programs for the Newport Beach community that enriches the lives of our residents ranging from infants to the active retiree. • Participate in and support efforts for the design, development and programming of Sunset Ridge Park, Marina Park, OASIS Senior Center, Banning Ranch Community Park and City Hall in the Park. Recreation & Senior Services Divisions to work cooperatively to move staff, participants and programs into the new OASIS Senior Center and expand its offerings. • Seek partnerships and opportunities to enhance services while minimizing impacts to the General Fund. The Department consists of three divisions: Administration, Recreation, and Senior Services. Under the guidance of the Department Director, and leadership of the Parks, Beaches & Recreation Commission, the Department is responsible for the creation, coordination, and implementation of recreational and social opportunities that serve a population ranging from infants to those in their advanced years. In addition, the Department oversees the use of 66 parks and facilities. The backbone of the Department's success is the numerous part -time staff out in the field serving the community as well as the numerous volunteers who join us on a daily basis to fulfill our mission. Their assistance to the full -time staff creates a solid foundation of a talented, skilled, and service oriented team. Recreation Services The Recreation Division offers a wide variety of programs for tots, youth, and adults. These programs include year -round sports leagues, seasonal swim lessons, and many lifelong learning and fitness classes. Over 150 contractors provide class instruction offered through the Newport Navigator quarterly brochure. In addition, 40 contractors work as officials, referees and scorekeepers for City adult sports leagues. Trained staff work in the swim program, preschool and after - school programs, youth recreational sports programs, and summer day camps. M1 The Division is staffed with nine full -time recreation professionals and up to 50 part -time staff such as recreation leaders, recreation clerks, lifeguards and swim instructors. The Division also includes four full - time field and building maintenance workers, two full -time department assistants, one full -time and three part -time Park Patrol officers. City operated youth sports programs attract over 1000 children annually. The Division also works closely with Youth Sport Organization Members such as youth soccer and baseball to serve over 6000 youth annually. The Division sponsored annual special events include a Surf Contest, CdM Scenic 5K, Winter Wonderland, Special Olympics, Rose Parade Excursion, Spring Egg Hunt, and the Independence Day Parade and Picnic. Picnic areas, fields, and meeting rooms are available for reservation with staff processing over 1000 requests each year. There are over 30 playgrounds throughout the City for children ages 2 -12 years of age. In the coming year this Division will continue to maintain the park site playground equipment, in addition to play surfaces, backstops and courts. The Division is also responsible for the maintenance of nine community facilities and coordinates Special Event Permits by processing 200 permits per year for large and small scale events. Coastal Peak Park was opened to the public fall 2009 and is now serving the community as well as various youth sports groups. The park is a beautiful addition to our park system and has been well received by the community with its many amenities. The Recreation Division also works closely with various community partners to provide facilities and programming to the community. Some of our partners include: The Boys & Girls Club, Lawn Bowling Association, Newport Aquatic Center, Newport Theatre Arts Center, Girl Scouts and the Newport- Mesa Unified School District. Recreation Services Goals Continue to raise the quality of customer service, instruction and safety in programs through the management of Benchmarking processes. Raise the level of service expectations in contracted officials and instructors through audits and trainings. Continue and expand Autism training and programming in partnership with the Newport -Mesa Unified School District. Complete renovation of Carroll Beek Community Center and NCCC audio visual and lighting projects. 95 Senior Services The Senior Services Division is responsible for the operation of the OASIS Senior Center as well as numerous human service activities that reach out to the senior population. The goal of this Division is to provide older adults with activities and Services that enrich their lives, prevent isolation, and provide them with a purpose in life. The Division also provides a variety of services which enhance the lives of seniors creating positive and successful aging experiences. It accomplishes this by providing programs and activities which address older adults' evolving needs. Staff stays current on programming activities that are most helpful to the senior population by assessing needs and welcoming senior participation in program ideas. The Senior Services Division has been successful at meeting the challenge of the ever - changing needs of older adults and has developed activities that are intellectually stimulating and physically active. The OASIS staff maintains relationships with many community organizations in order to enhance and expand the services provided to the community, which include: Age Well, OC Department of Health, Coastline Community College, University of California at Irvine, Hoag Memorial Hospital Presbyterian, Braille Institute, Health Insurance Counseling and Advocacy Program, and the Orange County Transit Authority. This coming year the Division will focus on re- opening the newly constructed OASIS Senior Center and training staff and volunteers on the use of the new Center. Staff will be busy planning and preparing for the programming, staffing, and implementation of policies that will be used in the new facility. The new Center will have an additional 12,000 square feet and will include a Fitness Center, a large event center, a family room area, an informal library space, teaching lab with computers, an art center, 58 garden plots and additional parking spaces. The challenge during this fiscal year will be to make a smooth transition back into the Center and to prepare staff for the many new customers that the facility will attract and the new request for programs and services. 2007 -08 2008 -09 2009 -10 Actual Actual Estimated Salaries and Benefits $ 3,049,947 $ Maintenance and Operations $ 3,050,776 $ Capital Outlay $ 121,328 $ Total Expenditures $ 6,222,051 $ 2010 -11 Proposed 3,555,036 $ 3,755,790 $ 4,226,373 3,103,217 $ 2,734,842 $ 3,337,848 101.992 $ 50.515 $ 26.450 General Tax Revenue $ 3,055,913 $ 3,327,283 $ 2,018,516 $ 3,843,599 Fees for Services $ 2,634,267 $ 2,995,890 $ 3,987,879 $ 3,138,990 Other Miscellaneous Revenue $ 531,871 $ 437,072 $ 534,752 $ 608,082 Total Revenue $ 6,222,051 $ 6,760,245 $ 6,541,147 $ 7,590,671 011 Senior Services Goals Provide for a smooth transition back into the new Center. Plan for programming and staffing needs for the new facility. Effectively communicate the re -entry process to senior customers. Plan and implement a Grand Opening Event. Effective implementation and operation of the new Fitness Center. Develop new contracts forjanitorial, security and maintenance inspections services. Administration Staffing: 3 plus .5 FTE $643,097 Front Office and Public Counter Services Fiscal Services Web Site and Online Registration Parks, Beaches & Recreation Commission Support Recreation Services Staffing: 15 plus 27.13 FTE $5,318,848 Youth Programs /Sports Aquatic Programs Adult Sports Special Events City Youth Council Playground /Park Development Special Event Permits Youth Sports Commission Field /Facility Maintenance Facility Management /Reservations Contract Classes Marketing and PR Park Patrol Newport Coast Community Center Service Indicators Recreation Services Special Event Permits Facility Rentals Program Attendance Co- Sponsored Youth Programs Sentor Services Programs /Classes Human Services Transportation Services Senior Services Staffing: 11 plus 5.74 FTE $1,628,726 Recreational Programs Educational Classes Congregate and Home Delivered Meals Transportation Program Outreach Services Family Support Special Events Information and Referral Facility Management /Reservations TOTAL $7,590,671 29 Positions, plus 33.37 FTE Performance Revi 2007 -2008 2008 -2009 2009 -2010 2010 -2011 Actual Actual Estimated Projected 248 248 150 200 967 1,444 1,450 1,500 309,385 329,501 320,000 330,000 318,779 318,000 320,000 320,000 77,003 72,672 77,508 801000 20,731 23,225 26,712 27,000 15.279 16,035 15,458 16,000 97 O'�s4mhh, � • LjFpRN The City continues to provide for the financing of certain functions through the use of Internal Service Funds (ISF). The purpose of these funds is to facilitate the management of some types of expenditures on a centralized, as opposed to decentralized (by department) basis, without losing the visibility of each Department's share of the overall cost. Each Department has been required to budget for the cost of these functions at a pre- determined rate, as opposed to attempting to project actual costs at the Department level, which would be required if there was no ISF mechanism. Funds are then collected from each Department at the pre- determined rate by the Internal Service Fund during the course of the year. All actual expenditures for the function in question (for the City as a whole) are then made from the Internal Service Fund. The City has established four Internal Service Funds — Insurance Reserve Fund, Retiree Medical Insurance Fund, Compensated Absences Fund, and Equipment Maintenance and Replacement Fund. Insurance Reserve Fund. The Insurance Reserve Fund is used to payall Workers' Compensation and General Liability expenses of the City. This includes insurance premiums, consultant fees, medical expenses, contract attorney costs, payments for judgments and settlements, and all other expenses connected with this function. The amounts paid into this Fund by the individual Departments vary. Each Department's budget base for Liability expenses was established by examining a ten -year history of claims and determining each Department's appropriate share, based on the nature of the claims themselves. That share was then used to establish each Department's percentage of the funding being set aside in the Insurance Reserve Fund for anticipated Liability expenses this year, and to address at least part of any reserve deficiencies. This year's contribution by departments, which constitutes revenue to the ISF, is projected to be $3,140,068. This should constitute sufficient resources to fund short term expenditures and accumulate resources to pay long -term claims. Each Department's share of the City's anticipated Workers' Compensation expenses was determined by an analysis of claims history by labor class in Newport Beach as compared to the same information for the State as a whole. Based on this data, appropriate rates were established for each labor class in the City. These rates were then used to determine the budget base needed in each Department to accumulate the total anticipated Insurance Reserve Fund requirement to pay all Workers' Compensation claims and related expenses for this budget year (approximately $2,623,400). Similar to the situation with Liability, there is an accumulated deficit for Workers' Compensation. Therefore $2,769,262, or a projected excess of $145,862 is being collected to cover the deficit. Retiree Medical Insurance Fund. In January 2006, the City has implemented a new defined contribution Retiree Medical Insurance Fund instead of the priordefined benefit program which will ultimately reduce the City's long -term liability for this program. The transition to the new program will take an estimated twenty years or more to fully implement, but our operating expenses will eventually be capped as we will only need to fund contributions for current employees and the City's unfunded liability will be zero. The contribution amount is based on a formula currently provided for in the Memorandum of Understanding between the City and the employees. This year, the City's cost for contributions for eligible full -time employees is projected to be $710,015. WO Compensated Absences Fund. Departmental payments into the Compensated Absences Internal Service Fund are based on a percentage of salary. That percentage is set at a level which will accumulate a sufficient monetary base within the fund to accommodate current year expenses. This year's contribution level is 3.5% of salary resulting in a budgeted amount of $2,420,702. Any amounts collected in excess of the annual expense, reduce the long -term unfunded liability in this fund. Equipment Maintenance and Replacement Fund. The Equipment Maintenance and Replacement Fund is used to provide funding for the maintenance of almost all of the City's fleet of Rolling Equipment, and to accumulate funds for the eventual replacement of that equipment. Based on the City's maintenance experience, anticipated equipment life span, and projected replacement costs, rates were established for each class and type of equipment. These rates function much like vehicle rental rates from the perspective of the using Departments. Funds for replacement and for maintenance remain segregated. Maintenance funds are used to fully fund the General Services Equipment Maintenance Division, including the Auto Parts Warehouse, and certain other General Services Department overhead expenses which are directly attributable to rolling equipment maintenance, but are contained in the budgets of other divisions. Each Department Budget unit's share of this cost, based on the equipment it has in service, is contained on line 8022 of the respective M &O budget sheets. The Police Department has their own equipment replacement and maintenance program including a Police Fleet Maintenance Division. Recommendations for rolling stock replacement are made by each Department to the City Manager through the General Services Director. The City Manager then includes his final recommendation for Equipment Replacement action to the City Council as part of the annual budget submission. Money accumulated in the Equipment Replacement portion of this Fund can only be used for equipment replacement unless specifically reprogrammed by the City Manager. Each Department Budget unit's "contributions" to this fund, based on the equipment it has in service, can be found on line 8024 of the respective M &O budget sheets. For Fiscal Year 2010 -2011, City expenditures from Internal Service Funds are projected as follows: Includes legal services, insurance premiums, contract administration, claims & settlements, and payments to providers of medical service. Compensated Workers' Absences Equipment Compensation* 10% Maintenance 17% 13% Equipment Replacement 6% Retiree Medical General Liability* Insurance* 16% 38% Includes legal services, insurance premiums, contract administration, claims & settlements, and payments to providers of medical service. Most of the City budget is dedicated to a one -year operating plan for each department. However, certain budgetary components do not fit within this definition. Capital Improvement Projects (CIP) and debt service expenditures benefit more than one operating period. Since CIPs may have significant useful lives, expenditures are deemed to benefit both the current and future operating periods while debt service expenditures are deemed to benefit current, future, and past operating periods. An entire section of the budget document is dedicated to CIP expenditures; however Debt Service expenditures can be adequately covered within this section. Some proposed expenditures in the budget only benefit the current operating period but do not readily fit within the operating plan of any one department and /or its funding source cannot be relied upon to fund routine department operations. For lack of a more descriptive term, we often refer to non - departmental expenditures of this nature as other activities. Debt Service Expenditures Since the City does not issue debt instruments to finance operating activities, Debt Service Expenditures are the result of capital financing ventures. There are two principal reasons why debt instruments are issued. The first circumstance is when the cash flow for the construction or purchase of a long -term asset would cause a significant strain on the City's cash flow and the asset to be financed will benefit many service periods. In no instance would the City select the duration of a given debt instrument to extend beyond the expected life of the asset financed. The second scenario arises when an asset to be purchased may not cause a significant cash flow strain but it would be economically advantageous to finance the asset rather than to purchase it outright (e.g. occasionally the City can borrow money at a lower rate than its investment portfolio is earning). Library Certificates of Participation (COPS) In 1992 the City issued $7.5 million in COPs to finance the construction of the Central Library. The issue was subsequently refinanced in 1998 to reduce total debt service payments that resulted in an economic gain of $495,745. The Refunded Certificates Principal payments range from $245,000 to $535,000 from June 1, 2000 through June 1, 2019, at an interest rate ranging from 3.60 percent to 5.15 percent and are serviced by the General Fund. The Certificates outstanding at June 30, 2010, amounted to $3,990,000. Boating and Waterways Loan The City also has a loan from the California Department of Boating and Waterways forthe purchase and rehabilitation of the Balboa Yacht Basin. The original loan in 1987 was for $3,300,000. This loan is payable in thirty annual installments of $237,062 at a 4.50 percent rate of interest, which began on August 1, 1987. The outstanding balance at June 30, 2010, amounted to $932,934. The loan is funded entirely by Tide and Submerged Lands Fund revenue sources. 102 Office Equipment Leases The City occasionally enters into lease- purchase agreements to finance the acquisition of copiers, computers, telecommunications or other office equipment and upgrades. The terms of the leases normally range from three to five years and are typically payable monthly. Currently there are no outstanding leases of this nature. Debt of this nature is serviced by whichever fund derives the benefit of the equipment. In most circumstances the General Fund enjoys the benefit of office equipment purchases of this type and would therefore service this debt. Rolling Stock Leases Most City vehicle purchases do present a cash flow challenge and are therefore purchased outright except when financially advantageous conditions exist. However, the City does own and operate some rolling stock including fire engines, ladder trucks, vactor trucks and other heavy equipment that can be several hundred thousand dollars per vehicle. These items are periodically financed through lease- purchase agreements, but at this time we have no lease - purchase agreements. Newport Coast Special Assessment District Relief Because the Newport Coast area was not incorporated into the City limits when much of the public improvements that serve this area were constructed, the improvements were financed by private property special assessments. Had the Newport Coast area been incorporated within the City limits at the time the improvements were constructed, the City would have likely participated in funding much of the public improvements. Before this area was officially annexed into the City limits, the City entered into a pre- annexation agreement with the Newport Coast Committee of 2000 where the City agreed to reimburse residents and thereby reduce the cost of certain private property special assessments. As a part of the pre - annexation agreement, the Irvine Ranch Water District (IRWD) transferred $25 million to the City in exchange for the right to continue to provide water utility service to this area. With this $25 million from IRWD, the City dedicated $7 million toward the construction of the Newport Coast Community Center which opened in 2007 and will reduce the special assessment levies by $1.2 million a year for 15 years. At June 30, 2010, $8,400,000 was outstanding. Community Development Block Grant (CDBG) Loan The CDBG program is a federal revenue source that is restricted to programs and projects that benefit low and moderate income areas. In August of 2002, the City was granted a $2.4 million loan that is secured and will be repaid by future block grant allocations to partially finance the Balboa Village improvements. Commonly known as a "Section 108 Loan," this loan will be repaid over 20 years in $215,000 installments. As of June 30, 2010, the outstanding balance of this loan was $1,883,000. 1101 Debt Service Estimates FY 2010 -11 We anticipate the issuance of a $130 million bond this fall to finance the new Civic Center and therefore have included that in our revenue projections. Once Council has approved the bond and it is issued, we'll be able to update our debt service estimates. Other Activities Asset Forfeiture Funds Funds derived from the City's participatory share of State and Federal assets seizures are accounted for separately from other funds due to special restrictions placed on the use of these proceeds. These funds can only be used to supplement but not subsidize law enforcement activities. Therefore, this funding source is not used to fund regular departmental operations. Office of Traffic Safety DUI Grant (OTS) The City received a grant award from the Office of Traffic Safety to provide federal funding for the DUI Enforcement and Awareness Program. This program provides funds to be used for DUI checkpoints, saturation patrols, court stings and warrant service operations. The grant stipulates that these funds are to be segregated from departmental operations. Supplemental Law Enforcement Service Fund (SLESF) State Assembly Bill 3229 provides funds to the City to be used exclusively for front line law enforcement services. The Bill stipulates that SLES funds are to be segregated and used to increase policing efforts and not be used to supplement departmental operations. Air Quality Management District Funds (AQMD) State Assembly Bill 2766 provides cities with a modest annual budget to encourage the reduction of air emissions. The City uses its AQMD funds to support the employee rideshare program and to subsidize the cost of the electric vehicles used to supply City services. 11101 2011 Yearot Original Balance Balance Total Principal Final Issuance 0110112010 Additions Deletions 0613012011 Payments Interest Paid to Date Payment Balboa Parking Lot Loan (608 E. Balboa) 1,500,000 1,500000 (150,000) 150,000 780A00 30,000 150,000 2012 Balboa Manna Loan 3,451,930 932,934 (195,080) 131,854 231,062 41,982 2,720,016 2016 Pre Annexation Agreement 15,00,000 8,400,000 - (1,200,000) 1,200;000 1,200,000 - 10,800,000 2011 Refunding Library COP 1,330,000 3,990,000 - (360,000) 3,630,000 563.025 203,025 3,100,000 2019 Section 108 Loan 2400,000 1,883.000 (95,000) 1,1138,000 199345 104,345 612,000 2024 Total Debt Service 32,681,930 16,105,934 (2,600,080) 14,105,854 2,919,432 319,352 18,582,016 We anticipate the issuance of a $130 million bond this fall to finance the new Civic Center and therefore have included that in our revenue projections. Once Council has approved the bond and it is issued, we'll be able to update our debt service estimates. Other Activities Asset Forfeiture Funds Funds derived from the City's participatory share of State and Federal assets seizures are accounted for separately from other funds due to special restrictions placed on the use of these proceeds. These funds can only be used to supplement but not subsidize law enforcement activities. Therefore, this funding source is not used to fund regular departmental operations. Office of Traffic Safety DUI Grant (OTS) The City received a grant award from the Office of Traffic Safety to provide federal funding for the DUI Enforcement and Awareness Program. This program provides funds to be used for DUI checkpoints, saturation patrols, court stings and warrant service operations. The grant stipulates that these funds are to be segregated from departmental operations. Supplemental Law Enforcement Service Fund (SLESF) State Assembly Bill 3229 provides funds to the City to be used exclusively for front line law enforcement services. The Bill stipulates that SLES funds are to be segregated and used to increase policing efforts and not be used to supplement departmental operations. Air Quality Management District Funds (AQMD) State Assembly Bill 2766 provides cities with a modest annual budget to encourage the reduction of air emissions. The City uses its AQMD funds to support the employee rideshare program and to subsidize the cost of the electric vehicles used to supply City services. 11101 Ackerman Donation The Ackerman Fund is a permanent endowment for which the interest earned is to be used to purchase high tech library equipment and to fund a City administered scholarship program. The fund was created when the Carl Ackerman Family Trust donated some commercial property to the City in 1992. At that time the property was subject to a 15 -year lease. The lease proceeds were split with the City receiving 40 percent and the University of California, Irvine Foundation receiving 60 percent. Included in the lease was an option for the lessee to purchase the property. In August 2003, the lessee exercised the option to purchase in the amount of $1,940,000. The sale proceeds were subject to the same City /Foundation split and the City's lump sum payment was the basis for the permanent endowment. Environmental Liability Fund As part of the City's franchise agreements with commercial solid waste haulers, the City collects 5.50 percent of their gross receipts that are set aside to defray the cost of any legal or environmental costs that might arise connected with the collecting, hauling and dumping of waste originating within the City. These funds are used to provide the City with environmental liability insurance and to conduct waste related environmental assessments. 105 The City of Newport Beach Capital Improvement Program (CIP) serves as a plan for the provision of public improvements, special projects, ongoing maintenance programs, and the implementation of the City's master plans. Projects in the CIP include improvements and major maintenance on arterial highways, local streets and alleys; storm drain and water quality improvements; bay, pier and beach improvements; park and facility improvements; water and wastewater system improvements; transportation safety and traffic signal improvements; and planning programs and studies. The adopted FY 2010 -11 CIP consists of 64 projects representing nearly $24 million in new appropriations and more than $29 million in rebudgeted funds for a total CIP budget of $52,916,798. Major funding initiatives include Rhine Channel Dredging, Big Canyon Restoration, Bridge Seismic Retrofit Construction, Jamboree Road Bridge Widening and Jamboree Road Improvements at Bristol and Fairchild. Significant work continues this fiscal year on major facilities projects such as the Civic Center and Park, Marina Park and Sunset Ridge Park. Miscellaneous Wastewater $1.9, 3.5% $.8, 1.6% Facilities Water $1.7, 3.1% $2.3, 4.4% Water Quality and Environmental Streets and $2.9, 5.4% Drainage $23.5, 44.5% Parks, Harbors and Beaches $18.2, 34.5% Traffic $1.6, 3.0% dollars in millions CIP Budget by Category FY 2010 -11 (Includes rebudgets) Given the current fiscal climate, the development of the proposed CIP was limited to meeting Council priorities and master plan requirements. As a result, the adopted FY 2010 -11 CIP represents a 12.9 percent decrease in total funding compared to the adopted FY 2009 -10 CIP. Essential projects were prioritized and summarized by available funds and presented to the City Council for consideration. Funding of capital projects is derived from multiple funding sources. Also, projects are organized by primary function or benefit into one of the following categories: Facilities; Streets and Drainage; Traffic; Parks, Harbors and Beaches; Water Quality and Environmental; Water; Wastewater; and Miscellaneous, as shown in the chart above. 1111: Highlights of the adopted CIP budget for FY 2010 -11 are presented by category as follows: Facilities Projects organized under Facilities include construction, rehabilitation and repair of City buildings and facilities. Major projects within this category approximate $1.7 million and include: Design and environmental for new Civic Center ($1,000,000) Incidental construction related expenses and furniture, fixtures and equipment (FF &E) for the OASIS Senior Center ($568,350) Repairs and improvements to Caroll Beek Community Center and the Police Facility ($95,000) Streets and Drainage Projects organized under Streets and Drainage include construction, rehabilitation and repair of City roads, alleys, medians, bridges, sidewalks, streetlights, slopes and tide structures. Projects within this category exceed $23.5 million and major highlights include: Street and alley construction and rehabilitation, including Central Balboa Peninsula Rehabilitation, Harbor Hills — Newport Heights Pavement Rehabilitation, Dover Drive, Westcliff Drive, Avon Street, Tustin Avenue, Ocean View Avenue, Irvine Avenue Realignment — University Drive to Bristol Street, Jamboree Road Improvements — Bristol /Fairchild, Lido Isle Street Rehabilitation, Ocean Front Alley Replacement, Peninsula Point Alley Replacement and Grade Adjustments for Utility Structures ($10,548,806) Bridge improvements ($8,372,790) Streetlighting ($1,947,500) Drainage and tide structures ($1,101,554) Slurry seal projects ($730,000) Sidewalk improvements ($556,000) Median and landscape improvements ($218,800) Traffic Projects organized under Traffic include traffic signal system maintenance and improvements, neighborhood traffic management, pedestrian improvements and signage. Projects within this category exceed $1.5 million and major highlights include: Traffic signal modernization ($980,000) Traffic signal rehabilitation ($225,000) Parking lot construction ($260,000) Transportation modeling and planning ($45,000) Median renovation ($71,494) 107 Parks, Harbors and Beaches Projects organized under Parks, Harbors and Beaches include improvements or repairs to the City's parks, harbors, docks, wharfs, piers and beaches. Projects within this category exceed $18.2 million and major highlights include: Park improvements, including Sunset Ridge Park, Marina Park, Eastbluff Park playground equipment, and San Miguel Park Staircase Repair ($13,199,200) Harbor improvements, including Rhine Channel Dredging, Lower Harbor Dredging and Newport Harbor dredging permit ($4,447,500) Beach improvements, including Ocean Pier Evaluation and Maintenance ($600,000) Water Quality and Environmental Projects organized under Water Quality and Environmental include studies, improvements and programs that benefit the City's natural resources. Projects within this category approximate $2.9 million and major highlights include: Big Canyon Wash Restoration ($1,575,000) Buck Gully Canyon stabilization and flood control project ($1,034,900) Runoff reduction and irrigation improvements ($273,100) Water and Wastewater Projects organized under Water and Wastewater are funded from respective service charges and are used for the rehabilitation and expansion of these services. Projects within these categories approximate $3.2 million and major highlights include: Water transmission and main improvements ($2,325,000) Sewer main improvements ($425,000) Sewer pipeline improvements and master planning ($440,000) Miscellaneous Projects organized under Miscellaneous are ones that do not fit into any other category and include capital purchases and special projects. Projects within these categories exceed $1.8 million and highlights include: Santa Ana Heights utility undergrounding ($1,230,000) Capital purchases and repairs ($476,700) CIP project management ($170,000) QIS? Conclusion The City continues to undertake an ambitious and wide - ranging capital improvement program. The projects, both significant and diverse, will serve all areas of the City. It is the City's policy to appro- priate sufficient funds for all projects scheduled during the coming budget year. Many of the projects require multiple year terms to complete them. In such cases, only the current phase identified to be completed during FY 2010 -11 is budgeted and appropriated. Subsequent phases of a project and projects requiring more time or funding are reconsidered at the appropriate time. Our project delivery team of engineers, support staff and consultants are tasked with managing more complex workloads while maintaining high quality standards. Creative project management solutions and alternative delivery methods continue to play a key role in our future success. Schedule Updated project information is available online through the internet. Real -time information on capital projects, such as schedules, budget and contacts, can be searched by location (map format) or by title (log format.) Projects are filtered by phase including planning, design, construction, completion. Information on projects being done within the City's limits by other public agencies is also included on the City's construction map. To access the Public Works construction map, go to www.newportbeachca. gov /publicworks. 1I#B7 O'�s4mhh, � • LjFpRN TIDE & SUBMERGED LAND FUND Fiscal Year 2010 -11 Estimated Funds Available Estimated Beginning Fund Balance $0 Estimated Revenue for 2010 -2011 - All Sources $10,945,362 Total Funds Available Estimated Chargeable Expenditures Administrative Services $87,193 Code & Water Quality Enforcement $400,323 Fire 12,878,360 General Services 2,700,311 Police 7,879,843 Public Works 559,234 Harbor Resources - Tidelands 1,514,825 Harbor Resources - Parking Operations 409,979 Utilities - Oil & Gas 793,720 Capital Projects 5,642,538 Debt Services Expenditures 237,062 Total of All Proposed Expenditures Estimated Ending Fund Balance Although these expenditures are considered Tideland expenditures, they are accounted for in the General Fund. The amounts are calculated based on the 1995 -96 Fee Study prepared by KPMG. A new fee study is currently underway. 112 $10,945,362 $33,103,388 ($22,158,026) CAPITAL ASSET SCHEDULE as of June 30, 2009 Year of Historical Description Acquisition Cost Administration and Services City Hall Complex 1930 $2,347,623 Corporate Yard - General Services 1955 $6,131,259 Safety 1906 $223,225 Fire Station #1 - Balboa 1962 $81,615 Fire Station #2 - Headquarters 1966 $94,419 Fire Station #3 - Fashion Island 1971 $888,366 Fire Station #4 - Balboa Island 1994 $1,420,602 Fire Station #5 - Corona del Mar 1950 $237,135 Fire Station #6 - Irvine Avenue 1957 $376,073 Fire Station #7 - Santa Ana Heights 2005 $11,872,633 Fire Station #8 - Newport Coast 2002 $1,816,350 Lifeguard Headquarters 1989 $556,483 Police Station 1973 $3,626,878 Libraries Balboa 1906 $223,225 Central 1992 $15,399,655 Corona del Mar 1958 $240,465 Mariners 1957 $6,845,355 Harbors, Beaches, and Recreation 15th Street Restrooms 1956 $532,415 19th Street Restrooms 1940 $2,000 38th Street Park 1925 $212,988 Arroyo Park 2003 $17,578,871 Back Bay View Park 2006 $2,650,000 Bayview Landing Open Space 2008 $1,989,330 Beach and Harbor Right of Way various $52,705,580 Balboa Community Center 1956 $131,581 Balboa Island Park 1973 $162,397 Balboa Beach - Parking Lots and Booth 1986 $1,619,492 Balboa Pier 1940 $3,754,163 Balboa Pier - Concession 1982 n/a Balboa Pier Restroom 1957 $245,489 Balboa Theater 1998 $480,000 Balboa Yacht Basin - Apartments /Garages /Parking 1960 $150,110 Balboa Yacht Basin - Galley Cafe 1988 $44,000 Balboa Yacht Basin - Headquarters /Restrooms 1984 $158,746 Balboa Yacht Basin - Land 1930 $1,276,308 Leasehold improvements made by Lessee not valued 113 CAPITAL ASSET SCHEDULE as of June 30, 2009 (cont.) Year of Description Acquisition Historical Cost Balboa Yacht Basin - Piers and Docks 1984 $3,079,395 Bayside Park 1926 $490,865 Bayview Park 1985 $3,917,422 Begonia Park 1926 $373,609 Big Canyon - Land 1959 $9,696,650 Big Canyon Fire Training Facility 2008 $917,488 Bob Henry Park 1997 $4,480,305 Bolsa Park 1994 $99,474 Bonita Canyon Sports Park 2002 $3,726,351 Bonita Creek Park 2002 $7,071,802 Boy Scout House 1960 $2,000 Boys and Girls Club 1971 n/a ' Buck Gully Restrooms 1956 $13,442 Buffalo Hills Park 1970 $4,371,663 Bulkheads various $2,357,628 Canyon & Harbor Watch Park 2006 $850,000 Castaways Park 1997 $803,052 CDM Beach - Concession 1970 $30,994 CDM Beach - Parking Lot and Booth 1957 $5,574,889 CDM Beach - Recreation 2003 $180,896 CDM Beach - Restrooms 1956 $54,883 Channel Place Park 1958 $504,202 Cliff Drive Park 1917 $1,186,603 Cliff Drive View Park 1975 $147,668 Eastbluff Park 1965 $557,822 Ensign Park 1973 $804,466 Ferry Landing Restrooms 1962 $28,917 Galaxy Park 1962 $255,697 Gateway Park 1999 $1,014,620 Girl Scout House 1956 $24,665 Grant Howald Park 1964 $362,271 Grant Howald Park - Community Youth Center 1988 $867,529 Harbor View Nature Park 1974 $4,167,542 Inspiration Point 1953 $16,000 Irvine Terrace Park 1960 $1,703,456 Jasmine Creek Park 1959 $48,961 Kings Road Park 1974 $210,482 L Street Park 1924 $41,948 Las Arenas Park 1956 $133,438 Lido Park 1973 $94,219 Leasehold improvements made by Lessee not valued 114 CAPITAL ASSET SCHEDULE as of June 30, 2009 (cont.) Year of Description Acquisition Historical Cost Lookout Point 1953 $16,000 Los Trancos Canyon View Park 2006 $1,280,000 Marine Education Facility 2003 $511,687 M Street Park 1930 $12,763 Mariners Park 1957 $3,375,819 Newport Aquatic Center 1987 n/a " Newport Coast Community Center 2006 $15,324,797 Newport Island Park 1938 $142,023 Newport Pier 1940 $3,570,564 Newport Pier - Concession 1990 n/a Newport Pier - Restrooms 1989 $305,188 Newport Shores Park 1906 $57,258 Newport Theater Arts 1973 $359,002 Newport Village Park 2006 $2,290,000 Oasis Senior Center 1975 $2,022,104 Ocean Front Parking Lot 1919 $302,258 Old School Park 1917 $24,829 Peninsula Park 1929 $651,343 Rhine Wharf Park 1974 $52,620 San Joaquin Hills Park 1965 $1,162,974 San Miguel Park 1983 $2,796,293 Spyglass Hill Park 1970 $499,239 Spyglass Reservoir Park 1970 $312,377 Sunset Park 1970 $311,435 Sunset Ridge Park 2006 $5,175,000 Veterans Park 1994 $52,795 Washington Street Restrooms 1935 $320,945 West Jetty View Park 1917 $8,276 West Newport Community Center 1988 $1,200,000 West Newport Park 1972 $5,664,403 Westcliff Park 1962 $729,952 Other 26th Street Parking Lot 1965 $85,848 30th Street Parking Lot 1987 $1,039,429 Avocado & San Miguel Parcel 2009 $440,000 Balboa Bay Club - Land 1918 $1,049,252 Bayside and Marguerite Parking Lot 1950 $83,494 Beacon Bay - Land 1919 $750,103 Leasehold improvements made by Lessee not valued 115 CAPITAL ASSET SCHEDULE various $1,804,670,718 as of June 30, 2009 (cont.) various $55,844,643 Year of Historical Description Acquisition Cost Buck Gully 2006 $16,180,000 Cannery Village Parking Lot 1989 $1,146,634 John Wayne Gulch 2006 $3,920,000 Lower Castaways Parcel 2009 $7,960,000 Mariners Mile Parking Lot 1976 $642,081 Palm Street Parking Lot 1906 $55,721 Vacant Land behind Central Library 1992 $6,448,622 Equipment Wells 1996 Rolling Equipment various $22,601,680 Other Equipment various $5,069,349 Infrastructure Road System various $1,804,670,718 Storm Drain System various $55,844,643 Bicycle Paths various $42,975,504 Oil Wells various $1,145,490 Walls various $2,297,790 Water System Utility Yard 1987 $2,222,243 Water Reducers various $82,094 Water Meters various $1,184,301 Water Lines /Mains various $70,772,340 Fire Hydrants various $439,882 Reservoirs: Big Canyon 1959 $24,086,298 Spyglass 1972 $418,244 16th Street 1996 $3,800,000 Capitalized Interest 1995 $1,034,462 Pump Stations various $8,125,224 Wells 1996 $3,465,113 Equipment various $291,888 Sewer System Sewer Lines /Mains various $34,136,670 Pump Stations various $8,457,500 TOTAL $2,377,569,481 Leasehold improvements made by Lessee not valued 116 EQUIPMENT MAINTENANCE AND REPLACEMENT FUND Schedule of Rolling Equipment Replacement Police Department Motorcycles (2) Sedans (6) Truck (1) Station Wagon, 4x4 (2) Sub Total Fire Department Station Wagon, 4x4 Pickup Truck, 1/4 Ton 4x4 (3) Sub Total $ 48,000 $ 170,000 $ 36,000 $ 39,000 $ 78,000 $ 117,000 PUBLIC SAFETY TOTAL OTHER DEPARTMENTS TOTAL I110 ] /_\IFe1IAD]21 LTA.4I1�dNi•N114? Building Department Station Wagon, Intermediate 4x4 General Services Department Street Sweeper, Small $437,000 $77,000 514 000 $ 27,000 $ 50,000 117 ROLLING STOCK IN SERVICE Utilitv Enterprise` Passenger Cars Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Trucks 2008 -09 2008 -09 2009 -10 2009 -10 2010 -11 2011 Tractors and Graders Changes & Final Changes & Final Changes & Final General City Operations Adjustments Inventory Adjustments Inventory Adjustments Inventory Passenger Cars +2 58 -2 56 0 56 Jeeps 0 2 0 2 0 2 Trucks -2 107 -3 104 0 104 Fire Trucks 0 14 0 14 2 16 Loadpackers 0 25 -3 22 0 22 Street Sweepers 0 9 0 9 -4 5 Tractors and Graders 0 4 0 4 0 4 Backhoes and Loaders 0 6 0 6 0 6 Beach Cleaners 0 3 0 3 0 3 Trailers -4 35 0 35 0 35 Special Equipment 0 13 0 13 0 13 Total General City Operations -4 276 -8 268 -2 266 Police Department Passenger Cars 0 59 0 59 0 59 Trucks -1 19 0 19 0 19 Motorcycles 0 17 0 17 0 17 Trailers 0 1 0 1 0 1 Special Equipment 0 7 0 7 0 7 Total Police Department -1 103 0 103 0 103 Utilitv Enterprise` Passenger Cars 0 3 0 3 0 3 Trucks +1 48 0 48 0 48 Tractors and Graders 0 2 0 2 0 2 Backhoes and Loaders 0 6 0 6 0 6 Trailers 0 11 0 11 0 11 Special Equipment 0 17 0 17 0 17 Total Utility Enterprise 1 87 0 87 0 87 GRAND TOTAL -4 466 -8 458 -2 456 Includes vehicles in both the Water and Wastewater Sections 118 THREE -YEAR COMPARISON OF FULL -TIME AND FTE POSITIONS GENERAL CITY GOVERNMENT City Council City Clerk City Manager Human Resources City Attorney Administrative Services Total PUBLIC SAFETY Police Fire Total COMMUNITY DEVELOPMENT City Manager - Code Enforcement Planning Building Total PUBLIC WORKS Public Works Utilities - Electrical General Services Total COMMUNITY SERVICES Library Arts & Cultural Recreation Senior Services Recreation & Senior Services Admin Total GENERALFUND TIDELANDS FUND City Manager- Harbor Resources WATER ENTERPRISE FUND SEWER ENTERPRISE FUND EQUIPMENT FUND TOTALS 2008 -09 2009 -10 2010 -11 FTE FIT FTE FIT FTE 0.00 0.07 3.00 0.00 8.00 1.91 10.00 1.50 8.00 0.40 56.00 6.42 85.00 10.30 241.00 15.55 156.00 33.13 397.00 48.68 6.00 0.25 23.00 0.40 34.00 1.16 63.00 1.81 33.00 2.56 5.00 0.50 107.00 2.75 145.00 5.83 42.00 26.48 1.00 0.00 15.00 26.31 10.00 0.13 3.00 0.50 71.00 53.42 761.00 120.04 8.00 6.28 35.00 6.25 13.00 1.75 15.00 0.75 8.00 0.40 832.00 135.07 0.00 0.07 3.00 0.00 8.00 2.31 10.00 1.50 8.00 0.40 52.00 4.97 81.00 9.25 238.00 15.55 156.00 35.26 394.00 50.81 6.00 0.25 22.00 0.40 31.00 1.16 59.00 1.81 32.00 2.58 4.00 0.00 98.00 2.75 134.00 5.33 40.00 26.48 1.00 0.00 15.00 27.83 10.00 1.35 3.00 0.50 69.00 56.16 737.00 123.36 5.00 8.77 36.00 6.28 14.00 1.75 13.00 0.75 10.00 0.70 805.00 140.91 0.00 0.07 3.00 0.00 8.00 2.31 10.00 1.50 10.00 0.70 53.00 4.97 84.00 9.55 238.00 15.55 156.00 33.13 394.00 48.68 5.00 0.25 22.00 0.40 31.00 1.16 58.00 1.81 32.00 2.58 4.00 0.00 95.00 2.25 131.00 4.83 40.00 26.48 1.00 0.00 15.00 27.13 11.00 5.74 3.00 0.50 70.00 59.85 737.00 124.72 5.00 8.77 37.00 0.50 15.00 0.00 13.00 0.75 807.00 134.74 119 HISTORICAL CAPITAL PROJECTS SPENDING (dollars in thousands) 120 2004 -05 2005 -06 2006 -07 2007 -08 2008 -09 2009 -10 2010 -11 Actual Actual Actual Actual Actual Estimated Proiected General Fund Projects General Fund 5,790 6,505 5,369 9,776 5,910 6,758 5,054 Special Revenue CDBG 59 704 77 50 165 141 50 Gas Tax 1,476 2,231 1,065 1,362 1,866 471 3,908 Prop 1B - - - - 1,355 944 - Tidelands 887 942 1,092 854 2,846 1,068 5,643 Contributions 2,204 1,837 6,720 2,499 1,016 1,599 5,382 Circulation & Transportation 508 1,616 869 907 587 684 5,135 Building Excise Tax 170 297 252 152 183 56 50 Measure M 1,044 1,607 2,208 246 1,710 2,088 7,123 Bike & Trailways - - - - - - - AHRP Fund - 72 1,219 361 310 - - Cooperative Projects Environmental Liability - - - 613 67 - - Traffic Congestion Relief - 255 736 - 334 639 197 American Trader Oil Spill Remediation 54 802 101 - 10 - - Misc SAH Projects - 102 82 282 136 4,895 1,230 Facilities / Parks Newport Coast Community Center 375 850 6,032 113 - - - Mariners Library 1,785 4,219 311 86 - - - Fire Station #7 4,402 575 6,569 425 28 - - Civic Center 235 417 37 67 1,694 7,302 1,000 Marina Park - - - 140 718 291 3,190 Sunset Ridge Park - - - - 243 660 9,807 Police Facility - - - - 2 - - Lifeguard Headquarters - - - - 30 - - OASIS Senior Center - - - 531 2,282 9,654 568 Back Bay Science Center 25 450 5,895 742 217 5 - SAH Community Center - 101 - - - - Special Assessment Projects Assessment Districts 12,373 504 1,327 1,660 6,708 - - CIOSA Development 1,245 225 - - 268 1,485 450 Bonita Canyon Development 856 22 93 - - 1,032 100 Enterprise Fund Projects Water 6,179 4,395 1,900 3,303 1,433 1,714 2,476 Sewer 1,269 1,213 1,510 486 423 369 1,472 Internal Service Fund Equipment Maintenance 93 348 102 - 66 58 82 Annual Totals 41,027 30,286 43,565 24,654 30,607 41,914 52,917 120 Fund Descriptions Ackerman Donation Fund - Used to account for the disbursement of funds received from the Ackerman Trust. Such funds must be used for library and scholarship purposes. Air Quality Management District (AQMD) Fund - Used to account for revenues received from the South Coast Air Quality Management District restricted for the use of reducing air pollution. Arterial Highway Rehabilitation Program (AHRP) Fund- Used to account for federal funds available through the Federal Highway Administration Arterial Highway Rehabilitation Program to share the cost of rehabilitating certain arterial roadways in the City. Asset Forfeiture Fund - Established to account for revenues resulting from the seizure of assets in conjunction with criminal cases (primarily drug trafficking). The City's policy is that all such funds be used for enhancement of law enforcement programs. Back Bay Science Center Fund- Used to account for revenues and expenditures related to construction of the Back Bay Science Center. Bonita Canyon Development Fund- Used to account for the receipt and expenditure of funds for the Bonita Canyon Public Facilities Agreement. The improvements include certain public parks and recreation facilities, and street improvements and facilities. Building Excise Tax Fund - Used to account for revenues received from builders or developers on building or remodeling projects within the City. Expenditures from this fund are used exclusively for public safety, libraries, parks, beaches, or recreational activities. CIDSA Construction Fund - Used to account for the receipt and expenditure of funds for the Circulation Improvement and Open Space Agreement (CIQSA). The improvements include street and frontage improvements. Circulation and Transportation Fund - Used to account for fair share revenues collected from 122 developers and restricted for capital improvement projects meeting the circulation element of the City's General Plan. Civic Center /Fire Station Construction Fund - Used to account for activities related to the possible re- building or relocation of the existing City Hall complex including the Fire Station. Community Development Block Grant (CDBG) Fund - Used to account for revenues and expenditures related to the City's Community Development Block Grant program. These funds are received from the Federal Department of Housing and Urban Development and must be expended exclusively on programs for low or moderate income individuals or families. Compensated Absence Fund- Used to account for the City's accumulated liability for compensated absences. Contributions Fund - Used to account for revenues received from other government agencies or private developers and expended for specific projects. Environmental Liability Fund - Used to account for solid waste fees restricted for mitigation of future environmental liability relating to the handling of solid waste. Equipment Fund - Used to account for the cost of maintaining and replacing the City's rolling stock fleet and the rental of the fleet to operating departments. Fire Station #7 Fund - Used to account for receipt of revenue related to the construction of Fire Station #7 located in the Santa Ana Heights area of the City. General Fund - Used to account for fiscal resources, which are: a) dedicated to the general government operations of the City, and b) not required to be accounted for in another fund. Insurance Reserve Fund - Used to account for the City's self- insured general liability and workers' compensation program. Justice Assistance Grant (JAG) Fund- Formerly called the Local Law Enforcement Block Grant Fund. Used to account for federal support of law enforcement activities. Library Debt Service Fund - Used to account for the debt service transactions related to the Certificates of Participation used to finance the construction of the Central Library. Lifeguard Headquarters Fund- Used to account for revenues and expenditures associated with the development and construction of a new Lifeguard headquarters. Marina Park Fund- Used to account for revenues and expenditures associated with the development and construction of Marina Park. Marine Science Center Fund - Formerly called the Back Bay Science Center Fund. Used to account for revenues and expenditures related to construction of the Marine (Back Bay) Science Center. Mariners Library Fund- Used to account for receipt of revenue intended to fund the construction of a new Mariners Branch Library. Measure M Fund - Used to construct transportation improvement and traffic congestion relief projects. Funding is one percent of retail transaction and use tax. Miscellaneous Santa Ana Heights Projects - Used to account for revenue and expenditures related to miscellaneous projects in Santa Ana Heights. Newport Annexation Fund- Used to account for receipt of revenue from the Irvine Ranch Water District intended to repay Newport Coast property owners for a portion of assessment district costs, and for construction of a community center in Newport Coast. Newport Bay Dredging Fund - Used to account for the receipt of permanent endowments intended to fund the ongoing cost of maintaining and dredging of the Upper Newport Bay. OASIS Senior Center Fund- Used to account for revenues and expenditures associated with the development and construction of the new OASIS Senior Center. Office of Traffic Safety Grant (OTS) Fund - Used to account for federal funding of DUI violation enforcement activities. Oil Spill Remediation Fund - Used to account for the receipt of the settlement proceeds from the American Trader Company. These funds must be used on projects affecting the areas damaged by the spill. Police Facility Fund - Used to account for revenues and expenditures associated with the development and construction of a new Police Facility. Proposition 1B Fund- Used to account for state funds available through Proposition 1 B to fund the maintenance and improvement of local transportation facilities. Retiree insurance Fund- Used to account for the cost of providing post - employment health care benefit. Special Assessment District Fund - Used to account for the receipt and expenditure of funds received from 1911 Act and 1915 Act Assessment Districts for capital improvement projects. State Gas Tax Fund- Accounts for all State Gas Tax related revenues and expenditures, including street repair, construction, and maintenance. State law requires that these funds be used exclusively for maintenance of the street and highway system. Sunset Ridge Park Fund- Used to account for revenues and expenditures associated with the development and construction of Sunset Ridge Park. Supplemental Law Enforcement Services Fund (SLESF) - Used to account for revenues received from the County to be used exclusively for front -line law enforcement activities. Tide and Submerged Land Fund- Used to account for all revenues and expenditures related to the operation of the City's tidelands, including beaches and marinas. Tratfic Congestion Relief Fund- Used to account for all revenues received from the State Treasury as per Assembly Bill 2928. These funds must by used only for maintenance or reconstruction costs on public streets or roads. Wastewater Enterprise Fund - Used to account for the activities associated with providing sewer services by the City to its users. 123 Water Enterprise Fund - Used to account for the activities associated with the transmission and distribution of potable water by the City to its users. Accrual Basis - The basis of accounting in which transactions are recognized at the time they are incurred, as opposed to when cash is received or spent. The accrual basis of accounting is used to account for all proprietary (enterprise and internal service funds) fund types. Activity- Departmental efforts that contribute to the achievement of a specific set of program objectives; the smallest unit of the program budget. Appropriation - A legal authorization to incur obligations and to make expenditures for specific purposes. Accounting Terms Assessed valuation - The valuation set upon real estate and certain personal property by the Assessor as a basis for levying property taxes. Authorized Positions - Employee positions, which are authorized in the adopted budget, to be filled during the year. Available (Undesignated) Fund Balance - This refers to the funds remaining from the prior year that are available for appropriation and expenditure in the current year. Bond Refinancing- The payoff and re- issuance of bonds, to obtain better interest rates and /or bond conditions. Bonds —Aform of borrowing (debt financing) which reflects a written promise from the City to repay a sum of money on a specific date at a specified interest rate. Budget- A plan of financial activity for a specified period of time indicating all planned revenues and expenses for the budget period. Budget Calendar- The schedule of key dates that a government follows in the preparation and adoption of the budget. 124 Budgetary Basis - This refers to the basis of accounting used to estimate financing sources and uses in the budget. This generally takes one of three forms: GAAP, cash, or modified accrual. Budgetary Control - The control or management of a government in accordance with the approved budget for the purpose of keeping expenditures within the limitations of available appropriations and resources. Capital Budget - The appropriation of bonds or operating revenue for improvements to facilities, and other infrastructure. Capital Improvements - Expenditures related to the acquisition, expansion or rehabilitation of an element of the government's physical plant; sometimes referred to as infrastructure. Capital Improvements Program (CIP) - A plan for capital outlay to be incurred each year over a fixed number of years to meet capital needs arising from the government's long -term needs. Capital Outlay- Fixed assets which have a value of $500 or more and have a useful economic lifetime of more than one year; or, assets of any value if the nature of the item is such that it must be controlled for custody purposes as a fixed asset. Capital Project- Major construction, acquisition, or renovation activities which add value to a government's physical assets or significantly increase their useful life. Also called capital improvements. Capital Reserve - An account used to segregate a portion of the government's equity to be used for future capital program expenditures. The amount of capital reserve is roughly equal to the government's annual equipment depreciation and an amount identified as being needed for future capital acquisition. Cash Basis - A basis of accounting in which transactions are recognized only when cash is increased or decreased. Certificate of Participation — A debt issue similar to issuing bonds, but less restrictive. Charges for Services - Those charges levied to individuals or organizations for the use or consumption of services provided by the City. Consumer Price index (CM) - A statistical description of price levels provided by the U.S. Department of Labor. The index is used as a measure of the increase in the cost of living (i.e., economic inflation). Contingency- A budgetary reserve set aside for emergencies or unforeseen expenditures not otherwise budgeted. Debt Service - The cost of paying principal and interest on borrowed money according to a predetermined payment schedule. Deficit- The excess of an entity's liabilities over its assets or the excess of expenditures or expenses over revenues during a single accounting period. Department - The basic organizational unit of government which is functionally unique in its delivery of services. Depreciation - Expiration in the service life of capital assets attributable to wear and tear, deterioration, action of the physical elements, inadequacy or obsolescence. Development Fees - Those fees and charges generated by building, development and growth in a community. Included are building and street permits, development review fees, and zoning, platting and subdivision fees. Disbursement - The expenditure of moneys from an account. Distinguished Budget Presentation Awards Program - A voluntary awards program administered by the Government Finance Officers Association to encourage governments to prepare effective budget documents. Employee (or Fringe) Benefits - Contributions made by a government to meet commitments or obligations for employee fringe benefits. Included is the government's share of costs for various pensions, medical and life insurance plans, etc. Encumbrance - The commitment of appropriated funds to purchase an item or service. To encumber funds means to set aside or commit funds for a specified future expenditure. Enterprise Fund— Used to account for City operations that are financed and operated in manner similar to private business enterprises. The objective of segregating activities of this type is to identify the costs of providing the services, and to finance them through user charges. Expenditure - The payment of cash on the transfer of property or services for the purpose of acquiring an asset, service, or settling a loss. Expense - Charges incurred (whether paid immediately or unpaid) for operations, maintenance, interest, or other charges. Fiscal Policy - A government's policies with respect to revenues, spending, and debt management as these relate to government services, programs, and capital investment. Fiscal policy provides an agreed upon set of principles for the planning and programming of government budgets and their funding. Fiscal Year - A twelve -month period designated as the operating year for accounting and budgeting purposes in an organization. The City of Newport Beach's fiscal year is July 1 through June 30. Fixed Assets - Assets that are intended to continue to be held or used long -term, such as land, buildings, machinery, furniture, and other equipment. Fixed assets are also called capital assets. Full-time Equivalent Position (FTE) - A part -time position converted to the decimal equivalent of a full - time position based on 2080 hours per year. For example, a part -time fiscal clerk working 20 hours per week would be the equivalent to .5 of a full -time position. Function - A group of related activities aimed at accomplishing a major service or regulatory program for which a government is responsible (e.g., public safety). Fund - A fiscal entity with revenues and expenses which are segregated for the purpose of carrying out a specific purpose or activity. 125 Fund Balance - The excess of the assets of a fund over its liabilities, reserves, and carryover. GAAP- Generally Accepted Accounting Principles. Uniform minimum standards for financial accounting and recording, encompassing the conventions, rules, and procedures that define accepted accounting principles. General Obligation (G. 0) Bond - This type of bond is backed by the full faith, credit, and taxing power of the government. Governmental Accounting Standards Board (GASB) -The ultimate authoritative accounting and financial reporting standard - setting body for state and local governments. Grants - A contribution by a government or other organization to support a particular function. Grants may be classified as either operational or capital, depending upon the grantee. Indirect Cost - A cost necessary for the functioning of the organization as a whole, but which cannot be directly assigned to one service. Infrastructure - The physical assets of a government (e.g., streets, water, sewer, public buildings, and parks). Intergovernmental Revenue - Funds received from federal, state, and other local government sources in the form of grants, shared revenues, and payments in lieu of taxes. Internal Service Charges - The charges to user departments for internal services provided by another government agency, such as equipment maintenance and replacement charges, or insurance funded from a central pool. Lapsing Appropriation -An appropriation made for a certain period of time, generally for the budget year. At the end of the specified period any unexpected or unencumbered balance lapses or ends, unless otherwise provided by law. Levy- To impose taxes for the support of government activities. 126 Line -item Budget -A budget prepared along departmental lines that focuses on what is to be bought. Long -term Debt- Debt with a maturity of more than one year after the date of issuance. Maintenance and Operations- Expendable materials and operating supplies necessary to conduct departmental operations. Modified Accrual Basis- The basis of accounting in which revenues are recognized when they become both "measurable" and "available" to finance expenditures or the current period. All governmental and fiduciary fund types are accounted for using the modified accrual basis of accounting. Net Budget- The legally adopted budget less all interfund transfers and interdepartmental charges. Object of Expenditure - An expenditure classification, referring to the lowest and most detailed level of classification, such as electricity, office supplies, asphalt, etc. Obligations - Amounts which a government may be legally required to meet out of its resources. They include not only actual liabilities, but also encumbrances not yet paid. Operating Expenses - The cost for personnel, materials, and equipment required for a department to function. Operating Revenue - Funds that the government receives as income to pay for on -going operations. includes such items as taxes, fees from specific services, interest earnings, and grant revenues. Operating revenues are used to pay for day -to -day services. Performance Budget- A budget wherein expenditures are based primarily upon measurable performance of activities and work programs without reference to long range goals. Prior -Year Encumbrances - Obligations from previous fiscal years in the form of purchase orders, contracts, or salary commitments which are chargeable to an appropriation, and for which a part of the appropriation is reserved. They cease to be encumbrances when the obligations are paid or otherwise terminated. Program - Agroup of related activities performed by one or more organizational unit for the purpose of accomplishing a function for which the government is responsible. Program Budget- A budget that allocates money to the functions or activities of a government rather than to specific items of cost or to specific departments. Program Performance Budget - A method of budgeting whereby the services provided to the residents are broken down in identifiable service programs or performance units. A unit can be a department, a division, or a workgroup. Each program has an identifiable service or output and objectives to effectively provide the service. The effectiveness and efficiency of providing the service by the program is measured by performance indicators. Program Revenue (Income) - Revenues earned by a program, including fees for services, license and permit fees, and fines. Purpose - A broad statement of the goals, in terms of meeting public service needs, that a department is organized to meet. Reserve - An account used either to set aside budgeted revenues that are not required for expenditure in the current budget year or to earmark revenues for a specific future purpose. Resolution - A special or temporary order of a legislative body; an order of a legislative body requiring less legal formality than an ordinance or statute. Resources - Total amounts available for appropriation including estimated revenues, fund transfers, and beginning balances. Revenue - Sources of income financing the operations of government. Revenue Bond - A bond that is backed only by the revenues from a specific enterprise or project, such as a hospital or toll road. Secured Property Tax - A tax levied on both real and personal property according to the property's valuation and the tax rate. Service Indicators - Specific quantitative and qualitative measures of work performed as an objective of specific departments or programs. Source of Revenue- Revenues are classified according to their source or point of origin. Supplemental Appropriation - An additional appropriation made by the governing body after the budget year has started. Tax Levy- The resultant product when the tax rate per one hundred dollars is multiplied by the tax base. Taxes - Compulsory charges levied by a government for the purpose of financing services performed for the common benefit of the people. This term does not include specific charges made against particular persons or property for current or permanent benefit, such as special assessments. Transfers to /Out- Amounts transferred from one fund to finance the services for the recipient fund. Transient Occupancy Tax -Atax paid to the City for short-term lodging /residency within the City limits. Short -term is defined as 30 days or less. Unencumbered Balance - The amount of an appropriation that is neither expended nor encumbered. It is essentially the amount of money still available for future purposes. Unreserved Fund Balance - The portion of a fund's balance that is not restricted for a specific purpose and is available for general appropriation. Unsecured Property Tax - The property tax on unsecured property such as business inventory or moveable equipment. User Charges - The payment of a fee for direct receipt of a public service by the party who benefits from the service. Working Capital - Excess of readily available assets over current liabilities. Or cash on hand equivalents which may be used to satisfy cash flow needs. 127 3300 Newport Boulevard ■ Newport Beach, CA 92663 (949) 644 -3123 www.NewportBeachCA.gov