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FY 2015-16 Adopted Operating & Capital BudgetTransforming an Old Quarry into a New Public Park FY 2015/16 Operating & Capital Budget City ofSaratoga 3 SARATOGA, CALIFORNIA Operating & Capital Summary Budget for Fiscal Year July 1, 2015 to June 30, 2016 City Council Howard Miller ................................................................................................ Mayor Manny Cappello ..................................................................................... Vice Mayor Emily Lo ........................................................................................ Council Member Mary-Lynne Bernald ..................................................................... Council Member Rishi Kumar ................................................................................... Council Member Prepared under the direction of: James Lindsay ........................................................................................................................... City Manager Mary Furey ................................................................................................. Administrative Services Director 13777 Fruitvale Avenue, Saratoga, CA 95070 www.saratoga.ca.us 4 CITY OF SARATOGA OPERATING & CAPITAL SUMMARY BUDGET 5 TABLE OF CONTENTS INTRODUCTION City Manager’s Budget Message ....................................................................................................................................... 11 FY 2014/15 Accomplishments ........................................................................................................................................... 14 FY 2015/16 Initiatives ........................................................................................................................................................ 15 Notable Operational Changes ............................................................................................................................................. 15 Financial Overview............................................................................................................................................................. 17 Capital Budget Highlights .................................................................................................................................................. 24 Government Finance Officers Association Budget Award ................................................................................................. 27 History & Culture of Saratoga ............................................................................................................................................ 28 City Commissions............................................................................................................................................................... 33 Strategic Goals & Objectives .............................................................................................................................................. 35 Budget Process Overview ................................................................................................................................................... 40 Budget Calendar ................................................................................................................................................................. 42 Fiscal Management Policy Statements .............................................................................................................................. 45 Fund Balance Reserve Policies ........................................................................................................................................... 51 CIP Project Process Policy ................................................................................................................................................. 61 Gann Appropriation Limit .................................................................................................................................................. 66 Gann Limit Resolution ....................................................................................................................................................... 68 Annual Budget Resolution .................................................................................................................................................. 69 FINANCIAL SUMMARIES & SUPPLEMENTAL INFORMATION FINANCIAL SUMMARIES Total Revenues and Expenditures Total Fund Activity Summary ............................................................................................................................................ 75 Total Revenues – by Fund .................................................................................................................................................. 76 Total Expenditures – by Fund ............................................................................................................................................. 78 Total Revenues – by Category ............................................................................................................................................ 80 Total Expenditure – by Category ........................................................................................................................................ 81 General Fund Revenues and Expenditures General Fund Revenues – by Department .......................................................................................................................... 82 General Fund Expenditures – by Department ..................................................................................................................... 83 General Fund Revenues – by Category .............................................................................................................................. 84 General Fund Expenditures – by Category ......................................................................................................................... 85 General Fund Tax Revenues per Capita – Cities of Santa Clara County ........................................................................... 86 General Fund Tax Revenues – 10 Year History of Key Tax Revenues .............................................................................. 87 General Fund – Fund Balance Activity .............................................................................................................................. 88 Operating Transfers Schedule of Interfund Transfers ......................................................................................................................................... 89 CITY OF SARATOGA OPERATING & CAPITAL SUMMARY BUDGET 6 Table of Contents page – 2 – Fund Balance Total Fund Balance Activity Summary - by Fund .............................................................................................................. 90 Fund Balance - 5 Year Comparative Balances .................................................................................................................. 92 Departmental Budgets Department Revenues – by Program .................................................................................................................................. 94 Department Expenditures – by Program ............................................................................................................................. 96 SUPPLEMENTAL INFORMATION Employee Information Summary of Employee Salary & Benefits ........................................................................................................................ 100 Total Funded Positions by Department ............................................................................................................................ 104 Staffing by Department – Five Year History .................................................................................................................... 106 Staffing by Fund – Five Year History .............................................................................................................................. 107 Major Revenue Information General Fund Revenues .................................................................................................................................................... 110 Non-General Fund Revenues ............................................................................................................................................ 116 Capital Revenues .............................................................................................................................................................. 117 Long Range Financial Planning General Fund Five Year Forecast ..................................................................................................................................... 120 DEPARTMENTAL BUDGETS OVERVIEW Department / Program List ............................................................................................................................................. 125 Organization Chart ........................................................................................................................................................... 128 COUNCIL & COMMISSIONS Council & Commissions Overview .................................................................................................................................. 129 City Council ...................................................................................................................................................................... 133 City Commissions............................................................................................................................................................. 137 CITY MANAGER’S DEPARTMENT City Manager’s Department Overview ............................................................................................................................. 141 City Manager’s Office ...................................................................................................................................................... 147 City Clerk ......................................................................................................................................................................... 151 ADMINISTRATIVE SERVICES DEPARTMENT Administrative Services Department Overview ............................................................................................................... 155 Finance ............................................................................................................................................................................. 159 Human Resources ............................................................................................................................................................. 163 Administrative Services .................................................................................................................................................... 167 Office Support Services ................................................................................................................................................... 171 Information Technology Services ..................................................................................................................................... 173 IT Equipment Replacement ............................................................................................................................................. 177 CITY OF SARATOGA OPERATING & CAPITAL SUMMARY BUDGET 7 Table of Contents page – 3 – COMMUNITY DEVELOPMENT DEPARTMENT Community Development Department Overview ............................................................................................................ 181 Development Services ...................................................................................................................................................... 186 Advanced Planning ........................................................................................................................................................... 189 Code Compliance ............................................................................................................................................................ 193 Building & Inspection Services ........................................................................................................................................ 197 PUBLIC WORKS DEPARTMENT Public Works Department Overview ................................................................................................................................ 201 General Engineering ......................................................................................................................................................... 205 Development Engineering ................................................................................................................................................ 209 Environmental Services .................................................................................................................................................... 213 Streets & Storm Drains ..................................................................................................................................................... 217 Parks & Landscape Maintenance ...................................................................................................................................... 221 Vehicle & Equipment Maintenance .................................................................................................................................. 225 Vehicle & Equipment Replacement ................................................................................................................................. 229 Landscape & Lighting Districts ........................................................................................................................................ 233 RECREATION & FACILITIES DEPARTMENT Recreation & Facilities Department Overview ................................................................................................................. 237 Recreation Services .......................................................................................................................................................... 241 Teen Services .................................................................................................................................................................... 245 Facility Rentals ................................................................................................................................................................. 249 Facility Maintenance ....................................................................................................................................................... 253 Facility Furniture, Fixtures & Equipment (FFE) Replacement ....................................................................................... 257 PUBLIC SAFETY DEPARTMENT Public Safety Department Overview ................................................................................................................................ 259 Public Safety Services ...................................................................................................................................................... 263 Emergency Preparedness .................................................................................................................................................. 269 NON-DEPARTMENTAL Non-Departmental Overview ............................................................................................................................................ 273 General Administration .................................................................................................................................................... 277 Legal Services .................................................................................................................................................................. 279 Community Grants ........................................................................................................................................................... 283 Community Events .......................................................................................................................................................... 285 Risk Management/Liability Insurance .............................................................................................................................. 289 Workers Compensation Insurance .................................................................................................................................... 293 General Obligation Bond Debt Service ............................................................................................................................ 297 CITY OF SARATOGA OPERATING & CAPITAL SUMMARY BUDGET 8 Table of Contents page – 4 – CAPITAL IMPROVEMENT PLAN Capital Improvement Plan Overview ............................................................................................................................... 301 Streets Program ................................................................................................................................................................ 309 Parks & Trails Program .................................................................................................................................................... 401 Facility Improvements Program ....................................................................................................................................... 457 Administrative & Technology Improvements Program.................................................................................................... 507 REFERENCE SECTION Fund Descriptions ............................................................................................................................................................. 550 Fund Structure ................................................................................................................................................................. 553 List of Funds ..................................................................................................................................................................... 554 List of Programs ............................................................................................................................................................... 555 City Statistics .................................................................................................................................................................... 557 List of Acronyms .............................................................................................................................................................. 568 Glossary ............................................................................................................................................................................ 570 9 I NTRODUCTION S ECTION 10 11 C ITY H ALL 13777 F RUITVALE A VENUE S ARATOGA , C ALIFORNIA 95070 (408) 868-1200 May 20, 2015 Honorable Mayor and Council Members, It is my privilege to present to you and the Saratoga community the Proposed Operating and Capital Budgets for Fiscal Year (FY) 2015/16. The preparation of these documents is a team effort and I want to acknowledge and thank our dedicated City staff for a job well done. The FY 2015/16 Proposed Budget reflects a common theme that rose out of the City Council’s Annual Retreat: “Invest Today for a Better Tomorrow.” SARATOGA’S ECONOMIC CLIMATE Saratoga was founded on the philosophy that City government should be small, efficient, and unobtrusive, yet meet the essential needs of its residents, such as ensuring public safety, maintaining the City’s roads and infrastructure, and overseeing development. These values have held firm during good and bad economic cycles that have affected the region. There was a focus on short-term survival strategies to balance the budget during the Great Recession when the City experienced significant reductions in property tax and interest revenue—two of Saratoga’s largest categories of funding at the time. The local economy began to improve in 2012 and continues to strengthen as Silicon Valley’s housing demand continues to outperform much of the nation. Improving economic conditions are now allowing the City the luxury of addressing long-term liabilities and infrastructure needs. The City’s financial performance in the 2014/15 fiscal year is projected to be better than expected. Operating expenses were anticipated to be $750,000 less than Adjusted Budget before the Santa Clara County Board of Supervisors approved a retroactive pay increase for the Deputy Sheriff Association. After accounting for that unexpected cost, the City’s total operating expenses are projected to be $620,000 (3%) less than the Adjusted Budget. Revenues are projected to exceed the Adjusted Budget by $390,000 (2%) due primarily to the increase in property tax revenue from continued growth in assessed valuation of residential property. While the property tax rate is governed by the State and stays relatively constant, increases in property tax revenue in Saratoga result from home remodeling/rebuilding activity, real estate sales, and construction of a small number of new homes. BUDGET PRIORITIES With the strength of the economy improving and Saratoga’s growing financial stability, the City is in a position to take steps now to invest in the City’s future success and fiscal solvency. This is best illustrated by the following priorities of the FY 2015/16 Budget:  Improve Local Roads  Address Financial Liabilities  Enhance Community Engagement Improve Local Roads One of the survival strategies many cities, including Saratoga, used during the recession was to defer maintenance of infrastructure, such as paving of local roads. The pavement condition of roads is measured by a Pavement Condition Index (PCI). The average PCI of Saratoga roads dropped below the 70 (Fair) rating for the first time in many years. The following graph shows the deterioration of a typical road. Deterioration occurs at a moderate rate for the majority of a road’s lifespan. There is a significant drop in pavement condition after the road hits 75% of its expected lifespan. The cost for resurfacing or restoration of a road increases by four to five times once it passes that point. During the recession expenditures for traffic light repairs, striping, signage, along with curb and gutter repairs reduced budgeted funding for street resurfacing/restoration. The reduced budget for these activities resulted in the drop in PCI during the recession. CITY OF SARATOGA INTRODUCTION SECTION 12 Pavement Condition Deterioration Curve For FY 2015/16, dedicated funding for street resurfacing/restoration will increase by $375,000 for a total budget of $1.3 million. The goal of the budget increase is to stabilize the overall condition of the City’s roads and to steadily increase the overall PCI above 70. This will help ensure the integrity of the roads for a longer period of time, thereby saving the City on costly upgrades in the future. Address Financial Liabilities The vast majority of cities in California provide retirement benefits for their employees through the California Public Employee’s Retirement System (CalPERS), which administers benefits for its 1.6 million members. The CalPERS retirement plan is structured as a defined benefit plan, which means the plan provides benefits that are calculated using a formula, rather than accounting for individual member’s contributions and earnings in a savings plan, such as occurs with a 401k. During the recession, CalPERS investment assets decreased substantially and actuarial methods and economic and demographic assumptions were adjusted, significantly decreasing asset valuations. Together, the investment decline and actuarial changes created a gap between pension assets and liabilities. This gap is known as an “Unfunded Accrued Liability” (UAL). In 2014, CalPERS separated the UAL from the normal annual service cost in the annual valuation report. Saratoga’s UAL was expected to grow to $7.7 million by the end of FY 2014/15. While substantial for Saratoga, other cities that provide enhanced pensions are facing a UAL many times this amount. Consistent with the commitment to limiting the cost of services, Saratoga chose not to incur the long-term liability of larger pension payouts or providing post- retirement benefits. The City Council again demonstrated unprecedented fiscal stewardship in FY 2014/15 by directing staff to pay down the UAL by $3.3 million. This decision saved the City $3.6 million in future interest payments. Also with Council direction, the City plans on paying $500,000 a year for the next 15 years toward the remaining $4.3 million UAL instead of following CalPERS suggested 30-year payment plan. This accelerated payment plan will save another $3 to $4 million in interest payments. The City has maintained a relatively small staff, averaging 56 full-time employees over the past 10 years, which works diligently to provide services to Saratoga’s residents. Even with a lean work force, employees’ salaries and benefits make up the largest portion of the FY 2015/16 General Fund expense at approximately $7 million, or 38% of the Proposed General Fund Budget. Employee costs have increased by almost $1 million in just five years, part of which can be attributed to rising medical benefit costs. The Memoranda of Understanding for the three employee organizations expires on June 30, 2015. The agreements that have been mutually approved include provisions whereby the City and employees have agreed to share the cost CITY OF SARATOGA INTRODUCTION SECTION 13 for the growing cost of medical benefits. This change is a big step in addressing a long term liability and will help the City continue delivering a high quality of service to residents into the future. Enhance Community Engagement The City continues to support the strong sense of community that exists here in Saratoga. The City treasures the core group of volunteers who faithfully organize popular and time-honored events such as the Memorial Day Parade, the Independence Day Celebration, and the Blossom Festival. This year’s budget reflects the City’s commitment to building community with over $44,000 allocated to events scheduled in FY 2015/16. One of the community events planned to take place in FY 2015/16 is a ceremony to officially open the City’s 64-acre Quarry Park in fall 2015. Implementation of the Quarry Park Master Plan began last fiscal year and includes the construction of new trails, picnic area, restrooms, and on-site parking. The Master Plan was formed following numerous public meetings and many hours of input contributed by members of the community. City staff is continually evaluating how to improve communication with the community and increase public participation in civic affairs. In FY 2014/2015, the City initiated a communications assessment to evaluate the methods Saratoga currently uses and help identify new ones. The FY 2015/16 Capital Improvement Program includes funding to overhaul the City’s website to be more user-friendly for mobile devices and allow users easier access to information. LAW ENFORCEMENT SERVICES Another impact on the FY 2015/16 Proposed Budget is the City’s contract with the Santa Clara County Sheriff’s Office. Saratoga has contracted with the Santa Clara County Sheriff’s Office for law enforcement services since Saratoga’s incorporation in 1956. This partnership has been rewarding for the City due to the Sheriff’s Office flexibility in staffing, responsiveness to community needs, and quality of services. As a result, Saratoga was named the “Safest City in California” in 2013 and the 12th “Safest City in the United States” in 2 014. At $4.98 million, the Sheriff’s contract is 27% of the FY 2015/16 Proposed General Fund Budget, which is the City’s second largest General Fund expenditure. The cost of law enforcement services increased by $498,000 last fiscal year due to both added hours requested by the City, and retroactive wage increases approved by the County Board of Supervisors. Service costs are expected to increase another $250,000 in FY 2015/16 as the wage increases continue to be phased in. Public safety continues to be vitally important to residents, City Council Members, and the Sheriff’s Office. We will continue working closely with the Sheriff’s Office to identify options to limit the cost without impacting service levels. Despite these increases, the overall cost per Saratoga resident is still lower than neighboring cities in-house law enforcement service costs. CONCLUSION As the City continues to regain its financial footing, we are taking this opportunity to address long-term liabilities and look into new avenues for engaging the community. While infrastructure maintenance, law enforcement, pension liabilities, and service costs are expected to increase at a faster rate than the City’s revenue growth, maintaining a strong commitment to fiscal stewardship will help to ensure that these costs do not become uncontainable burdens. The City is careful and thoughtful in its budget development, and this practice will continue to ensure financial stability in future years. Sincerely, James Lindsay City Manager CITY OF SARATOGA INTRODUCTION SECTION 14 Notable Accomplishments in FY 2014/15 Unfunded Accrued Liability The City paid $3.3 million toward its $7.7 million pension liability. The decision will save the City $3.6 million in future interest payments. The City also established a plan to pay $500,000 a year for the next 15 years toward the remaining $4.4 million UAL instead of following CalPERS suggested 30-year payment plan. This accelerated payment plan will save the City another $3 to $4 million in interest payments. City Manager Recruitment The recruitment to find a new City Manager began in March 2014 and ended in July 2014. The public was invited to provide input on the ideal City Manager candidate by providing input through an online survey. The survey provided the public with the opportunity to rate aspects of the ideal candidate profile created by the City Council and share general comments on the recruitment of the next City Manager. The City Council selected former Saratoga Community Development Director James Lindsay who started his new position of City Manager on July 24, 2014. He took the positon of retired City Manager Dave Anderson, who served as City Manager for 14 years. Community Development Director Erwin Ordoñez was hired as the City of Saratoga’s new Community Development Director and started his new position on January 20, 2015. As the City’s Community Development Director, Ordoñez oversees City planning, building permits and inspections, code enforcement, and arborist services. He was a Senior Planner with the Town of Los Gatos before starting with the City of Saratoga. Housing Element Update The City of Saratoga’s General Plan helps guide the growth and land development of the community for the short and long term. The City of Saratoga’s General Plan contains six elements: land use, circulation and scenic highway, open space and conservation, safety, noise, and housing. While identifying and analyzing existing housing needs, the Housing Element also provides the primary policy guidance for local decision-making related to housing. The Housing Element Update began in February 2014. Multiple community workshops and study sessions were held to ensure a transparent process that gave residents the chance to be heard. The 2015-2023 Housing Element Update was adopted by the City Council in November 2014. Wi-Fi at Blaney Plaza The City completed the installation of Wi-Fi service at Blaney Plaza. The free Wi-Fi service, along with the beautiful landscaping, benches and other amenities, further solidifies Blaney Plaza’s place as a community gathering spot in Downtown Saratoga. City of Saratoga Personnel Rules and Policies The City completed multiple policy revisions approved and adopted by the City Council in November 2014, including establishing a new policy in response to the Healthy Workplaces, Healthy Families Act of 2014. Labor Negotiations The City negotiated new contracts with the Northern California Carpenters Regional Council, Carpenters Forty Six Northern California Counties Conference Board and Their Affiliated Local Unions (UNION) in March 2015 and Saratoga Employees Association (SEA) in May 2015. The new contracts are effective July 1, 2015 until June 30, 2019. Effective January 1, 2016, all UNION and SEA employees, regardless of date of hire, will contribute towards health care premiums (dependent on the individuals selected plan). Throughout bargaining, the City emphasized its guiding principles of comparability and “market” average in the establishment and maintenance of salary and benefits and economic viability of the City as the priority over the short- and long-term for the benefit of the City, the community, and its employees. The City is still negotiating a new contract with Saratoga Management Organization (SMO) and updating the Unrepresented Employee Resolution. CITY OF SARATOGA INTRODUCTION SECTION 15 New Initiatives for FY 2015/16 Quarry Park Opening In 2011, the City acquired the 64-acre Congress Springs Quarry property—now referred to as Saratoga Quarry Park— from Santa Clara County. The City began developing the Quarry Park Master Plan in 2013 and completed it in June, 2014. Phase 1 implementation of the Quarry Park Master Plan began in FY 2014/15 and includes the construction of new trails, picnic area, restrooms, and on-site parking. The City plans to host a ceremony to officially open the City’s 64-acre Quarry Park in fall 2015. Village Visioning The City will begin documenting a community-wide vision for the Saratoga Village. The City will also record any follow-up actions related to necessary updates of the City Code and land use policies and documents. This project is expected to be a multi-year effort that could extend into FY 2016/17. Network Security Assessment The City will continue implementing ongoing best practices for network security. To further enhance security for unforeseen and potential threats, the City will be conducting a network security assessment on the City’s data network. Emergency Power Backup System A new backup generator will be installed at City Hall to provide uninterrupted emergency backup power. The generator will allow mission critical systems to remain operational during power outages and allow onsite emergency operations. Santa Clara County Tax Equity Allocation While property tax revenue continues to be the City’s strongest revenue source, the City receives less than its full share of the property tax allocation. With the passage of Proposition 13 in 1978, city tax rates were frozen, and annual property tax increases were restricted to no more than 2% per year. Cities with very low or no property tax rates at the time were therefore locked into those rates. Saratoga, along with the cities of Cupertino, Los Altos Hills, and Monte Sereno, were among the cities in Santa Clara County that had no or very low property taxes. To mitigate this, legislation was passed in 1979 to bring no/low tax cities up to a statewide minimum property tax rate of 7%. However, Santa Clara County was allowed an exception that singled out the cities of Saratoga, Los Altos Hills, Cupertino, and Monte Sereno, thereby limiting the amount of property taxes these four cities were to receive. Throughout the years, the cities have launched collaborative lobbying efforts to introduce and pass legislation that would treat Saratoga, Cupertino, Los Altos Hills, and Monte Sereno like other no/low tax cities, and receive their fair share of the minimum 7% property tax collected in their respective cities. Past efforts partially restored the takeaway, but the City plans to continue to work with County and State representatives to fully restore the property tax rate for the four cities. Notable Operational Changes for FY 2015/16 Recreation and Facilities The Recreation and Facilities Department took advantage of the resignation of a facility maintenance worker during FY 2014/15 and froze the position, contracting those duties to a janitorial service. The result will be a significant reduction in salaries and benefits for Fiscal Year 2015/16. The position will be reviewed for possible reinstatement in the future. Recreation will also realize a reduction in salaries and benefits due to reduced hours for the Recreation Supervisor and Recreation Coordinator positions. Each position will be evaluated and reviewed on an ongoing basis for possible increase back to fulltime. Recreation duties are being backfilled by temporary staff. Facility Furniture, Fixture, and Equipment Replacement Fund A Facility Furniture, Fixture, and Equipment (FFE) Replacement Internal Service Fund has been added this fiscal year to fund and replace the City’s facility infrastructure on an ongoing basis. This program will eliminate unforeseen CITY OF SARATOGA INTRODUCTION SECTION 16 funding requirements by accumulating required funds each year, similar to asset depreciation, based on the asset’s cost and lifespan to replace facility furniture, fixtures, and equipment as needed. Interactive Voice Response and Online Permit Payments The City will implement a voice-activated permit system that will allow citizens/contractors to schedule, cancel or retrieve inspection information 24 hours a day by calling a phone number that connects to the City’s permit program. The City will also provide public access to secure online payments for permits issued by software from CRW Systems. CITY OF SARATOGA INTRODUCTION SECTION 17 Financial Overview GENERAL FUND NET OPERATIONS FY 2015/16 General Fund revenue is expected to be fairly constant with prior year revenues. Property Tax revenues, which typically provide a majority of annual revenue growth, reflects only a modest increase next year rather than the expected 4+% increase. This budget decrease is due to the elimination of a one-time $279,340 excess ERAF revenue payment received in FY 2014/15. While there is a possibility the City will receive another excess ERAF payment in FY 2015/16, it is unknown at this time and therefore unbudgeted. The remainder of General Fund revenues reflect modest increases. While budgeted hotel tax (TOT) revenue growth is small (about $25,000), it is noteworthy to mention that TOT is expected to increase to record levels next year due to the Super Bowl and other full-capacity events to be held at Santa Clara’s Levi Stadium. FY 2014/15 TOT revenues to date already show a significant increase due to the added hotel traffic. Unfortunately, Saratoga only has two small inns, so the impact from the various events will be limited. Expenditures, exclusive of the Unfunded Accrued Liability payments made in FY 2014/15 and 2015/16, will increase by almost $500,000 from the prior year budget. Retroactive and current year wage increase for Sheriff Deputies in the Santa Clara County Public Safety contract comprises $373,000 of this increase. Staff ’s salary and benefits rose by $46,000, Consultant and Contract Services by $147,000, and Internal Service Charges grew by $129,000 – whereas Fees and Charges decreased by $177,000. This reduction primarily comes from a $65,000 decrease in Election costs and the remainder is from the City Council Discretionary Fund carryover not included in the proposed budget. The General Fund budget has a proposed Net Operations of $330,816. This amount is expected to change with last minute additions or subtractions prior to budget adoption. This Net Operation amount includes the $250,000 loan repayment to the Fiscal Stabilization Fund, the additional $500,000 contribution to the CalPERS Unfunded Liability, the addition of a new Facility FFE Replacement Fund, and almost $2 million dollars directed to Capital Projects. This speaks to both the healthy economy, and the success of the City’s fiscal sustainability efforts to date. REVENUES Total Revenues - General Fund revenues include property, sales, business, hotel, and franchise fee taxes, service charges, licenses, permits, and fees. Special Revenues are comprised of dedicated assessments – such as for Landscape and Lighting District revenues. Revenues in support of General Obligations debt service payments are contained in Debt Service Funds. Capital Improvement Program (CIP) Funds represent dedicated revenues such as gas tax and road impact fees, as well as grants and Fund Balance Reserve Transfers-In. A large percentage of the CIP grant funds may or may not be received in the budgeted year. Grant projects may take many years to complete, and reimbursements may then take many years to receive in total. The chart on the right shows a breakdown of budgeted revenue by fund. Total Revenues 19,174,626 Transfers In - Total Revenues and Transfers In 19,174,626 Use of Fund Balance Enviornmental Reserve 50,000 Development Reserve 60,000 Capital Project & Efficiency Reserve 1,777,896 Fiscal Stabilization Reserve (250,000) Total Funding Sources 20,812,522$ Expenditues 18,597,647 Transfers Out CIP Reserve Transfer Out 1,777,896 Development Reserve 60,000 GF Transfer Out 64,760 Total Funding Uses 20,500,303$ NET OPERATIONS 312,219$ GENERAL FUND CITY OF SARATOGA INTRODUCTION SECTION 18 General Fund Revenues - as the name implies, this fund category accounts for the majority of the City’s government primary functions and services. Because of this, the Financial Overview section focuses on the General Fund. Property tax is the largest General Fund revenue source, followed by 2) Franchise Fee tax, 3) Charge for Services, 4) Fees, Licenses & Permits, and then 5) Sales Tax. These top five revenue sources comprise 89% of the General Fund Revenue. Other revenue categories, such as rental income, transient occupancy tax, business license and construction tax, are also important, but fluctuations in these revenues do not individually impact the City’s fiscal sustainability. The schedule below provides a high-level summary of General Fund Revenues and Transfers into the General Fund . The FY 2015/16 Adopted Operating Budget revenues are displayed in the far right column, the FY 2014/15 current year Adjusted and Actual revenues are the two columns to the immediate left, and actual revenues for the three prior fiscal years are in the first, second, and third columns. General Fund Revenues and Transfers In The end of the recession was signaled by the rapid growth in Property Tax. Most of the other revenues have increased at a moderate pace, while some continue to vacillate. Interest however, remains at a critically reduced level - $600,000 per year lower than pre-recession. The City has adjusted its budget assumptions to match the new trends that have emerged since the recession, yet remain cautious in future growth projections. These varying growth patterns are visible from the annual totals across the schedule. In comparing next fiscal year’s ‘Proposed’ budget column to the prior (current) year, it is useful to understand the “Estimated” column provides a more recent projection for current year actuals, and that next fiscal year’s proposed budget utilizes these estimates as a base for proposed amounts. Revenue Drivers Property Tax - Saratoga is a bedroom community with just over 30,000 residents. Saratoga residents enjoy their quiet neighborhoods nestled along the Santa Cruz Mountain foothills, and their nearby commute to the Silicon Valley companies where many are employed. The City is well known for its safety, beautiful homes and neighborhoods, quiet residential streets, richly landscaped roadways, finely manicured parks, and spectacular hiking trails. The quaint and historic downtown Village provides fine dining establishments and unique stores, and is the gateway to historic gardens, wineries, and the Santa Cruz Mountains. The City is well known for its highly ranked schools and diverse culture. The combination of these positive characteristics makes Saratoga a highly desirable place to live, which is reflected in Saratoga’s housing prices. Not surprisingly, the City’s largest single General Fund revenue source comes from property taxes. As Property Tax accounts for more than 50% of the General Fund’s Revenue, increases in assessed values from both remodeling and FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 General Fund Revenues Actuals Actuals Actuals Adjusted Actuals Adopted Property Tax 8,279,947$ 8,966,396$ 9,526,189$ 10,223,750$ 10,436,621$ 10,475,350$ Sales Tax 1,100,489 1,051,121 941,350 1,085,000 1,224,427 1,060,000 Transient Occupancy Tax 205,421 228,199 257,010 245,000 309,618 310,000 Business & Other Taxes 477,963 541,158 565,261 540,000 556,654 575,000 Franchise Fee Tax 1,852,390 2,083,704 2,112,596 2,105,954 2,234,068 2,186,638 Intergovernmental 274,848 416,486 466,424 433,500 586,596 446,500 Fees, Licenses & Permits 1,236,460 1,591,517 1,524,041 1,366,450 1,409,199 1,465,900 Charge for Services 1,732,889 1,744,112 1,942,388 1,887,153 1,789,649 1,845,234 Interest 44,731 28,670 40,003 25,000 45,229 43,000 Rental Income 508,647 465,460 440,287 465,508 474,750 485,602 Other Sources 516,848 519,164 452,817 294,902 452,734 281,402 Total General Fund Revenues 16,230,633$ 17,635,987$ 18,268,366$ 18,672,217$ 19,519,545$ 19,174,626$ Fund Transfers In 205,222 106,000 167,050 - - - Total Revenues & Transfers 16,435,855$ 17,741,987$ 18,435,416$ 18,672,217$ 19,519,545$ 19,174,626$ CITY OF SARATOGA INTRODUCTION SECTION 19 housing turnover is a significant revenue growth source. While assessed values increase up to 2% each year per state law, it is the change in tax base and the document transfer tax that are the true property tax revenue drivers. Santa Clara County oversees the property tax collection and distribution process on behalf of the State of California. The County distributes the property taxes paid by Saratoga property owners to multiple agencies and funds. The City receives approximately 5.45% of the distribution — less than other California municipalities. Saratoga’s school systems, in comparison, receive approximately 65.0% of the property tax allocation. When Proposition 13 was passed in 1978, the legislation held cities to the tax rates that were in place in the prior year, Saratoga, along with the cities of Cupertino, Los Altos Hills, and Monte Sereno, were among the cities in Santa Clara County that had no or very low property taxes. To mitigate this, legislation was passed in 1979 to bring no/low tax cities up to a minimum property tax rate of 7%. However, the legislation provided an exception that allowed Counties to retain the increase in property tax allocations if they choose to forego Trial Court funding. Because Santa Clara County would receive more funding by retaining Property Tax from the four no/low tax cities, than from Trial Court funding, they chose to retain the property tax, thereby limiting the amount of property taxes these four cities were to receive. Throughout the years, the cities launched collaborative lobbying efforts to introduce and pass legislation that would treat Saratoga, Cupertino, Los Altos Hills, and Monte Sereno like all no/low tax cities and to receive the minimum 7% of the property tax collected in the respective cities. Efforts were in part successful as a portion of the Property Tax was restored, but additional work was needed to restore the four cities to the full allocation. Fortunately, strong property tax revenue growth in the last few years has helped to reinstate the City revenue budget to pre-recession levels, thereby lessening the impact of the tax allocation shortage. Subsequent to the City’s budget adoption, the State passed legislation with the FY 2015/16 State Budget to provide the four cities their full allocation. Over the next five- year period, the allocation takeaway will be reduced by 20%. At today’s assessment value, this means an additional $650,000 of property tax revenue to the City each year when fully eliminated. A heartily welcomed turn of events! Development Revenues- With the turnover in housing stock, many homeowners are undertaking remodeling projects and upgrades. This heightened level of activity has resulted in increased revenues through development applications, plan checks, and building inspections. On occasion, there are new houses and parcel divisions that require grading, geology, and subdivision review work. This new home development activity increases both the Community Development and Public Works’ development program revenues. During FY 2014/15, development activity seems to have leveled off. While workload is expected to remain fairly steady into the near future, growth is expected to be minimal. A small bump in permit revenue is expected next fiscal year due to a large church facility upgrade project. New Funding Sources Solid Waste Road Impact Fees - An updated road impact study was undertaken in FY 2014/15 by the Solid Waste Authority. A previous study had initially recognized the solid waste trucks were causing roadway damage and assessed the hauler with annual impact fees which, for Saratoga, totaled approximately $62,989. This new study revealed a significant increase in the roadway damage caused by Solid Waste vehicles during trash and recyclable collection. The Authority recommended the garbage rate assessment for road impacts be increased to reimburse cities for street resurfacing repairs. The Authority Board voted to phase the increase in over two years. The additional $144,156 of road impact fees and a study reimbursement of $11,500 will bring a total of $218,645 of funding directly to the CIP Street Resurfacing Project in FY 2015/16. An additional $288,311 of road impact fees, for a total road impact fee of $351,300, will be received in the following years. A thorough review of major revenue categories is included in the Financial Summaries section on pages 109-118. CITY OF SARATOGA INTRODUCTION SECTION 20 EXPENDITURES The City’s General Fund expenditure schedule below provides a high-level summary of General Fund Expenditures and Transfers-Out. The General Fund for the FY 2015/16 proposed budget in the far right column, the FY 2014/15 current year budgeted and estimated expenditures are the two columns to the immediate left, and the actual expenditures for the three prior fiscal years are in the first three columns. In the FY 2015/16 adopted budget column, salaries and benefits account for 37.7% of the budgeted expenditures. The Sheriff’s contract follows with 26.7% of the budget. The internal service charges account for 13.2% of the budget and represent the City’s reimbursement for support services and fixed asset and infrastructure replacement costs to itself. This ranges from Workers Compensation to Vehicle & Equipment replacement allocations, to Facility Maintenance charges. These expenditures are reflected as revenues in the Internal Service Funds. Consultant and Contract Services comprise 12.0%, and is the compilation of many separate contract services, from attorney to engineering, to janitorial services. General Fund Expenditures and Transfers Out In comparing the adopted budget to prior years, it is useful to understand the budget, as originally proposed, is based on the best guess for the prior year’s year-end actuals and estimated growth or decline into the next fiscal year. The prior year’s adjusted budget (adopted budget plus Council approved changes) provides the expenditure plan – and in total, represents the spending authority. In certain areas, such as Salary & Benefits, the comparison is typically against the budget year as actuals may differ significantly if there are vacancies. Additionally, a $200,000 contingent lump sum termination or vacation pay-out amount is included in the budgeted number, which may or may not be utilized. This contingency results in a higher budgeted salary and benefits than actuals, and adds to year end net operations. Overall, General Fund adopted expenditures decreased 11.0% from the prior year budget. This is primarily due to the $3.3 million Unfunded Accrued Liability (UAL) payment paid to CalPERS in FY 2014/15 versus the $500,000 UAL payment scheduled to be paid in FY 2015/16. Excluding the UAL payments from the expenditure totals reveals that the General Fund’s Proposed Expenditure Budget increased by almost $570,000, or about 3.25%. FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 General Fund Expenditures Actuals Actuals Actuals Adjusted Actuals Adopted Salary & Benefits 6,074,360$ 6,409,105$ 6,408,421$ 6,937,142$ 6,484,653$ 7,014,983 UAL Payment - - - 3,380,000 3,294,619 500,000 Materials & Supplies 163,990 188,965 236,925 301,011 195,949 285,420 Fees & Charges 708,175 738,596 759,799 934,513 732,387 787,336 Consultant & Contract Services 1,638,896 1,883,085 2,054,371 2,085,876 1,966,367 2,237,588 Sheriff Services 4,060,306 4,153,654 4,225,024 4,600,540 4,611,024 4,973,080 Meetings, Events & Training 37,783 38,946 80,468 97,400 73,668 126,800 Community Grants & Events 116,203 122,007 169,725 210,576 162,516 216,685 Fixed Assets 11,336 - - 35,000 35,343 - Internal Services Charges 1,899,748 2,033,577 2,202,844 2,325,826 2,325,823 2,455,755 Total Expenditures 14,710,798$ 15,567,935$ 16,137,576$ 20,907,884$ 19,882,349$ 18,597,647$ CIP Reserve Transfers Out 180,000$ 1,084,500$ 280,880$ 1,633,345$ 1,566,098$ 1,777,896$ Devlpmnt Reserve Transfer Out - - - - - 60,000 GF Operations Transfer Out 100,000$ 100,000$ 100,000$ 100,000$ 100,000$ 64,760$ Total Transfers Out 280,000 1,184,500 380,880 1,733,345 1,666,098 1,902,656 Total Expenditures & Transfers 14,990,798$ 16,752,435$ 16,518,456$ 22,641,229$ 21,548,447$ 20,500,303$ Net Operations 1,557,736 2,516,697$ 2,104,220$ 263,305 1,703,415 312,219$ CITY OF SARATOGA INTRODUCTION SECTION 21 Salary & Benefits For Salary and Benefits, the proposed budget amount provides a more accurate comparison than using the current year’s estimates due to vacancy factors and the budgeted $200,000 of annual contingency funding for retirements, terminations, and paid-time-off payouts. FTE Changes - Proposed FY 2015/16 FTE changes were limited to the Recreation and Facilities Department. With a vacancy of a Facility Maintenance Worker position during FY 2014/15, the department chose to generate cost savings by outsourcing a majority of the duties to a janitorial contract service firm. This outsourcing trial will be continued for the next fiscal year rather than filling the position. In addition, a Recreation Supervisor was reduced to .90 FTE, and a Recreation Coordinator was reduced to .85 FTE with duties backfilled by temporary staff. All of these reductions will result in cost savings, but will continually be reassessed to ensure service levels are maintained. Unfunded Accrued Liabilities - CalPERS’ October 2014 Actuarial Report presented a modification in the way CalPERS assesses the employer’s portion of the pension benefit contribution. CalPERS separated the normal cost (the actual cost attributable to the pension cost under current assumptions) from the unfunded liability created from prior years accumulated investment gains, losses, and assumption changes. They identified the employer’s unfunded accrued liability portion as a dollar amount, and continued to assess the normal cost as a percentage rate of salary. CalPERS also established a plan for employers to fund the liability – each new UAL base would have a 30 year refunding period, with payments that would increase for the first five years, stay level for twenty years, and then decrease in the final five years. Because it is a debt the City owes to CalPERS, the unfunded liabilities are scheduled to annually increase by the 7.5% assumed discount rate, and decrease by the amount of payments made, similar to a mortgage that charges interest. With this discount rate assumption, the long term principal payments would more than double the cost of the liability. The City Council decided to partially pay off the CalPERS Employers Unfunded Accrued Liability and reduce the amount of liability outstanding. This decision saved the City about $3.6 million in discount rate interest. In addition, the City Council replaced the 30 year payment schedule with a plan to pay $500,000 per year toward the outstanding UAL in addition to the employer’s normal cost expense. This will reduce the liability faster, possibly eliminating the unfunded liability in fourteen or fifteen years and saving $4 to $5 million in interest costs over the long term. Employee Memorandum of Understanding – With new Memorandum of Understanding (MOU) agreements between the City and employee groups effective July 1, 2015, the City is striving to provide equitable medical benefits for employees regardless of hire date. This change increases the medical benefit currently provided for newer employees, and limits the medical benefit cost for existing employees. The City’s overall medical benefit costs will be reduced in the long term. The New MOUs also provide an increased tuition reimbursement benefit. With educational degrees critical to career advancement, and the cost of education far higher than when the tuition benefit was initially negotiated, Council agreed to increase the benefit from $1,000 per year to $2,500 under the new agreements. Fortunately, Saratoga is able to keep its salary expenditures low as its minimal services structure incorporates contracting out many of its services. Contracting out allows the City to increase and decrease service levels as needed—either seasonally, during economic downturns, for special projects, or to backfill positions when necessary. While contracting for services creates savings on employee and equipment expenses, the price of contract services is directly tied to changes in fuel and consumer prices and therefore costs increase over time – which collectively can be significant. The City works diligently to manage costs and service levels, thereby controlling financial impacts. Operational Expenditures Budgeted FY 2015/16 operational expenditures are fairly status quo. Expenditure variations are explained in detail in the individual department and program sections in the Departmental Budgets section beginning on page 123. Public Safety Public safety continues to be a top priority for City Council members, residents, and the Santa Clara County Office of the Sheriff. The City has contracted with the Sheriff’s Office for public safety services since Saratoga was incorporated in 1956. This partnership has been rewarding for the City in multiple ways. CITY OF SARATOGA INTRODUCTION SECTION 22 The City saves millions of dollars a year by contracting with the Sheriff’s Office instead of employing an in-house police department. Even with an 8.1% cost increase from the prior year – due to retroactive and current year wage increases under a new MOU, the Sheriff Contract accounts for just 26.7% of the City’s General Fund budget. This compares favorably to other Santa Clara County municipalities that dedicated upwards of 40% or more of their General Fund budgets on police services. While the Sheriff’s Office contract cost is comparatively small, the City has received an immense return in services. The Sheriff’s Office provides all the services that an internal police department would—patrol, traffic enforcement, and investigations—but with the added benefit of crime analysts, technology services, and other valuable law enforcement services on an incremental, as-needed basis. In FY 2015/16, the Sheriff’s Office contract will provide 20,060 general law enforcement service hours, 4,195 traffic enforcement hours, 2,400 investigative hours, 340 reserve activity hours, and a full-time School Resources Officer. Not only does the City see considerable cost savings through its agreement with the Santa Clara County Office of the Sheriff, but crime rates also remain low compared with surrounding municipalities. This is due to being part of a broader law enforcement organization. Deputies are aware of criminal activity occurring throughout the county, not just Saratoga. This broader communication alerts deputies and crime analysts to targeted areas, criminal patterns, and crime activity connections and suspects. In fact, our city was recognized for its low crime rate in November 2013 when SafeWise.com named Saratoga “The Safest City in California”. This honor was followed just a few months later with news that Saratoga had been named the 12th Safest City in the United States by NeighborhoodScout.com. The company released the results in February 2014. The company based its findings on the research of cities with 25,000 residents or more and the total number of property and violent crimes per 1,000 residents. Crimes included burglary, theft, motor vehicle theft, murder, rape, armed robbery, and aggravated assault. Fixed Assets There are no fixed assets scheduled for purchase in the General Fund FY 2015/16 budget. Only new fixed assets are funded through a department’s operating budget. Once purchased, replacement costs are charged to the “owners” to accumulate funding for future replacement. The replacements are purchased through Internal Service Funds. Internal Service Funds The City utilizes Internal Service Funds to provide centralized cost centers for shared expenses and services in order to efficiently track costs and manage resources. Costs are then allocated back to the operational programs based on usage to more accurately determine cost of services. The City’s Internal Service Funds include the two Insurance funds: Risk Management and Workers Compensation, four Service/Support funds: Office Support, IT Services, Vehicle & Equipment Maintenance, and Facility Maintenance Funds, and three Equipment Replacement funds: the Vehicle & Equipment Replacement Fund, the Office Technology Equipment Replacement Fund, and beginning with FY 2015/16, the Facility FF&E (Furniture, Fixture, & Equipment) Replacement Fund. Ongoing increases in staff salary & benefits, contract service costs, utilities, annual technology licenses and support, and added technology and equipment all contribute to increasing costs in the Internal Service Funds each year. In addition, with the City’s reserve policies calling for Internal Service Fund reserves to be funded at a working capital level, several of the funds required an increase in the service charge-backs to right-size the fund balances. Future year increases are expected to be minimal as annual funding is adequate, and most fund balances are in line with reserve policies. In FY 2015/16, additional service charge funding will be required for the IT Replacement Fund. A more comprehensive review identified the departmental software programs were not included in the replacement funding schedule. In past years these were considered Capital projects that the Council would decide on. The Finance Committee directed staff to include these types of ongoing costs as replacements so operational costs are captured and funding is accumulated properly – thereby increasing the IT Replacement funding needs. CITY OF SARATOGA INTRODUCTION SECTION 23 The new Facility FFE Internal Service Fund is structured to accumulate funding over an asset’s lifespan for the replacement of furniture – such as tables, chairs, and cubicle partitions; for fixtures - such as kitchen appliances, sound equipment, lighting, for equipment - such as HVAC units, boilers, and generators; and for facility infrastructure – such as roof, door, window, and floor/carpeting replacement. Buildings themselves are not covered in this fund. Funding is established at $200,000 per year, which is charged back as Internal Service Fund charges to the Facility Rental program, the Facility Maintenance program, and the Non-Departmental program. The Facility Maintenance program then reallocates charges back to operating departments through their service charges. Replacements are included as expenses in the annual operating budget in the Internal Service Fund. This first year, scheduled replacements total $169,000. The establishment of this new replacement fund eliminated the annual $100,000 General Fund Operating Budget transfer to the CIP for Facility projects. This structural change also supported a budgeted $25,000 increase in the Facility Maintenance budget for use in emergency repairs, as needed. General Fund Transfers Out General Fund Transfers are limited to moving money from the General Fund into the Capital Improvement Program. In FY 2015/16, almost $1.8 million of Capital Improvement Project Reserve funds will move to the CIP, the Development Reserve will provide another $60,000, and the Operating Budget will provide up to another $64,760 to the Street Resurfacing CIP project – contingent upon the amount of Gas Tax revenues the City receives. Gas Tax revenues are in flux due to Senate Bill 321’s potential legislation to modify the funding formula. Transfer funding is limited to the actual shortfall, up to the maximum Council approval. CITY OF SARATOGA INTRODUCTION SECTION 24 Capital Budget Highlights STREETS PROGRAM Roadway Maintenance and Repairs This project represents an initial $375,000 commitment to address maintenance issues on the City’s collector and residential streets. Since Fiscal Year 2008/09, the City has budgeted at least $1,000,000 annually for street resurfacing. In past years, the funding was also used for traffic light repairs, striping and signage, curb and gutter repairs, asphalt patches and equipment, or transferred to other street projects instead of strictly for street resurfacing. As a result, streets deteriorated significantly. This project funds these related street maintenance costs separately. Residential Street Reconstruction Last year, $300,000 was committed separately towards a residential street reconstruction project for streets that have deteriorated past the point where resurfacing would provide sufficient maintenance. This project is being funded for another year at $300,000. PARKS AND TRAILS PROGRAM Park Pathways Maintenance and Repairs This project represents an initial $50,000 commitment to fund maintenance and repairs on the pathways located at City parks and trails. These pathways need regular maintenance and repairs to ensure safety, reduce liability and mitigate any maintenance issues to increase longevity of these resources so that residents can enjoy the recreational benefits that the City parks and trails have to offer. Sustainable Landscape Project In light of Governor Jerry Brown’s recent directive to reduce water consumption by 35% of 2013 usage levels, this project represents a $25,000 commitment to continue implementing water conservation methods the City has undertaken over the past several years. Past projects have included turf reduction at both Kevin Moran and Beauchamps Parks. Turf reduction projects remove turf in underutilized areas of parks and replace it with drought tolerant landscaping. The end result is cost savings due to reduced water usage and maintenance costs. CITY OF SARATOGA INTRODUCTION SECTION 25 Quarry Park Restrooms In 2011, the City purchased the 64 acre Quarry property off of Highway 9 and is currently implementing Phase I of the Master Plan. Additional funding was provided to upgrade the park’s restrooms to modular flushable lavatories, at an estimated cost of $90,000. FACILITY IMPROVEMENT PROGRAM Civic Theater Boiler Replacement This $90,000 project will replace the aging boiler located in the Civic Theater. The current boiler is approximately 30 years old and repairs are needed on an increasing basis. Given the age of the boiler, replacement parts are becoming more difficult to locate. A new modern, energy efficient boiler would provide significant energy savings and reduce the City’s carbon footprint. Civic Theater Roof Top Duct Work This $90,000 project would replace the aging duct work on the roof of the Civic Theater. The duct work is approximately 50 years old. There are leaks and gaps in the metal requiring increased service. Failures in connection fittings and exit points lead to leaking roofs and loss of air throughout the heating and cooling system. Replacing the duct work with new advanced technologies in air conditioning ducts will lead to increased energy savings and reduced maintenance costs. ADMINISTRATIVE & TECHNOLOGY IMPROVEMENT PROGRAM Saratoga Village Specific Plan This $100,000 project will fund a community engagement effort that could lead to an update of the Village Specific Plan adopted in 1988. The process to update the plan will follow three phases: 1) community outreach; 2) update the plan based on the results of community outreach; and 3) update supporting documents. Goals to be considered in the update process could include, but are not limited to: 1) establishing gathering places for people to dine and socialize building a sense of community and; 2) encourage alternative modes of transportation such as walking and biking to promote a healthier lifestyle. CITY OF SARATOGA INTRODUCTION SECTION 26 City Website/Intranet Redesign This $75,000 project will update the City website incorporating evolving advancements in technology and design since the current website was launched in 2009. The improved design, structure and mobile access will make it easier for the public to navigate the City’s website and access important information. The project also includes development of an internal intranet site to improve the communication and use of internal information among staff in a more consistent manner. TRAK-iT Software and LandTRAK Database Upgrade This $30,000 project will update the TRAK-iT software and LandTRAK database currently used by the City’s Community Development Department with an Interactive Voice Response (IVR) system to enhance customer service to residents. Updates to LandTRAK will allow connection between the City’s database and the County Assessor’s office database to maintain property updates on a continuing basis. The upgrades will allow payment of fees on-line, thereby enhancing customer service, increasing functionality, promoting transparency and maintaining up-to-date property records. CITY OF SARATOGA INTRODUCTION SECTION 27 CITY OF SARATOGA INTRODUCTION SECTION 28 HISTORY AND CULTURE OF SARATOGA ocated in the foothills of the Santa Cruz Mountains, approximately 26 miles east of the Pacific Coast, 10 miles southwest of San Jose, and 50 miles south of San Francisco, the City of Saratoga runs along the western edge of Santa Clara County. The City of Saratoga is an attractive, affluent residential community with a small-town vibe in the midst of the world famous Silicon Valley. The Village, Saratoga’s historic downtown district, is filled with unique shops and fine dining establishments. It is the gateway to several distinctive destinations:  Hakone Gardens, the oldest Japanese-style residential gardens in the Western Hemisphere.  Villa Montalvo, former home of Senator James Duval Phelan is host to an art gallery, an artist-in-residence program, concert series, and 175 acres of park grounds and hiking trails.  The Mountain Winery, a popular winery and event venue that is host to weddings, wine tastings, and world class concerts in the spring and summer. It began with a sawmill Although the incorporated City of Saratoga dates back only to 1956, the town had its beginning more than a century earlier when William Campbell began building a sawmill operation here in 1847 about two and one-half miles above the present downtown village, along what is now State Highway 9. Having spent the winter of 1846/47 in the abandoned adobe buildings of Mission Santa Clara, Campbell correctly surmised that the settlers who were beginning to come to the Santa Clara Valley would want to build sturdy wood houses, reminiscent of the homes they had left in the East. William Campbell’s sawmill operation was delayed however after another millwright constructing a sawmill at the western base of the Sierra mountains, a hundred and fifty miles northeast, found gold flakes in the American River, touching off the 1849 California Gold Rush. While no such discovery occurred here, there were later reports of copper and silver deposits in the region. Instead, for more than half a century, the wealth of the local mountains was in timber, mostly redwood, and the settlement that later became Saratoga owes its start and early development to that wealth. In 1850, a young Irishman named Martin McCarty leased the sawmill Campbell had started, and set about to improve its access by building a road to the site. To recoup his investment, McCarty erected a tollgate near the present intersection of Third Street and Big Basin Way, and charged a fee for the use of the road. It was common practice in those early days for roads to be built on a private-enterprise basis, then after a period of time, counties would take them over and maintain them as public thoroughfares. In McCarty's case, although the tollgate was only used for about a year, it was sufficient for the settlement to be known as Tollgate for some years afterward. L CITY OF SARATOGA INTRODUCTION SECTION 29 Due to the natural resources in the area, the town had a brief industrial era. With the settlement situated on a stream and an abundance of lumber products, a furniture factory, a tannery where harness and leather goods were manufactured, and paper mills were all built along the stream. And, with Santa Clara Valley’s growing wheat production, several flour mills were also built. Due to the collection of mills, the settlement was known for a short time as Bank Mills. During the 1850’s local mineral springs with a chemical content similar to that of Congress Spring at Saratoga Springs, New York was discovered below where the sawmill was located, in a small canyon off what is now known as Saratoga Creek. The property was owned by a group of financiers headed by Darius Ogden Mills, and eventually a resort was built in the grand manner of the famous eastern spa. The elaborate resort hotel Pacific Congress Springs flourished for almost forty years until it was destroyed by fire in 1903. The mountain setting and mild climate had made Saratoga a popular resort area, and the resort image lingered through succeeding years, even as agriculture became the dominant industry in Saratoga and the Santa Clara Valley. And while Campbell’s Gap, Tollgate, McCartysville, and Bank Mills were at various times used as settlement names, the community eventually settled on ‘Saratoga’ in 1865. In the latter part of the 1800’s, the area's fertile soil and available land developed into another industry - agriculture. Apricots, cherries and French prunes were particularly well- suited to Saratoga's soil and climate. Starting in the late 1860’s, the planting of deciduous fruit trees increased until it became the chief means of livelihood for the whole region. During the late 1880's, the hillsides were found to be conducive to viticulture and many wineries were established. In 1890, Saratoga became the home of the world-renowned Paul Masson Winery. Convinced that the rich California soil could produce grapes for champagnes comparable to those of France, the French immigrant Masson brought grape cuttings from his native land to plant on the hillsides. Over time, Saratoga had developed into a pleasant village and became the trading center for the surrounding vineyards and fruit-growing farms. During the early 1900's, Saratoga had an enviable reputation as a highly desirable place to live. The Interurban Rapid Transit of the day began service which connected Saratoga with the rest of the Santa Clara Valley and beyond. Saratoga soon became a haven for wealthy San Franciscans who came to build elegant hillside homes overlooking the lush valley. One of these was the palatial Mediterranean-style home of the United States Senator James Phelan. His Villa Montalvo is now a center for the cultural arts. CITY OF SARATOGA INTRODUCTION SECTION 30 After World War II, the valley’s rapid urbanization changed the character of Saratoga from agricultural to suburban. As space technology and the defense and electronics industries were established in nearby communities, Saratoga's open land soon became more valuable for homes for the rapidly growing population, than it was for vineyards and fruit orchards, although some vineyards and a few scattered orchards do remain as a reminder of the bygone era. The City of Saratoga strives to maintain these elements of its natural beauty and colorful past through careful zoning policies and historic preservation. Public interest was stirred to new heights in the mid-1950s when, with orchards giving way to subdivisions, the annexation designs of the City of San Jose became obvious. As a result of this concern, Saratogans voted to incorporate in 1956 and to establish their own city government. Saratoga Today The City of Saratoga, as it exists today, is an attractive residential community of 30,799 (January 1, 2015) known for its excellent schools and prestigious neighborhoods. The community’s historic downtown district, known as "The Village", has distinctive dining, unique shops, and numerous buildings dating back to the late 1800’s and early 1900’s. Saratoga residents place an emphasis on historical preservation, and on retaining the quality of the city’s semi-rural ambiance. The City also is home to Villa Montalvo, the beautiful and palatial former home of Senator James Duval Phelan which now hosts an art gallery, an artist in residence program, concert performances, park trails and grounds. It serves as a desirable wedding venue, and reservations must be made a year in advance. Another local gem is the former Paul Masson homestead and winery in the Saratoga foothills, now known as the “Mountain Winery”. This high-end event venue features world-class concerts each spring and summer, and is known for its stunning open-air backdrop and both hillside and valley views. And Hakone Gardens, as shown in the picture, is the oldest Japanese-style residential garden in the Western Hemisphere. The garden is maintained and run by the Hakone Foundation, and lies just outside of the Village offering classes, festivals, Japanese culture, and peaceful, contemplative walks as one strolls through the finely manicured gardens. City Government The City of Saratoga was incorporated in 1956 and operates under a Council/Manager form of government. The City government receives most of its revenue from property tax, although the City’s share of property tax receipts is only about 5.45% of the 1% assessment Saratoga property owners pay. This “low tax” status limits the City to providing minimal services to its residents. Staffing is low for a city this size (51.90 FTE) with many services provided on contract. In addition, with the relatively late incorporation of the city after the community had developed, many school districts and utility districts were already in place, meaning more than one pre-existing district may serve within City of Saratoga boundaries. Public safety services are provided by other governmental organizations, including the Santa CITY OF SARATOGA INTRODUCTION SECTION 31 Clara County Fire Department through property tax allocation agreements, and by the Santa Clara County Sheriff’s Office by city contract. Animal control services are contracted with the City of San Jose. City departments are structured by function, and include Public Works – which oversees infrastructure maintenance and projects, Community Development – which guides the physical growth of the City through planning, zoning, and building inspection, Recreation and Facilities – which provides recreation programs and maintains city facilities, Administrative Services – which provides oversight and support for the City’s financial, administrative, and technology operations, and the City Manager’s Department – which provides oversight and guidance for City functions, as well as legislative and administrative support for the City Council and Commissions. Transportation Saratoga is part of a comprehensive transportation network that links the City to other Silicon Valley cities and beyond through roadways, bikeways, and mass transit systems, including the bus and light rail systems, the CalTrain system, and to the Mineta International Airport in San Jose. Bus routes provide inter-city transportation needs with access to the Village, schools, the community college, and local office and shopping markets. Highway 85 runs through Saratoga, providing linkage to other area freeways and major cities. San Francisco is 47 miles north, and Santa Cruz is about 26 miles southwest. The tourist havens of Monterey and Carmel are approximately 65 and 73 miles south of Saratoga, respectively. CITY OF SARATOGA INTRODUCTION SECTION 32 Schools The City of Saratoga is served by 6 different schools districts, which include Saratoga Union School District, Cupertino Union School District, Campbell Union School District, Los Gatos-Saratoga High School District, Campbell Union High School District, and Fremont Union High School District. The schools in these districts that serve Saratoga residents are among the best in the nation. Saratoga High School and Monte Vista High School have been ranked by U.S. News & World Report within the top 100 schools in the country. City of Saratoga Statement of Values The City of Saratoga strives to maintain a high quality of life for its residents through careful planning and infrastructure maintenance, through activities to build community, and by providing opportunities for extensive citizen participation in community issues. Succinctly, the statement of values for our City is that: Saratoga is a Community Where the common good prevails; Where the natural beauty of the City and its hillsides is preserved; Where historic assets are preserved and promoted; Where local commerce provides a vibrant presence in the Village and the other commercial areas; Where the orientation is toward the family; Where homes and neighborhoods are safe and peaceful; Where government is inclusive and values community involvement; Where desirable recreational and leisure opportunities are provided; Where quality education is provided and valued; Where value is placed on an attractive, well maintained and well planned community; Where government provides high quality, basic services in a cost effective manner; Where a small town, picturesque, residential atmosphere is retained; Where the arts and cultural activities which serve the community and the region are promoted; Where neighbors work together for the common goo d; Where leadership reflects community goals; and Where, because of the forgoing, the citizens and the families of Saratoga can genuinely enjoy being a part of and proud of this special community. CITY OF SARATOGA INTRODUCTION SECTION 33 CITY COMMISSIONS & COMMITTEES Finance Committee The Finance Committee (previously termed the Finance Advisory Committee and the Finance Commission) was originally formed in 1981 to advise the City Council on financial matters pertaining to the governing of the City, as well as on the use of fiscal resources and the development of technology for the City. In 2007, the Council reconstituted the Finance Commission as a Finance Committee to review financial matters with the City's Administrative Services Director in preparation for the City Council meetings. The Committee consists of two Council members who each serve one year terms of office, and will meet monthly or on as as-needed basis. Heritage Preservation Commission The Heritage Preservation Commission functions as a liaison working in conjunction with the Council, the Planning Commission, and the agencies and departments of the City to implement the City's Heritage Preservation Ordinance. The Commission's scope includes property surveys within the boundaries of the City of Saratoga for the purpose of establishing an official inventory of heritage resources and recommending to the City council specific proposals for designation as a historic landmark, heritage lane or historic district. One member is nominated by the Saratoga Historical Foundation and two members must be trained and experienced in the field of construction and structural rehabilitation, such as a licensed architect, engineer, contractor or urban planner. Library Commission The Library Commission provides counsel and recommendations on library policies, budgets, plans and procedures to the City Council, City staff, the Santa Clara County Library staff, and the Saratoga Library Supervisor. The Library Commission has no administrative authority over the library's operations but does participate in the general planning of the library operation and library-related programs and policies. One member is nominated by the City of Monte Sereno. Parks and Recreation Commission The Parks and Recreation Commission advises the Council on a variety of matters as they relate to parks and recreation. Principally, the commission serves as a conduit between the public and the Council, assesses public input, collects information, and makes recommendations to the Saratoga City Council. After being suspended for several years, the Parks and Recreation Commission was reinstated by the Council on May 16, 2007. Pedestrian, Equestrian, and Bicycle Trails Advisory Committee It is the mission of the Pedestrian, Equestrian, and Bicycle Trails Advisory Committee to advise the city regarding the planning, acquisition, and development of trails and sidewalks and to maintain the trails network to enhance the quality of life in Saratoga. Planning Commission The Planning Commission advises the City Council on land use matters such as the General Plan and specific plans, zoning and subdivisions. The Commission plans for the future orderly physical development of the City and informs and educates the public on current land use and urban planning issues. In many areas the Planning Commission also acts as a legislative body in making determinations within the framework of applicable State laws and City ordinances. Ultimate decisions on land use reside with the City Council. Members are required by State law to file an annual statement of economic interests. Traffic Safety Commission The Traffic Safety Commission investigates reviews and analyzes traffic safety issues raised by the Community members and Public Safety Agencies. It provides a venue for the public to express concerns regarding traffic safety issues. The Traffic Safety Commission makes recommendations to the City regarding traffic safety. CITY OF SARATOGA INTRODUCTION SECTION 34 Youth Commission The Youth Commission is comprised of middle and high school students appointed by the City Council in two-year terms. Youth Commissioners serve as a liaison between the teen community and the City Council. CITY OF SARATOGA INTRODUCTION SECTION 35 STRATEGIC GOALS & OBJECTIVES CITY OF SARATOGA INTRODUCTION SECTION 36 CITY OF SARATOGA CITY COUNCIL’S STRATEGIC GOALS & OBJECTIVES The Saratoga City Council’s Strategic Goals and Objectives support the City’s vision, and mission, and represent the foundation on which Council makes decisions. The below list of goals and objectives are considered overall long- term guidance upon which shorter-term departmental objectives and general direction is developed and implemented within the City’s FY 2014/15 budget workplan. I City Leadership: Provide a proactive, responsible, inclusive, respectful, transparent, and trustworthy government dedicated to delivering effective high quality leadership for the community. A. Responsive and accountable to the community B. Effective City Leadership C. Organization Performance Management D. Transparent Government E. Civic Engagement F. Community Partnerships II Fiscal Stewardship: Ensure fiscal responsibility and transparency, proactively seeking opportunities for improvement. A Strengthen the City's Fiscal Health and Stability B. Preserve Essential Services C. Effectively manage revenue streams D. Expend and use fiscal resources responsibly E. Maintain fund balance reserves F. Nurture an environment which attracts, retains, and expands economic opportunities III Public Safety: Provide for a safe and secure community. A Preservation of life and property B. Crime Prevention C. Emergency Preparedness IV Facility & Infrastructure: Maintain the City's facilities and public infrastructure in a safe, sustainable, and cost effective manner. A Excellent Street System B. Safe, well-functioning, and beautiful roadway Infrastructure C. Well-maintained, safe parks D. Useful and safe trails and open space E. Clean, safe, and pleasant City facilities F. Well-maintained vehicles and equipment G. Support externally funded community infrastructure improvements CITY OF SARATOGA INTRODUCTION SECTION 37 V Community Heritage: Honor Saratoga's heritage by preserving significant historic assets. A. Enhance policies to maintain the City's historic heritage B. Enhance standards to maintain architectural attractiveness C. Protect Saratoga's natural beauty VI Community Enrichment: Foster a community with an enriched and diverse culture and engaged community. A Engaged and vibrant community B. Enhance and promote quality of life in the community C. Promote health as a community value D. Cultivate organizational and leadership potential in the community E. Foster a business-friendly environment VII Environmental Sustainability: Proactively support environmental sustainability efforts. A. Protect and optimize the City's natural resources and environment through sustainable practices B. Establish and implement comprehensive, long-range environmental sustainability goals and policies C. Embrace environmentally friendly practices D. Educate the community on environmental issues CITY OF SARATOGA INTRODUCTION SECTION 38 CITY OF SARATOGA INTRODUCTION SECTION 39 BUDGET & FINANCIAL POLICY INFORMATION CITY OF SARATOGA INTRODUCTION SECTION 40 BUDGET PROCESS OVERVIEW he City of Saratoga adopts an annual Operating and Capital Budget and an annual budget update of the five-year Capital Improvement Plan. The budgets contain summary level information for revenue and expenditure appropriations for the fiscal year beginning July 1st and ending June 30th. The budget documents are prepared on the same basis as the City’s financial statements, and in accordance with generally accepted accounting principles (GAAP). BUDGET PURPOSE The Operating and Capital Summary Budget and the Capital Improvement Plan serve as the City’s financial plan, as well as a policy document, a communications tool, and an operations guide. Developed with an emphasis on long range planning, service delivery, and program management, a fundamental purpose of these documents is to provide a linkage between the services and projects the City intends to accomplish, and the resources committed to get the work done. The format of the budget facilitates this linkage by clearly identifying program purpose, key projects, and workplan goals, in relation to revenue and expenditures appropriations. BASIS OF BUDGETING AND ACCOUNTING Developed on a program basis with fund level authority, the operating and capital budgets represent services and functions provided by the City in alignment with the resources allocated during the fiscal year. Basis of Accounting and Budget refers to the timing factor concept in recognizing transactions. This basis is a key component of the overall financial system because the budget determines the accounting system. For example, if the budget anticipates revenues on a cash basis, the accounting system must record only cash revenues as receipts. If the budget uses an accrual basis, accounting must do likewise. The City’s budgeting and accounting systems both use a combination of modified accrual and full accrual basis in the accounting and budget systems. The City’s Governmental Funds consist of the General Fund, Special Revenue Funds, Debt Service Funds, and Capital Project Funds. Governmental Fund budgets are developed using the modified accrual basis of accounting. Under this basis, revenues are estimated for the period if they are susceptible to accrual, e.g. amounts can be determined and will be collected within the current period. Principal and interest on general long-term debt are budgeted as expenditures when due, whereas other expenditures are budgeted for liabilities expected to be incurred during the current period. Proprietary fund budgets are adopted using the full accrual basis of accounting whereby revenue budget projections are developed recognizing revenues expected to be earned during the period, and expenditures are developed for expenses anticipated to be incurred in the fiscal year. The City maintains one type of proprietary fund: Internal Service Funds. Fiduciary funds are also budgeted under the modified accrual basis. Trust funds are subject to trust agreement guidelines, and Agency Funds are held in a custodial capacity involving only the receipt, temporary investment, and remittance of resources. Saratoga administers two agency funds. SUMMARY OF BUDGET DEVELOPMENT The City develops it budgets with a team-based budgeting approach. City Management and the Finance Department guide the process through budget development; however program budgets and workplans are developed with each department’s director or program manager’s oversight and expertise. This approach allows for hands-on planning and creates a clear understanding for both management and staff of a program’s goals and functions to be accomplished in the next budget year. THE DEVELOPMENT PROCESS Typically both the Operating and Capital Budget and Capital Improvement Plan (CIP) processes begin in early January with the City Council and City Manager’s development and refinement of initiatives and directives for the upcoming budget year. The Five-Year financial forecast is developed and brought to the annual Council Retreat to review. This forecast provides an overview of service level operations as it ties to fiscal resources, and guides the discussion for the upcoming budget direction. The CIP is also reviewed during this time to determine funding capabilities, project priorities, and to refine project workplans. Although the CIP Budget is a stand-alone body of work, CIP projects impact the City’s ongoing T CITY OF SARATOGA INTRODUCTION SECTION 41 operations and are therefore incorporated into the Operating and Capital Summary Budget document through the resulting financial appropriations and service level requirements. In February, the budget preparation process begins officially for staff. Budget assumptions, directives and initiatives are provided to set the City’s overall objectives and goals. Over several months, staff identifies and analyzes program revenue and expenditure projections in coordination with Finance/Budget staff and City management. Capital improvement projects are assessed and refined, and CIP funding and appropriation requirements are finalized. Through rounds of budget briefings and revisions, staff’s final program budget and workplans are developed by the end of April; operational and capital workplans are finalized, and the Finance/Budget staff prepares financial summary information for City Council review in addition to departmental budgets and workplans. BUDGET ADOPTION During the month of May, the City Council reviews the proposed Operating and Capital Summary Budget, and the Capital Improvement Plan for the five year period in a public hearing. Notice of the hearing is published in a local newspaper at least ten days prior to the Council’s public hearing date. The public is invited to participate and copies of the proposed budgets are available for review on the City’s website, in the City Manager’s office and at the budget hearing. Under requirements established in Section 65401 of the State Government Code, the City’s Planning Commission also reviews the proposed Capital Improvement Plan and reports back to the City Council as to the conformity of the plan with the City’s Adopted General Plan. Final council-directed revisions to the proposed budget are made and the budget documents are resubmitted to the Council for adoption, again in a publicized public hearing prior to the beginning of the fiscal year. Section 2-20.050(i) of Saratoga’s City Code requires the City Manager to prepare and submit an annual budget to the City Council. This is accomplished in June, when the final proposed budget is formally submitted to the Council in the subsequent public hearing. The approved resolutions to adopt the CIP and operating budgets and the appropriation limitation (Gann Limit) follow later in this section. BUDGET AMENDMENTS During the course of the fiscal year, economic and workplan changes or unanticipated needs may necessitate adjustments to the adopted budgets. The City Manager is authorized to transfer appropriations between categories, departments, projects, and programs within a fund in the adopted budget, whereas the City Council holds the authority for budget increases and decreases and transfers between funds. CITY OF SARATOGA INTRODUCTION SECTION 42 BUDGET CALENDAR December January February March Budget Office to begin development of financial forecast and budgets for following fiscal year, including:  Draft operating budget revenue and expenditure projections  Prior fiscal year-end fund balance available for CIP Budget Office to prepare Mid-Year Budget Report and Five-Year Financial Forecast for Council review at annual retreat For Operating Budget:  Budget Office to provide budget information to staff on budget assumptions, directives, initiatives, and goals  Budget Office and Program Managers to prepare Internal Service and Equipment Replacement Fund analyses and schedules, finalize internal service rates  Budget Office to prepare operating budget worksheets for updates, including departmental/program narratives, staffing and financial worksheets, asset and staffing requests. For Capital Budget:  Budget Office to prepare updated five-year CIP project worksheets Budget Office and departments to review current User Fee Schedule for appropriate changes in preparation of annual updates process For Operating Budget:  Budget Office to finalize Internal Service Fund program workplans  Budget Office to prepare budget worksheets for departments, including staffing and internal service program costs  Departments to prepare draft revenue expenditure workplans For Capital Budget:  Project Managers to prepare funding, scope of work, and cost estimates for new proposed projects For Operating Budget:  Departments to finalize budget work plans  Review proposed budgets with City Manager  Departments and Budget Office to finalize budget changes For Capital Budget:  Project Managers to determine year end CIP project estimates  City Manager to finalize new proposed CIP projects CITY OF SARATOGA INTRODUCTION SECTION 43 April May June July/ August/ September For Operating Budget:  Departments to finalize program narratives and performance measures  Budget Office to compile final program narratives, financial and supplemental schedules, and financial budget summaries and charts for City Council Budget Study Session For Capital Budget:  Project Managers to finalize new project information for CIP submittal  Public Works Manager to bring new projects to Planning Commission meeting for General Plan conformance review City Council to hold Public Hearing for Annual User Fee Update City Council to hold Budget Study Session For Operating & Capital Budgets:  Final budget briefing with City Manager  Budget Office to incorporate Council directed changes into proposed budgets and prepare final documents for Public Hearing presentation City Council to hold Proposed Budget Hearing For Operating & Capital Budgets:  City Council revisions incorporated into budget documents  City Council adoption of Operating and Capital Budget  City Council adoption of Gann Appropriation Limit Final document preparation of financial and supplemental schedules, charts, reference materials, etc Adopted Operating and CIP Budget documents finalized, posted on website, and distributed CITY OF SARATOGA INTRODUCTION SECTION 44 CITY OF SARATOGA INTRODUCTION SECTION 45 FISCAL MANAGEMENT POLICY STATEMENTS With both a general management philosophy and Council goal to practice fiscal responsibility, the City of Saratoga’s conservative and cautious financial management is achieved through responsible, sustainable, and enforceable fiscal policies and internal controls to ensure prudent and efficient use of resources. These policies and controls represent long-standing accounting, budgeting, debt, investment, and reserve principles and practices, and are the foundation which guides the City in maintaining its fiscal stability. The following general fiscal management policy statements provide an overview of financial, operational, and budgetary management and act as a guideline for fiscal operations. As many fiscal policies are administrative in nature, detail level policy direction are not included in the budget document. However, fiscal policies that rise to Council review and approval standards are incorporated into the budget document for annual adoption by Council. Council approved detail fiscal policies include the Fund Balance Reserve Policy and the Capital Project Process Policy. Others will be added as approved. The Council approved detail fiscal policies follow the Fiscal Management Statements within this policy section. General Financial Principles  The City’s fiscal policies are structured to ensure fiscal responsibility, accountability, transparency, and efficient use of resources. Fiscal policies are to be reviewed, updated, and refined as necessary, with general policy level decisions brought to City Council for review and approval, and operation level functions approved by the City Manager.  The City Council’s financial based goals, objectives, and policies are incorporated into and implemented with the development and adoption of the City’s Operating and Capital Budgets.  Efforts will be coordinated with other governmental agencies and joint power associations to achieve common policy objectives, share the cost of providing governmental services, and support legislation favorable to cities at the state and federal level.  The City will seek out, apply for, and effectively administer federal, state, local, and foundation grants which address the City’s current priorities and policy objectives. Appropriations and Budgetary Control  The City Council adopts an annual balanced operating budget and the first year of an integrated five-year capital improvement plan budget on an annual basis, to be effective for the fiscal year running from July 1 st through June 30th. Balanced budgets present budgeted sources in excess of budgeted uses. Budgeted “Sources” include Revenues, Transfers In, and Appropriated Uses of Fund Balance. Budgeted “Uses” include Expenditures and Transfers Out. Operating and capital budgets are to align with the City’s long-term financial goals.  The City utilizes long-range planning as a decision-making tool, and annually adopts a structurally balanced financial plan that retains the City’s fiscal health, preserves essential services, and supports short and long-term goals in a financially judicious manner.  Each year the Finance & Administrative Services Department provides an updated five year financial forecast to the City Council at the Annual Council Retreat (scheduled in late January or early February) to assist Council with formulating direction for long-range planning, operating budget development, and capital funding appropriations. CITY OF SARATOGA INTRODUCTION SECTION 46  Budgets are prepared on the same basis of accounting used for financial reporting: governmental fund types (General, Special Revenue, and Debt Service) are budgeted according to the modified accrual basis of accounting; proprietary funds (Internal Service Funds) and fiduciary funds are budgeted under the accrual basis of accounting.  The Operating Budget is primarily funded with current year revenues. Dedicated fund balance reserves, such as the Carryforward Reserve or the Fiscal Stabilization Reserve may be used with Council approval to fund current operational expenses that extend beyond the annual fiscal year, or were funds collected and dedicated for longer term use. Council may also approve the use of long-term debt for operational liabilities if fiscally prudent.  City policy is to fund the Capital Budget with surplus and dedicated capital funding resources. Dedicated funding sources include Gas Tax (HUTA) revenues, road impact assessment revenues; grants; community benefit assessments; and federal, state, local, and private grants.  In practice, budgeted revenues are conservatively stated and budgeted expenditures are comprehensive, allowing for the annual operational and capital improvement goals to be completed. With effectively managed revenue streams and efficient use of resources, fiscal year-end operational budget surpluses are available to fund future capital improvement projects and contribute to the City’s fiscally responsible reserve accounts.  The City Council maintains budgetary control at the fund level; any changes in total fund appropriations during the fiscal year must be submitted to the City Council for review and Council majority approval. Operati ng Budget appropriations lapse at the end of each fiscal year unless specifically re-appropriated by the City Council in the following fiscal year. Capital Budget appropriations are structured as a multi-year workplan; therefore project expenditure balances are carried forward to the following fiscal year as part of the annual budget adoption until funding is exhausted or the project is completed.  The City Manager is authorized to implement the City’s workplan as approved in the adopted budget. Within a specific fund, the City Manager may transfer appropriations between categories, departments, programs, and projects as needed to implement the adopted budget, provided no change is made to the total appropriation amount provided for any one fund.  Generally, recurring expenditures are funded with recurring revenues or revenues specifically designated for operational use. One time expenditures may be funded with one-time revenues or fund balances reserves. Fund balance reserves are to be used for non-recurring one-time expenditures and capital projects.  The City Council has established a $50,000 annual ‘Council Contingency’ appropriation for Council approved unplanned expenditures. Unexpended appropriations are carried forward into the following fiscal year.  The Recreation Department cost recovery goal of 65% was established to match the California Parks & Recreation Society’s (CPRS) average cost recovery rate for all California recreation departments at the time the policy was set.  The Community Development Department cost recovery rate strives to attain close to full cost recovery as development and building services are primarily for individual enrichment rather than a community enrichment function.  The Street Resurfacing/Pavement Management CIP project has an established minimum annual funding goal of $1,000,000, with dedicated funding from Gas Tax Revenue, the Solid Waste services contract assessed Vehicle Impact Fees as designated funding sources.  Council has designated the following capital projects as fundamental to maintaining City infrastructure on an ongoing basis, and are therefore directed to have priority for available Capital Project funding in the amount of $50,000 each year: 1. Annual Sidewalk Repairs 2. Annual Storm Drain Repairs 3. Roadway Safety and Traffic Calming 4. Risk Management / ADA Mitigation Projects CITY OF SARATOGA INTRODUCTION SECTION 47 Auditing and Financial Reporting  California State statutes require an annual financial audit of the City’s financial records and transactions by independent Certified Public Accountants. The City shall comply with Generally Accepted Accounting Principles (GAAP) and produce annual financial reports pursuant to Governmental Accounting, Auditing, and Financial Reporting (GAAFR) guidelines.  Additional financial reports issued by the Auditor’s may include: Singe Audit Report (annual report of federal grant expenditures if in excess of the federal single audit limit is expended in a fiscal year), a Transportation Development Act (TDA) report (annual report of TDA fund expenditures), an Appropriations Limit review report (to establish tax revenue appropriation limit), and a Management report on the City’s Internal Controls.  A State required Annual Cities Report, and Annual Streets Report are also completed in conjunction with the year-end close. Weekly check registers and monthly Cash and Investment Reports will be submitted for review and approval at City Council meetings. Quarterly financial reports will provide a status update on General Fund revenues and expenditures for the first, second, and third quarters. A year-end recap is to be provided after the City’s annual financial audit is completed. At mid-year, a budget status report is presented at the City Council retreat with a more comprehensive financial overview and includes proposed budget adjustments as appropriate. Development Related Financial Policies  The Development Reserve was established to provide stability for multi-year development related services. The reserve is funded by Community Development Department revenues in excess of expenses at fiscal year- end. The reserve is available for use in those years where a shortfall occurs; when development revenues fall below development expenses. Use of the reserve for operational support is limited to a maximum of 1/3 of the reserve balance in any given fiscal year; with any budgeted use of the reserve automatically rescinded up to the amount development revenues are sufficient to cover General Fund net operations. The reserve may also be utilized for other development related uses, such as funding development software upgrades or special projects, per Council direction. Additional information on this Development Reserve is located in the Fund Balance Reserve Policies section.  The Williamson Act, also known as the California Land Conservation Act, was passed by the California Legislature in 1965 to encourage rural & agricultural land owners to keep their land undeveloped. When land owners enter into a contract under the act, they benefit from lower property taxes, which are based on the property’s current use, rather than paying market value based tax rates. In exchange, the property is to remain undeveloped and continue to function in the same manner for the duration of the contract. Contracts run for 10 years and are automatically renewed unless the farmer or rancher cancels it. The City does not limit the number of Williamson Act contracts entered into each year.  The Mills Act is State-sponsored legislation granting local governments the authority to enter into an agreement with property owners to allow reduced property tax payments in return for the restoration and continued maintenance of their historic property. Since the agreement reduces property tax assessment, the City receives a smaller share of property tax revenue in comparison to a property that is assessed at market value. The City will allow approval of up to three Mills Act Contracts per year. Expenditures and Purchasing  All expenditures shall be in accordance with the City’s purchasing policy, travel policy, credit card policy, agreement, contract policy and public contract code, state or federal law, or any other applicable guidelines or regulations.  Expenditures are managed at the program level. Program managers are to ensure expenditures do not exceed the budgeted workplan and must take immediate action if at any time during the fiscal year an operating deficit is CITY OF SARATOGA INTRODUCTION SECTION 48 projected at year-end. Corrective actions may include expenditure reductions, or with Council approval, budget adjustments, or service reductions.  The City’s current purchasing policy, (effective date of 4/23/2007) establishes purchasing authority levels, purchasing procedures, and procedural requirements, for the procurement of supplies, equipment, and services, in conformance with Federal and State codes and regulations, and City Ordinance No. 2-45.  Public Work projects governed by the State’s Public Contract Code are excluded from provisions of the City’s purchasing policy.  Guidelines established by the City’s Purchasing Policy directs the City’s departments to purchase the best value obtainable, securing the maximum benefit for funds expended, while providing all qualified vendors an equal opportunity to do business with the City.  Services and supplies purchases that exceed $5,000 require written quotes, and must be approved by the Purchasing Officer or designee, typically through the Purchase Order process. Documentation is to be retained by the department in accordance with the records retention policy and schedule.  Services, supplies, and fixed asset purchases exceeding $25,000 must be authorized by the City Council, unless purchase is specifically called out in the adopted budget (such as vehicle and equipment replacements) or excluded under the Purchasing Policy. Fixed Assets and Infrastructure  Tangible assets with a cost equal to or greater than $10,000 and a useful life of more than one year are considered fixed assets and added to the capitalization schedules. Repairs and maintenance of infrastructure assets will generally not be subject to capitalization unless the repair extends the useful life of the asset.  The City will sustain a long-range fiscal perspective through the use of a five-year Capital Improvement Plan designed to maintain the quality of City infrastructure, including streets, sidewalks, curbs and storm drains, lighting, building, parks, and trees, and through Internal Service Fund programs to both maintain and replace City building infrastructure, fixtures, and equipment, vehicles, and public works and technology equipment on an ongoing basis  Asset information is retained to provide information for preparation of financial statements in accordance with GAAP, with emphasis placed on completion of GASB 34 requirements. Internal Service Funds  Internal Services Funds are established to both equitably allocate operating costs to departments for support and maintenance services, and to stabilize and spread the City’s replacement and operational costs over fiscal years for the purpose of providing an accurate and balanced long-range fiscal perspective of the use of services and assets.  Vehicles, Equipment, and Building asset replacement and maintenance types of Internal Service Funds are structured to provide a consistent level of funding for asset and equipment replacement, and to ensure sufficient funding is available for the regular maintenance, repair, and replacement of the City’s vehicles, equipment, and building fixtures in an ongoing manner.  Technology and Office Equipment replacement and maintenance Internal Service Funds are structured to provide a consistent level of funding for the replacement of assets and projects, and to appropriately distribute support and maintenance costs to departments.  The Liability and Workers Compensation Insurance Internal Service Funds shall maintain adequate reserves to pay all valid self-insured claims and insurance deductibles, including those incurred but not reported, in order to keep the insurance funds actuarially sound. CITY OF SARATOGA INTRODUCTION SECTION 49  Each Internal Service Fund will set recovery charges at rates sufficient to meet all operating expenses, depreciation, and fund balance reserve policy objectives. Long-Term Debt  The City does not incur debt for operations or capital improvements except under extraordinary circumstances and with citizen support. Under these circumstances the City will seek voter approval for General Obligation (GO) Bond Debt for major infrastructure rehabilitation.  Long-term Financing Debt is typically incurred for capital improvements or special projects that cannot be financed from current or dedicated revenues, or for large liabilities resulting in significant financial impacts. In principal, long-term debt is to be used only if the debt service requirements do not negatively impact the City’s ability to meet future operating, capital, and cash reserve policy requirements.  The term for repayment of long-term financing shall not exceed the expected useful life of the project, or extend beyond functionally appropriate payment terms. Revenues  The City will encourage a stable revenue system to offset short-run fluctuations in any one revenue source, in part through balancing revenue fluctuations to related operational fluctuations –such as Community Development’s multi-year service revenues and contract services fluctuate with service needs.  Designated and legally restricted tax and revenue funding sources will be accounted for in the appropriate funds. General taxes and revenues not allocated by law or some other contractual agreement to other funds are accounted for in the General Fund. Dedicated Capital Project revenues are to be directly accounted for in the appropriate capital project fund, within a designated project.  The City typically establishes user charges and fees at levels that recover the direct and indirect activity cost of providing a service or product. The City also considers market rates and charges levied by other municipalities of similar size for like services in establishing rates, fees, and charges. As some services have partial cost recovery objectives, cost recovery ratios will vary in accordance with policy objectives. A master schedule of User Fees is reviewed and updated each year to adjust fees to the established level.  The City will follow an aggressive policy of collecting local taxes and revenues due to the City through persistent follow-up procedures, and external resources as necessary.  Donations may be accepted in accordance with the City of Saratoga Donation Policy most recently approved by the City Council. Under the current policy, unrestricted donations of $5,000 or less may be accepted or declined by the City Manager. Restricted donations of $500 or less may be accepted or declined by the City Manager. Unrestricted donations of more than $5,000 and restricted donations of more than $500 must be brought to the City Council for consideration. The City Manager may choose to request City Council consideration of any donation, regardless of value. Risk Management Policy  The City is insured for up to $25 million of general liability, auto, and property damage claims through the Association of Bay Area Government’s (ABAG) Pooled Liability Assurance Network (PLAN) Corporation. The City is self-insured for the first $25,000 for general liability and auto claims; property damage after $5,000 and third party auto claims after $10,000.  Workers Compensation claims are insured for the first $250,000 of coverage through the City’s participation in a Workers Compensation risk pool, known as SHARP (Shared Agency Risk Pool). After the $250,000 limit is met, an excess coverage policy is activated. The excess coverage provides an employer liability limit of CITY OF SARATOGA INTRODUCTION SECTION 50 $5,000,000 per occurrence, and workers’ comp per occurrence limit of $100,000,000. Workers' Compensation claims are managed by a third party administrator.  The City’s role in managing both its risk management and workers comp programs is to be preventative in nature which is accomplished through careful monitoring of losses, working closely with the third party administrator, and designing and implementing programs to minimize risk and reduce losses. Treasury Management  California Government Code Section 53600; City of Saratoga Municipal Code Section 2-20.035; and Section 16.0 of the City of Saratoga Investment Policy require the City Council to annually review and approve the City’s Investment Policy.  It is the policy of the City of Saratoga to invest public funds in a manner which will provide the maximum security with the highest investment return, while meeting the daily cash flow demands of the City and conforming to all state and local statutes governing the investment of funds.  The City practices conservative and cautious investment practices through limiting its investments to the State’s Local Agency Investment Fund (LAIF). LAIF’s extensive professional investment staff and conservative investment practices ensure prudent financial management of the City’s fiscal reserves.  The Administrative Services Department’s Finance Division shall prepare a monthly report to the City Council that has sufficient detail to present the financial condition of the City at month end, the cash and investments balance by fund, and fund balances by fund type. CITY OF SARATOGA INTRODUCTION SECTION 51 FUND BALANCE RESERVE POLICY Prudent financial management dictates that the City reserve a portion of its funds for future use to: maintain fiscal stability; ensure the continued orderly operation of government and provision of services to residents; and to mitigate current and future risks. As a general budget precept, the City Council decides when and whether to appropriate available funds to and from a reserve account. Use of reserve funds must be authorized by either specific direction in the annual budget, or by a separate City Council action unless specifically noted by policy. Responsible fiscal stewardship also requires adequate reserve be maintained for all known liabilities and established City Council and community directed initiatives. In the following Fund Balance/Reserve Policy overviews, the descriptions i nclude identification of the fund type and classification, the purpose of the reserve, minimum and maximum funding goals if appropriate, guidelines on utilization of the reserve and by what authority, and the procedure for funding the reserve initially, on an ongoing basis, or after utilization. Fund Balance and Net Position In 2009, Governmental Accounting Standards Board (“GASB”) Statement No. 54 revised fund balance classifications for “Governmental Funds” into five specific classifications of fund balance with the intent to identify the extent to which a specific fund balance reserve is available for appropriation and therefore spendable, or whether the fund balance reserve is constrained by special restrictions. Government Funds for which these new rules apply include: the General Fund, Special Revenue Funds, Capital Project Funds, and Debt Service Funds. For “Non-Governmental Funds”, equity classifications are classified as “Net Position” with sub -classifications of Restricted or Unrestricted Net Position. A third component of a Non-Governmental Fund’s equity is “Net Investment in Capital Assets,” which for the City refers to the non-monetary portion of equity such as vehicles and equipment, net of depreciation. Non-Governmental Fund types include Proprietary Funds (Enterprise and Internal Service Funds) and Fiduciary Funds (Trust Funds). Currently, the City’s non-governmental fund types are limited to Internal Service Funds. Governmental Fund Type Reserve Classifications The Governmental Reserve classifications are defined as follows, including the applicable reserves that fall into the classification: Non-Spendable Fund Balance Represents resources that are inherently non-spendable from the vantage point of the current period. The City does not presently hold Non-Spendable Reserve funds Restricted Fund Balance Represents fund balance that is subject to external enforceable legal restrictions. The City maintains the following restricted fund balances under this designation:  General Fund: Environmental Services Fund Balance Reserve  Special Revenue Funds: Landscape & Lighting Assessment Districts Fund Balance  Debt Service Fund: Library General Obligation Bond Debt Service Fund CITY OF SARATOGA INTRODUCTION SECTION 52 Committed Fund Balance Represents fund balance constrained by limitations the government imposes upon itself at its highest level of decision making and remains binding unless removed in the same manner. The City maintains the following fund balances under this designation:  General Fund: Hillside Stability Reserve  General Fund: Facility Replacement Reserve  Capital Improvement Plan Funds: Capital Improvement Project Fund Balance Reserve Assigned Fund Balance Represents fund balance identified by Council for an intended use ; however as no legal obligations exist, the funds may be re-designated and utilized for another purpose if Council chooses. The City maintains the following General Fund reserves under this designation:  General Fund: Future Capital & Efficiency Project Reserve  General Fund: Carryforward Reserve Unassigned Fund Balance Represents funding which may be held for specific types of uses or operational funding/stabilization purposes, but is not yet directed to a specific purpose. Only General Fund res erves can be designated under the “Unassigned” fund balance classification. Other fund types are by nature structured for specific purposes, hence the fund balances are therefore considered “assigned” for that purpose.  General Fund: Working Capital Reserve  General Fund: Fiscal Stabilization Reserve  General Fund: Development Services Reserve  General Fund: Other Unassigned Fund Balance Reserve Fund Balance Ratios To ensure the City maintains available working cash flow and emergency funding at all times, the collective total of the General Fund’s Assigned and Unassigned Reserves shall be sustained at a minimum of 20% of General Fund expenditure appropriations, net of transfers out. General Fund Year-End Allocations After the City’s financial records are finalized and audited, with legal obligations and liability reserves funded, revenues in excess of expenditures are closed out to the Other Unassigned Fund Balance Reserve. Funding in excess of the $500,000 that is to remain in the Other Unassigned Fund Balance Reserve will be distributed in the following order: 1. Working Capital Reserve interest allocation. 2. Repayment of Fund Balance Reserve loans - back to established levels (e.g. borrowing from/usage of the Fiscal Stabilization or Hillside Stability Reserves). 3. Annual contribution of $100,000 to Hillside Stability Reserve, until reserve balance reaches $1,000,000. 4. Annual contribution of $300,000 to Facilities Replacement Reserve. 5. Remaining funds are allocated to the Future Capital Improvement and Cost Efficiency Projects Reserve. CITY OF SARATOGA INTRODUCTION SECTION 53 GENERAL FUND – FUND BALANCE RESERVE POLICIES Environmental Services Reserve Under the Restricted Fund Balance classification, the Environmental Services Reserve represents revenues collected under a prior funding structure for environmental purposes, and is therefore restricted for use in funding environmental program costs such as clean water programs, street sweeping, and storm drain cleaning services. Per policy, the Environmental Service Reserve is being utilized through annual budget appropriations of $50,000. The Environmental Services Reserve originated from a one -time funding structural change and therefore will not be replenished when depleted. Hillside Stability Reserve Under the Committed Fund Balance classification, a Hillside Stability Reserve of $1,000,000 is to provide funding for unanticipated or unforeseen emergency or extraordinary costs related to hillside degradation, inclusive of slide prevention and mitigation, slide repair, and associated drainage and roadwork. The reserve is to be increased by $100,000 each fiscal year from General Fund year -end net operations until a $1,000,000 reserve cap is reached. Use of the reserve requires an analysis be prepared and presented to Council for approval, or in the event of a landslide requiring immediate emergency work, the Public Works Director may direct use of up to 10% of the reserve to make emergency repairs and mitigate further damage until Council takes action. Reserve fund ing is to be used for emergency work which exceeds operational funding provided for in the Operations Budget. Upon use, refunding of the reserve shall again resume at $100,000 each fiscal year until the $1,000,000 reserve cap is reached. Facility Replacement Reserve The Facility Replacement Reserve is established to accrue funding for the major rehabilitation or replacement of City Buildings. Eligible uses of this reserve to finance the construction of critical City facilities include direct funding of public facility improvements, and the servicing of related debt. An initial contribution of $300,000 was established in FY 2012/13 with Council’s recommendation to continue funding at this level as available. Annual contributions, reserve goal amount, and utilization shall be determined by Council as the City’s economic situation changes. Future Capital & Efficiency Projects Reserve Under the Assigned Fund Balance classification, the Reserve for Future Capital Improvement & Efficiency Projects shall reserve funding for as yet undefined capital and efficiency improvement projects. Reserve funding is derived from General Fund accumulated net operations (as available) and is therefore considered a “one -time funding source”. Funds are held in this reserve until Council reviews funding requests and approves a use or transfer to a capital project fund. Use of the reserve funding is at the Council’s discretion, but typically occurs in conjunction with the annual budget adoption after Council conducts a comprehensive review of capital and efficiency improvement needs. Reserve replenishment is dependent upon net operational savings in subsequent fiscal years. Carryforward Reserve Under the Assigned Fund Balance classification, the Reserve for Carryforwards represents funding held at the end of each fiscal year for critical unexpended operating budget appropriations to be purchased in the following fiscal year, and any remaining Council Contingency funding. The reserve is reconciled at the end of eac h fiscal year to both release prior year carryforward funding and reserve current year carryforward funding into the following budget year. Staff determines the year-end reserve amount after all fiscal year payments are finalized; the reserve amount is conceptually appropriated by Council each year in the budget adoption resolution. CITY OF SARATOGA INTRODUCTION SECTION 54 Working Capital Reserves In accordance with the City’s cautious and conservative fiscal philosophy, the City’s general prevailing financial policy holds that the City should fund daily operations with current resources in order to avoid use of short -term Tax Revenue Anticipation Notes (TRANs). To support this policy a Working Capital Reserve is established to meet cash flow requirements and prevent short - term borrowing, which in turn ensures the continuance of services to the public while also maintaining the City’s credit worthiness. To provide adequate working capital, the City shall maintain, in conjunction with the Fiscal Stabilization Reserve, a minimum reserve of 60 days of the following year’s General Fund budgeted expenditures net of internal service charges and transfers out, and up to a maximum reserve amount equal to 90 days of the following year's General Fund budgeted expenditures, net of internal service charges and transfers out. This reserve falls under the Unassigned Fund Balance classification. A Working Capital Reserve of $2,000,000 was established in April 1994. Effective June 30, 2000, interest earnings accrue to the reserve at the end of each fiscal year based on the annual LAIF rate, for the purpose of increasing the reserve balance amount in proportion to Operating Budget increases. In 2014, accumulated interest earnings of $930,184 were utilized to pay off a portion of the City’s Unfunded Accrued Liability, bringing the Working Capital Reserve back to the initial $2,000,000 funding level. Fiscal Stabilization Reserve Under the Unassigned Fund Balance classification, a Fiscal Stabilization Reserve of $1,500,000 was established to provide temporary financing for budget stabilization caused by fiscal downturns, unanticipated extraordinary expenditures related to a natural disaster or calamity, or from an unexpected liability or funding decrease created by a legislative action. Fiscal stabilization needs may occur from revenue declines (over one or more years) of more than 5% of either property tax, the combined total of other taxes, or General Fund revenues in total, or from unanticipated extraordinary operational increases of more than 5% such as from a natural disaster or unexpected Federal, State, County or CalPERS funding changes. Council may utilize funding at budget adoption, by adoption of a budget adjustment resolution during the course of the year, or after a Federal, State, or locally declared emergency. In the event a locally declared emergency takes place, the City Manager has the authority to spend funds until such time as the City Council takes action. Reserve appropriations are to be replenished from year -end net operations, as available, on a priority basis. Development Services Reserve Under the Unassigned Fund Balance classification, the Development Services Reserve provides fiscal stability for the Community Development Department’s planning and building p rograms. Development projects are often multi-year activities in which revenues may be collected in one year, while project expenditures may extend over several years. This reserve represents accumulated excess planning and building net operation funds from years when development revenues exceeded development expenditures. The reserve funds are subsequently utilized to offset excess planning and building program expenditures through annual budget appropriations in the years where revenues are not sufficient, thereby acting as an overall funding stabilizer for multi-year development activities. Use of reserve funding for operational support is restricted to 1/3 or the reserve balance in any given fiscal year, with Council approval. Budgeted use of the Development Reserve is to be rescinded if and to the point where development revenues are sufficient to cover General Fund net operations at year -end. The reserve may also be utilized for other development related uses, such as for development software upgrades or special projects, per Council direction. CITY OF SARATOGA INTRODUCTION SECTION 55 Compensated Absences Reserve Under the Unassigned Fund Balance classification, the Compensated Absences Reserve is established to smooth expenditure fluctuations resulting from the payout of accrued leave to employees at service separation and distribution payouts. Initial reserve funding is to be established at $200,000, with a targeted goal of one -third of the compensated absences liability established at year-end. Reserve funding in excess of one-third of the liability is to be returned to the General Fund Other Unassigned Reserve. Use of the reserve occurs when total annual compensated absences payouts exceed budgeted salary funds. Large payouts decrease the compensated absences liability at year-end, thereby supporting the practice of utilizing the reserve as needed. The reserve may be replenished over a three year period. Year -end reconciling allocations to and from the reserve are approved though Council’s budget resolution adoption ea ch fiscal year, with the liability and resulting reserve amounts determined as part of the year-end close process. Council Discretionary Reserve Under the Unassigned Fund Balance classification, the Council Discretionary Reserve represents unspent funds from the Council’s annual appropriation. The reserve provides a mechanism to roll forward remaining Council Discretionary Funds as reserve funds are immediately re -appropriated into the following fiscal year. This allows Council the flexibility to take advantage of unforeseen opportunities or needs without the restriction of fiscal year boundaries. Use of the reserve funding requires Council majority approval. The reserve exists at year -end only when there are remaining unspent Council Discretionary funds at the end of the fiscal year. Other Unassigned Reserve The ‘Other Unassigned Reserve’ represents accumulated net operations not yet allocated to other fund balance reserves, and by definition, fall into the Unassigned Fund Balance classificatio n. In the General Fund, a baseline of $500,000 of accumulated net operations is to remain in the Other Unassigned Fund Balance Reserve at year end to provide a buffer for unanticipated operational shortfalls and unforeseen needs. Other fund’s accumulated net operations are typically accounted for in an undefined reserve account – typically just called fund balance reserve. As the other types of funds are structured for specific uses or commitments, their fund balance already has a directed purpose, whereas the General Fund is used for multiple operational purposes thereby requiring a distinction of purpose for each reserve. Council may utilize reserve funding at budget adoption or by adoption of a budget adjustment resolution during the course of the year. Reserve funding is replenished from year-end net operations, as available. SPECIAL REVENUE FUND – FUND BALANCE RESERVE POLICIES Landscape & Lighting Assessment District Funds Assessment District Funds are Special Revenue Funds, which is a t ype of governmental fund. As a governmental fund, the Landscape and Lighting Assessment District Funds comply with GASB 54 fund balance classifications, and by nature of the fund’s purpose, fund balance reserves are classified as restricted reserves. Special Revenue Funds account for and report the proceeds of specific revenue sources that are restricted or committed to specified purposes (other than for debt service or capital projects.) For the City, Landscape & Lighting District Special Revenue Funds were established to account for each individual assessment district; thereby each fund has its own separate fund balance reserve. Each district’s fund balance reserve should be sufficient to provide working capital to cover operational expenses through the first half of assessment receipts in January, therefore equitable to approximately one-half of a district’s annual expenditure budget. The second half of receipts are received in June. Some districts may include capital improvement projects in addition to ongoing regular maintenance resulting in fund balance increasing over the years to accumulate sufficient resources for the improvement projects. As each district’s situation is different, a district’s maximum fund balance shall be determined by the Public Works Director. CITY OF SARATOGA INTRODUCTION SECTION 56 Requests for use of the reserve are approved by Council through budget adoption or by a Council approved budget adjustment resolution throughout the year. The reserve is replenished from the Fund’s net operations in subsequent years. DEBT SERVICE FUND – FUND BALANCE RESERVE POLICIES Library General Obligation (GO) Bond Debt Fund The Library General Obligation (GO) Bond Debt Fund is a Debt Service Fund established to account for the financial resources accumulated for principal, interest, and cost of issuance expenditures associated with the Library Bond Debt. As Debt Service Funds are a governmental fund type, the fund reserves fall under the GASB 54 fund balance classifications. Debt Service Fund reserves are classified as Restricted as funding can only be spent for specific purposes as stipulated by the bond covenants. The Library GO Bond Debt Fund was established to ensure receipts are tracked separately, and funding is available for the GO Bond debt service requirements. At a minimum, the year-end fund balance reserve shall be sufficient to provide working capital to cover the semi -annual principal and interest debt payment due on August 1 st as GO Bond tax receipts are received after the 1st debt payment is due. December receipts provide for the February payment. As bond assessments are collected as a percentage of property values, reserves should provide sufficient funding to compensate for tax fluctuations. The fund’s reserve maximum should be no more than one -year of budgeted annual expenditures. The reserve balance is increased (or reduced) through establishing assessment rates at more (or less) than the semi- annual payments and bond services require. Therefore, replenishment (or use) of the reserve is ap proved by Council through budget adoption and implemented through an increased (or reduced) assessment rate as a result of the fund’s net operations. CAPITAL IMPROVEMENT PROJECT FUNDS – FUND BALANCE RESERVE POLICIES Overview Capital Improvement Project (CIP) Funds account for the acquisition and maintenance of major capital assets other than those financed through special assessments or enterprise funds. Capital Project Funds are a type of governmental fund and therefore comply with GASB 54 fund balance classifications. As Council directs appropriated funding be spent for specific improvement projects, the Capital Project Fund Balance Reserves are classified as Committed Fund Balance. Budgeted capital improvement project funding is determined by the scope of work approved by Council, and remains assigned for that use until completed or reassigned by Council. Fund Balance amounts represent the total remaining funds in the individual projects at year -end. As Fund Balance amounts are determined by the point of project completion at year-end they cannot be standardized for minimum or maximum amounts. Fund Balance is re-appropriated to the capital project in the following fiscal year for the work to be completed. Street Improvement Projects Funds Street Improvement Project Funds provide for a safe and functional roadway and pedestrian street system. Each Street Improvement Fund (CIP Street Fund, CIP Grant Fund, and Gas Tax Fund) has multiple projects which roll up into the overall fund balances, but remain designated for use by project. The CIP Street Fund receives annual funding from fees, reimbursements, contributions, and transfers from other funds. The CIP Grant Fund receives federal, state, and local grants which vary in source and amou nt from year-to- year. On occasion, a private grant may be received. Typically, CIP Grant Funds have a negative fund balance as project work is conducted before reimbursement is received. Gas Tax Funds represent annual Highway User Tax and Transportation Congestion Relief revenue allocations that are to be accounted for separately and are subject to State audits. CITY OF SARATOGA INTRODUCTION SECTION 57 Year end fund balance represents the remaining unexpended project funds (net of any negative CIP Grant Fund Balance) which are subsequently re-appropriated by Council into the following budget year through budget adoption. Park & Trail Improvement Project Funds Park & Trail Improvement Project Funds provide for capital improvements to the City’s neighborhood and city parks and plaza, the sport fields, bike and pedestrian trails, and open space areas throughout the City. Each of the Park & Trail Improvement Funds (CIP Park & Trail Fund, CIP Tree Fund, and the CIP Park & Trail Grant Fund) have multiple projects which roll up into the overall fund balances, but remain designated for use by project. The CIP Park & Trail Fund receives annual funding from subventions, occasional Park -in-Lieu fees, reimbursements and contributions, and transfers in from other funds. The Tree Fund receives reven ue from tree fines and transfers from other funds upon Council direction. The CIP Grant Fund receives federal, state, local and occasional private grants which vary in source and amount from year-to-year. Typically, CIP Grant Funds have a negative fund balance as project work is conducted beforehand and then reimbursed from expenditure invoices. Year end fund balance represents the remaining unexpended project funds (net of any negative CIP Grant Fund Balance) which are subsequently re-appropriated by Council into the following budget year through budget adoption. Facility Improvement Project Funds Facility Improvement Project Funds provide for capital maintenance and improvements of the City -owned buildings and structures throughout the City. Each of the Facility Improvement Funds (CIP Facilities Fund and the Facility Grant Fund) have multiple projects which roll up into the overall fund balances, but remain designated for use by project. The CIP Facilities Fund receives annual funding from a General Fund transfer, from Theater Ticket Surcharge Fees, and from reimbursements and contributions. The Facility Grant Fund receives revenue from grants that vary in amount from year-to-year. Typically, CIP Grant Funds have a negative fund balance as pr oject work is conducted beforehand and then reimbursed from expenditure invoices. Year end fund balance represents the remaining unexpended project funds (net of any negative CIP Grant Fund Balance) which are subsequently re-appropriated by Council into the following budget year through budget adoption. Administrative & Technology Improvement Funds Administrative & Technology Improvement Project Funds provide for major capital expenditures to improve or enhance administrative, technology, and operational systems, processes, or functions. Each of the Administrative & Technology Improvement Funds (CIP Admin & Tech Improvement Fund and the Admin & Tech Grant Fund) have multiple projects which roll up into the overall fund balances, but remain designat ed for use by individual project. The CIP Administrative & Technology Improvement Fund typically receives funding from a General Fund transfer as administrative and technology improvement focused grants are limited. If grants are received, projects typically have a negative fund balance as project work is conducted beforehand and then reimbursed from expenditure invoices. Year end fund balance represents the remaining unexpended project funds (net of any negative CIP Grant Fund Balance) which are subsequently re-appropriated by Council into the following budget year through budget adoption. CITY OF SARATOGA INTRODUCTION SECTION 58 INTERNAL SERVICE FUNDS – FUND BALANCE RESERVE POLICIES Overview Internal Service Funds are established to provide centralized cost centers for shared expenses and services in order to efficiently track costs and manage resources. Costs are then allocated back to the operational programs based on usage to more accurately determine cost of services. The City’s Internal Service Funds include the two Insurance funds: Risk Management and Workers Compensation, four Service/Support funds: Office Support, IT Services, Vehicle & Equipment Maintenance, and Building Maintenance Funds, and three Equipment Replacement funds: the Vehicle & Equipment Replacement Fu nd, the Office Technology Equipment Replacement Fund, and the Building FF&E (Furniture, Fixture, & Equipment) Replacement Fund. As each fund is accounted for as a separate entity, operational revenues less expenditures result in either a positive or negative fund balance at any given point in time – Internal Service Funds are similar to the separate checking and saving accounts a person may use for different purposes. At year end, each fund’s net balance is represented as the “Fund Balance Reserve”. The intent of the Internal Service Funds Reserves is to hold appropriate levels of reserves to support cash flow needs and minimize interfund loans, not to accumulate funds in excess of expected ongoing operational costs. Reserve levels are determined by the specific operational needs of the program, but typically will fall within 25 – 50% of annual budgeted expenditures. Internal Service Funds are a type of Proprietary Fund; therefore GASB 54 fund balance classification (for Governmental Fund types) does not apply. Instead, Internal Service Fund’s financial statement reports are presented similar to private-sector businesses and use “Restricted” and “Unrestricted Net Position” to define net operational balances (equity/fund balance reserves). Unrestricted Net Position allows reserve funding to be used (with Council approval) within the general scope of the fund’s purpose. Restricted Net Position reserves are limited to a specific use, narrower than the stated purpose of the fund. For example, grant funding provided for a defined use, as in remaining funds from a Risk Management Training Grant within the Liability/Risk Management Fund, must be used for qualified training purposes. Most Internal Service Funds reserves are held in the Unrestricted Net Position category. Liability /Risk Management Reserve Fund The Liability/Risk Management Fund’s Unrestricted Net Position reserve supports cash flow needs and minimizes interfund loans. Appropriate levels are maintained through service chargebacks to the programs, based on operational risk factors. Most claims are covered under the insurance risk pool JPA, the City is self -insured for up to $25,000 per General Liability and City Vehicle Auto Liability occurrence, and up to $5,000 for Property Damag e and 3rd Party Auto Liability. Non-covered claims are paid fully by the City. The Liability/Risk Management program receives funding from allocations charged to covered departments, from grant funding, and from claim reimbursements. At year end, unsp ent funding flows into Unrestricted Net Position or Restricted Net Position for specific purposes. Requests for use of reserve balance are approved by Council through budget adoption or by a Council approved budget adjustment resolution during the year. The reserve is replenished from the Fund’s net operations in subsequent years. Workers Compensation Fund The Workers Compensation Fund’s Unrestricted Net Position reserve supports cash flow needs and minimizes interfund loans. Appropriate levels are maintained through service chargebacks to the programs, based on operational risk factors. The purpose of the Workers' Compensation program is to provide insurance benefit coverage for employee work-related illness and/or injuries through its membership in a shared risk pool. The risk pool provides coverage up to $250,000, and excess insurance provides coverage over this amount up to $10 million. The Workers Compensation program receives funding from allocations charged to covered departments, from gr ant funding, and from claim reimbursements. At year end, unspent funding flows into Unrestricted Net Position, or Restricted Net Position for grant funding. Requests for use of the reserve balance are approved by Council through CITY OF SARATOGA INTRODUCTION SECTION 59 budget adoption or by a Council approved budget adjustment resolution during the year. The reserve is replenished from the Fund’s net operations in subsequent years. Office Support Fund The Office Support program provides a centralized cost center for administrative office support expenses, including photocopy machine leases, postage machines, shared office machines, and the associated maintenance and repair services, postage, paper, and copier supplies. For efficiency, office support costs are managed collectively and charged back to departmental programs on a use-basis allocation. Accumulated net operations are held in the Office Support Fund for working capital cash flow. The reserve is funded from the allocations charged to covered departments. At year end, u nspent funding flows into Unrestricted Net Position. Requests for use of excess reserve balance are approved by Council through budget adoption or by a Council approved budget adjustment resolution during the year. The reserve is replenished from the Fund’s net operations in subsequent years. Information Technology Services Fund Information Technology Services provide for the delivery of technology based services throughout the City’s operations, including maintenance of the City’s information syste ms and infrastructure, program implementation, streaming video, internet, landline, and wireless communications systems, cloud based technology, and support of all existing information technology as well as new technology initiatives. For efficiency, info rmation technology costs are managed collectively and charged back to departmental programs on a service -based allocation to fund the program. Funding for the program comes from these allocations charged to covered departments. At year end, unspent funding flows into Unrestricted Net Position. Accumulated net operations are held in the Information Technology Services Fund for working capital cash flow. Requests for use of the reserve are approved by Council through budget adoption or by a Council approved budget adjustment resolution during the year. The reserve is replenished from the Fund’s net operations in subsequent years. Vehicle & Equipment Maintenance Fund The Vehicle & Equipment Maintenance program provides for the fuel, maintenance, a nd servicing of the City’s fleet and major equipment to ensure all vehicles and equipment comply with manufacturer’s recommendations and safety requirements. To fund the program, vehicle & equipment replacement costs are charged back to the departmental programs based on assigned usage. Accumulated net operations are held in the Vehicle & Equipment Maintenance Fund for working capital cash flow. At year end, unspent funding flows into Unrestricted Net Position. Requests for use of the reserve are approved by Council through budget adoption or by a Council approved budget adjustment resolution during the year. The reserve is replenished from the Fund’s net operations in subsequent years. Building Maintenance Fund The Building Maintenance program provides for the custodial, maintenance, and non-major repairs and building improvement services for all facilities at the Civic Center, Prospect Center, and Museum Park. Additionally, the program supports the maintenance and repair needs for the tenants o f City leased buildings as defined in the lease agreements. To fund the program, total costs are allocated back to departmental programs primarily based on building space usage. General and public use is allocated to the Non-Departmental program. Accumulated net operations are held in the Building Maintenance Fund for working capital cash flow. Funding comes from the allocations charged to covered departments. At year end, unspent funding flows into Unrestricted Net Position. Requests for use of the reserve are approved by Council through budget adoption or by establishing chargeback funding levels higher or lower than budgeted expenditures. The reserve is replenished from the Fund’s net operations in subsequent years. CITY OF SARATOGA INTRODUCTION SECTION 60 Vehicle & Equipment Replacement Reserve The Vehicle and Equipment Replacement Fund Balance Reserve accounts for accumulated funding over an asset’s lifespan, to be used for the replacement of the vehicle or equipment at the end of its useful life. Initial purchases are paid for through a department’s operational budget. If the purchased item is for ongoing use, the Vehicle & Equipment Replacement program appropriates an annual allocation for the replacement of the vehicles and equipment based on the asset’s cost and years of life. Final determination for replacement of the asset is determined through an analysis of whether the cost of maintenance equals or exceeds the cost of replacing the asset. The reserve is funded from allocations charged to covered departments and represents accumulated funding, less amounts expended for asset replacement. At year end, unspent funding is held in Unrestricted Net Position. The reserve is to be maintained at a level sufficient to provide replacement funding of vehicles and equipment in accordance with replacement schedules. Requests for use of the reserve are approved by Council through budget adoption or by a Council approved budget adjustment resolution throughout the year. The reserve is replenished from the Fund’s net operations in subs equent years. Office Technology Equipment Replacement Fund The Office Technology Equipment Replacement Fund accounts for accumulated funding over an asset’s lifespan to be used for the replacement of office technology based equipment such as desktop computers and monitors, laptops and tablets, network infrastructure, and various other related equipment. Replacement costs are charged back to the departments based on assigned equipment costs. Initial purchases are paid for through a department’s operational budget. If the purchased item is for ongoing use, the Office Equipment Replacement program appropriates an annual allocation for the replacement of the equipment based on the asset’s cost and years of life. The reserve represents accumulated funding, less amounts expended for replacements. The reserve shall be funded to provide replacement funding in accordance with replacement schedules. Funding for the reserve comes from the allocations charged to covered departments. Requests for use of the reserve are approved by Council through budget adoption or by a Council approved budget adjustment resolution during the year. The reserve is replenished from the Fund’s net operations in subsequent years. Facility Furniture, Fixtures & Equipment (FFE) Replacement Fund The Facility FF&E Fund accumulates funding over an asset’s lifespan to be used for the replacement of furniture – such as tables, chairs, and cubicle partitions; for fixtures - such as kitchen appliances, sound equipment, lighting, for equipment - such as HVAC units, boilers, and generators; and for facility infrastructure – such as roof, door, window, and floor/carpeting replacement. Initial purchases for new assets may be paid for through the Operating Budget or through the Capital B udget. Annual replacement charges are charged-back to the supported department programs with full replacement funding to be accumulated over the asset’s estimated lifetime. Final determination for replacement of the asset is determined through an analysis of whether the cost of maintenance equals or exceeds the cost of replacing the asset. The reserve is intended to be maintained at a level sufficient to provide replacement funding in accordance with replacement schedules. Requests for use of the accumulated reserve funding are approved by Council through budget adoption, or if an unplanned situation occurs, by a Council approved budget adjustment resolution during the fiscal year. The reserve is replenished by replacement charge allocations in subsequent years. CITY OF SARATOGA INTRODUCTION SECTION 61 CIP PROJECT PROCESS POLICY This procedural policy defines how a project moves through the CIP Budget Funding process: from the initial project idea, through project development, nomination, and project approval process, and if successful, into the Capital Budget as a funded project. The CIP project development stage of the policy takes different tracks, depending upon whether the project idea is staff driven or Council nominated. These two paths are discussed separately below, until the tracks converge for CIP project assessment preparation. STAFF PROJECT DEVELOPMENT 1. CIP Project Initiation As a function of staff’s day-to-day work, infrastructure improvements and large-scale repairs and maintenance are identified as potential capital improvement projects. These are often highly-visible tangible public assets such as street repaving, or park and trail improvements. However, many CIP projects are less noticeable, including facility roof repairs, tree planting, or ADA enhancements. Projects may also be administrative or technology improvements, and hence invisible to the general public, such as code updates/revisions, process improvements, software implementations, or economic vitality programs. Staff is to discuss the CIP project idea with the appropriate staff or City Manager for feedback and refinement. Ultimately, projects need clearly defined boundaries to identify project requirements, specifications, and resources. While this is not always feasible in the initial stages of project development, the understanding that a project will eventually require a clear and specific scope will encourage better preparation for discussing the project idea and moving it through the nomination process. After receiving initial approval, staff moves into the idea development stage. 2. Idea Development To move the idea forward, staff will need to analyze and articulate the project’s scope, political impacts, priority factors, resource requirements, and any other relevant considerations. a. Project Scope – Scope may include the description, project size and location parameters, project purpose, and goals or deliverables, such as products, services or results. Project justifications and assumptions should support the project’s purpose and definition, and may include cost-benefit analysis, risk assessments, funding availability, or even community desirability factors. The scope should clearly state if a project is to be funded and/or completed in phases rather than as a singular body of work. If the project is ongoing infrastructure maintenance or a program project, this too should also be clearly noted. In some cases, project scope may be defined by exclusions – statements about what the project will not accomplish or produce. Additionally, constraints or restrictions may identify project limitations. Project Scope defines a commitment to produce a body of work or end-product with the resources provided under the stated assumptions. The written scope helps to manage expectations and provide clarity to the involved parties, reduce confusion and failure, prevent scope creep, and provide transparency to the community. b. Political Considerations - Knowledge of historical information, which attests to the necessity of Council/staff communication is of vital importance in project development. Determine whether this project CITY OF SARATOGA INTRODUCTION SECTION 62 has come up for consideration before, or why was it not completed previously. Are there lessons to be learned from a past project proposal? Another consideration includes knowing whether a project might be controversial. Is there a segment of the community strongly opposed to, or strongly supportive of this specific project? Will this project prompt demand for further funding or resources? Have similar projects been completed in another part of the city? Determine why this project should be considered a priority over others, and whether the project’s cost or benefits would be supported by the community. c. Priority Factors - Project priority is an important consideration in the CIP approval decision factor. Council’s role is to determine which projects are of higher priority than others since there will never be enough money or resources to do every project. Decision criteria may include factors such as:  Health and Safety Issues  Imminent failure of structure/system  Short-term cost of repair vs. long-term cost of replacement  Availability of external or dedicated funding  Federal or State mandates  Business or community support  Impacts if project is not completed A project’s priority is also affected by the severity of the criteria. For instance, a project that falls under the “Imminent Failure of Structure/System” criteria may be an extremely dangerous situation in need of immediate repair, or low danger of minor importance and simply remedied by removal. Another example would occur with Federal or State mandated projects. There may be little impact as to whether the mandate is met, or there may be severe fines for lack of timely completion. As a result, project priority is based on the overall assessment of the circumstances; many factors contribute to priority decisions and Council cannot rely upon a clear hierarchical order upon which to base their decisions. d. Project Resources - In the City’s project development discussions, resources typically refer to financial funding. However, resources may also refer to staff time, equipment and materials, community/stakeholder participation or support, space requirements, information technology services, or some other type of support or contribution. Funding plays a critical role in project development. In many cases, lower priority projects may be approved ahead of higher priority projects simply because there is designated funding available for the lower priority projects. The ability to bring designated funding (such as a grant award) with a project proposal greatly increases the likelihood that the proposed project is approved. Overall, projects that request undesignated Capital Project Reserve funding are more competitive due to funding limitations and the number of projects competing for the same pot of funds. An additional component of project resource considerations are the unstated resources (identified above) required in project construction or implementation. For instance, staff time is limited and time spent working on one project prevents staff time being spent on another project. Project timing and staff time requirements are therefore an important component of the project that Council may wish to review. e. Other Considerations - There are numerous other factors not mentioned above that are also taken into consideration when assessing a project idea. For example, can the City afford the ongoing operating budget increases to maintain or implement the project? Does the project contribute toward economic vitality? Are there environmental concerns? Does it enhance the community’s art, education, or cultural resources? Does the project provide operational efficiencies or cost savings? Are there risk management or legal liability issues? Does this project require development be staged in phases? Is there strong community interest in this project? Each project will differ, meaning analysis is specific to the circumstances, and diligent research and thought should be put into developing project scope and justification. CITY OF SARATOGA INTRODUCTION SECTION 63 In summary, the overall goal of idea development is to identify, quantify, and assess the project comprehensively. This effort is intended to ensure that a proposed project is well-thought-out, developed, and articulated thereby enabling the City Manager and Council to make educated and rational decisions. 3. City Manager Approval Staff is to propose the project idea to the City Manager for approval. If approved, the project is moved onto the CIP Project Candidate List. Staff is to notify the Administrative Services Director of the project’s approval and provide pertinent project information. Staff will prepare written narratives with project scope, justification, fiscal impacts, cost estimates, timelines, etc. as necessary for Council Retreat assessment package. City Council Project Development Council Members are often the recipients of residents’ suggestions for capital project work. Depending on the topic, Council Members can take these opportunities to: 1) educate the residents on why a project may not be feasible; or 2) provide residents with information on how to contact City staff with their requests to determine feasibility; or 3) Council may support the project suggestion and decide to act as a proponent for the project by guiding it through the Capital Project Nomination process: 1. Nomination - To move a project idea onto the CIP Candidate List, a Council Member is to propose the idea to fellow Council Members at the end of a City Council Meeting during the Council Items session and request that it be put on the CIP Candidate List for review during the next upcoming CIP budget cycle. 2. Idea Concurrence - A second Council Member must concur with the request to move the project idea onto the Capital Project Candidate List. 3. Follow-up - A nomination to the Capital Project Candidate List is to be recorded in the City Council minutes, and acted upon as a follow-up item for staff to complete Candidate List step requirements. Staff will prepare written narratives with project scope, justification, fiscal impacts, cost estimates, timelines, etc. as necessary for Council Retreat assessment package. CIP Project Assessment 1. Assessment Package In preparation for the annual Capital Project Assessment, Finance will consolidate the CIP Project Candidates, along with proposed changes to current CIP projects, and the current year’s CIP Unfunded Project List into an assessment package for Council’s review. The Capital Project Assessment review provides a forum to assess all projects at one time. These assessment package will include:  A review of available funding  Existing projects in the current year’s CIP  Proposed changes to existing projects  The current CIP Unfunded List  Proposed changes to projects on the CIP Unfunded List  New projects on the CIP Candidate List  Review of requests in conjunction with funding sources 2. Council Retreat The Capital Project Assessment is to be held annually, prior to the start of the budget development cycle, typically at the Council Retreat Meeting that occurs in late January or early February. During the assessment review, Council will review available funding and all project requests. CITY OF SARATOGA INTRODUCTION SECTION 64 In their review, Council may request revisions to a project’s scope, funding, or other component. However, changes that redefine a proposed project must be Council’s consensus direction. As projects are assessed, they are either:  Rejected  Accepted, or  Modified and Accepted At the conclusion of the assessment review, Council will prioritize accepted projects and designate project funding. Projects placed on the Funded List will be brought forward to the upcoming Budget Study Session. The remainder will be placed on the CIP Unfunded Project List. NOTE: Rejected project ideas may be nominated for another attempt to become an approved project in the following year(s), but must again go through the project development and assessment process. 3. Budget Study Session Updated CIP funding availability and project revisions will be reviewed a final time with Council. Council will conduct a final assessment and provide consensus direction to staff for inclusion in the upcoming Proposed Budget Hearing to be held in May. CIP Project Funding 1. Proposed Budget Hearing The final Proposed Capital Budget with the recommended project funding will be brought to the City Council Budget Public Hearing in May for final review. New funded projects will be presented, along with summary level budget information. Council is to provide any final comments or direction for budget adoption. 2. Budget Adoption The Operating and Capital Budgets are brought to Council in June with all final direction incorporated into the final summaries. Council is to adopt the budget at this time, with budget funding effective on July 1st of that year. Funding Process Follow-up  Approved CIP projects that do not receive funding allocations will be assigned to the next budget year’s CIP Unfunded List. The list will be included in the budget document, and assessed again during the following year’s Capital Project Nomination and Assessment Process.  The new CIP Unfunded List has a life span of one budget cycle. CITY OF SARATOGA INTRODUCTION SECTION 65 GANN APPROPRIATION LIMIT & BUDGET RESOLUTIONS CITY OF SARATOGA INTRODUCTION SECTION 66 GANN APPROPRIATION LIMIT On November 6, 1979 California voters approved Proposition 4, commonly known as the Gann Spending Limitation Initiative, establishing Article XIIIB of the State Constitution. This proposition, which became effective in Fiscal Year 1980/81, mandated an appropriations (spending) limit on the amount of tax revenues that the State and most local government jurisdictions may appropriate within a fiscal year. This limit grows annually by a population and cost-of-living factor. The State Appropriation Limit was modified by two subsequent initiatives – Proposition 98 in 1988 and Proposition 111 in 1990. Proposition 98 established that tax revenues exceeding appropriation limit levels would be returned to the State or citizens through a process of refunds, rebates, or other means. Proposition 111 allowed more flexibility in the appropriation calculation factors. Only tax proceeds are subject to this limit. Charges for services, fees, grants, loans, donations and other non-tax proceeds are excluded. Exemptions are also made for voter-approved debt, debt which existed prior to January 1, 1979, and for the cost of compliance with court or Federal government mandates. The City Council adopts an annual resolution establishing an appropriations limit for the following fiscal year using population and per capita personal income data provided by the State of California’s Department of Finance. Each year’s limit is based on the amount of tax proceeds that were authorized to be spent in fiscal year 1978/79, with inflationary adjustments made annually to reflect increases in population and the cost of living . This State Appropriation Limit is therefore established as the amount of funds that can be appropriated from tax proceeds for that fiscal year. APPROPRIATION LIMIT CALCULATION With per capital income expected to increase next year coupled with a slight population increase, the appropriation factor is positive for FY 2015/16. The following schedule reflects historical appropriations for the prior ten years, and the calculation for the next budget year: APPROPRIATION LIMIT FACTORS For Beginning County City California Ending % YE Population Population Per Capita Limit Limit Factor Factor Income Δ Limit Increase 2006 24,471,983 1.0112 1.0124 1.0526 26,078,624 6.57% 2007 26,078,624 1.0118 1.0034 1.0396 27,203,516 4.31% 2008 27,203,516 1.0152 1.0138 1.0442 28,837,681 6.01% 2009 28,837,681 1.0172 1.0077 1.0429 30,592,104 6.08% 2010 30,592,104 1.0156 1.0070 1.0062 31,261,971 2.19% 2011 31,261,971 1.0126 1.0100 0.9746 30,851,813 -1.31% 2012 30,851,813 1.0089 1.0091 1.0251 31,907,666 3.42% 2013 31,907,666 1.0124 1.0070 1.0377 33,521,156 5.06% 2014 33,521,156 1.0157 1.0129 1.0512 35,790,667 6.77% 2015 35,790,667 1.0150 1.0066 0.9977 36,243,974 1.27% 2016 36,243,974 1.0113 1.0000 1.0382 38,053,696 4.99% AppropriationAppropriation June 30 CITY OF SARATOGA INTRODUCTION SECTION 67 Actuals Actuals Actuals Actuals Estimated Budgeted Projected Projected Projected Projected 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20 9,873,525 10,163,343 10,716,987 11,408,601 12,198,750 12,520,350 13,203,015 13,922,903 14,682,041 15,482,572 30,851,813 31,907,666 33,521,156 35,790,667 36,243,974 38,053,696 39,553,691 41,112,813 42,733,392 44,417,850 34% 32% 32% 32% 34% 33% 33% 34% 34% 35% Tax Revenues to Appropriation Limit 10 Year Trend Tax Revenues Appropriation Limit Revenue to Limit % - 5,000,000 10,000,000 15,000,000 20,000,000 25,000,000 30,000,000 35,000,000 40,000,000 45,000,000 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20 The City of Saratoga’s appropriation limit for fiscal year 2015/16 is calculated as follows: As illustrated above, the total amount of tax revenues appropriated to the City in FY 2015/16 is not to exceed $38,053,695. The FY 2015/16 budget anticipates $12,520,350 in Gann designated tax revenues which equates to $25,533,345 less than, or approximately 33% of the appropriation limit. Therefore, the City’s tax revenues fall substantially below the appropriation limit. APPROPRIATION TREND The City of Saratoga is an affluent suburb community, known for its excellent schools and beautiful neighborhoods, and home to many Silicon Valley executives and professionals. As a highly desirable place to live comprised of high- value homes, property values have grown significantly over the past few decades. However, with Saratoga established as a low-tax city, the City’s share of property tax dollar growth has increased at a slower pace than either population or the per capita personal income growth rate since the Gann calculation was established in 1979. Together, these factors contribute to a large margin between tax revenues received and the revenue limitation established under the Gann Proposition With a long-term average tax growth rate of about 4% over the last ten years, and a very long-term appropriation growth trend of 5.3% (based on a 35 year average) there is a strong expectation the wide margin between revenue and appropriations will continue into the future. APPROPRIATION LIMIT ADOPTION The resolution to revise the appropriation limit to $38,053,695 for FY 2015/16 will be brought to Council for approval on June 3, 2015. % Increase in California 2014/15 2015/16 County Per Capita Appropriation Appropriation Appropriation Population Income Δ Factor Limit Limit 1.0113 X 1.0382 = 1.0499 X 36,243,974$ = 38,053,695$ FY 2015/16 Calculation CITY OF SARATOGA INTRODUCTION SECTION 68 GANN APPROPRIATION LIMIT RESOLUTION CITY OF SARATOGA INTRODUCTION SECTION 69 ANNUAL BUDGET RESOLUTION CITY OF SARATOGA INTRODUCTION SECTION 70 71 FINANCIAL SUMMARIES & SUPPLEMENTAL INFORMATION 72 CITY OF SARATOGA FINANCIAL SUMMARIES 73 FINANCIAL SUMMARIES TOTAL FUND REVENUES AND EXPENDITURES Summary schedules which provide a high level overview of the entire operating budget, in a fund-type summary, as well as by fund-specific and category-specific summary levels. Total Fund Activity Summary .............................................................................................................................. 75 Total Revenues – by Fund .................................................................................................................................... 76 Total Expenditures – by Fund .............................................................................................................................. 78 Total Revenues – by Category............................................................................................................................. 80 Total Expenditures – by Category ........................................................................................................................ 81 GENERAL FUND REVENUES AND EXPENDITURES Summary schedules which identify the General Fund operating sources and uses at the department and category levels. The Fund Balance Activity summarizes the General Fund sources and uses which impact the ending fund balance. General Fund Revenues – by Department ........................................................................................................... 82 General Fund Expenditures – by Department ...................................................................................................... 83 General Fund Revenues – by Category ................................................................................................................ 84 General Fund Expenditures – by Category ........................................................................................................... 85 General Fund Tax Revenues per Capita – Cities of Santa Clara County ............................................................ 86 General Fund Tax Revenues – 10 Year History of Key Tax Revenues .............................................................. 87 General Fund – Fund Balance Reserve Activity .................................................................................................. 88 TRANSFERS A schedule summarizing activity by fund, of estimated fund transfers for the prior year and budgeted for the adopted fiscal year. Schedule of Interfund Transfers ........................................................................................................................... 89 FUND BALANCE Fund Balance schedules, one which summarizes activity and ending fund balances to provide a quick look at the ongoing status of the individual funds, and another which provides a 5 year trend. Total Fund Balance Activity Summary – by Fund .............................................................................................. 90 Fund Balance Reserve – 5 Year Comparative History ......................................................................................... 92 CITY OF SARATOGA FINANCIAL SUMMARIES 74 DEPARTMENTAL BUDGETS Department level schedules which provide an overview of funding source and expenditure use by each program within the department. Department Revenues – by Program .................................................................................................................... 94 Department Expenditures – by Program............................................................................................................... 96 SUPPLEMENTAL INFORMATION EMPLOYEE INFORMATION Staffing schedules which provide a summary level view of operational staffing assignments, funding, and trend over the prior five years. Summary of Employee Salary & Benefits .......................................................................................................... 100 Positions by Department .................................................................................................................................... 104 Staffing by Department ..................................................................................................................................... 106 Staffing by Fund ................................................................................................................................................ 107 MAJOR REVENUE INFORMATION Descriptions and schedules which provide a five year historical view of the City’s major revenue sources, and the forces which impact these revenues. General Fund Revenues ..................................................................................................................................... 110 Non-General Fund Revenues ............................................................................................................................. 116 Capital Revenues ............................................................................................................................................... 117 LONG-RANGE FINANCIAL FORECAST Summary level schedule of projected General Fund revenues and expenditures forecasted over the next five years – consistent with current assumptions and organizational structure. General Fund Five Year Financial Projection .................................................................................................... 120 CITY OF SARATOGA FINANCIAL SUMMARIES 75 TOTAL FUND BUDGET ACTIVITY SUMMARY FY 2015/16 Capital Project funding incorporates remaining funds not yet received from the prior year, new revenue, grants to be received, and transfers-in. Prior year budgeted funds are shown as beginning fund balance carryforward amounts to which new funding is added to produce total available funding for project budgets. All available funds are appropriated as expenditures and transfers-out to allow for project encumbrances and completion. As most projects will not be fully expended in a fiscal year, remaining project balances will carry forward into the next fiscal year. Estimated Revenues Expenditures Source (Use)Estimated Fund Balance && of Fund Balance Fund Category July 1, 2015 Transfers In Transfers Out Fund Balance June 30, 2016 Operating Funds General Fund Reserves Environmental Services 363,182$ -$ -$ (50,000)$ 313,182$ Hillside Stability 1,000,000 - - - 1,000,000 Capital Projects 1,777,896 - - (1,777,896) - Facility Reserve 900,000 - - 300,000 1,200,000 Carryforwards 176,560 - - - 176,560 Working Capital 2,007,545 - - - 2,007,545 Fiscal Stabilization 1,000,000 - - 250,000 1,250,000 Development Services 713,891 - - (60,000) 653,891 Compensated Absences 208,167 - - - 208,167 Other Unassigned 1,659,491 19,174,626 (20,500,303) 1,337,896 1,671,710 Total General Fund Reserves 9,806,732 19,174,626 (20,500,303) - 8,481,055 Special Revenue Funds Landscape & Lighting Districts 867,643 585,867 (650,800) - 802,709 Total Special Revenue Reserves 867,643 585,867 (650,800) - 802,709 Internal Service Funds Liability/Risk Management 386,018 394,008 (393,913) - 386,113 Workers Compensation 314,525 185,000 (214,555) - 284,970 Office Support Services 75,075 62,000 (73,250) - 63,825 IT Services 260,322 480,000 (530,065) - 210,257 Vehicle & Equipment Maintenance 115,564 275,000 (256,346) - 134,218 Facility Maintenance 268,326 900,000 (879,629) - 288,697 Vehicle & Equipment Replacement 649,498 125,000 (204,500) - 569,998 IT Equipment Replacement 194,101 125,000 (108,400) - 210,701 Building FFE Replacement - 200,000 (169,000) - 31,000 Total Internal Service Fund Reserves 2,263,429 2,746,008 (2,829,658) - 2,179,779 Total Operating Funds 12,937,804$ 22,506,501$ (23,980,761)$ -$ 11,463,544$ Debt Service 2001 Series GO Bonds 906,600 846,300 (885,085) - 867,815 Total Debt Service Funds 906,600 846,300 (885,085) - 867,815 TOTAL OPERATING BUDGET 13,844,404$ 23,352,801$ (24,865,846)$ -$ 12,331,359$ Capital Funds Street Projects 1,904,297 8,897,591 (10,801,888) - - Park & Trail Projects 1,238,992 1,132,372 (2,267,499) - 103,865 Facility Projects 347,619 352,332 (664,950) - 35,000 Administrative Projects 367,869 415,000 (782,869) - - Total Capital Funds 3,858,777 10,797,294 (14,517,206) - 138,865 TOTAL ALL FUNDS 17,703,182$ 34,150,095$ (39,383,052)$ -$ 12,470,224$ CITY OF SARATOGA FINANCIAL SUMMARIES 76 TOTAL REVENUES & TRANSFERS IN BY FUND FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 Revenues by Fund Actuals Actuals Actuals Adjusted Actuals Adopted General Fund General Fund 16,230,633$ 17,635,987$ 18,268,366$ 18,672,217$ 19,519,545$ 19,174,626$ Total General Fund 16,230,633 17,635,987 18,268,366 18,672,217 19,519,545 19,174,626 Special Revenue Funds Landscape & Lighting Districts 491,241 483,087 521,302 527,376 566,483 585,867 Total Special Revenue Funds 491,241 483,087 521,302 527,376 566,483 585,867 Internal Service Funds Liability / Risk Management Ins 352,455 403,399 389,809 439,560 399,482 394,008 Workers Compensation Ins 219,287 244,453 217,433 210,000 217,567 185,000 Office Support Services 50,626 67,086 65,028 65,000 68,183 62,000 Information Technology Services 400,000 400,257 403,488 425,000 430,803 480,000 Vehicle & Equipment Maintenance 200,000 215,000 250,000 300,000 300,000 275,000 Building Maintenance 725,000 755,857 832,474 875,000 882,299 900,000 Vehicle & Equipment Replacement 115,715 100,000 207,050 200,000 206,393 125,000 IT Equipment Replacement 50,000 46,236 55,000 65,000 65,000 125,000 Facility FFE Replacement - - - - - 200,000 Total Internal Service Funds 2,113,083 2,232,288 2,420,282 2,579,560 2,569,728 2,746,008 Debt Service Funds 2001 Series GO Bond 13,387,316 892,253 901,539 851,300 898,774 846,300 Total Debt Service Funds 13,387,316 892,253 901,539 851,300 898,774 846,300 Capital Improvement Program Funds Street Projects 3,455,125 2,558,053 1,489,006 8,345,275 1,771,339 7,774,953 Park & Trail Projects 647,874 (57,245) 967,061 666,536 311,143 482,536 Facility Projects 39,219 113,410 131,590 265,100 38,580 118,436 Administrative Projects 5,736 162,683 - 30,000 163,928 130,000 Total Capital Improvement Program 4,147,954 2,776,901 2,587,657 9,306,911 2,284,991 8,505,924 Total Revenues 36,370,226$ 24,020,516$ 24,699,145$ 31,937,364$ 25,839,521$ 31,858,725$ Operating Transfers In General Fund 205,222 106,000 167,050 - - - Street Capital Project Funds 400,308 661,818 234,487 788,396 731,010 1,122,638 Park & Trail Capital Project Funds 25 593,852 119,877 443,445 443,445 649,836 Facility Capital Project Fund 264,659 324,500 100,000 439,900 472,653 233,896 Admin Capital Project Fund 55,941 85,000 163,673 220,000 120,000 285,000 Total Transfers In 926,155$ 1,771,170$ 785,087$ 1,891,741$ 1,767,108$ 2,291,370$ Total Revenues & Transfers In 37,296,381$ 25,791,686$ 25,484,232$ 33,829,105$ 27,606,629$ 34,150,095$ CITY OF SARATOGA FINANCIAL SUMMARIES 77 TOTAL REVENUES & TRANSFERS IN BY FUND TYPE FY 2015/16 TOTAL REVENUES BY FUND Note: Capital Project revenue and expenditure amounts in the current year budget reflect full appropriation for receipt and expense of capital funding to indicate the potential impact of capital projects. However, this high level of activity is not expected as most projects are completed over multiple years. Remaining project balances at year-end carryover to the following fiscal year, and are again reflected as revenue and expenditure funding. FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 % of Fund Actuals Actuals Actuals Adjusted Actuals Adopted Total General Fund 16,230,633$ 17,635,987$ 18,268,366$ 18,672,217$ 19,519,545$ 19,174,626$ 60.2% Special Revenue Funds 491,241 483,087 521,302 527,376 566,483 585,867 1.8% Internal Service Funds 2,113,083 2,232,288 2,420,282 2,579,560 2,569,728 2,746,008 8.6% Debt Service Funds 13,387,316 892,253 901,539 851,300 898,774 846,300 2.7% Capital Improvement Funds 4,147,954 2,776,901 2,587,657 9,306,911 2,284,991 8,505,924 26.7% Total Revenues by Fund 36,370,226$ 24,020,516$ 24,699,145$ 31,937,364$ 25,839,521$ 31,858,725$ 100.0% Operating Fund Transfers 205,222 106,000 167,050 - - - CIP Fund Transfers 720,933 1,665,170 618,037 1,891,741 1,767,108 2,291,370 Total Revenues & Transfers In 37,296,381$ 25,791,686$ 25,484,232$ 33,829,105$ 27,606,629$ 34,150,095$ CITY OF SARATOGA FINANCIAL SUMMARIES 78 TOTAL EXPENDITURES & TRANSFERS OUT BY FUND FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 Expenditures by Fund Actuals Actuals Actuals Adjusted Actuals Adopted General Fund General Fund 14,710,798$ 15,567,935$ 16,137,576$ 20,907,884$ 19,882,349$ 18,597,647$ Total General Fund 14,710,798 15,567,935 16,137,576 20,907,884 19,882,349 18,597,647 Special Revenue Funds Landscape & Lighting Districts 432,862 423,644 409,418 611,514 432,671 650,800 Total Special Revenue Funds 432,862 423,644 409,418 611,514 432,671 650,800 Internal Service Funds Liability / Risk Management Ins 352,603 308,096 336,743 463,117 296,590 393,913 Workers Compensation Ins 211,425 182,700 229,510 267,272 184,683 214,555 Office Support Services 55,236 54,285 35,928 73,750 46,229 73,250 Information Technology Services 374,362 375,674 422,703 475,725 432,550 530,065 Vehicle & Equipment Maintenance 219,786 227,604 224,078 244,177 220,785 256,346 Building Maintenance 732,592 771,882 817,506 855,198 813,842 879,629 Vehicle & Equipment Replacement 10,000 95,000 140,258 66,543 65,775 204,500 IT Equipment Replacement 53,844 46,678 58,530 68,200 23,687 108,400 Facility FFE Replacement - - - - - 169,000 Total Internal Service Funds 2,009,848 2,061,919 2,265,256 2,513,982 2,084,142 2,829,658 Debt Service Funds 2001 Series GO Bond 13,375,558 868,910 889,510 889,985 889,960 885,085 Total Debt Service Funds 13,375,558 868,910 889,510 889,985 889,960 885,085 Capital Project Funds Street Projects 3,693,733 2,832,190 1,853,714 10,858,248 2,322,630 10,768,010 Park & Trail Projects 948,802 290,278 886,168 2,097,456 544,470 1,912,663 Facility Projects 492,379 670,761 286,412 876,036 369,650 664,950 Administrative Projects 43,986 186,044 69,220 326,819 42,878 782,869 Total Capital Project Funds 5,178,900 3,979,272 3,095,514 14,158,558 3,279,628 14,128,492 Total Expenditures 35,707,967$ 22,901,680$ 22,797,274$ 39,081,924$ 26,568,750$ 37,091,682$ Operating Transfers Out General Fund 280,000 1,184,500 380,880 1,733,345 1,666,098 1,902,656 IT Equip Replacement to CIP 24,963 - - - - - Street Capital Project Funds 324,896 572,818 225,698 - - 33,878 Park & Trail Capital Project Funds 25 13,852 59,837 - - 354,836 Facility Capital Projects Fund 259,841 - - - - - Admin Capital Projects Fund 36,430 - 118,672 90,000 40,000 - Total Operating Transfers Out 926,156$ 1,771,170$ 785,087$ 1,823,345$ 1,706,098$ 2,291,370$ Total Expenditures & Transfers Out 36,634,122$ 24,672,850$ 23,582,362$ 40,905,269$ 28,274,848$ 39,383,052$ CITY OF SARATOGA FINANCIAL SUMMARIES 79 TOTAL EXPENDITURES & TRANSFERS OUT BY FUND TYPE FY 2015/16 TOTAL EXPENDITURES BY FUND Note: Capital Project revenue and expenditure amounts in the current year budget reflect full appropriation for receipt and expense of capital funding to indicate the potential impact of capital projects. However, this high level of activity is not expected as most projects are completed over multiple years. Remaining project balances at year-end carryover to the following fiscal year, and are again reflected as revenue and expenditure funding. FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 % of Expenditures by Fund Actuals Actuals Actuals Adjusted Actuals Adopted Total General Fund 14,710,798$ 15,567,935$ 16,137,576$ 20,907,884$ 19,882,349$ 18,597,647$ 50.1% Special Revenue Funds 432,862 423,644 409,418 611,514 432,671 650,800 1.8% Internal Service Funds 2,009,848 2,061,919 2,265,256 2,513,982 2,084,142 2,829,658 7.6% Debt Service Funds 920,820 868,910 889,510 889,985 889,960 885,085 2.4% Capital Project Funds 5,178,900 3,979,272 3,095,514 14,158,558 3,279,628 14,128,492 38.1% Total Expenditures by Fund 23,253,229$ 22,901,680$ 22,797,274$ 39,081,924$ 26,568,750$ 37,091,682$ 100.0% Operating Fund Transfers 304,963 1,184,500 380,880 1,733,345 1,666,098 1,902,656 CIP Fund Transfers 621,193 586,670 404,207 90,000 40,000 388,714 Total Expenditure & Transfers 24,179,384$ 24,672,850$ 23,582,362$ 40,905,269$ 28,274,848$ 39,383,052$ Bond Refunding Expenditures 12,454,738$ -$ -$ -$ -$ -$ Total Funding Uses 36,634,122$ 24,672,850$ 23,582,362$ 40,905,269$ 28,274,848$ 39,383,052$ CITY OF SARATOGA FINANCIAL SUMMARIES 80 TOTAL REVENUES & TRANSFERS IN BY CATEGORY FY 2015/16 TOTAL REVENUES BY CATEGORY FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 % of Revenues by Category Actuals Actuals Actuals Adjusted Actuals Adopted Total Property Tax 9,699,503$ 10,337,920$ 10,944,060$ 11,599,392$ 11,889,552$ 11,904,358$ 37.4% Sales Tax 1,100,489 1,051,121 941,350 1,085,000 1,224,427 1,060,000 3.3% Franchise Fee Tax 1,852,390 2,083,704 2,112,596 2,105,954 2,234,068 2,186,638 6.9% Transient Occupancy Tax 205,421 228,199 257,010 245,000 309,618 310,000 1.0% Business/Other Taxes 477,962 541,158 565,261 540,000 556,654 575,000 1.8% Fees, Licenses & Permits 1,236,460 1,591,517 1,524,041 1,366,450 1,409,199 1,465,900 4.6% Intergovernmental 313,453 447,502 466,424 433,500 586,596 446,500 1.4% Charge for Services 1,743,515 1,756,198 1,942,388 1,887,153 1,789,649 1,845,234 5.8% Interest Income 48,994 32,486 41,524 26,300 46,762 44,300 0.1% Rental Income 508,647 463,696 442,207 465,508 474,750 485,602 1.5% Other Sources 550,699 530,644 454,345 296,636 470,826 283,261 0.9% Operational Revenues 17,737,534$ 19,062,379$ 19,691,206$ 20,050,893$ 20,992,101$ 20,606,793$ 64.7% Internal Service Funds 2,030,000 2,181,235 2,420,282 2,579,560 2,562,429 2,746,008 8.6% Capital Improvements 4,147,954 2,776,901 2,587,657 9,306,911 2,284,991 8,505,924 26.7% Total Revenues 23,915,488$ 24,020,515$ 24,699,145$ 31,937,364$ 25,839,521$ 31,858,725$ 100.0% Fund Transfers In 926,155 1,771,170 785,087 1,891,741 1,767,108 2,291,370 Total Revenues & Transfers 24,841,643$ 25,791,686$ 25,484,232$ 33,829,105$ 27,606,629$ 34,150,095$ Bond Refunding Proceeds 12,454,738 - - - - - Total Funding Sources 37,296,381$ 25,791,686$ 25,484,232$ 33,829,105$ 27,606,629$ 34,150,095$ CITY OF SARATOGA FINANCIAL SUMMARIES 81 TOTAL EXPENDITURES & TRANSFERS OUT BY CATEGORY FY 2015/16 TOTAL EXPENDITURES BY CATEGORY FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 % of Expenditure Category Actuals Actuals Actuals Adjusted Actuals Adopted Total Salaries & Benefits 6,850,735$ 7,217,090$ 7,295,206$ 7,845,049$ 7,377,313$ 7,870,167$ 21.2% UAL Payments - - - 3,380,000 3,294,619 500,000 1.3% Materials & Supplies 382,800 395,618 447,068 546,738 357,664 567,828 1.5% Fees & Charges 1,616,183 1,578,292 1,655,610 2,022,893 1,569,019 1,775,479 4.8% Consultant & Contract Services 2,037,669 2,267,655 2,448,555 2,721,890 2,360,528 2,989,984 8.1% Sheriff Services 4,060,306 4,153,654 4,225,024 4,600,540 4,611,024 4,973,080 13.4% Meetings & Training 38,277 43,636 81,926 101,650 77,093 133,550 0.4% Community Grants & Events 116,203 121,318 169,725 210,576 162,516 216,685 0.6% Debt Service 920,820 868,910 889,510 889,985 889,960 885,085 2.4% Fixed Assets 21,336 95,000 129,138 109,043 94,386 380,500 1.0% Operating Expenditures 16,044,329 16,741,173 17,341,760 22,428,364 20,794,122 20,292,358 54.7% Internal Service Charges 2,030,000 2,181,235 2,360,000 2,495,001 2,495,000 2,670,832 7.2% Capital Improvements 5,178,900 3,979,272 3,095,514 14,158,558 3,279,628 14,128,492 38.1% Total Expenditures 23,253,229$ 22,901,680$ 22,797,274$ 39,081,924$ 26,568,750$ 37,091,682$ 100.0% Operating Transfers Out 304,963 1,184,500 380,880 1,733,345 1,666,098 1,902,656 CIP Fund Transfers Out 621,193 586,670 404,207 90,000 40,000 388,714 Total Expenditures & Transfers 926,156$ 1,771,170$ 785,087$ 1,823,345$ 1,706,098$ 2,291,370$ Bond Refunding Expenditure 12,454,738 - - - - - Total Funding Uses 36,634,123$ 24,672,850$ 23,582,362$ 40,905,269$ 28,274,848$ 39,383,052$ CITY OF SARATOGA FINANCIAL SUMMARIES 82 GENERAL FUND REVENUES BY DEPARTMENT FY 2015/16 GENERAL FUND REVENUES BY DEPARTMENT 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 % of Departments Actuals Actuals Actuals Adjusted Actuals Adopted Total Council & Commissions 2,400$ 1,200$ 1,200$ -$ 3,600$ 600$ 0.0% City Manager's Department 20,412 2,236 625 1,400 934 400 0.0% Administrative Services 49,758 51,985 47,609 45,000 56,581 46,800 0.2% Community Development 1,922,649 2,183,782 2,219,935 2,130,100 2,095,113 2,201,650 11.5% Public Works 587,480 967,747 1,014,993 831,960 991,143 727,522 3.8% Recreation & Facilities 852,736 875,765 910,597 993,150 905,638 1,105,900 5.8% Public Safety 694,129 682,552 447,024 405,525 460,596 386,025 2.0% Non-Departmental 12,101,067 12,870,720 13,626,382 14,265,082 15,005,940 14,705,729 76.7% Total General Fund Revenues 16,230,633$ 17,635,987$ 18,268,366$ 18,672,217$ 19,519,545$ 19,174,626$ 100.0% Fund Transfers In 205,222 106,000 167,050 - - - GF Revenues & Transfers In 16,435,855$ 17,741,987$ 18,435,416$ 18,672,217$ 19,519,545$ 19,174,626$ Use of Fund Balance Reserves: 31,900 247,200 73,101 118,788 118,788 - Development Reserve - - - - - 60,000 Environmental Reserve - 50,000 50,000 50,000 50,000 50,000 CIP Reserve 80,779 1,504,944 280,880 1,633,345 1,633,345 1,777,896 CY CIP Reserve (UAL Pymt) - - - 500,000 500,000 - Hillside Reserve - (75,000) (216,721) - - - Compensated Absences - (200,000) - - - - Fiscal Stability Reserve - - - 1,000,000 1,000,000 - Fiscal Stability - Repayment - - - - (500,000) (250,000) Working Capital Reserve - - - 930,184 930,184 - Total General Fund Sources $ 16,548,534 $ 19,269,131 $ 18,622,676 $ 22,904,534 $ 23,251,862 $ 20,812,522 Carryforward Reserve CITY OF SARATOGA FINANCIAL SUMMARIES 83 GENERAL FUND EXPENDITURES BY DEPARTMENT FY 2015/16 GENERAL FUND EXPENDITURES BY DEPARTMENT 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 % of Departments Actuals Actuals Actuals Adjusted Actuals Adopted Total Council & Commissions 152,149$ 134,016$ 154,129$ 317,301$ 160,023$ 211,203$ 1.1% City Manager's Department 798,582 821,984 804,146 990,454 940,226 870,858 4.7% Administrative Services 1,166,825 1,168,605 1,236,490 1,342,403 1,290,046 1,328,506 7.1% Community Development 1,887,796 2,046,853 2,181,710 2,288,037 2,086,680 2,300,506 12.4% Public Works 4,318,432 4,542,221 4,833,962 5,102,067 4,948,538 5,107,113 27.5% Recreation & Facilities 1,269,497 1,318,493 1,383,277 1,506,278 1,363,426 1,586,948 8.5% Public Safety 4,310,113 4,391,844 4,491,384 4,886,602 4,859,379 5,230,431 28.1% Non-Departmental 807,403 1,143,919 1,052,480 4,474,742 4,234,030 1,962,083 10.6% 14,710,798$ 15,567,935$ 16,137,576$ 20,907,884$ 19,882,349$ 18,597,647$ 100.0% Fund Transfers Out 280,000 1,184,500 380,880 1,733,345 1,666,098 1,902,656 GF Expenditures & Transfers 14,990,798$ 16,752,435$ 16,518,456$ 22,641,229$ 21,548,447$ 20,500,303$ Total General Fund Exp CITY OF SARATOGA FINANCIAL SUMMARIES 84 GENERAL FUND REVENUES BY CATEGORY FY 2015/16 GENERAL FUND REVENUES BY CATEGORY FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 % of Revenue Category Actuals Actuals Actuals Adjusted Actuals Adopted Total Property Tax 8,279,947$ 8,966,396$ 9,526,189$ 10,223,750$ 10,436,621$ 10,475,350$ 54.6% Sales Tax 1,100,489 1,051,121 941,350 1,085,000 1,224,427 1,060,000 5.5% Transient Occupancy Tax 205,421 228,199 257,010 245,000 309,618 310,000 1.6% Business & Other Taxes 477,963 541,158 565,261 540,000 556,654 575,000 3.0% Franchise Fee Tax 1,852,390 2,083,704 2,112,596 2,105,954 2,234,068 2,186,638 11.4% Intergovernmental 274,848 416,486 466,424 433,500 586,596 446,500 2.3% Fees, Licenses & Permits 1,236,460 1,591,517 1,524,041 1,366,450 1,409,199 1,465,900 7.6% Charge for Services 1,732,889 1,744,112 1,942,388 1,887,153 1,789,649 1,845,234 9.6% Interest 44,731 28,670 40,003 25,000 45,229 43,000 0.2% Rental Income 508,647 465,460 440,287 465,508 474,750 485,602 2.5% Other Sources 516,848 519,164 452,817 294,902 452,734 281,402 1.5% Total Revenues 16,230,633$ 17,635,987$ 18,268,366$ 18,672,217$ 19,519,545$ 19,174,626$ 100.0% Fund Transfers In 205,222 106,000 167,050 - - - Total Revenues & Transfers 16,435,855$ 17,741,987$ 18,435,416$ 18,672,217$ 19,519,545$ 19,174,626$ Use of Fund Balance Reserves: Carryforward Reserve 31,900 247,200 73,101 118,788 118,788 - Development Reserve - - - - - 60,000 Environmental Reserve - 50,000 50,000 50,000 50,000 50,000 CIP Reserve 80,779 1,504,944 280,880 1,633,345 1,633,345 1,777,896 CY CIP Reserve - - - 500,000 500,000 - Hillside Reserve - (75,000) - - - - Compensated Absences - (200,000) - - - - Fiscal Stability Loan - - - 1,000,000 1,000,000 - Fiscal Stability (Repayment) - - - - (500,000)(250,000) Working Capital - - - 930,184 930,184 - Total Operating Sources 16,548,534 19,269,131 18,839,397 22,904,534 23,251,862 20,812,522 CITY OF SARATOGA FINANCIAL SUMMARIES 85 GENERAL FUND EXPENDITURES BY CATEGORY FY 2015/16 GENERAL FUND EXPENDITURES BY CATEGORY FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 % of Expenditure Category Actuals Actuals Actuals Adjusted Actuals Adopted Total Salary & Benefits 6,074,360$ 6,409,105$ 6,408,421$ 6,937,142$ 6,484,653$ 7,014,983 37.7% CalPERS UAL Payment - - - 3,380,000 3,294,619 500,000 2.7% Materials & Supplies 163,990 188,965 236,925 301,011 195,949 285,420 1.5% Fees & Charges 708,175 738,596 759,799 934,513 732,387 787,336 4.2% Consultant & Contract Services 1,638,896 1,883,085 2,054,371 2,085,876 1,966,367 2,237,588 12.0% Sheriff Services 4,060,306 4,153,654 4,225,024 4,600,540 4,611,024 4,973,080 26.7% Meetings, Events & Training 37,783 38,946 80,468 97,400 73,668 126,800 0.7% Community Grants & Events 116,203 122,007 169,725 210,576 162,516 216,685 1.2% Fixed Assets 11,336 - - 35,000 35,343 - 0.0% Internal Services Charges 1,899,748 2,033,577 2,202,844 2,325,826 2,325,823 2,455,755 13.2% Total Expenditures 14,710,798$ 15,567,935$ 16,137,576$ 20,907,884$ 19,882,349$ 18,597,647$ 100.0% Fund Transfers Out 280,000 1,184,500 380,880 1,733,345 1,666,098 1,902,656 Total Expenditures & Transfers 14,990,798$ 16,752,435$ 16,518,456$ 22,641,229$ 21,548,447$ 20,500,303$ CITY OF SARATOGA FINANCIAL SUMMARIES 86 GENERAL FUND TAX REVENUES CITIES OF SANTA CLARA COUNTY – TAX REVENUES PER CAPITA FY 20013/14* TAX REVENUES AND PER CAPITA *Most recent information available from neighboring cities City Population Amount Per capita Amount Per capita Amount Per capita Amount Per capita Campbell 41,993 10,195,501 243 13,115,263 312 3,417,412 81 647,873 15 Cupertino 59,946 13,565,465 226 18,721,193 312 3,768,504 63 748,040 12 Gilroy 52,413 10,019,181 191 14,423,130 275 1,234,798 24 576,470 11 Los Altos 29,969 15,586,328 520 2,809,490 94 2,168,556 72 475,298 16 Los Altos Hills 8,354 4,356,583 521 110,474 13 - - 211,137 25 Los Gatos 30,532 9,031,871 296 8,029,571 263 1,512,846 50 1,130,020 37 Milpitas 70,092 27,607,559 394 19,766,138 282 9,336,309 133 482,125 7 Monte Sereno 3,450 1,318,167 382 7,576 2 - - 40,595 12 Morgan Hill 41,197 8,183,076 199 8,594,986 209 1,714,492 42 179,848 4 Mountain View 76,781 31,120,500 405 16,935,700 221 5,594,900 73 267,700 3 Palo Alto 66,861 30,587,000 457 29,424,000 440 12,255,000 183 - - San Jose 1,000,536 368,233,000 368 173,412,000 173 17,812,000 18 45,501,000 45 Santa Clara 121,229 39,187,491 323 46,735,959 386 15,140,910 125 874,135 7 SARATOGA 30,887 9,526,189 308 941,350 30 257,010 8 336,911 11 Sunnyvale 147,055 50,293,384 342 31,675,532 215 10,858,671 74 1,742,401 12 Average 118,753 41,920,753 353 25,646,824 216 5,671,427 73 3,547,570 30 Property Tax Sales Tax Transient Occupancy Business License CITY OF SARATOGA FINANCIAL SUMMARIES 87 GENERAL FUND REVENUES 10 YEAR HISTORY AND PROJECTED KEY TAX REVENUES GENERAL FUND TAX REVENUE CHART NOTES: FY 2006/07 Property Tax Revenues – Large increase reflects the ongoing permanent addition of Property Tax revenues resulting from an increased allocation share per the State passed Tax Equity Allocation (TEA) Legislation. (Approximately $760,000 in FY 2006/07). Summary of Change from Tax Revenues Prior Year 2005/06 Actuals 6,141,365$ 988,132$ 163,222$ 339,648$ 7,632,367 12.4% 2006/07 Actuals 7,577,444$ 994,680$ 195,261$ 303,787$ 9,071,172 18.9% 2007/08 Actuals 7,922,815$ 1,057,977$ 211,532$ 290,996$ 9,483,320 4.5% 2008/09 Actuals 8,155,362$ 1,043,034$ 151,378$ 321,347$ 9,671,121 2.0% 2009/10 Actuals 8,194,364$ 954,574$ 144,151$ 303,990$ 9,597,079 (0.8%) 2010/11 Actuals 8,026,659$ 990,579$ 184,362$ 310,273$ 9,511,873 (0.9%) 2011/12 Actuals 8,279,947$ 1,100,489$ 205,421$ 313,984$ 9,899,841 4.1% 2012/13 Actuals 8,966,396$ 1,051,121$ 228,199$ 336,298$ 10,582,014 6.9% 2013/14 Actuals 9,526,189$ 941,350$ 257,010$ 336,911$ 11,061,459 11.7% 2014/15 Actuals 10,436,621$ 1,224,427$ 309,618$ 357,597$ 12,328,263 24.5% 2015/16 Budgeted 10,475,350$ 1,060,000$ 310,000$ 355,000$ 12,200,350 15.3% Property Tax Sales Tax Occupancy Tax Business License TaxFiscal Year CITY OF SARATOGA FINANCIAL SUMMARIES 88 GENERAL FUND FUND BALANCE ACTIVITY Estimated Plus Less Sources Estimated 7/1/2015 Transfers Transfers (Uses) of 6/30/2016 General Fund Reserves:Balance Revenues In Expenditures Out Fund Balance Balance Restricted Environmental Services 363,182 - - - - (50,000) 313,182 Committed Hillside Stability 1,000,000 - - - - - 1,000,000 Assigned Capital & Efficiency Reserve 1,777,896 - - - - (1,777,896) - Facility Reserve 900,000 - - - - 300,000 1,200,000 Carryforwards 176,560 - - - - (176,560) (0) Unassigned Working Capital Reserve 2,007,545 - - - - 10,000 2,017,545 Fiscal Stability Reserve 1,000,000 - - - - 250,000 1,250,000 Development Services 713,891 - - - - (60,000) 653,891 Compensated Absences 208,167 - - - - - 208,167 Other Unassigned 1,659,491 19,174,626 - 18,597,647 1,902,656 1,504,456 1,838,270 Total Fund Balance Reserves 9,806,732$ 19,174,626$ -$ 18,597,647$ 1,902,656$ -$ 8,481,055$ GENERAL FUND Reserve Activity includes: Working Capital Reserve ensures sufficient cash flow funding for the General Fund. The reserve is adjusted at fiscal year end by interest earned on the reserve balance at LAIF rates. Council Policy caps the reserve at 20% of budgeted appropriations. Fiscal Stability Reserve of $1,500,000 is to be used to maintain fiscal stability. Upon approval from the City Council, this reserve may provide funding relief for such matters as State takeaways, unanticipated revenue shortfalls, unexpected expenses or natural disasters. This reserve is not adjusted for interest earnings. Development Services Reserve reflects accumulated funding to offset revenue and expense timing for multi-year development service obligations and for other development related expenses as directed by Council. Compensated Absences Reserve accrues funding to fund employee termination payouts as needed. The reserve balance is equal to one-third of the year- end liability. Fund Balance Reserves reflect the cumulative effect of revenues and other financing sources over expenditures and other financing uses. Restricted Fund Balance represents legal restrictions and obligations; Committed Fund Balance represents Council directed funding for a specific and binding use; Assigned Fund Balance represents resources that reflect the City's intended use of funds Unassigned Fund Balance includes estimated year-end fund balance not previously identified for a specific purpose, and is therefore available to buffer unplanned financial situations during the fiscal year. Environmental Reserve accounts for funding obligated for use in the Environmental program originally collected under the City's former solid waste agreement. Hillside Stability Reserve reflects funding set aside for emergency roadway and retaining wall support projects. Capital Project & Efficiency Reserve reflects funding designated to fund capital and efficiency projects in the current or future fiscal years as of budget adoption. Facility Reserve was established to accrue funding for the eventual replacement or major rehabilitation of City Buildings. Eligible uses of this reserve include direct funding of public facility improvements, and/or the servicing of related debt. Carryforward Reserves reflects an estimate of funding to be set-aside for Council directed, encumbered, or designated obligations that are to be paid for in the following fiscal year. As year-end fund balance reflects an estimate, sound finanical practices suggest retaining a sufficient amount of undesignated fund balance to offset unexpected revenue shortfalls and operational expenditures. CITY OF SARATOGA FINANCIAL SUMMARIES 89 SCHEDULE OF INTERFUND TRANSFERS Actuals Actuals Budgeted Budgeted 2014/15 2014/15 2015/16 2015/16 Transfers In Transfers Out Transfers In Transfers Out General Funds General Fund - 1,666,098 - 1,902,656 Special Revenue Funds Landscape & Lighting Districts - - - - Capital Project Funds Street Projects 731,010 61,010 1,122,638 33,878 Parks & Trail Projects 443,445 - 649,836 354,836 Facility Projects 472,653 - 233,896 - Administrative Projects 120,000 40,000 285,000 - Total Interfund Transfers 1,767,108$ 1,767,108$ 2,291,370$ 2,291,370$ FY 2014/15 Interfund Transfers In FY 2014/15 Interfund Transfers Out 7. $40,000 CIP Administrative Transfer Out to Play Structure CIP Capital Project Funds Transfer In of $2,173,345 is comprised of : 1. $670,000 from GF CIP Reserve to CIP Street projects, $60,010 from CIP project closeouts or transfers 2. $403,445 from GF CIP Reserve to CIP Parks projects, $40,000 from CIP Risk Mgmt Funding project to CIP Park Project 3. $479,900 from GF CIP Reserve to CIP Facilities projects, with $6,347 back to General Fund 4. $120,000 from GF CIP Reserves to CIP Administrattive & Technology projects General Fund Transfer Out of $1,666,098 is comprised of: 1. $100,000 operating transfer to the CIP Facilities Fund for projects 2. $670,010 CIP Reserve transfer to CIP Streets projects, 3. $403,445 CIP Reserve transfer to CIP Parks projects 4. $472,653 CIP Reserve transfer to CIP Facilities projects 5. $120,000 CIP Reserve transfer to CIP Administrative & Technology projects 6. $61,010 CIP Administrative Transfer Out to other CIP projects Capital Project Funds Transfer In of $2,291,370 is comprised of : 1. $1,088,760 from GF CIP Reserve to CIP Street projects 2. $295,000 from GF CIP Reserve to CIP Parks projects 3. $233,896 from GF CIP Reserve to CIP Facilities projects 4. $285,000 from GF CIP Reserves to CIP Administrative & Technology projects 5. $33,878 from CIP Street Projects to other CIP Street Projects 6. $354,836 from CIP Park Projects to other CIP Park Projects Fund Description FY 2015/16 Interfund Transfers In FY 2015/16 Interfund Transfers Out General Fund Transfer Out of $1,948,034 is comprised of: 1. $1,134,138 CIP Reserve transfer to CIP Streets projects 2. $295,000 CIP Reserve transfer to CIP Parks projects 3. $233,896 CIP Reserve transfer to CIP Facilities projects 4. $285,000 CIP Reserve transfer to CIP Administrative & Technology projects CITY OF SARATOGA FINANCIAL SUMMARIES 90 TOTAL FUND BALANCE ACTIVITY FY 2015/16 7/1/2015 Plus Plus Less Less Sources 6/30/2016 Estimated Revenues &Transfers Exp & Transfers (Uses) of Estimated Balance Carryfwds In Carryfwds Out Fund Bal Balance General Fund Restricted Environmental Services 363,182 - - - - (50,000) 313,182 Committed Hillside Stability 1,000,000 - - - - - 1,000,000 Assigned Capital & Efficiency Reserve 1,777,896 - - - - (1,777,896) - Facility Reserve 900,000 - - - - 300,000 1,200,000 Carryforwards 176,560 - - - - (176,560) - Unassigned Working Capital Reserve 2,007,545 - - - - 10,000 2,017,545 Fiscal Stabilization Reserve 1,000,000 - - - - 250,000 1,250,000 Development Services 713,891 - - - - (60,000) 653,891 Compensated Absences 208,167 - - - - - 208,167 Other Unassigned 1,659,491 19,174,626 - 18,597,647 1,902,656 1,504,456 1,838,270 Total General Fund 9,806,732$ 19,174,626$ -$ 18,597,647$ 1,902,656$ -$ 8,481,055$ Special Revenue Funds Landscape & Lighting Districts 867,643 585,867 - 650,800 - - 802,710 - Total Special Revenue Funds 867,643$ 585,867$ -$ 650,800$ -$ -$ 802,710$ Internal Service Funds Liability / Risk Management 386,018 394,008 - 393,913 - - 386,113 Workers Compensation 314,525 185,000 - 214,555 - - 284,970 Office Support Fund 75,075 62,000 - 73,250 - - 63,825 IT Services 260,322 480,000 - 530,065 - - 210,257 Vehicle & Equip Maintenance 115,564 275,000 - 256,346 - - 134,218 Facility Maintenance 268,326 900,000 - 879,629 - - 288,697 Vehicle & Equip Replacement 649,498 125,000 - 204,500 - - 569,998 IT Equipment Replacement 194,101 125,000 - 108,400 - - 210,701 Facility FFE Replacement - 200,000 169,000 - - 31,000 Total Internal Service Funds 2,263,429$ 2,746,008$ -$ 2,829,658$ -$ -$ 2,179,779$ Debt Service Funds GO Bond Debt Service 906,600 846,300 - 885,085 - - 867,815 Total Debt Service Funds 906,600$ 846,300$ -$ 885,085$ -$ -$ 867,815$ Internal Service Funds accounts provide operational costing for citywide services. Two of these funds are equipment replacement funds which charge back to departments the cost of the assets over their lifespan, to ensure replacement funding is available when required, and to charge an appropriate annual cost for the asset. Replacement Fund balances reflect funding accumulated to date for asset replacement. The remaining Internal Service Funds provide for the cost of services and insurance in a fair, allocated manner. Debt Service Funds manage the repayment of City debt. The City issued a General Obligation Bond in 2001 for the library expansion project. The Fund reflects the property tax assessment receipts, and the debt principal & interest payments made during the fiscal year. Fund Balance reflects the City's reserve for this debt issuance. Currently, the assessment revenues are intentionally set less than expenditures to reduce the Fund Balance to an appropriate debt level. Other Unassigned Fund Balance Reserves reflect the operating budget's ongoing revenues, expenditures, carryforwards, transfers in and out, and the use of fund balance reserves. Committed, Assigned, and the remaining Unassigned Reserves reflect funding held in compliance with specific fund balance policy and Council direction. The Restricted Reserve accounts for funding obligated for use in the Environmental program originally collected under the City's former solid waste agreement. Special Revenue Funds account for legally restricted revenues and obilgations. Landscape & Lighting Fund budgeted expenditures typically include all available funds to allow for use in unplanned repairs, if necessary, but are not anticipated to be used in full each year. CITY OF SARATOGA FINANCIAL SUMMARIES 91 TOTAL FUND BALANCE ACTIVITY FY 2015/16 7/1/2015 Plus Plus Less Less Source & 6/30/2016 Estimated Revenues & Transfers Expenditures & Transfers (Use) of Estimated Balance Carryforwards In Carryforwards Out Fund Bal Balance Capital Improvement Plan Funds Street Projects 1,904,297 7,774,953 1,122,638 10,768,010 33,878 - - Parks & Trails Projects 1,238,992 482,536 649,836 1,912,663 354,836 - 103,865 Facility Projects 347,619 118,436 233,896 664,950 - - 35,000 Administrative Projects 367,870 130,000 285,000 782,870 - - - Total Capital Improvement Funds 3,858,778$ 8,505,924$ 2,291,370$ 14,128,492$ 388,714$ -$ 138,865$ FUND BALANCE TOTALS 17,703,182$ 31,858,725$ 2,291,370$ 37,091,682$ 2,291,370$ -$ 12,470,224$ The above CIP funds are included at a summary level. Capital revenues include all outstanding funding sources identified as a source of funds for projects, however not all funding is expected to become available in the fiscal year. Similarly, appropriated expenditures are not expected to be expended as most are multi-year projects. Funds will be reduced to actuals at year-end and the remaining project balance will be rolled forward. CITY OF SARATOGA FINANCIAL SUMMARIES 92 FUND BALANCE RESERVES 5 YEAR COMPARATIVE HISTORY 6/30/2012 6/30/2013 6/30/2014 6/30/2015 6/30/2016 Actual Actual Actual Actual Budgeted YE Balance YE Balance YE Balance YE Balance YE Balance General Fund Restricted Environmental Services 513,182 463,182 413,182 363,182 313,182 Committed Hillside Stability 600,000 675,000 992,934 1,000,000 1,000,000 Assigned Capital & Efficiency Reserve 1,923,658 418,714 1,928,915 1,777,896 - Facility Reserve - 300,000 600,000 900,000 1,200,000 Carryforwards 247,201 73,101 118,788 176,560 - Unassigned Working Capital Reserve 2,914,426 2,923,096 2,930,184 2,007,545 2,017,545 Fiscal Stabilization Reserve 1,500,000 1,500,000 1,500,000 1,000,000 1,250,000 Development Services 667,233 667,233 705,459 713,891 653,891 Compensated Absences - 207,268 223,846 208,167 208,167 Uncollected Deposits 44,791 - - - - Other Unassigned 518,631 2,691,081 2,422,326 1,659,491 1,838,270 Total General Fund Reserves 8,929,122 9,918,675 11,835,634 9,806,732 8,481,055 Special Revenue Funds Landscape & Lighting Districts 562,504 621,947 733,831 867,643 802,710 Total Special Revenue Funds 562,504 621,947 733,831 867,643 802,710 Internal Service Liability / Risk Management 134,757 230,059 297,825 386,018 386,113 Workers Compensation 231,966 293,720 281,642 314,525 284,970 Office Support Services 11,220 24,021 53,121 75,075 63,825 IT Services 256,701 281,284 262,069 260,322 210,257 Vehicle & Equipment Maintenance 23,031 10,427 36,349 115,564 134,218 Facility Maintenance 200,926 184,901 199,869 268,326 288,697 Vehicle & Equipment Replacement 437,089 442,089 508,880 649,498 569,998 IT Equipment Replacement 156,760 156,318 152,788 194,101 210,701 Facility FFE Replacment - - - - 31,000 Total Internal Service Reserves 1,452,449 1,622,818 1,792,543 2,263,429 2,148,779 Debt Service 2001 Series Library GO Bonds 862,414 885,757 897,786 906,600 867,815 Total Debt Service 862,414 885,757 897,786 906,600 867,815 OPERATING BUDGET RESERVES 11,806,490$ 13,049,197$ 15,259,794$ 13,844,404$ 12,300,359$ Fund Balance Reserves CITY OF SARATOGA FINANCIAL SUMMARIES 93 FUND BALANCE RESERVES 5 YEAR COMPARATIVE HISTORY GRAPHIC REPRESENTATION OF GENERAL FUND AND TOTAL OF ALL FUNDS 5 YEAR FUND BALANCE HISTORY, BUDGET YEAR, AND 5 YEAR TREND PROJECTION Note – In the above graph, the FY 2015/16 fund balance (in white) and five years forward reflect full expenditure of the Capital Budget in the first budget year, thereby causing a steep drop and a continued zero balance from that point forward. The full appropriation of the capital project budget allows for full encumbrance and completion of the projects during the fiscal year, although full expenditure is not expected to occur, and project balances will carry forward into the following fiscal year. While actual total fund balance growth has averaged 2.1% over the last ten years, future year projections represent a conservative operating and capital budget with a 1% minimal growth in outlaying year’s fund balances. 6/30/2012 6/30/2013 6/30/2014 6/30/2015 6/30/2016 Actual Actual Actual Actual Budgeted YE Balance YE Balance YE Balance YE Balance YE Balance Capital Project Funds Street Project Funds 2,265,634 2,080,497 1,724,577 1,904,297 - Park & Trail Project Funds 655,461 887,941 1,028,874 1,238,992 103,865 Facility Improvement Funds 493,708 260,858 206,036 347,619 35,000 Administrative Project Funds 129,401 191,039 166,820 367,870 - Total Capital Projects Funds 3,544,204 3,420,335 3,126,307 3,858,778 138,865 TOTAL RESERVES 15,350,694$ 16,469,532$ 18,386,101$ 17,703,182$ 12,439,224$ Fund Balance Reserves CITY OF SARATOGA FINANCIAL SUMMARIES 94 DEPARTMENT REVENUES BY PROGRAM FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted Council & Commissions General Fund Program: City Council 2,400$ 1,200$ 1,200$ -$ 3,600$ 600$ City Commissions - - - - - - Total Council & Commissions 2,400$ 1,200$ 1,200$ -$ 3,600$ 600$ City Manager's Department General Fund Program: City Manager's Office - 200 600 800 800 400 City Clerk 20,412 2,036 25 600 134 - Total City Manager's Department 20,412$ 2,236$ 625$ 1,400 934 400 Finance & Administrative Services Department General Fund Program: Finance 49,758 51,985 47,609 45,000 56,581 46,800 Human Resources - - - - - - Administrative Services - - - - - - Internal Service Funds: Office Support Services 50,626 67,086 65,028 65,000 68,183 62,000 Information Technology Services 400,000 400,257 403,488 425,000 430,803 480,000 IT Equipment Replacement 50,000 46,236 55,000 65,000 65,000 125,000 Total Finance & Admin Services 550,384$ 565,564$ 571,125$ 600,000 620,567 713,800 Community Development General Fund Program: Development Services 591,958 524,709 560,730 534,500 533,310 525,800 Advanced Planning 169,574 226,973 228,523 150,000 156,165 150,000 Code Compliance 9,600 6,155 7,650 5,500 10,725 5,750 Building & Inspection Services 1,151,517 1,425,946 1,423,032 1,440,100 1,394,913 1,520,100 Total Community Development 1,922,649$ 2,183,782$ 2,219,935$ 2,130,100 2,095,113 2,201,650 Public Works Department General Fund Program: General Engineering 102,822 151,388 117,702 90,250 218,070 90,250 Development Engineering 107,099 144,232 169,014 73,100 139,654 74,000 Environmental Services 23,571 203,203 190,487 185,954 191,790 188,638 Streets & Storm Drains 2,912 170,231 245,811 190,000 186,633 200,000 Parks & Landscape Maintenance 351,076 298,692 291,980 292,656 254,995 174,634 Internal Service Funds: Vehicle & Equipment Maintenance 200,000 215,000 250,000 300,000 300,000 275,000 Vehicle & Equipment Replacement 115,715 100,000 207,050 200,000 206,393 125,000 Special Revenue Fund: Landscape & Lighting Districts 491,241 483,087 521,302 527,376 566,483 585,867 Total Public Works Department 1,394,436$ 1,765,834$ 1,993,345$ 1,859,336 2,064,018 1,713,389 CITY OF SARATOGA FINANCIAL SUMMARIES 95 DEPARTMENT REVENUES BY PROGRAM FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted Recreation & Facilities Department General Fund Program: Recreation Services 614,400$ 641,904$ 662,212$ 718,200$ 603,570$ 700,100$ Teen Services 2,758 1,626 782 5,000 1,500 3,200 Facility Rentals 235,579 232,236 247,604 269,950 300,567 402,600 Internal Service Funds: Facility Maintenance 725,000 755,857 832,474 875,000 882,299 900,000 Facility FFE Replacement - - - - - 200,000 Total Recreation Department 1,577,736$ 1,631,622$ 1,743,071$ 1,868,150 1,787,937 2,205,900 Public Safety General Fund Program: Public Safety Services 684,430 681,706 434,748 393,025 460,576 386,025 Emergency Preparedness 9,700 847 12,276 12,500 20 - Total Public Safety 694,129$ 682,552$ 447,024$ 405,525 460,596 386,025 Non-Departmental General Fund Program: General Administration 12,100,422 12,869,472 13,601,382 14,265,082 15,000,920 14,700,729 Legal Services - 1,248 25,000 - 20 - Community Grants - - - - - - Community Events 645 - - - 5,000 5,000 Internal Service Funds: Risk Management/Liability Ins 352,455 403,399 389,809 439,560 399,482 394,008 Workers Compensation Ins 219,287 244,453 217,433 210,000 217,567 185,000 Debt Service Funds 2001 Bond Debt Service Fund 13,387,316 892,253 901,539 851,300 898,774 846,300 Total Non-Departmental 26,060,125$ 14,410,824$ 15,135,163$ 15,765,942$ 16,521,764$ 16,131,037$ Capital Improvement Program Capital Improvement Funds Street Projects 3,455,125 2,558,053 1,489,006 8,345,275 1,771,339 7,774,953 Park & Trail Projects 647,874 (57,245) 967,061 666,536 311,143 482,536 Facility Projects 39,219 113,410 131,590 265,100 38,580 118,436 Administrative Projects 5,736 162,683 - 30,000 163,928 130,000 Total Capital Improvement Projects 4,147,954$ 2,776,901$ 2,587,657$ 9,306,911$ 2,284,991$ 8,505,924$ Operating Transfers In General Fund 205,222 106,000 167,050 - - - L&L Funds - - - - - - Capital Projects - Streets 400,308 661,818 234,487 788,396 731,010 1,122,638 Capital Projects - Parks & Trails 25 593,852 119,877 443,445 443,445 649,836 Capital Projects - Facilities 264,659 324,500 100,000 439,900 472,653 233,896 Capital Projects - Administrative 55,941 85,000 163,673 220,000 120,000 285,000 Total Operating Transfers In 926,155$ 1,771,170$ 785,087$ 1,891,741$ 1,767,108$ 2,291,370$ Total Revenues and Transfers In 37,296,381$ 25,791,686$ 25,484,232$ 33,829,105$ 27,606,629$ 34,150,095$ CITY OF SARATOGA FINANCIAL SUMMARIES 96 DEPARTMENT EXPENDITURES BY PROGRAM FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted Council & Commissions General Fund Programs: City Council 126,832$ 104,116$ 124,780$ 274,649$ 129,132$ 166,198$ City Commissions 25,317 29,900 29,349 42,652 30,891 45,006 Total Council & Commissions 152,149$ 134,016$ 154,129$ 317,301$ 160,023$ 211,203$ City Manager's Department General Fund Programs: City Manager's Office 508,150 498,730 500,476 583,729 569,824 516,266 City Clerk 290,432 323,254 303,670 406,725 370,402 354,591 Total City Manager's Department 798,582$ 821,984$ 804,146$ 990,454$ 940,226$ 870,858$ Administrative Services Department General Fund Programs: Finance Services 800,562 839,510 899,080 795,460 778,447 789,676 Human Resources 366,263 329,095 337,410 346,491 325,218 331,075 Administrative Services - - - 200,452 186,382 207,755 Internal Service Funds: Office Support Services 55,236 54,285 35,928 73,750 46,229 73,250 Information Technology Service 374,362 375,674 422,703 475,725 432,550 530,065 IT Equipment Replacement 53,844 46,678 58,530 68,200 23,687 108,400 Total Administrative Services 1,650,268$ 1,645,242$ 1,753,651 1,960,078 1,792,513 2,040,221 Community Development General Fund Programs: Development Services 822,267 925,009 955,477 966,259 909,462 967,242 Advanced Planning 144,716 115,740 254,409 162,300 113,311 173,230 Code Compliance 92,821 104,799 52,643 141,537 127,653 137,906 Building & Inspection Services 827,991 901,305 919,181 1,017,941 936,255 1,022,129 Total Community Development 1,887,796$ 2,046,853$ 2,181,710$ 2,288,037$ 2,086,680$ 2,300,506$ Public Works Department General Fund Programs: General Engineering 469,404 476,908 502,680 555,971 532,614 522,076 Development Engineering 191,598 205,693 213,150 196,831 194,320 223,179 Environmental Services 545,492 619,024 643,314 690,581 615,342 760,131 Streets & Storm Drains 1,186,626 1,284,436 1,381,240 1,446,840 1,454,269 1,413,236 Parks & Landscape Maintenance 1,925,312 1,956,160 2,093,578 2,211,844 2,151,993 2,188,490 Internal Service Funds: Vehicle & Equip Maintenance 219,786 227,604 224,078 244,177 220,785 256,346 Vehicle & Equip Replacement 10,000 95,000 140,258 66,543 65,775 204,500 Special Revenue Funds: Landscape & Lighting Districts 432,862 423,644 409,418 611,514 432,671 650,800 Total Public Works Department 4,981,080$ 5,288,469$ 5,607,716$ 6,024,301$ 5,667,769$ 6,218,758$ CITY OF SARATOGA FINANCIAL SUMMARIES 97 DEPARTMENT EXPENDITURES BY PROGRAM FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15 FY 2014/15 FY 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted Recreation & Facilities Department General Fund Programs: Recreation Services 900,930$ 938,742$ 961,244$ 1,055,579$ 940,097$ 1,071,231$ Teen Services 67,859 67,955 57,836 48,759 47,073 52,915 Facility Rentals 300,708 311,796 364,197 401,940 376,256 462,801 Internal Service Funds: Facility Maintenance 732,592 771,882 817,506 855,198 813,842 879,629 Facility FFE Replacement - - - - - 169,000 Total Recreation Department 2,002,090 2,090,375 2,200,783 2,361,476 2,177,268 2,635,577 Public Safety General Fund Programs: Public Safety Services 4,241,260 4,328,818 4,411,156 4,786,304 4,792,104 5,158,994 Emergency Preparedness 68,854 63,026 80,227 100,298 67,275 71,437 Total Public Safety 4,310,113 4,391,844 4,491,384 4,886,602 4,859,379 5,230,431 Non-Departmental General Fund Programs: General Administration 431,480 721,170 492,236 3,935,157 3,783,847 1,397,598 Legal Services 259,720 300,743 390,518 329,009 287,667 347,800 Community Grants 109,459 103,717 147,506 172,726 135,061 159,890 Community Events 6,744 18,290 22,219 37,850 27,455 56,795 Internal Service Funds: Liability / Risk Management 352,603 308,096 336,743 463,117 296,590 393,913 Workers Compensation 211,425 182,700 229,510 267,272 184,683 214,555 Debt Service Fund: 2001 Bond Debt Service Fund 13,375,558 868,910 889,510 889,985 889,960 885,085 Total Non-Departmental 14,746,989 2,503,626 2,508,243 6,095,116 5,605,263 3,455,636 Capital Improvement Program Capital Improvement Funds: Street Projects 3,693,733 2,832,190 1,853,714 10,858,248 2,322,630 10,768,010 Park & Trail Projects 948,802 290,278 886,168 2,097,456 544,470 1,912,663 Facility Projects 492,379 670,761 286,412 876,036 369,650 664,950 Administrative Projects 43,986 186,044 69,220 326,819 42,878 782,869 Total Capital Improvement Projects 5,178,900 3,979,272 3,095,514 14,158,558 3,279,628 14,128,492 Operating Transfers Out General Fund 280,000 1,184,500 380,880 1,733,345 1,666,098 1,902,656 IT Equip Replacement to CIP 24,963 - - - - - Capital Projects - Streets 324,896 572,818 225,698 - - 33,878 Capital Projects - Parks & Trails 25 13,852 59,837 - - 354,836 Capital Projects - Facilities 259,841 - - - - - Capital Projects - Administrative 36,430 - 118,672 90,000 40,000 - Total Operating Transfers Out 926,156 1,771,170 785,087 1,823,345 1,706,098 2,291,370 Total Expenditures &Transfers Out 36,634,122 24,672,850 23,582,362 40,905,269 28,274,848 39,383,052 CITY OF SARATOGA FINANCIAL SUMMARIES 98 CITY OF SARATOGA FINANCIAL SUMMARIES 99 STAFFING INFORMATION CITY OF SARATOGA FINANCIAL SUMMARIES 100 SUMMARY OF EMPLOYEE SALARY & BENEFITS The City of Saratoga’s total salary and benefit expenditures are budgeted at $7.87 million dollars in FY 2015/16, representing approximately 21.0% of total budgeted expenditures. Approximately $7.01 million or 89.0% of labor costs reside in the General Fund and represent 37.7% of the General Fund’s budgeted expenditures. Annual labor increases from cost-of-living-adjustments (COLA), employee step increases, pension cost increases, and insurance premium increases were offset in part by a reduction in employees, known as Full-Time-Equivalents (FTE’s) for this fiscal year: budgeted salary and benefit amounts increased just $25,118 from the prior year as the result of a 1.25 FTE reduction in benefited staff. Organizational Changes Staffing reductions in the Recreation and Facilities Department account for the 1.25 FTE decrease. A Facility Maintenance Worker vacancy was left unfunded this fiscal year as the functions were backfilled by a janitorial service contract. In addition, the Recreation Supervisor decreased from a 1.0 FTE to a .90 FTE, and a Recreation Coordinator decreased from a 1.0 FTE to a .85 FTE. Temporary staff is being utilized to backfill some workload duties. The remaining staff positions remained stable. With ever-increasing labor costs, City services are expected to remain at current levels, with staff levels managed closely to ensure operations remain sustainable. Budget Strategies As a minimum-services contract city, Saratoga has long seen the benefit of minimal staffing enhanced through contract and temporary staffing on an as-needed basis. Periodic and ongoing staffing augmentation is typically utilized for landscape maintenance services, recreation and facility services, development services, and attorney services. The City finds that the contract services arrangement with the Santa Clara County Sheriff’s Office provides a much higher level of police service, and with a cost-effective service structure, than could be attained in-house with City resources. Dedicated Sheriff Officers and staff are assigned to the City, although personnel and services easily adjust as circumstances warrant. This beneficial arrangement provides for a high level of expertise, equipment, and communication resources integrated into the smaller city service level on a day-to-day basis. The City’s personnel costs have remained manageable through long-term strategies. While neighboring cities raised employee benefits to an enhanced 2.5% or 2.7% @ 55 pension plan during the economic bubble, the City’s employee benefit structure remained at a sustainable 2% @55 pension plan. This lower benefit plan has and will continue to provide significant labor costs savings to the City in future years. In other cities, the enhanced plan costs will increase in cost to almost double the City’s standard plan. Additionally, the City does not provide retiree health benefits to employees, thereby eliminating another very costly liability that many cities are struggling under. As a result of employee benefit restraint, the City managed to maintain core services and minimize impacts to residents and employees alike during the economic downturn. While there were a number of employee layoffs and furlough days, they were minimal in comparison to some other cities, and residents were provided a mostly consistent level of services throughout FYs 2009/10 – 2012/13. The added benefit of employee retention throughout these three difficult years added to institutional knowledge and efficient operations. Employee Compensation and Benefits The City’s salary and benefit expenditure growth will continue to be constrained in the years to come by employee turnover and retirements. The 2011 MOU negotiations established reduced pension benefits for employees, and lower medical benefits for new employees. And subsequent State legislation known as PEPRA reduced retirement benefits for future employees not yet a member of the CalPERS pension plan system. New City employees fall under reduced pension plan benefits. ‘Classic’ CalPERS members hired on or after May 12, 2012, go into a second tier CalPERS retirement package of 2% @60. New CalPERS members (members post January 1, 2013) fall into a 2% @62 pension plan third tier. The annual savings equals the difference between the pool-specific rates times the respective second and third tier payroll. Annual saving from implementing these new tiers will be small at first, although savings are expected to increase by $200,000 to $300,000 per year in about 10 years. CITY OF SARATOGA FINANCIAL SUMMARIES 101 The 2015 MOU negotiations focused on reducing long-term employee medical benefits and increasing new employee medical benefits, to come to a standardized level of medical benefits for all employees. Medical benefits provide a cost sharing arrangement so that employees pay for 50% of the medical insurance premium growth in the future. Salary and budget projections are prepared using known data on current employees, current MOU provisions, and California Public Employees’ Retirement System (CalPERS), medical, dental, vision, long-term disability, and life insurance premiums. In some years, these projections are predictable, and in others there is fluctuation, such as when MOUs expire and new MOU provisions are scheduled to be put into place. The City does not use a vacancy factor for salary projections as typically there is very little turnover, and most positions require temporary backfill or a quick recruitment process due to the City’s limited staffing. Most staff positions are at top step, and health insurance benefits are budgeted at the employee’s current status (Single/Double/Family) under their chosen health insurance plan to provide more accuracy in the total salary and benefit costs. A payroll expense buffer is built into budgeted salary numbers to offset unknown cost impact which may occur during the fiscal year, and to fund terminations, turnover or disability backfill, PTO buyouts, excess overtime, and the Compensated Absences Reserve in compliance with policy, if needed at year-end. Personnel costs are comprised of salaries for full and part-time personnel, inclusive of holidays and paid time off and benefits which includes health, life and disability insurances, and retirement contributions. Annual wage increases and benefit adjustments are negotiated under each bargaining unit’s Memorandum of Understanding (MOU) contract. Memorandums of Understanding Each of the three bargaining units have an MOU: 1) the Saratoga Management Association for the four Department Directors; 2) the United Brotherhood of Carpenters and Joiners of America Local Union No 2236 (UNION) for the thirteen Public Work’s Corporation Yard staff, and; 3) the Saratoga Employees Association (SEA) for all other represented staff; the City’s largest bargaining group with 32 full and part-time employees. The City Manager, City Clerk, Human Resources Manager, HR Technician, Finance Manager, the Streets Division and Parks Division Public Works Managers, and hourly (un-benefited) staff are not represented by associations. Two of the three bargaining units entered into a four year MOU agreement effective through June 30, 2019, with one bargaining unit still in negotiations. The City Manager has a negotiated contract, and unrepresented employees fall under a separate un- negotiated contract. Wages Salaries are adjusted as defined by the MOUs and typically provide cost of living adjustments based upon the annual average for the 12 month period of January 1 to December 31 of the U.S. Department of Labor, Bureau of Labor Statistics, “All Urban Consumers (CPI-U)” for the San Francisco-Oakland-San Jose region. Effective with the 2011 MOUs, employees pay the full 7% CalPERS employee contribution from their wages. Employee Benefits The City provides limited benefit coverage for medical insurance, and full benefit coverage for dental, life, and long- term disability insurance to its benefitted employees. The City pays the Employers share of the CalPERS pension plan benefits on behalf of its eligible employees. The City contracts for health insurance through CalPERS, offering employees a choice of all CalPERS offered medical plans. Although CalPERS has substantial negotiating powers, health insurance premiums continue to increase each year. The 2015 MOU negotiations changed the medical insurance benefits to provide an $800 base contribution for Single employees, $1600 for Employee + One plans, and $2,080 for Employee + 2 plans, beginning calendar year 2016. Per the MOU, the City’s base will increase by 50% of the average medical premium increase in future years, and employees must pay the remainder of the insurance premium. The City contracts with Ameritas for its dental insurance provider, and Principal for Life and Disability (AD&D) Insurance. Dental insurance premiums and Life and AD&D premiums are paid 100% by the City. Employees may elect to enhance their AD&D coverage through the group plan. Currently, the City self-funds short-term disability coverage for 75% of wages after an employee’s paid time-off is exhausted, up until long-term coverage activates at six months. Employees have the option to enhance their long-term disability and life insurance plans, and to obtain vision care coverage through a group plan. CITY OF SARATOGA FINANCIAL SUMMARIES 102 Pension Plans The City of Saratoga provides a CalPERS administered cost-sharing, multiple employee pension plan benefit plan to employees. As the City has fewer than 100 employees, the City is part of a risk pool rather than a stand-alone plan. All city benefitted employees fall into the ‘Miscellaneous Employees’ pension pool. Public safety services are contracted through Santa Clara County Sheriff’s Office and their personnel belong to the County. Council Members have the option to join the City’s CalPERS pension plan, with three of the five electing to do so. Risk Pools - Newly hired city employees were added into the “2% @55 Risk Pool” (Tier 1) pension plan pool up until May 12, 2012 when the “Miscellaneous 2% @60 Risk Pool” (Tier 2) became effective for new employees. Subsequently, the Public Employee Pension Reform Act of 2012 established new defined benefit plans to lower pension benefit costs for all California government employees. The Act requires: effective January 1, 2013, all ‘new’ miscellaneous employee members shall be placed into a “2% @62” defined benefit plan (Tier 3). ‘New’ member status applies to new hires that are not current CalPERS members, or those members with a break in service of 6 months or longer. At the present time, the majority of City of Saratoga employees and Council Members fall into the Tier 1, 2% @55 risk pool plan. As of July 1st, 2015, the plan breakdown is: 44 in Tier 1 (74.6%), 8 in Tier 2 (13.5%), and 7 in Tier 3 (11.9%). This ratio will change each year with turnover and retirements. Pension benefit costs - The City’s payment of CalPERS Contribution Rates is comprised of employee and employer contributions. The Employee Contribution Rates under the 2% @55, and the 2% @60 benefit plans is constant at 7%. Under the new 2% @62 plan rate, the Employee Contribution Rates will be determined each year through an actuarial valuation, with the employee responsible for approximately 50% of the cost. For the initial three years, the 2% @62 plan employee contribution was set at 6.5%. This rate increased just slightly to 6.730% for FY 2015/16. A history of recent Saratoga’s Employer Contribution Rates for the various risk pools are shown in the table below. A couple of items of note: 1. FY 2012/13 shows two rates – the second rate line shows a decrease of approximately 2% due to the payoff of the side fund liability in mid-FY 2012/13. 2. FY 2015/16’s 2% @55 rates reflect a significant decrease from the prior year as the Unfunded Accrued Liability (UAL) funding costs are now separate from the normal pension charges. Beginning in FY 2015/16, UAL payments are assessed a flat dollar amount rather than a percentage of payroll. Actuarial Assumptions - Employer rates are based on CalPERS’ principle assumptions, including but not limited to an Investment Rate of Return and an Annual Payroll Growth Rate. Various agency-based factors such as number and age of employees, increases and decreases in employee FTEs and employee wages, and impacts from other agencies in the benefit plan pool are all contributing factors in the calculation. Since 2003, the established CalPERS actuarial assumption held that the value of its stock, bonds and other holdings would increase by 7.75% a year on average, and in fact, CalPERS annualized Investment Rate of Return (IRR) had Fiscal Year 2% @55 Employer Contribution Rate 2% @60 Employer Contribution Rate 2% @62 Employer Contribution Rate FY 2010/11 11.863% FY 2011/12 12.856% 8.438% FY 2012/13 13.031% 8.552% FY 2012/13 - Revised 11.040% 8.552% 6.70% FY 2013/14 11.603% 8.768% 6.70% FY 2014/15 12.330% 8.715% 6.70% FY 2015/16 9.353% 7.510% 6.730% CITY OF SARATOGA FINANCIAL SUMMARIES 103 averaged slightly higher than the 7.75% target – until the economic downturn began in 2008. Since then, with returns heavily diminished, CalPERS staff has repeatedly requested the Investment Rate of Return be adjusted. In March 2012, the CalPERS Board agreed to a reduction in the IRR to 7.5%, to be phased in over two years. This IRR change impacted Miscellaneous Employer Contribution Rates by increases of around 1%, and up to 2%, while most Public Safety Plan’s Employer Contribution Rate increased by 3%. This rate increase began in FY 2013/14, with Saratoga’s rate increasing by only .6% due to being on the lower benefit plan. CalPERS staff believe this IRR rate decrease was insufficient, and continues to ask for a further decrease down to 7.25% Rate Smoothing Policies – The severity of the economic downturn negatively impacted the CalPERS portfolio’s actuarial value of assets, which prompted actuarial staff to adjust their existing methodology. Initially, the result was a widening of the corridor for several years, with a smoothing policy that spread investment returns over a rolling 15 year period, and experience gains and losses paid over a rolling 30 year period. This methodology led to stabilized rates for the first few years, but CalPERS quickly came to understand this policy would understate risk as there was slow progress towards full funding. Additionally, the impact from rolling the smoothing and amortization periods would lead to unknown rate peaks and a lack of transparency. With the issuance of a new accounting standard that required 1) the reporting of actual pension liability, not just pension funding, and 2) favored closed periods without smoothing, CalPERS approved a further change in their amortization and smoothing policy in April of 2013. CalPERS now employs a policy that pays for all gains and losses over a fixed 30 year period, with the increases or decreases in the direct rate spread over a 5 year period – meaning rates will ramp up for five years, plateau for twenty years, and ramp down over the final 5 years. This methodology will improve the funded status in the long term and significantly reduce the probability of employer contribution rates increasing by more than 5% of payroll in a single year. The adoption of the new method will impact employer contribution rates beginning in FY 2015/16. Along with this actuarial modification, CalPERS decided to separate pension costs for current year liabilities from costs related to actuarial assumption changes for prior year liabilities, known as the UAL. This change will provide better rate stability, and payment option for Cities. Actuarial Assumptions – As part of CalPERS’ ongoing actuarial analysis, the various demographic assumptions are reassessed on a rotating basis. The update review conducted in 2013 revealed mortality and retirement age factors changed considerably, with impacts possibly impacting payroll by as high as 2 – 4% of payroll. The impact to Saratoga is not yet available, but is expected to be on the lower end due to the City’s participation in the lower-cost 2% @55 pension plan. The recommended update changes were adopted by CalPERS in February 2014, with changes scheduled to impact the FY 2016/17 rates. Even though the economic downturn and demographic update has impacted investment returns heavily, the “Miscellaneous 2% at 55 Risk Pool” was impacted less because the plan design was based on actuarially sound principles and experience data. Other enhanced plans (2.5@55, 2.7@55 for miscellaneous, and the further enhanced plans such as 3%@50 or 55 for Public Safety ) were built based on short-term assumptions, which were estimated – not realized, and ultimately proved to be fiscally unsustainable. Those plans are expected to experience much larger PERS rate increases in the coming years. Under PEPRA, the higher plan benefits will be phased out as employees leave the workforce. Summary - With the new amortization and smoothing policies and ever-changing actuarial assumptions, Saratoga’s pension costs will continue to increase in the upcoming years. Because the City has taken measures by paying down the Unfunded Liability and standardizing the annual UAL payment at an accelerated payment level, the UAL will be paid off sooner, and the susceptibility to rate volatility will be decreased in future years. This proactive fiscally responsible approach will allow the City to address economic impacts during inevitable future economic downturns. PEMHCA Section 22892 of the Public Employees’ Medical and Hospital Care Act (PEMHCA), establishes contract agencies minimum monthly health premium contribution for their participating active membership. The employer contribution is adjusted annually by the board to reflect any changes in the medical care component of the CPI-U. The minimum employer contribution is $122 for calendar year 2015, and $125 for calendar year 2016. The City includes this amount in the budget as an ongoing retiree cost, which currently amounts to approximately $2 7,000 per year for an estimated 18 participating retirees. CITY OF SARATOGA FINANCIAL SUMMARIES 104 TOTAL FUNDED POSITIONS BY DEPARTMENT 2011/12 2012/13 2013/14 2014/15 2015/16 Full Time Equivalents (FTE)Funded Funded Funded Funded Funded City Manager's Department City Manager 1.00 1.00 1.00 1.00 1.00 Exec Assistant to CM / Deputy City Clerk 0.90 1.00 1.00 1.00 1.00 City Clerk 1.00 1.00 1.00 1.00 1.00 Administrative Analyst I/II 1.00 1.00 1.00 1.00 1.00 TOTAL FTE's 3.90 4.00 4.00 4.00 4.00 Administrative Services Department Administrative Services Director 1.00 1.00 1.00 1.00 1.00 Finance Manager - - 1.00 1.00 1.00 Accountant I/II 0.90 0.90 0.90 0.90 0.90 Accounting Technicians 3.00 3.00 3.00 3.00 3.00 Human Resources Manager 1.00 1.00 1.00 1.00 1.00 Human Resources Technician - - 0.75 0.75 0.75 Information Technology Administrator 1.00 1.00 1.00 1.00 1.00 Information Technology Technician - - 1.00 1.00 1.00 TOTAL FTE's 6.90 6.90 9.65 9.65 9.65 Community Development Department Community Development Director 1.00 1.00 1.00 1.00 1.00 Senior Planner 1.00 1.00 1.00 1.00 1.00 Planner I/II 2.00 2.00 2.00 2.00 2.00 Plan Check Engineer 1.00 1.00 1.00 1.00 1.00 Senior Arborist 1.00 1.00 1.00 1.00 1.00 Building Official 1.00 1.00 - - - Sr. Building Inspector/Plan Checker - - 1.00 1.00 1.00 Building Inspector 2.00 2.00 2.00 2.00 2.00 Permit Technician - - 1.00 1.00 1.00 Office Specialist III 2.00 2.00 2.00 2.00 2.00 Code Compliance Specialist 1.00 - - - - TOTAL FTE's 12.00 11.00 12.00 12.00 12.00 Public Works Department Public Works Director 1.00 1.00 1.00 1.00 1.00 Senior Civil Engineer 1.00 1.00 1.00 1.00 1.00 Assistant/Associate Engineer 1.00 1.00 1.00 1.00 1.00 Administrative Analyst I/II 0.90 0.90 1.00 0.90 0.90 Office Specialist II/III 1.75 1.75 1.75 1.75 1.75 Parks Maintenance Manager 1.00 1.00 1.00 1.00 1.00 Parks Maintenance Lead 1.00 1.00 1.00 1.00 2.00 Parks Maintenance Specialist 1.00 - - - - Parks Maintenance Worker I/II/III 5.90 6.00 6.00 6.00 5.00 Street Maintenance Manager 1.00 1.00 1.00 1.00 1.00 Street Maintenance Lead 1.00 1.00 2.00 2.00 2.00 Street Maintenance Specialist 1.00 1.00 - - - Street Maintenance Worker I/II/III 4.00 4.00 4.00 4.00 4.00 TOTAL FTE's 21.55 20.65 20.75 20.65 20.65 CITY OF SARATOGA FINANCIAL SUMMARIES 105 TOTAL FUNDED POSITIONS BY DEPARTMENT 2011/12 2012/13 2013/14 2014/15 2015/16 Funded Funded Funded Funded Funded Recreation & Facilities Department Recreation & Facilities Director 1.00 1.00 1.00 1.00 1.00 Senior Recreation Supervisor 1.00 - - - - Recreation Supervisor 1.00 1.00 1.00 1.00 0.90 Recreation Coordinator - 2.00 2.00 2.00 1.85 Facility Coordinator 0.60 0.60 0.60 0.60 0.60 Office Specialist II/III 1.90 1.00 1.00 1.00 1.00 Facility Maintenance Manager 1.00 1.00 1.00 1.00 1.00 Facility Maintenance Lead 1.00 1.00 1.00 1.00 1.00 Facility Maintenance Worker I/II/III 2.00 2.00 2.00 2.00 1.00 TOTAL FTE's 9.50 9.60 9.60 9.60 8.35 TOTAL STAFF FTEs 53.85 52.15 56.00 55.90 54.65 2011/12 2012/13 2013/14 2014/15 2015/16 Funded Funded Funded Funded Funded City Manager's Department Student Intern - - 320 320 - Executive Assistant (backfill)- - 120 136 750 Temporary Pool Hours - - 940 - - Administrative Services Department Senior Accountant 1,200 1,200 200 - - IT Technician 2,000 2,000 - - - HR Technician 1,768 1,568 - - - Student Interns - - 320 320 - Graphic Design Assistant - - - - 149 Community Development Department Office Specialist III 800 800 800 800 940 Student Intern 940 940 - 320 480 Public Works Department Engineering Inspectors 2,760 2,760 2,760 2,760 2,760 Maintenance Worker 2,000 - - - 999 Recreation & Facilities Department Facility Attendents 1,500 1,500 1,500 1,750 1,900 Recreation Leaders 500 500 3,335 3,300 2,178 Graphic Design Assistant - - - - 850 Student Intern 480 TOTAL ANNUAL HOURS 13,468 11,268 10,295 9,706 11,486 Temporary Hours converted to FTEs 6.48 5.42 4.95 4.67 5.52 TOTAL FTE's 60.33 57.57 60.95 60.57 60.17 FUNDED HOURLY STAFFING BY DEPARTMENT CITY OF SARATOGA FINANCIAL SUMMARIES 106 STAFFING BY DEPARTMENT Five Year History Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 Funded Funded Funded Funded Funded City Manager's Department 3.90 4.00 4.00 4.00 4.00 Administrative Services 6.90 6.90 9.65 9.65 9.65 Community Development 12.00 11.00 12.00 12.00 12.00 Public Works Department 21.55 20.65 20.75 20.65 20.65 Recreation & Facilities Department 9.50 9.60 9.60 9.60 8.35 TOTAL STAFF BY DEPARTMENT 53.85 52.15 56.00 55.90 54.65 TOTAL STAFF BY DEPARTMENT CITY OF SARATOGA FINANCIAL SUMMARIES 107 STAFFING BY FUND Five Year History Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 Funded Funded Funded Funded Funded General Fund City Manager's Department 3.90 4.00 4.00 4.00 4.00 Administrative Services 5.70 5.70 7.35 7.35 7.35 Community Development 12.00 11.00 12.00 12.00 12.00 Public Works 20.85 19.95 20.05 19.95 19.95 Recreation & Facilities Department 5.30 5.70 5.65 5.65 5.20 Total General Fund FTEs 47.75 46.35 49.05 48.95 48.50 Internal Service Funds City Manager's Department - - - - - Administrative Services 1.20 1.20 2.30 2.30 2.30 Public Works 0.70 0.70 0.70 0.70 0.70 Recreation Department 4.20 3.90 3.95 3.95 3.15 Total Internal Service Funds 6.10 5.80 6.95 6.95 6.15 TOTAL FTE's 53.85 52.15 56.00 55.90 54.65 TOTAL DEPARTMENTAL STAFF BY FUND CITY OF SARATOGA FINANCIAL SUMMARIES 108 CITY OF SARATOGA FINANCIAL SUMMARIES 109 MAJOR REVENUE INFORMATION CITY OF SARATOGA FINANCIAL SUMMARIES 110 MAJOR REVENUE SOURCES The City of Saratoga receives revenues from various funding sources that flow into operations and infrastructure improvements. Primary revenues include property tax, sales tax, building permits, business licenses, and service fees. Other types of revenues the City receives include facility rental fees, revenues from governmental agencies (known as intergovernmental revenues), special district assessment payments and assorted operating and capital grants. The City’s revenues are used for the administration of the city, for community services, and for infrastructure maintenance and improvement. The amount of revenues therefore, determines the level and types of operational services that a government can provide to their community. One of the analytical tools used in the revenue projection process is the City’s five year financial forecast for the General Fund. This forecast is developed early in the budget process by analyzing key factors such as prior year receipts, trending, and historical correlation, as well as broad macro trends and local-specific economic data for housing prices, market turnover, unemployment reports, and other related local, state, and national reports and legislation. Emerging trends are identified by analyzing the City’s financial data in conjunction with information received from the State, County, various agencies, municipal finance groups, and from staff’s practical expertise and judgment. Together, these factors help to project budgeted revenues for the upcoming fiscal year, and are adjusted throughout the process as new information becomes available. Overall, for FY 2015/16, the City of Saratoga’s Operating Budget revenues are projected to total $23.4 million, of which the majority ($19.2 million) of this revenue flows into the General Fund. Capital Budget Revenues and Transfers-In total $10.8 million, bringing total budgeted revenues to $34.2 million for the fiscal year. Outside of the General Fund, Operating Budget revenues consist primarily of Internal Service Funds service charges (approximately $2.7 million). As this revenue is derived from internal billings to the City’s organization and established for cost recovery accounting purposes and therefore not true revenue, these chargebacks are not included as a revenue category in the following analysis. Other non-General Fund Operating Budget revenues include G.O. Bond Debt Service assessments and Special Revenue property tax assessments from Landscape & Lighting Districts. Capital Budget revenues include all outstanding grant reimbursements that are formally obligated to Saratoga for capital projects, and which may or may not be received in the current budget year but are included to validate budgeted project expenditures. The net effect of this project tracking method is to overstate both revenue and expenditure in the Capital Budget as many capital projects represent multi-year appropriations. Major Revenues are categorized by fund type in the following discussion: General Fund Operating Revenues, Non-General Fund Operating Revenues, and Capital Project Revenues. GENERAL FUND MAJOR REVENUES Each of the following Major Revenue sources includes descriptions of the revenue, underlying assumptions that the revenue estimates are based on, and current revenue trends. The accompanying charts illustrate five years of receipts in the darker color bars starting on the left side, with the budgeted year amount in a speckled bar on the far right. PROPERTY TAX Property tax is imposed on real property (land and permanently attached improvements such as buildings) and tangible personal property located within the City. The 1% Ad Valorem tax assessed on Saratoga residents is allocated between the State, County, and local agencies that provide services based on residency. Saratoga, a minimum services city, has historically received less property tax than it was entitled to, due to a decision made by Santa Clara County to retain a portion of Saratoga’s (as well as Monte Sereno, Cupertino, and Los Altos Hill’s) Property Tax revenues for their own purpose. CITY OF SARATOGA FINANCIAL SUMMARIES 111 Tax Equity Allocation - When Proposition 13 passed in 1978, property taxes were frozen at their current rate throughout the State. This action created significant problems for cities with low property tax rates. Subsequently, Section 98 of the California Revenue and Taxation Code was passed, establishing a minimum Tax Equity Allocation (TEA) of 7% of the 1.0% Ad Valorem tax as a condition for Counties to continue receiving trial court funding for their cities with low tax rates. Because Santa Clara County would receive less revenue from trial court funding than the additional property tax to be distributed to its four low tax cities (Saratoga, Cupertino, Los Altos Hills, and Monte Sereno), the County chose to retain the low tax rate and bypass the trial court funding. Subsequent legislation was enacted which limited the four low property tax cities in Santa Clara County to just 55% of the 7% minimum allocation. In 2006, Assembly Bill 117 repealed the 55% limit legislation, however; in order for the legislation to have no effect on the State budget and therefore bypass the Appropriation Committee, the four cities were required to continue to remit the County’s ERAF rate on these funds. Unfortunately, the ERAF rate the County remits to the State is much higher at 47.7%, than the four city’s ERAF rates, which range from 7.53% to 17.37 %. While AB 117 made the four cities partially whole, the higher ERAF rate meant the four cities continued to be treated differently than the State’s other TEA cities. Efforts to pass the new Revenue and Taxation code that would assess the four cities at their own ERAF rates continued, and in September 2015, the cities were finally successful. A FY 2015/16 budget trailer bill includes a 5 year phase-in period that shifts the ERAF assessment from the County’s 47.7% rate to each of the city’s own ERAF rate at a pace of 20% per year so that by year 5, the cities will receive the full allocation. For Saratoga, the decrease in ERAF to 17.14% equates to approximately $650,000 in FY 2015/16 revenues, so the City’s 1st year revenue increase of 20% should be $130,000. Current Assumptions – During the recent four years of harsh economic conditions, property values decreased, leading most Saratoga property owners to hold onto their property rather than sell at lower prices. With the reductions in market value, the Assessor’s Office notified residents countywide that they would reassess properties and lower assessed valuations as appropriate. A large backlog of valuation appeals occurred resulting in secured property tax revenues to remain fairly stable in FY 2009/10. However, the decrease in property sales led to a significant drop in document transfer tax and supplemental tax revenues. As the valuation backlog was addressed, lower property values were established, which resulted in further decreased property tax revenues for FY 2010/11. The County was still lowering property values in FY 2011/12 when the housing market began to pick up, thereby transfer and supplemental tax revenue increases are offset, in part, by lower property assessments. As shown in the chart, revenues continued this upward trend at a significant pace, with FY 2014/15 ending almost 10% higher than the prior year. The pace is expected to taper as the market slows with the rapidly increasing prices therefore FY 2015/16 budgeted revenues remain cautious, just barely over the prior year’s revenue. Overall, Saratoga was fortunate during the economic downturn as resident’s property values fared better than many other cities throughout the bay area due to its excellent schools, beautiful neighborhoods, high-value homes, and stable residency. In addition, Saratoga saw a minimum number of foreclosures as most residents have above average incomes and were able to withstand the financial contraction. CITY OF SARATOGA FINANCIAL SUMMARIES 112 SALES AND USE TAX Sales Tax is imposed on retailers selling tangible personal property in California. Use Tax is imposed on the user of a product purchased out of state and delivered for use in California. The State receives 8.25 cents and the City receives 1 cent of the 8.75 cents paid on every dollar of taxable sales in the City. Under the Triple-Flip funding realignment of 2004, ¼ cent of the Sales Tax was pledged to pay for bonds, so the City’s 1 cent share was restructured to be ¾ Sales Tax, and ¼ temporarily received as Property Tax. As the restructuring was temporary, the revenue continued to be classified as Sales Tax. With the bond paid off in FY 2015/16, the Triple Flip will end and an accounting true-up will provide a slight revenue increase. Saratoga is a largely residential community with limited retail sources, therefore Sales and Use Tax is small in comparison to other cities its size. The City’s Sales Tax revenue is derived primarily from stable sources, such as restaurants, grocery and drug stores, and gas stations, and averages approximately $1 million per year. Revenues dropped about 8% in FY 2009/10 due to the economic downturn. With a stabilizing economy, revenues crept back up in FY 2011/12, but FY 2013/14 receipts were reduced to true-up prior estimates. FY 2014/15 reflects a correction of the overstated true-up and an increase in Sales Tax receipts. FY 2015/16 is expected to remain fairly stable, with a slight bump from the Triple Flip closeout. As the tax base is stable, the City does not anticipate significant growth in this revenue stream in the future. FRANCHISE FEES Franchise Fees are levied by the City on a variety of utilities. State agencies establish franchise fee rates for utilities they regulate (2% of gross revenues for gas and electricity), while other utility franchise fee rates are set by State law, such as linear feet of pipeline for water utilities. The State’s cable service contract was adopted by the City, which set the contract at 5% of gross revenue, with an additional 1% Public Education & Government public television purposes. Currently the City passes this funding through to the organization servicing the City, who have used the funds to update the studio equipment. For solid waste, the West Valley cities of Saratoga, Campbell, Los Gatos, and Monte Sereno formed a Joint Powers Authority agreement under which the fee structure is established. A solid waste fee increase occurred in FY 2007/08 due to a new solid waste franchise agreement. A 9% increase in FY 2010/11 was the result of further changes in the solid waste fee contract, and a separate surcharge to fund environmental programs became effective beginning FY 2012/13. An additional $130,000 will be received annually beginning FY 2014/15 as a result of new contract negotiations. With the exception of Solid Waste, franchise fee revenue is fairly stable from year to year, and is expected to grow in line with the cost of living. CITY OF SARATOGA FINANCIAL SUMMARIES 113 TRANSIENT OCCUPANCY TAX Transient Occupancy Tax (TOT) is levied on short term lodging rental guests who are occupying a rented room for 30 days or less. The City’s TOT rate of 10% of the room rental rate is a tax charged to the occupant, not the hotel, motel, or inn. Rental operators are required to collect this tax and submit it to the City on either a monthly or quarterly basis. The City currently has two inns from which TOT revenue is collected. As the graph illustrates, this local revenue is closely aligned with and very reactive to the overall economy. The economic contraction which began back in FY 2008/09 resulted in a 30% downturn. The decrease continued into FY 2009/10, and then began to uptick slightly with the economy in FY 2010/11. FY 2011/12 shows an increase back to the pre-downturn era, and the subsequent years show steadily climbing revenues in line with the booming economy. Although budgeted conservatively, FY 2015/16 is expected to bring strong revenue growth from the Super Bowl and other major events scheduled for nearby Levi Stadium. BUSINESS TAXES Business Taxes are comprised of three taxes: Business License Tax; Supplemental Business License Tax (based on building permit valuations); and a Construction Tax of $1 dollar per square foot of new floor area as determined in the building permit process. Business conducted in the City of Saratoga is subject to a municipal business license tax, unless excluded by code. The tax is not regulatory; however a business must be in compliance with City regulations in order to be issued a license to operate in the City. The Supplemental Business License Tax is a development tax based on building permit value, thereby more fairly taxing a contractor’s use of City’s infrastructure based on the level of construction activity. The Construction Tax is based on additional living space, hence a tax on the potential for increased residents. In FY 2008/09, with the perception that there were many businesses operating in Saratoga without a business license, the City contracted with a business license audit firm to bring businesses into compliance. As a result, additional revenue was generated through assessments of two back years and the current year. This audit began just as the economic downturn was severely impacting development, therefore the additional revenue was offset by decreases in supplemental and Construction Tax. Growth in FY 2010/11 revenue rose due to the Construction Tax on a subdivision project, whereas FY 2011/12 reflects an overall pick up in construction activity. Continued growth in construction activity since then has steadily increased revenues, and is expected to remain at this higher level in FY 2015/16. CITY OF SARATOGA FINANCIAL SUMMARIES 114 DEVELOPMENT FEES Development Fees are charged for services that primarily benefit the requestor, either as the homeowner or a builder. Development Fee services include planning reviews, planning applications, building plan reviews, engineering reviews, building inspections, and all permits, fees and costs associated with performing these services. These services are regulatory to ensure compliance with all applicable laws, and to ensure health and safety of the community. Although the entire community benefits from an enforced regulatory program, the service requestor initiates and benefits greatest from the development changes and should pay most, if not all of the costs. The City reviews development and other user fees each year to determine if the established fees are maintaining cost recovery objectives. In the recession, development fee revenue dropped by more than $700,000 from just two years prior as a result of the credit crunch generated by the economic downturn. In FY 2010/11, even though the economy was still struggling, building permit fees began to increase. This was primarily due to a townhome subdivision project that began construction. In FY 2011/12 a resurgence in construction activity began that continued through FY 2014/15. FY 2015/16 is budgeted slightly lower as no large projects are scheduled, however the base level of construction activity is expected to continue. RECREATION FEES Recreation Fees are subject to cost recovery objectives as services rendered are primarily for the benefit of the requestor. Recreation Fees include various exercise, skill development, and entertainment type classes for all age groups and are available to both the Saratoga Community and non-residents. The City offers high-demand excursion trips throughout the year, and children’s camps during the summer and winter holidays. Recreation services are primarily on a fee share basis with instructors, who either pay a fee to hold their classes on the premises, or are paid a portion of the fees received for the classes. Residents receive a discount fee for most class or camp categories. Recreation Fee revenue is volatile, reacting both to economic conditions and external competition. Contrary to the economic downturn, FY 2010/11 revenues increased. This was due to added classes from the relocation of a very popular dance school’s program to city facilities. In the following year, FY 2011/12 revenues saw a large decrease as a result of transitioning summer camps to a consultant contract structure. In FY 2012/13, revenues increased with the partial return of the camps to in-house staff. FY 2013/14 revenues increased further as more summer camp programs were brought back, and FY 2014/15 again reflects increased services. CITY OF SARATOGA FINANCIAL SUMMARIES 115 RENTAL INCOME The City maintains numerous indoor and outdoor facilities for use by the public. This includes the Community Center, the Theater Building, the Saratoga-Prospect Center buildings, the Historical Park buildings, the many parks and sport fields in Saratoga, as well as cell tower leases for wireless communication satellite antennas on City owned property. Facility staff oversees the upkeep of the various buildings and manages the facility rentals and hourly park rentals. While the Parks Division oversees the maintenance of parks and sport fields, Facilities manage the sport user group contracts and team use. Unlike other revenue streams, Rental Income increased during the economic downturn, in part due to the low cost of the facilities, but also from the addition of the Saratoga Prospect Center facilities and two new sport user fields at Prospect High and West Valley College. A FY 2012/13 drop in revenue stems from the elimination of the West Valley Sport Field rentals. There were further decreases in FY 2013/14 with the loss of a cell tower lease. The consolidation of communication companies, and changes in technology are expected to continue in the future, which could further impact revenues. Sport user groups are also declining and leading to diminishing field rental fees. Room rentals are increasing slightly due to a couple of new rental arrangements. INTEREST INCOME The City earns interest on idle funds – meaning funds not immediately required for disbursement, such as funds accumulated for future use in operations and capital projects, and on funds held as reserves for specific purposes. Saratoga’s investment policy establishes a wide array of authorized and suitable investments in alignment with State government code; however the City’s ongoing practice is to restrict investments to the Local Agency Investment Fund (LAIF), a conservative and prudently managed investment vehicle. The City’s Interest earning had been a significant income source in the past, with earnings approaching $700,000 per year. However, as the economy slipped into the Great Recession, interest rates dropped to below 1% at an astonishingly rapid pace, and idle cash was reduced due to lower revenues. As a result, the City’s interest earnings fell quickly, and have remained at record lows for several years. Average cash balance and interest rates are the key factors in projecting budgeted interest income. While revenues have improved and cash balances increased, interest rates have continued at rock-bottom levels, thereby minimal change is projected for FY 2015/16 interest income. Interest rates will return to normal levels eventually, however the climb back up is expected to progress at a much slower pace than the decline. CITY OF SARATOGA FINANCIAL SUMMARIES 116 NON-GENERAL FUND OPERATING REVENUES G.O. BOND DEBT SERVICE ASSESSMENTS In March 2000, the citizens of Saratoga approved the issuance of a General Obligation Bond to pay for improvements to the City’s library building. With this bond approval, property owners are to be assessed a property tax levy over thirty years to fund the debt service (principal and interest payments) resulting from the bond issuance. The levy is assessed on property tax bills as a percentage of property tax valuation, in the same manner as schools and the Water District’s bonds. In prior years, the City’s tax levy rate was structured to yield a total levy amount approximately equal to the fiscal year’s debt service, however with rising property tax growth, receipts surpassed debt service payments each year, and the Debt Fund grew to exceed debt service payment requirements. Since FY 2009/10, the levy calculation was structured to assess slightly less than the debt service payment requirements to reduce property owner’s levies at a consistent level and thereby bring the fund balance closer to annual funding requirements. In early FY 2011/12, the G.O. Bond was refunded to take advantage of lower interest rates for the remaining twenty years of the bond term. This resulted in lower annual payments in the remaining years to come; with the levy continuing to decrease further based on both lower payments and a reduction in the fund balance. LANDSCAPE & LIGHTING ASSESSMENTS An Assessment District represents a defined group of properties which, by majority vote of the property owners, elected to authorize the City to assess levies on each parcel to pay for public improvements or services provided within a predetermined agreement for the benefit of the property owners. The City currently has 28 Assessment Districts, and continues to establish more. Some of the districts provide for street lighting services, others for landscaping services, and a few for both. Seven of the districts are funded by property tax assessments as they were in effect prior to Proposition 13. The remainder of the districts, as well as some districts with property tax assessments, agreed to tack annual levies (known as benefit assessments) onto their tax bills to pay for services. In FY 2013/14, a new type of assessment district was created to meet storm water runoff regulations. This new district provides swale maintenance for a hillside housing development for environmental purposes. CITY OF SARATOGA FINANCIAL SUMMARIES 117 District expenses are generally consistent, allowing for minor increases each year for increasing utility and service costs. On occasion, improvement projects or repairs occur which require the district to have sufficient funds on hand to pay for these major expenses. The City strives to assess the parcels at a slightly higher level than expenditures to keep a positive fund balance. As the graph shows, L&L Assessments increased in the last couple of years with the addition of more L&L Districts. A slight decrease occurred in FY 2012/13 due to a reduction in assessment for a number of districts which were more than adequately funded. In future years, revenues will continue to grow as assessments rise with utility and maintenance service increases. Further, with Council’s LLD Initiation 50/50 Grant Match Program (established in FY 2014/15), the addition of new assessment districts in FY 2014/15 and in future years will increase revenues further. CAPITAL PROJECT REVENUES MOTOR VEHICLE FUEL TAX (GAS TAX) REVENUES The State of California imposes excise taxes on transportations fuels, which in turn is allocated to Cities and Counties under various complex formulas. This tax allocation revenue is required to be recorded in its own account, and an annual “Streets Report” must be filed with the State each year to document how the funds were expended. State law requires all motor vehicle fuel tax funds allocated must be expended for the construction, improvements, and maintenance of public streets, which includes engineering and administrative costs incurred for the foregoing purposes. Gas Tax Revenues are derived from the 18 cents per gallon tax on fuel purchased within city limits, as determined by the State’s allocation formulas. For Saratoga, the key factors in projecting these revenues are historical revenues and the cost of gas – as well as the State’s projections for the year. Typically, as gas prices rise, gas usage tends to go down. With the anticipation that gas prices will remain relatively low in the following years, coupled with the increasing number of electric and hybrid vehicles, as well as mileage increases in regular vehicles, gas tax revenues are expected to fall over the long term. In FY 2010/11, Proposition 53 created a permanent restructuring of gasoline tax allocations to include a separate State transportation funding known as “Prop 42 Traffic Congestion Relief (TCR)” into the Gas Tax revenue structure. FY 2012/13 reflects a State take back for an error in the FY 2011/12 and 2012/13 allocations. FY 2013/14 returned to normal levels, however a shift in the State’s allocation formula reduced the City’s revenues in FY 2014/15. Due to significant gas price declines, the FY 2015/16 column reflects a sharp decrease in gas tax revenues. With these wild price and usage fluctuations as well as changing technologies, the future of gas tax revenue is a bit uncertain. CITY OF SARATOGA FINANCIAL SUMMARIES 118 CAPITAL GRANT REVENUES Grants are applied for and awarded from various Federal, State, and Local agencies, and occasionally, from a private donor. Grant awards are restricted for specific purposes and often require a percentage of matching funds. The City’s capital grants are primarily obtained for street maintenance and improvements, bridge repairs, traffic safety improvements, and park improvements. In the adjacent chart, the darker bars on the left reflect actual grant revenues received during each fiscal year, while the right side speckled bar represents budgeted revenues. As mentioned in the Capital Program budget, budgeted capital project revenues reflect all known and outstanding grant award appropriations at the time of budget adoption to validate budgeted project expenditure appropriations. The net effect of this project tracking method is to overstate both revenues and expenditures in the Capital Budget as many capital projects are in reality, multi-year appropriations. Hence, budgeted capital project grants far exceed the City’s actual expectations. The City has been awarded a number of significant grants in the last few years, however construction is not expected to commence for several years. Most significantly, the City received a $4.8 million OBAG grant for roadway safety improvements along Prospect and Saratoga Avenues in FY 2012/13 that, due to the project’s size, will take several years to develop plans and scheduling prior to construction. Additional grants were received for Big Basin Way improvements and the Village Creek Trail design. Most of the remaining grants are in process and expected to be completed over the next several years. CITY OF SARATOGA FINANCIAL SUMMARIES 119 LONG RANGE FINANCIAL FORECAST CITY OF SARATOGA FINANCIAL SUMMARIES 120 LONG RANGE FINANCIAL FORECAST The Five Year General Fund Forecast schedule on the following page represents looking forward five years under static assumptions, using the FY 2015/16 budget as the base. The forecast does not project operational changes as those are the prerogative of the City Council and management; therefore, the forecasted out-years provide revenues and expenditure data based on both conservative estimates, and current direction and assumptions. Operationally, funding allocation changes are made year by year to adjust to shifting information, resources, and circumstances. The intent of this forecast is to act as a bell-weather to identify anticipated impacts that must be addressed in the future. The General Fund serves as the City’s chief operating fund. All general tax revenues and other receipts not allocated by law or some other contractual agreement to other funds are accounted for in the General Fund. Expenditures of this fund include the general operating expenses traditionally associated with governments such as city administration, development services, public works, and public safety. Overall, the General Fund accounts for and represents the main operations of the City, and is of primary importance for long-term planning. In the following years, additional financial planning information and projection assumptions will accompany the Five Year General Fund forecast. This forecast schedule represents a first step toward providing more thorough and long term financial information to the public. CITY OF SARATOGA FINANCIAL SUMMARIES 121 CITY OF SARATOGA GENERAL FUND FIVE YEAR FORECAST FY 2013/14 FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY 2018/19 FY 2019/20 FY 2020/21 Actuals Actuals Budgeted Forecast Forecast Forecast Forecast Forecast REVENUES Property Tax 9,526,189 10,436,622 10,475,350 10,839,000 11,193,300 11,561,200 11,956,100 12,365,300 Sales Tax 941,350 1,224,427 1,060,000 1,152,500 1,155,000 1,157,600 1,160,200 1,162,800 Franchise Tax 2,112,596 2,234,068 2,186,638 2,294,171 2,337,400 2,381,700 2,426,800 2,472,900 Other Taxes 822,271 866,272 885,000 897,500 910,200 923,100 936,300 949,600 Total Tax Revenues 13,402,406 14,761,388 14,606,988 15,183,171 15,595,900 16,023,600 16,479,400 16,950,600 Fees & Services 3,466,510 3,198,848 3,311,134 3,294,700 3,342,700 3,391,300 3,425,100 3,457,800 Other Operating Revenues 1,399,451 1,559,309 1,256,504 1,141,437 1,162,980 1,186,120 1,210,660 1,237,000 Total Operational Revenues 4,865,960 4,758,157 4,567,638 4,436,137 4,505,680 4,577,420 4,635,760 4,694,800 Transfers In 167,050 - - - - - - - TOTAL REVENUES 18,435,416 19,519,546 19,174,626 19,619,308 20,101,580 20,601,020 21,115,160 21,645,400 EXPENDITURES Salary & Benefits 6,408,421 9,779,272 7,514,983 7,625,366 7,807,559 7,994,794 8,186,504 8,383,090 Operating Expenditures 7,526,311 7,777,256 8,626,909 9,050,768 9,419,421 9,869,667 10,218,111 10,690,768 Cost Allocation Charges 2,202,844 2,325,823 2,455,755 2,513,361 2,564,410 2,616,990 2,671,160 2,726,960 Total Operational Costs 16,137,576 19,882,351 18,597,647 19,189,495 19,791,390 20,481,452 21,075,775 21,800,818 Transfers Out 380,880 1,666,098 1,902,656 - - - - - TOTAL EXPENDITURES 16,518,456 21,548,449 20,500,303 19,189,495 19,791,390 20,481,452 21,075,775 21,800,818 REVENUES - EXPENDITURES 1,916,960 (2,028,903) (1,325,677) 429,813 310,190 119,568 39,385 (155,418) Use of Fund Balance Reserve 187,260 3,732,317 1,637,896 (200,000) 50,000 50,000 50,000 50,000 NET OPERATIONS 2,104,220 1,703,414 312,219 229,813 360,190 169,568 89,385 (105,418) FY 2013/14 FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY 2018/19 FY 2019/20 FY 2020/21 Actuals Actuals Budgeted Forecast Forecast Forecast Forecast Forecast GENERAL FUND - FUND BALANCE RESERVES Other Unassigned 2,422,326 1,779,489 1,838,268 3,151,123 3,711,312 4,080,881 4,370,266 4,464,848 Operational Reserves 3,166,344 2,911,530 967,074 867,074 767,074 667,074 567,074 467,074 Economic Reserves 3,754,030 3,115,712 3,425,712 3,725,712 4,025,712 4,325,712 4,625,712 4,925,712 Emergency Reserves 2,492,934 2,000,000 2,250,000 2,500,000 2,500,000 2,500,000 2,500,000 2,500,000 TOTAL FUND BALANCE 11,835,634 9,806,731 8,481,054 10,243,908 11,004,098 11,573,667 12,063,052 12,357,634 CITY OF SARATOGA FINANCIAL SUMMARIES 122 123 DEPARTMENTAL BUDGETS 124 CITY OF SARATOGA DEPARTMENTAL DIRECTORY 125 DEPARTMENTAL BUDGETS BY PROGRAM COUNCIL & COMMISSIONS Council & Commissions Overview ........................................................................................................... 129 1101 City Council .................................................................................................................................... 133 1201 City Commissions ........................................................................................................................... 137 CITY MANAGER’S DEPARTMENT City Manager’s Department Overview ...................................................................................................... 141 2101 City Manager’s Office..................................................................................................................... 147 2201 City Clerk ........................................................................................................................................ 151 ADMINISTRATIVE SERVICES DEPARTMENT Administrative Services Department Overview ......................................................................................... 155 3101 Finance Services ............................................................................................................................. 159 3301 Human Resources ........................................................................................................................... 163 3401 Administrative Services .................................................................................................................. 167 Internal Service Funds 3102 Office Support Fund ........................................................................................................................ 171 3201 Information Technology Services ................................................................................................... 173 3202 IT Equipment Replacement Fund .................................................................................................. 177 COMMUNITY DEVELOPMENT DEPARTMENT Community Development Department Overview...................................................................................... 181 4101 Development Services ..................................................................................................................... 185 4102 Advanced Planning ......................................................................................................................... 189 4103 Code Compliance ........................................................................................................................... 193 4201 Building & Inspection Services ...................................................................................................... 197 CITY OF SARATOGA DEPARTMENTAL DIRECTORY 126 PUBLIC WORKS DEPARTMENT Public Works Department Overview ......................................................................................................... 201 5101 General Engineering........................................................................................................................ 205 5102 Development Engineering ............................................................................................................... 209 5103 Environmental Services .................................................................................................................. 213 5201 Streets & Storm Drains ................................................................................................................... 217 5301 Parks & Landscape Maintenance .................................................................................................... 221 Internal Service Funds 5202 Vehicle & Equipment Maintenance ................................................................................................ 225 5203 Vehicle & Equipment Replacement ................................................................................................ 229 Special Revenue Funds 5302 Landscape & Lighting Districts ...................................................................................................... 233 RECREATION & FACILITIES DEPARTMENT Recreation Department Overview .............................................................................................................. 237 6101 Recreation Services ......................................................................................................................... 241 6102 Teen Services .................................................................................................................................. 245 6201 Facility Rentals ............................................................................................................................... 249 Internal Service Funds 6202 Facility Maintenance ...................................................................................................................... 253 6203 Facility FFE Replacement ............................................................................................................... 257 PUBLIC SAFETY DEPARTMENT Public Safety Department Overview .......................................................................................................... 259 7101 Public Safety Services ..................................................................................................................... 263 7102 Emergency Preparedness ................................................................................................................ 269 NON-DEPARTMENTAL Non-Departmental Overview ..................................................................................................................... 273 8101 General Administration ................................................................................................................... 277 8201 Legal Services ................................................................................................................................. 279 8301 Community Grants .......................................................................................................................... 283 8302 Community Events .......................................................................................................................... 285 CITY OF SARATOGA DEPARTMENTAL DIRECTORY 127 NON-DEPARTMENTAL – CONTINUED Internal Service Funds 8401 Risk Management/Liability Insurance ............................................................................................ 289 8501 Workers Compensation Insurance .................................................................................................. 293 Debt Service Funds 8601 2001 Series GO Bond Debt Service Fund ....................................................................................... 297 CITY OF SARATOGA DEPARTMENTAL DIRECTORY 128 CITY OF SARATOGA ORGANIZATION CHART FISCAL YEAR 2015/16 FY 2015/16 FTE = 54.65 City AttorneyCity Manager Community Development Department 1.0 Community Development Director Facilities Division 1.0 Facility Maint.Manager 1.0 Facility Maint. Lead 1.0 Facility Maint. Workers .60 Facility Coordinator Planning Division 1.0 Senior Planner 2.0 Planners 1.0 Arborist 1.0 Office Specialist Engineering Division 1.0 Sr. Civil Engineer 1.0 Engineer .90 Administrative Analyst .75 Office Specialist Parks Division 1.0 Manager -Parks 2.0 Park Maint. Leadworker 5.0 Park Maint. Workers .50 Office Specialist Finance Division 1.0 Finance Manager .90 Accountant 3.0 Accounting Technicians Information Technology Division 1.0 IT Administrator 1.0 IT Technician Administrative Services Department 1.0 Administrative Services Director Recreation & Facilities Department 1.0 Recreation & Facilities Director Public Works Department 1.0 Public Works Director Recreation Services Division .90 Recreation Supervisor 1.85 Recreation Coordinators 1.0 Office Specialist Streets and Fleet Division 1.0 Manager-Streets and Fleet 2.0 Street Maint. Leadworker 4.0 Street Maint. Workers .50 Office Specialist Building Division 1.0 Sr. Building Inspector 2.0 Building Inspectors 1.0 Plan Check Engineer 1.0 Permit Technician Citizen Advisory Commissions & Committees CITIZENS OF SARATOGA Elected City Council Human Resources Division 1.0 HR Manager .75 HR Technician City Manager's Office 1.0 Admin Analyst .50 Executive Assistant Office of the City Clerk 1.0 City Clerk .50 Deputy City Clerk CITY OF SARATOGA COUNCIL & COMMISSIONS DEPARTMENT 129 COUNCIL & COMMISSIONS DEPARTMENT The Council & Commissions Department, which represents the elected and appointed officials of Saratoga, consists of the City Council and City Commissions programs. The City Council has five publicly elected members who act as the legislative body representing the residents and community of the City of Saratoga. Council Members serve four-year terms, with elections for either two or three of the seats every two years. Each December, the Mayor and Vice-Mayor are elected by their fellow Council Members to one-year terms. If a council seat is vacated during a Council term, a Council Member may be appointed to fill the vacant seat for the remainder of the term. Alternatively, the Council may choose to hold an election to fill the Council seat. City Commissions are advisory bodies whose members are appointed by the Council. These Commissions are established to encourage residents to become involved in their community and to broaden the City’s decision- making processes. City Committees are also included in this program and differ from Commissions in that a committee represents a smaller advisory body with more narrowly defined duties. Active Commissions and Committees, effective with the adoption of the FY 2015/16 budget are as follows:  Heritage Preservation Commission  Library Commission  Parks & Recreation Commission  Planning Commission  Traffic Safety Commission  Youth Commission  Council Finance Committee  Pedestrian, Equestrian, Bicycle, Trails Advisory Committee DEPARTMENT OBJECTIVES The City Council and City Commissions represent the Saratoga community. The City Council establishes City policy and serves as the decision making body, receiving recommendations from Commissions and staff and then providing direction to the City Manager for implementation. Both the City Council and City Commissions play a key role in the implementation of the Council’s Strategic Goals. Council Strategic Goal: City Leadership: Provide a proactive, responsible, inclusive, respectful, transparent, and trustworthy government dedicated to delivering effective high quality leadership for the community. Department Objectives:  Foster community partnerships through annual meetings between the City Council and stakeholder groups, including service organizations, cultural institutions, and other local government agencies serving Saratoga  Maintain an understanding of community needs and desires by being available to the community  Strengthen relationships with community members by attending community events  Adopt policies that encourage civic engagement, transparency, and efficiency in government  Encourage civic participation in government decisions through outreach, and public meetings  Comply with open government and ethics laws, including the Brown Act and Political Reform Act Council Strategic Goal: Fiscal Stewardship: Ensure fiscal responsibility and transparency, proactively seeking opportunities for improvement. CITY OF SARATOGA COUNCIL & COMMISSIONS DEPARTMENT 130 Department Objectives:  Adopt policies that encourage conservative budgeting and protect taxpayer dollars from frivolous use  Nurture a business friendly environment through policies and incentives  Identify and protect core services as budgetary priorities Council Strategic Goal: Public Safety: Provide a safe and secure community. Department Objectives:  Encourage residents to support community-oriented policing and prevent crime through safety awareness programs, such as Neighborhood Watch  Reduce loss of life and property during a disaster by encouraging residents to participate in community- based emergency preparation, including the City’s Community Emergency Response Team (CERT) and Personal Emergency Preparedness program (PEP)  Facilitate neighborhood communications on safety related matters by providing residents wit h communication tools, such as Nextdoor.com, AlertSCC, TIS AM Radio and KSAR TV Council Strategic Goal: Community Heritage: Honor Saratoga’s heritage by preserving significant historic assets. Department Objectives:  Implement existing policies that maintain the City’s historic heritage  Protect the City’s natural beauty by maintaining the City’s ‘Tree City USA’ status, hillside preservation policies, and high standards of care for City parks  Appoint commissioners to the Heritage Preservation Commission who honor Saratoga’s heritage Council Strategic Goal: Community Enrichment: Foster a community with an enriched and diverse culture and engaged citizenry. Department Objectives:  Build community through grant programs that promote events in Saratoga  Provide leadership development opportunities for residents through appointments to civic boards and commissions and make appointments that reflect the multicultural nature and diverse interests of the City’s residents  Promote health as a community value through health-related programs and policies  Strengthen partnerships with local cultural organizations and institutions  Honor cultural diversity by participation in multicultural events Council Strategic Goal: Environmental Sustainability: Proactively support environmental sustainability efforts. Department Objectives:  Adopt policies that manage and sustain the City’s urban forest and support environmental programs  Adoption of responsible environmental policies, including water conservation ordinances  Reduce the City’s carbon footprint and impact on the environment by adopting energy efficiency best practices and funding environmental sustainability projects, such as installation of solar panels at the City’s Corporation Yard and Saratoga Library  Purchase electric vehicles (EV) for city staff use and install EV charging stations throughout the City CITY OF SARATOGA COUNCIL & COMMISSIONS DEPARTMENT 131 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Taxes - - - - - - Intergovernmental Revenues - - - - - - Fees, Licenses and Permits 2,400 1,200 1,200 - 3,600 600 Charge for Services - - - - - - Other Sources - - - - - - Pass-Through Accounts - - - - - - TOTAL REVENUES 2,400$ 1,200$ 1,200$ -$ 3,600$ 600$ EXPENDITURES Salaries and Benefits 27,345 27,119 32,419 30,264 29,517 29,916 Operating Expenditures Materials & Supplies 6,882 10,444 7,119 20,950 10,484 21,950 Fees & Charges 54,436 26,912 40,919 164,254 27,748 69,080 Consultant & Contract Services 10,010 10,700 7,320 20,000 9,359 - Meetings, Events, & Training 12,892 13,861 18,879 22,500 23,582 27,500 Total Operating Expenditures 84,220 61,917 74,236 227,704 71,174 118,530 Fixed Assets - - - - - - Internal Service Charges 40,584 44,980 47,474 59,333 59,333 62,757 TOTAL EXPENDITURES 152,149$ 134,016$ 154,129$ 317,301$ 160,023$ 211,203$ 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted GENERAL FUND City Council 126,832$ 104,116$ 124,780$ 274,649$ 129,132$ 166,198$ City Commissions 25,317 29,900 29,349 42,652 30,891 45,006 TOTAL GENERAL FUND 152,149$ 134,016$ 154,129$ 317,301$ 160,023$ 211,203$ TOTAL EXPENDITURES 152,149$ 134,016$ 154,129$ 317,301$ 160,023$ 211,203$ GENERAL FUND REVENUES AND EXPENDITURES DEPARTMENTAL EXPENDITURES - by Division CITY OF SARATOGA COUNCIL & COMMISSIONS DEPARTMENT 132 CITY OF SARATOGA COUNCIL & COMMISSIONS DEPARTMENT 133 CITY COUNCIL The City Council is a five-member legislative body that represents the residents and community of Saratoga. The City Council operates under a Council/Manager form of government that combines the policy leadership of elected officials with the managerial expertise of an appointed City Manager. Council meetings are held on the first and third Wednesday of the month where Council actively seeks input in its decision-making process from Saratoga residents. The Council establishes direction on policy, legislative, and community matters, which are then carried out by City staff under the guidance of the City Manager. The City Council conducts meetings at least annually with all City Commissions, and community organizations that are closely affiliated with the City, including the Saratoga Chamber of Commerce, the Saratoga Area Senior Coordinating Council (SASCC), the Hakone Foundation, neighborhood associations, and the Saratoga Ministerial Association. These meetings serve to strengthen the Council’s relationships with its partners in the community. In addition, the Council forms Ad Hoc subcommittees to work on specific projects or issues as needed. For example, the City Council formed an Architecture 101 Ad Hoc Committee to plan a joint training session between the City Council, Planning Commission, and Heritage Preservation Commission. Additionally, Council Members are appointed to serve as liaisons to community organizations as well as voting members on other governmental boards and Joint Power Authorities (JPAs), including the West Valley Solid Waste Management Authority and the West Valley Sanitation District. Council Members also serve on regional organizations such as Cities Association and the Peninsula Division of the League of California Cities, and sub-regional associations such as the West Valley Mayors and Managers (WVMM) group. The WVMM’s primary function is to select representation on the VTA Board and the Silicon Valley Regional Inter-Operability Authority, and acts as a forum for the discussion of issues common to the West Valley Cities of Saratoga, Cupertino, Campbell, and the Town of Los Gatos. BUDGET OVERVIEW Notable Budget Changes:  The Council’s Discretionary budget funding represents the current year’s allocation. Prior year carryover is added after the remaining amount is determined at year end close.  Legislative Consultant fees are not included in the FY 2015/16 budget.  Training budget funds were increased to fund additional training courses for new Council Members. Revenues in the City Council Program are limited to City Council appeal fees—the City typically receives one or two per year. Expenditures include $250 monthly stipends for each of the five Council Members, funding for special events, meeting expenses, conferences, and operational supplies. Membership dues for Regional Agencies such as the Association of Bay Area Governments, the Santa Clara County Cities Association, and the West Valley Mayors and Managers Association are also included in this program budget. Each year, $50,000 is budgeted for Council discretionary funds to account for unanticipated expenditures that occur during the year. However, for this fiscal year, Council had directed that $9,195 of their discretionary budget be redirected for use in the Community Event Grant program, therefore the annual allocation was reduced by this same amount. Per policy, any remaining Council Discretionary funds at year end is carried over to the following year, after the fiscal year is closed. This carryover will be an adjustment to the adopted budget. CITY OF SARATOGA COUNCIL & COMMISSIONS DEPARTMENT 134 CITY COUNCIL In the last fiscal year, the Council elected to contribute a pro-rata share toward a legislative consultant services contract with Cupertino, Monte Sereno, and Los Altos Hills to regain the City’s full share of its Tax Equity Allocation (TEA). TEA is a special tax code passed by the California legislature to ensure that cities with low-or- no property tax rates prior to the passage of Proposition 13 in 1978 would receive at least 7% of the property taxes collected in their city. In FY 2014/15, the four cities decided to forego the services of a legislative consultant and attempt a different approach to pursue TEA funds. As a result, the Consultant and Contract Services expenditures decrease will continue into FY 2015/16. Another notable change to the City Council Program is a modest increase to the City Council’s meetings, events, and training budget. The additional funding will allow each member of the City Council to attend at least one conference within the State of California, as well as other specialized or local training opportunities that may come up during the fiscal year. FY 2015/16 WORKPLAN PRIORITIES Fiscal Responsibility – Monitor the economy to ensure that the City’s operations are in sync with market trends, adjust City finances as needed, adopt financial policies that keep the City financially sound, and proactively seek opportunities to improve the strength of the City’s finances. Community Engagement – Encourage a greater sense of community among residents and increase civic engagement efforts by strengthening relationships between the City and residents, providing residents with opportunities for participation in local government, supporting community events, and proactively addressing topics of interest to the community. Local Economy – Encourage the improvement and stability of the local economy and enhance business development by creating an environment that supports the City’s business community. Sustainability – Monitor water consumption and energy use to identify and realize opportunities to make Saratoga a more sustainable community. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Fees, Licenses and Permits 2,400 1,200 1,200 - 3,600 600 TOTAL REVENUES 2,400$ 1,200$ 1,200$ -$ 3,600$ 600$ EXPENDITURES Salaries and Benefits 13,818 13,554 18,854 16,700 16,599 16,352 Operating Expenditures Materials & Supplies 2,338 2,080 2,411 2,750 2,666 2,750 Fees & Charges 54,436 26,912 40,919 164,254 27,748 69,080 Consultant & Contract Services 10,010 10,700 7,320 20,000 9,359 - Meetings,Events & Training 8,582 9,792 12,558 15,500 17,314 20,000 Total Operating Expenditures 75,367 49,484 63,207 202,504 57,088 91,830 Internal Service Charges 37,647 41,078 42,719 55,445 55,445 58,016 TOTAL EXPENDITURES 126,832$ 104,116$ 124,780$ 274,649$ 129,132$ 166,198$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA COUNCIL & COMMISSIONS DEPARTMENT 135 CITY COUNCIL City Ordinance Updates – Initiate the City’s planning process to revise and update key City ordinances to ensure the City Code reflects Saratoga’s regulatory needs and can be easily enforced. Long Term Planning – Continue long term planning efforts to maintain Saratoga’s excellent quality of life and guide the City’s future development. KEY SERVICES  Represent the residents and community of Saratoga  Provide community leadership as the legislative and policy-making body  Effectively represent the City of Saratoga in coordination with other local, county, state, and federal agencies  Oversee the City’s Commissions and provide support to community organizations on emergent issues  Work with the community to identify needs and issues in the City CITY OF SARATOGA COUNCIL & COMMISSIONS DEPARTMENT 136 CITY OF SARATOGA COUNCIL & COMMISSIONS DEPARTMENT 137 CITY COMMISSIONS City Commissions and City Committees are designated bodies that provide specialized advice or other assistance to the City Council and staff. Commissioners apply for and are appointed by the City Council to serve four-year terms. Youth Commission are appointed to two-year terms. At least one City staff member is assigned to each Commission to provide support and to ensure agenda preparation, posting, minutes, and other meeting elements are fulfilled as required under the Brown Act. Currently, there are six active Commissions and two Committees to advise the Council on Commission specific issues. These include: Heritage Preservation Commission – The primary function of this seven-member Commission is to implement the City’s Heritage Preservation Ordinance by working with the Council, the Planning Commission, and City staff. The Commission is responsible for considering proposed modifications to designated historic landmarks, historic lanes, and historic districts, advising the Community Development Department about projects that may affect heritage resources, conducting property surveys to establish an official inventory of heritage resources within the City of Saratoga, recommending names for new streets to the City’s building official, and recommending designation proposals to the City Council for historic landmarks, historic lanes, historic districts, and heritage trees. The Commission meets the second Tuesday of each month. Library Commission – A five-member Commission that serves as an advisory body on library policies, budgets, plans, and procedures to the City Council, City staff, and the Santa Clara County Library District (SCCLD) staff. The Library building is owned by the City but operated by the SCCLD (a special district). The Library Commission does not have administrative authority over Library operations, but does participate in the general operational planning and related programs and policies. The Commission meets the fourth Wednesday of every other month. Parks & Recreation Commission – This five-member Commission advises the Council on a variety of matters as they relate to parks and recreation. Principally, the Commission serves as a conduit between the public and the Council by receiving public input, collecting information, and making recommendations to the City Council. The Commission meets the second Tuesday of every other month. Planning Commission – A seven-member Commission that works to maintain the unique character of Saratoga by ensuring that the physical development of the City is consistent with the environmental, social, and economic goals set forth in the City’s General Plan. The Planning Commission is also responsible for considering appeals of decisions made by the Community Development Department and acting on applications for use permits, design review, and other planning approvals. The Commission meets the second and fourth Wednesday of the month, and holds additional meetings as needed. Traffic Safety Commission – The Traffic Safety Commission investigates, reviews, analyzes, and makes recommendations to the Council on traffic safety issues raised by the community and Public Safety Agencies. The seven-member Commission provides a venue for the public to express concerns regarding traffic safety issues. This Commission meets the second Thursday of every other month. Youth Commission – This eleven-member Commission works to enhance the wellbeing of local youth, offer positive influences to teens, and provide opportunities for youth involvement in the community. Youth Commissioners serve as teen leaders, communicate with the City Council on current youth issues, and plan, promote, and participate in community events, fundraisers, social, and educational activities. The Commission is comprised of middle and high school students appointed by the City Council for two-year terms. The Commission meets the second Tuesday of each month during the school year. CITY OF SARATOGA COUNCIL & COMMISSIONS DEPARTMENT 138 CITY COMMISSIONS Finance Committee – This standing Council Committee comprised of two Council members and meets monthly, or as needed, to review City financial reports and budgets and to provide feedback to both staff and Council on financial matters. Pedestrian, Equestrian, Bicycle, Trails Advisory Committee (PEBTAC) – The PEBTAC’s mission is to advise the City regarding the planning, acquisition, and development of trails and sidewalks and to maintain the trails network to enhance the quality of life in Saratoga. The Committee meets the third Tuesday of each month. BUDGET OVERVIEW Notable Budget Changes:  Additional Funding was allocated for Youth Commission community event activities, Planning Commission training, and HPC Commission historical surveys. With the exception of the Youth Commission, revenues are not generated by City Commissions as Commissioners do not provide a service function to the public. Commissions primarily act as advisory boards, and report back to the City Council. On occasion, Youth Commission activities generate a small amount of fees or donations to partially offset costs associated with an event, such as face painting or a dance. Budgeted expenditures include funding for Planning Commissioner stipends. The seven Planning Commissioners are each awarded a stipend of $150 per month as a token of appreciation for the many hours they spend providing this community service. The remaining expenditures for this program are limited to training, meeting costs, and Commission specific expenditures, such as historical plaques the Heritage Preservation Commission provides for historical landmarks. Other expenses associated with the City Commissions budget may include memberships to Commissioner Associations that provide training or resources. Funding for the City’s annual Commissioner Recognition Dinner, which the Council holds to honor the service of the City’s Commissioners, is also included in this program. Staffing costs associated with supporting the various commissions are not included in the City Commissions budget, as activities are primarily limited to support functions. Notable FY 2015/16 budget funding includes the continuation of the Historic Preservation Commission (HPC) workplan items that were not completed in the prior fiscal year. The FY 2014/15 HPC budget included $2,000 for commissioner training, and $4,000 to obtain reconnaissance survey level Building, Structure and Object (BSO) records for properties already added to the Heritage Resource Inventory without a survey. An additional $6,000 was requested for Intensive level Department of Parks & Rec (DPR) surveys for five properties previously added to the City’s Landmark List based on 1980s information. Intensive surveys use the National Register criteria and must be conducted or confirmed by an appropriately qualified professional. The FY 2015/16 funding will include funding for the workplan items not completed in FY 2014/15. The Youth Commission budget was increased to $3,000 in FY 2015/16 to properly budget for costs associated with activities the Youth Commission is now conducting, such as face painting and candy at the Witchy Walk-a-Bout, award prizes for the Walk One Week program, Hot Chocolate at the Tree Lighting Ceremony, and face painting and arts and craft stations at the Lunar New Year and St. Paddy’s Day events. Funding to provide the Youth Commissioners with a t-shirt, vest, or sweatshirt for these events is included, as well as meeting food and attendance at an annual YAC Attack conference. CITY OF SARATOGA COUNCIL & COMMISSIONS DEPARTMENT 139 CITY COMMISSIONS KEY SERVICES  Provide specialized advice and assistance to Council  Broaden policy and decision making by providing additional forums for the public to provide input and testify at public hearings  Work with City staff in researching issues, collecting information, and providing recommendations to the Council 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Other Sources - - - - - - TOTAL REVENUES -$ -$ -$ -$ -$ -$ EXPENDITURES Salaries and Benefits 13,527 13,564 13,564 13,564 12,918 13,564 Operating Expenditures Materials & Supplies 4,544 8,364 4,709 18,200 7,818 19,200 Meetings, Events & Training 4,310 4,069 6,321 7,000 6,268 7,500 Total Operating Expenditures 8,854 12,433 11,030 25,200 14,086 26,700 Fixed Assets - - - - - - Internal Service Charges 2,937 3,902 4,755 3,888 3,888 4,742 TOTAL EXPENDITURES 25,317$ 29,900$ 29,349$ 42,652$ 30,891$ 45,006$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA COUNCIL & COMMISSIONS DEPARTMENT 140 CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 141 CITY MANAGER’S DEPARTMENT The City Manager’s Department is comprised of the offices of the City Manager and City Clerk. The City Manager’s Department supports the Council’s legislative and policy interests, provides management and leadership, and direction for the City organization. The City Manager’s Office also supports Commissions, interacts with community groups, fosters community relationships and provides public awareness of municipal programs, services, and goals through effective community outreach, using avenues including the City website, media relations, and the Saratogan. In addition, the City Manager’s Department liaises with other local agencies that provide services to the City of Saratoga through contract or other means, such as solid waste or recycling, public safety, and emergency preparedness. The Department is responsible for presenting an annual balanced fiscal year budget to City Council that reflects the most accurate revenue estimates and economic conditions at the time, assuring that City services are performed in accordance with City Council priorities and within the capabilities of the City’s resources, keeping the City Council advised of the City’s financial condition and the future needs of the City on an ongoing basis, providing policy analysis, and overseeing numerous contract negotiations. The Department values its relationships with the community and fosters its partnerships with the Chamber of Commerce, Saratoga Area Senior Coordinating Council, Hakone Foundation, community access television station KSAR, and the administrators of other agencies and service districts in the City, including Santa Clara County Fire, local school districts, and West Valley College. DEPARTMENT OBJECTIVES The City Manager’s Office works to implement a number of the City Council’s Strategic Goals. These goals are noted below and reflected in the Performance Measures. Council Strategic Goal: City Leadership: Provide a proactive, responsible, inclusive, respectful, transparent, and trustworthy government dedicated to delivering effective high quality leadership for the community. Department Objectives:  Ensure the City Council is fully informed about City matters, provide support to City’s elected leadership, and administer implementation of Council priorities  Promote effectiveness of City operations through collaboration, open communications, efficient coordination, creative thinking, and professional development  Respond to community interests and needs by being available to the public, making meetings accessible, and establishing relationships with community members  Develop a highly effective workforce to promote good governance ethics and efficiency  Support community building by coordinating City events, overseeing the event grant program, and facilitating special event permits  Inform residents through proactive communications efforts, including media relations, social media, and other methods of communication  Oversee open government efforts, including compliance with the Brown Act  Represent the City interests and involvement in regional issues Council Strategic Goal: Fiscal Stewardship: Ensure fiscal responsibility and transparency, proactively seeking opportunities for improvement. CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 142 Department Objectives:  Promote a structurally balanced fiscal plan that is transparent and retains the City’s fiscal health, preserves essential services, and implements Council goals  Foster an environment where proactive, responsible, and transparent actions and decisions are encouraged and valued  Encourage a conservative approach to budgeting Council Strategic Goal: Public Safety: Provide a safe and secure community. Department Objectives:  Engage community members in crime prevention programs and educational efforts to promote community policing efforts and thereby decrease criminal activities  Involve the community in emergency preparedness and disaster mitigation planning to reduce loss of life and property during a disaster  Prepare for emergencies through employee training and exercises to ensure continued government operations during a crisis  Manage the Sheriff’s Office contract with the City of Saratoga Council Strategic Goal: Community Enrichment: Foster a community with an enriched and diverse culture and engaged citizenry Department Objectives:  Encourage community building events in Saratoga through the community event grant program, facilitation of special event permits, and promoting local events  Use a multitude of communication methods including the website, newsletter, radio, social media, and other traditional outreach methods, to reach a diverse range of residents  Promote resident participation in leadership roles by overseeing recruitment for positions on City Commissions and Committees Council Strategic Goal: Environmental Sustainability: Proactively support environmental sustainability efforts Department Objectives:  Partner with other local agencies to address the causes and effects of climate change through changes in City policies and practices  Use City communication channels, including the website and newsletter, to inform residents of the importance of adopting more environmentally friendly practices  Support and host environmental events, such as Arbor Day or ribbon cuttings that showcase recently completed sustainable projects  Participate in regional efforts to increase sustainability of government operations CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 143 BUDGET OVERVIEW In recent years, City Manager Department staffing levels have undergone several changes due to budget constraints and subsequent restructurings, including reducing staff positions to part-time, eliminating the Assistant City Manager position, and reassigning the Human Resources Division to the Administrative Services Department. With the economy stabilizing and workload shifts settled, all part-time departmental staff were returned to full-time in FY 2012/13. Since the 2013/14 budget, funding for the City Manager’s front desk backup has been included in the budget. In FY 2015/16, the funding for front desk backup and temporary contract staff will be increased. The City Clerk will be participating in the Santa Clara County and San Mateo County Management Talent Exchange Program from September to December. During that time, the Deputy City Clerk will serve as Acting City Clerk. The increase in front desk backup and temporary contract staff will be used to backfill the Deputy City Clerk/Executive Assistant to the City Manager position during this time. Anticipated compensation increases in FY 2015/16 reflect cost of living, step increases, and salary alignments pursuant to the recently adopted Memorandum of Understanding. In future years, medical benefit costs will increase at a slower rate as employees will share cost increases with the City. The remainder of the department’s budget expenditures remains fairly consistent, with the exception of a $65,000 decrease in election fees. CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 144 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Intergovernmental Revenues 20,023 - - - - - Fees, Licenses and Permits 388 736 625 1,400 934 400 Other Sources - 1,499 - - - - TOTAL REVENUES 20,412$ 2,236$ 625$ 1,400$ 934$ 400$ EXPENDITURES Salaries and Benefits 659,368 632,409 643,182 716,073 699,518 642,538 Operating Expenditures Materials & Supplies 5,395 4,080 6,812 19,050 13,982 13,970 Fees & Charges 9,210 57,277 16,439 93,120 74,350 23,800 Consultant & Contract Services 23,297 26,720 30,266 37,500 31,711 49,820 Meetings, Events & Training 5,184 5,405 8,098 13,350 9,304 16,950 Total Operating Expenditures 43,086 93,481 61,615 163,020 129,348 104,540 Fixed Assets - - - - - - Internal Service Charges 96,129 96,094 99,349 111,361 111,361 123,780 TOTAL EXPENDITURES 798,582$ 821,984$ 804,146$ 990,454$ 940,226$ 870,858$ 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted GENERAL FUND City Manager's Office 508,150$ 498,730$ 500,476$ 583,729 569,824 516,266 City Clerk 290,432 323,254 303,670 406,725 370,402 354,591 TOTAL GENERAL FUND 798,582$ 821,984$ 804,146$ 990,454$ 940,226$ 870,858$ TOTAL DEPT EXPENDITURES 798,582$ 821,984$ 804,146$ 990,454$ 940,226$ 870,858$ DEPARTMENTAL EXPENDITURES - by Division GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 145 Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded City Manager 1.00 1.00 1.00 1.00 1.00 City Clerk 1.00 1.00 1.00 1.00 1.00 Exec Assistant to CM / Deputy City Clerk 0.90 1.00 1.00 1.00 1.00 Administrative Analyst I/II 1.00 1.00 1.00 1.00 1.00 TOTAL FTE's 3.90 4.00 4.00 4.00 4.00 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Student Intern - - 320 320 - Executive Assistant (backfill)- - 120 136 750 Temporary Pool Hours - - 940 - - TOTAL ANNUAL HOURS - - 1,380 456 750 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff by Program Funded Funded Funded Funded Funded City Manager's Office 2.45 2.50 2.50 2.50 2.50 City Clerk 1.45 1.50 1.50 1.50 1.50 TOTALS 3.90 4.00 4.00 4.00 4.00 CITY MANAGER'S DEPARTMENT STAFF CITY MANAGER'S DEPARTMENT STAFF - by Division CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 146 CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 147 CITY MANAGER’S OFFICE The core services of the City Manager’s Office are to:  Provide leadership, oversight, and direction for City functions  Provide comprehensive information, policy analysis, and support to the City Council  Provide support and guidance to the City’s Commissions  Nurture community and intergovernmental relations  Cultivate public awareness of municipal services, programs, and activities The City Manager’s Office has direct oversight responsibility for the City Clerk and coordinates with external agencies that provide Public Safety, Animal Control, Solid Waste/Recycling, Cable Television, and Emergency Preparedness services to the City. BUDGET OVERVIEW Notable Budget Changes:  Additional funding provided for three month backfill of temporary Executive Assistant/Deputy Clerk position as the Executive Assistant/Deputy City Clerk fills in for the City Clerk  Office furniture budget reduced with the completion of City Manager Office improvements The City Manager’s Office primarily provides a managerial oversight and coordination role for City operations and City Council support, hence revenue is limited to the issuance fee for Special Event permits. Duties vary as new initiatives and needs arise. In FY 2013/14, the City Manager’s Office added temporary staff funding for backup coverage of the front desk. This expenditure has remained in the City Manager’s Office budget and will see some increases in FY 2015/16 to backfill the Executive Assistant position while the Deputy City Clerk is Acting City Clerk. From September to December, the City Clerk will be participating in the Santa Clara County and San Mateo County Management Talent Exchange Program. Additionally, City Manager’s Office budget has increased in certain areas that were reduced during the recession, such as office supplies and training. With the recent and projected growth in the economy, modest increases for promotional materials and equipment were added to enhance community outreach and ensure the ongoing sustainability of City operations. CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 148 CITY MANAGER’S OFFICE FY 2015/16 WORKPLAN PRIORITIES Public Relations – The City Manager’s Office continues to improve public relations efforts through greater engagement of the local media, use of social media, and increased use of more traditional communication methods. The City Manager’s Office will continue these efforts to keep residents informed of and engaged with City-related matters. Additionally, funding has been allocated in the capital budget for an update to the City’s website to further enhance communications. Community Events – As part of an effort to encourage events that bring people together and strengthen the City’s identity, the City Council instituted a community event grant program to encourage local organizations to hold community events and a median banner program to help promote community events. Both programs are administered by the City Manager’s Office. Additionally, the City Manager’s office will continue to support event promotion efforts by sharing information about local events on the City website, social media sites, AM radio station, and by other means. Annual Budget – The City Manager’s Office will continue to oversee the development of the City’s annual Operating and Capital budgets for presentation to the City Council and the community, ensuring City finances, services, and projects are properly presented and budgeted . Management and Council Retreats – Organize and facilitate an annual management retreat to address organizational development and administrative policies, and to prepare for the annual City Council retreat. Organize an annual City Council retreat to facilitate policy and issue development, resulting in the generation of the City’s annual work plan and, subsequently, the operating and capital budgets. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Taxes - - - - - - Intergovernmental Revenues - - - - - - Fees, Licenses and Permits - 200 600 800 800 400 TOTAL REVENUES -$ 200$ 600$ 800$ 800$ 400$ EXPENDITURES Salaries and Benefits 451,672 444,924 441,537 501,270 492,309 434,114 Operating Expenditures Materials & Supplies 4,386 3,510 4,434 16,450 11,055 10,250 Fees & Charges 3,732 3,559 3,909 5,595 4,025 6,195 Consultant & Contract Services - - - - - - Meetings, Events & Training 3,076 3,494 3,800 6,400 8,422 7,500 Total Operating Expenditures 11,193 10,563 12,142 28,445$ 23,502$ 23,945$ Fixed Assets - - - - - - Internal Service Charges 45,285 43,243 46,798 54,014 54,014 58,207 TOTAL EXPENDITURES 508,150$ 498,730$ 500,476$ 583,729$ 569,824$ 516,266$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 149 CITY MANAGER’S OFFICE KEY SERVICES  Provide comprehensive information, policy analysis, and support to the City Council  Provide oversight, leadership, and direction to City functions  Monitor state and federal legislation and effectively communicate the City’s position on legislative proposals affecting Saratoga  Facilitate strong community and intergovernmental relations  Cultivate public awareness of municipal services, programs, and activities  Present a balanced budget to City Council each fiscal year which reflects the most accurate revenue estimates and economic conditions at the time  Assure that City services are performed in accordance with City Council priorities and within the capabilities of the City’s resources  Inform the City Council, in a timely manner, of the City’s financial condition and the future needs of the City on an ongoing basis Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded City Manager 1.00 1.00 1.00 1.00 1.00 City Clerk - - - - - Exec Assistant to CM / Deputy City Clerk 0.45 0.50 0.50 0.50 0.50 Administrative Analyst I/II 1.00 1.00 1.00 1.00 1.00 TOTAL FTE'sOTAL 2.45 2.50 2.50 2.50 2.50 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Student Intern - - 320 320 - Executive Assistant (backfill)- - 120 136 375 Temporary Pool Hours - - 940 - - TOTAL ANNUAL HOURS - - 1,380 456 375 CITY MANAGER'S OFFICE STAFF CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 150 CITY MANAGER’S OFFICE 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actual Actuals Actual Estimated Budget 1. a.Meet with each member of the Council biweekly prior to City Council Meetings: Yes Yes Yes Yes Yes b.Prepare a weekly newsletter for the City Council:92%92%92%92%95% c.Provide Mayor and Council Members with presentation materials and talking points for special events, media inquiries, and presentations: Yes Yes Yes Yes Yes 2. a.Hold weekly meetings with the City's Management team to discuss upcoming agenda items and share information: 98%98%98%98%98% b.Make professional development and leadership training opportunities available to Directors and City staff: Yes Yes Yes Yes Yes c.Professional Association Memberships:10 8 7 7 7 3. a.Produce City Newsletter, Saratogan:3 3 3 4 4 b.Provide information about City news and activities on the City website, Facebook page, and Nextdoor site: Yes Yes Yes Yes Yes c.Send e-mail notifications for Council agendas, Commission meeting agenda/minutes, publication of Saratogan, weekly Sheriff's Office updates and community events updates: 95%95%95%95%95% d.Produce outreach materials, such as the Budget in Brief, that provide an overview on City operations: Yes Yes Yes Yes Yes e. Prepare and distribute press releases on important City news: Yes Yes Yes Yes Yes 4. a.Facilitate and issue permits for special events:2 11 12 8 10 b.Accept applications for Community Event Grant Program: Information not available 15 23 12 15 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actual Actuals Actual Estimated Budget 1.35 30 30 33 30 2.6 15 19 11 15 3.10 6 7 9 9 4.13 115 381 650 750 5.Information Not Available Information Not Available Information Not Available 24 30 6.Information Not Available Information Not Available Information Not Available 115 120 Inform residents through proactive communications efforts, including media relations, social media, and other methods of communication. Ensure the City Council is fully informed about City matters and provide support to City’s elected leadership. Promote effectiveness of City operations through collaboration, open communications, efficient coordination, creative thinking, and professional development. Encourage community building events in Saratoga through the community event grant program, facilitation of special event permits, and promoting local events. Number Community Event Grant Programs funded: Events hosted by City: City of Saratoga Facebook Page Fans: Number of Council Meetings Per Year: Number of Median Banner Program reservations Number of Banners displayed through Median Banner Program CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 151 CITY CLERK The City Clerk is responsible for meeting the legal requirements related to maintaining City records and conducting City business, as set forth in the State of California Government Code and City Municipal Code. The City Clerk is responsible for the timely indexing of resolutions, ordinances, and agreements, preparing City Council agendas and minutes, and maintaining an accurate record of all Council proceedings. Additional duties include: maintaining custody of the City Seal; administering oaths and affirmations; preparing and publishing legal notices; maintaining the Saratoga Municipal Code; processing board and commission recruitment applications; working with the Santa Clara County Registrar of Voters to conduct local elections in a fair and impartial manner; and receiving petitions and subpoenas on behalf of the City. BUDGET OVERVIEW Notable Budget Changes:  Additional funding provided for three month backfill of temporary Executive Assistant/Deputy Clerk position as the Executive Assistant/Deputy City Clerk fills in for the City Clerk  Election budget reduced as this is an off-election year The City Clerk division functions to provide support to the City Council and City Manager, so does not typically generate notable operational revenues. However, in FY 2011/12 a grant was administered by the City Clerk’s Office which provided one-time funds of just over $20,000. In election years, the City Clerk will collect $25 Council Candidate Filing Fees from each of the candidates, and on occasion, the public may requests copies of documents which generate a small amount of copy fees. Copy fees are unpredictable and minimal in amount, so are not budgeted. Budgeted operating expenditures are limited to basic City Clerk functions: office and record keeping supplies, legal public notices, codification contract service charges, e-filing service fees, and agenda packet and video streaming service charges. Every two years, the City conducts a City Council election. In FY 2015/16, the budget for the City Clerk will decrease as there will be no election during the fiscal year. During election years, the total expenditures i n the City Clerk’s Office increase to cover the costs associated with consolidation of the election with the County of Santa Clara. CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 152 CITY CLERK FY 2015/16 WORKPLAN PRIORITIES Records Management – The City Clerk’s Office will continue to manage the City’s records, including converting paper documents into electronic format, adding electronic documents to the City’s document management system, identifying records for final disposition, and preparing documents to be archived. Open Government – Continue implementing open government efforts, including the Brown Act, Political Reform Act, Public Records Act, and other laws or policies that promote transparent governance. Research opportunities to make certain public records accessible online to the public. City Contracts – Continue use of contract routing software and research of electronic signature options. Agenda Workflow and Video Streaming – Launch new agenda workflow program that allows for review and approval of staff reports for City Council and Planning Commission meetings. Continue video streaming of City Council and Planning Commission meetings. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Intergovernmental Revenues 20,023 - - - - - Fees, Licenses and Permits 388 536 25 600 134 - Charge for Services - - - - - - Other Sources - 1,499 - - - - TOTAL REVENUES 20,412$ 2,036$ 25$ 600$ 134$ -$ EXPENDITURES Salaries and Benefits 207,696 187,485 201,645 214,803 207,209 208,424 Operating Expenditures Materials & Supplies 1,010 570 2,378 2,600 2,927 3,720 Fees & Charges 5,478 53,718 12,531 87,525 70,325 17,605 Consultant & Contract Services 23,297 26,720 30,266 37,500 31,711 49,820 Meetings, Events & Training 2,108 1,911 4,298 6,950 882 9,450 Total Operating Expenditures 31,893 82,918 49,473 134,575 105,846 80,595 Fixed Assets - - - - - - Internal Service Charges 50,843 52,851 52,551 57,347 57,347 65,572 TOTAL EXPENDITURES 290,432$ 323,254$ 303,670$ 406,725$ 370,402$ 354,591$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 153 CITY CLERK KEY SERVICES  Meet legal requirements as set forth in the State of California Government Code and City Municipal Code  Maintain City records through timely indexing of resolutions, ordinances, and agreements  Prepare City Council agendas and minutes  Maintain an accurate record of Council proceedings  Maintain custody of the City Seal  Administer Oaths and Affirmations  Prepare and publish legal notices  Maintain the Saratoga Municipal Code  Ensure Fair Political Practices Commission filings are made on a timely basis  Ensure that all elected officials, appointed officials, and required staff meet mandatory AB 1234 biennial training requirements  Administer recruitment process for Commission and Outside Agency Council appointments Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded City Manager - - - - - City Clerk 1.00 1.00 1.00 1.00 1.00 Exec Assistant to CM / Deputy City Clerk 0.45 0.50 0.50 0.50 0.50 Administrative Analyst I/II - - - - - TOTAL FTE's 1.45 1.50 1.50 1.50 1.50 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Student Intern - - - - - Executive Assistant (backfill)- - - - 375 TOTAL ANNUAL HOURS - - - - 375 CITY CLERK STAFF CITY OF SARATOGA CITY MANAGER’S DEPARTMENT 154 CITY CLERK 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actual Actuals Actual Estimated Budget 1. a.Percentage of Regular City Council Meeting Minutes prepared and submitted to City Manager in time to be scheduled for approval on next Council agenda: 100%100%100%100%100% b.Prepare boxes of records for digital scanning:15 9 8 5 7 c.Provide efficient and effective Records Management by annually reviewing documents for retention and preparation for destruction: 100%100%100%100%100% 2 a.22 15 18 13 13 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actual Actuals Actual Estimated Budget 1 35 25 29 30 30 2 81 34 62 52 54 3 80 71 80 70 70 4 8 14 10 12 10 Promote effectiveness of City operations through collaboration, open communications, efficient coordination, creative thinking, and professional development. Number of boxes of City records processed for disposal: Number of resolutions: Number of ordinances: Number of City Council minutes prepared per year Number of Commission recruitments and appointments processed: Promote resident participation in leadership roles by overseeing recruitment for positions on City Commissions and Committees. CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 155 ADMINISTRATIVE SERVICES DEPARTMENT The Administrative Services Department provides oversight and support for the City’s financial, human resources, administrative, and technology operations. As the department’s Finance, Human Resources and Administrative Services divisions are centralized functions providing citywide administrative, financial, and legally required comprehensive support, the programs are included within the General Fund. The Information Technology (IT) Services division primarily provides interdepartmental technology support at varying service levels as requested or required by City departments, and is therefore an Internal Service program along with the City’s two equipment use and replacement funds: Information Technology Equipment Replacement; and Office Support Services. These Internal Service Fund programs can be proportionately allocated for specific usage of equipment and supplies, and identifiable support basis for services to departments. DEPARTMENT OBJECTIVES The Administrative Services Department directly supports several of the City Council’s Strategic Goals through implementation of the department’s objectives, as listed below. Performance Measures in support and service programs (programs with staffing) provide information on the Department’s attainment of these objectives. Council Strategic Goal: Fiscal Stewardship: Ensure fiscal responsibility and transparency, proactively seeking opportunities for improvement. Department Objectives:  Maintain responsible, sustainable, and enforceable fiscal policies and practices  Establish and uphold effective internal controls  Maintain excellent fiscal status with efficient use of assets and resources  Utilizing long-range fiscal planning tools, prepare structurally balanced fiscal plans that retain the City’s fiscal health, preserve essential services, and implement Council’s goals  Provide timely and accurate financial reporting in compliance with accounting standards and regulations Council Strategic Goal: City Leadership: Provide a proactive, responsible, inclusive, respectful, transparent, and trustworthy government dedicated to delivering effective high quality leadership for the community. Department Objectives:  Provide fair and proper administrative and personnel decisions that foster a proactive, responsible, and transparent government  Recruit, retain, and develop a highly effective workforce to promote good governance ethics  Promote organizational effectiveness through streamlined internal processes, leadership, teamwork, and innovation  Support transparent government initiatives Council Strategic Goal: Facility and Infrastructure: Maintain the City’s facilities and infrastructure in a safe, secure, sustainable, and cost effective manner. Department Objectives  Ensure technology infrastructure functions properly, is up-to-date, and secure  Provide for well-maintained, cost-effective equipment and infrastructure  Protect the City’s technology related assets from unauthorized use CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 156 DEPARTMENT BUDGET SUMMARY Over a significant number of years, staffing in the Administrative Services Department utilized temporary staff. With ever-increasing technology, information, and support demands, the department’s workload expanded over time, and temporary staffing was needed on a constant basis. Due to the technical and confidential nature of the work, and the small size of the department resulting in broader workload scope, staff positions require long-term skill development and knowledge for optimal efficiency of mission-critical duties. Typically, temporary positions are more effective for assignments with limited scope and repetitive duties. When CalPERS began its strict enforcement of rules for use of retirees as temporary staff in January 2012, the department took another look at its ongoing long-term use of temporary positions, and the need for high level support and financial management backup. Subsequently, an organizational study was conducted on the department’s staffing structure. The study concluded a full-time regular Finance Manager level position was required to support the Finance Division (replacing two part-time Sr. Accountant retirees), and the HR and IT Technician positions filled by long-term temporary staff should be converted to regular benefited positions in each of the respective divisions to properly reflect the staffing support required. With Council approval, the organizational changes to add a full-time Finance Manager position to the Finance Division, a part-time (.75 FTE) HR Technician position to Human Resources, and a full time (1.0 FTE) IT Technician position to Information Technology staffing became effective with the FY 2013/14 budget. This change provided the resources to refocus the Department Director’s duties from direct fiscal oversight duties, to broader departmental administrative and technological improvements. With the hiring of a Finance Manager in mid-FY 2013/14, and a transference of duties over the remainder of the fiscal year, an Administrative Services Division was added to the FY 2014/15 budget. The Director’s FTE was shifted out of Finance and will shift toward policy and procedural development, additional long-range planning and financial communications, and the development of a city-wide administrative management tool. Another structural department change in recent years is the shift of budgeted employment law attorney services out of the Human Resources program and into the Legal Services program in the Non-Departmental section. This move was predicated on the concept of assigning budget responsibility and oversight for legal services to the City Attorney, and aligning all legal services within the Legal Services program. The remainder of the department’s General Fund operating budget is relatively steady. Finance and Human Resources functions are administrative and support oriented, therefore daily operating expenses do not vary significantly from year-to-year. The budget shift from Finance to Administrative Services is reflected in a realignment of expenditures between divisions, with costs holding steady at the departmental level. General Fund revenues are limited to Business License processing fees in the Finance program. The Human Resources and Administrative Services programs do not generate revenues. Internal Service Fund revenues are primarily comprised of service chargebacks to other city programs for allocated support of IT services, equipment, and office support expenses. On the expenditure side, General Fund expenditures reflect staffing costs, operational supplies and services, and internal service fund charges. Internal Service Fund expenses consist of staffing, supplies, equipment costs, leases, and annual support/license fees. CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 157 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Taxes - - - - - - Intergovernmental Revenues - - - - - - Fees, Licenses and Permits 41,560 41,810 41,618 40,000 45,085 41,800 Charge for Services - - - - - - Other Sources 8,198 10,175 5,991 5,000 11,496 5,000 Internal Service Charges - - - - - - TOTAL REVENUES 49,758$ 51,985$ 47,609$ 45,000$ 56,581$ 46,800$ EXPENDITURES Salaries and Benefits 867,053 897,688 952,948 1,064,991 1,045,287 1,047,320 Operating Expenditures Materials & Supplies 9,651 10,631 12,610 16,750 9,132 14,450 Fees & Charges 20,701 20,449 21,704 23,715 17,842 24,120 Consultants & Contract Services 120,851 82,262 66,389 66,500 52,824 61,300 Meetings, Events & Training 8,716 11,987 35,678 20,150 14,664 15,900 Total Operating Expenditures 159,919 125,328 136,381 127,115 94,462 115,770 Fixed Assets - - - - - - Internal Service Charges 139,853 145,589 147,161 150,297 150,297 165,416 TOTAL EXPENDITURES 1,166,825$ 1,168,605$ 1,236,490$ 1,342,403$ 1,290,046$ 1,328,506$ 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted GENERAL FUND Financial Services 800,562 839,510 899,080 795,460 778,447 789,676 Human Resources 366,263 329,095 337,410 346,491 325,218 331,075 Administrative Services - - - 200,452 186,382 207,755 TOTAL GENERAL FUND 1,166,825$ 1,168,605$ 1,236,490$ 1,342,403$ 1,290,046$ 1,328,506$ INTERNAL SERVICE FUNDS Office Support Services 55,236 54,285 35,928 73,750 46,229 73,250 Information Technology Services 374,362 375,674 422,703 475,725 432,550 530,065 IT Replacement Fund 53,844 46,678 58,530 68,200 23,687 108,400 TOTAL INTERNAL SERVICES 483,443$ 476,637$ 517,161$ 617,675$ 502,466$ 711,715$ TOTAL DEPT EXPENDITURES 1,650,268$ 1,645,242$ 1,753,651$ 1,960,078$ 1,792,513$ 2,040,221$ TRANSFERS OUT IT Replacement Fund 24,963 - - - - - TOTAL TRANSFERS OUT 24,963$ -$ -$ -$ -$ -$ TOTAL EXP & TRANSFERS OUT 1,675,230$ 1,645,242$ 1,753,651$ 1,960,078$ 1,792,513$ 2,040,221$ DEPARTMENTAL EXPENDITURES BY DIVISION / PROGRAM GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 158 Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Administrative Services Director 1.00 1.00 1.00 1.00 1.00 Finance Manager - - 1.00 1.00 1.00 Accountant I/II 0.90 0.90 0.90 0.90 0.90 Accounting Technicians 3.00 3.00 3.00 3.00 3.00 Human Resources Manager 0.95 0.90 0.90 0.90 0.90 Human Resources Technician - - 0.65 0.65 0.65 Information Technology Administrator 1.00 1.00 1.00 1.00 1.00 Information Technology Technician - - 1.00 1.00 1.00 TOTAL FTE's 6.85 6.80 9.45 9.45 9.45 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Hours Funded Funded Funded Funded Funded Sr. Accountant 1,200 1,200 200 - - IT Technician 2,000 2,000 - - - HR Technician 1,568 1,568 - - - Student Intern - - 320 320 - Graphics Design Assistant - - - - 149 TOTAL ANNUAL HOURS 4,768 4,768 520 320 149 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff by Program Funded Funded Funded Funded Funded Finance 4.70 5.70 5.70 5.00 4.75 Human Resources 1.05 1.75 1.85 1.85 1.85 Administrative Services - - - 0.70 0.95 Information Technology 1.15 2.10 2.10 2.10 2.10 TOTALS 6.90 9.55 9.65 9.65 9.65 ADMINISTRATIVE SERVICES DEPARTMENT STAFF ADMINISTRATIVE SERVICES DEPARTMENT STAFF - by Division The Adminstrative Services Departmental FTE schedule includes General Fund and Internal Service staffing assigned to this department. The .10 FTE of the HR Manager and .10 FTE of the HR Technician funded and assigned to the Workers Compensation program in the Non-Departmental section are not reflected in the Department's Division Total, but are reflected in the Total Staff Personnel schedule. CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 159 FINANCE DIVISION The Finance Division program functions to assure both legal and fiscal accountability to the public through responsible, sustainable, and enforceable fiscal policies and practices. The program provides financial oversight and the administration of accounting functions for all the City’s funds and accounts; monitors the Annual Operating and Capital Budgets for fiscal and operational accountability; coordinates the annual financial audit and preparation of the Comprehensive Annual Financial Report (CAFR) to verify proper fiscal reporting; ensures all Federal, State, and County fiscal reporting requirements are fulfilled; administers the City’s Accounts Payable, Accounts Receivable, Payroll and Business License functions; oversees Treasury responsibilities, and provides general asset management and purchasing oversight and support functions, ensuring proper practices are in place, and that fiscal and operational responsibility is upheld. BUDGET OVERVIEW Notable Budget Changes:  A Contract Service increase for the newly required GASB 68 Report Fee from CalPERS actuarial office is absorbed by decreases in materials, fees.  A .25 FTE shift of an Accounting Technician position to the Administrative Services Division decreased salary costs in the Finance Division The FY 2015/16 Finance Division budget reflects anticipated revenues and expenditures associated with providing financial operations and services. Revenues are comprised of the processing and service fees collected from providing Business License services, whereas the tax revenue collected under this licensing process flows to the General Administration program in the Non-Departmental Section. Late fees continue to be earned from the ongoing compliance audit. The amount has steadily decreased over the years as the auditors have identified the majority of unlicensed or delinquent businesses. Unlicensed businesses are assessed late fees to a maximum of the license amount itself, for up to a maximum three years in arrears. Processing fee revenue is expected to remain steady as a result of the ongoing business license compliance audit which began in January, 2009. Division expenditures reflect continued streamlining of operational expenses, including the elimination of bank courier services, the reduction of the Accountant position from 1.0 FTE to .90 FTE, and limited funding for operating supplies, services, and training to maintain an overall minimal operational cost. Per new Governmental Accounting Standards Board (GASB) requirements, state and local governments are now required to report on net pension liabilities or assets. CalPERS will provide the state and local agencies with actuarial valuations, but at a cost of approximately $1,500 for each plan. $4,500 was added to the fiscal year budget for this purpose. This new cost was offset by decreases in various materials and services. The Division’s salary costs were decreased with the shift of .25 FTE to the Administrative Services Division. The funding shift better reflects the position’s duties, as part of staff’s time is devoted to various administrative duties and operational support of the division’s functions. The Finance Division’s largest operational expense is the annual financial audit, which is also required by law. CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 160 FINANCE DIVISION FY 2015/16 WORKPLAN PRIORITIES Reporting Enhancements – Staff will continue to improve and publish the Comprehensive Annual Financial Report, Monthly Treasurers Reports, and Quarterly Budget Status Reports, with a focus on presentation, documentation, compliance requirements, and readability. Financial System Training – Finance staff will continue to learn how to utilize the system’s Report Writer tool to enhance system information productivity. Credit Card Processing – Staff will review credit card processing options to move away from a cost model to a true pass-through processing system, thereby eliminating credit card processing fee impacts. Collection Agency Services – Staff will research and pursue options for contracting with a collection agency for uncollectible billings and deposits. Banking Services – Staff will research banking service options, determine desirable service tools, determine productivity of preparing a banking services RFP, and pursue if there are advantages. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Fees, Licenses and Permits 41,560 41,810 41,618 40,000 45,085 41,800 Charge for Services - - - - - - Other Sources 8,198 10,175 5,991 5,000 11,496 5,000 TOTAL REVENUES 49,758$ 51,985$ 47,609$ 45,000$ 56,581$ 46,800$ EXPENDITURES Salaries and Benefits 640,944 653,372 702,479 614,736 611,118 601,019 Operating Expenditures Materials & Supplies 7,551 6,722 11,221 14,050 7,679 12,000 Fees & Charges 9,924 9,741 9,413 11,620 8,685 11,325 Consultants & Contract Services 29,847 51,469 54,391 43,200 42,016 43,000 Meetings, Events & Training 1,766 2,200 4,595 5,350 2,445 5,500 Total Operating Expenditures 49,088 70,133 79,619 74,220 60,825 71,825 Internal Service Charges 110,530 116,006 116,983 106,504 106,504 116,832 TOTAL EXPENDITURES 800,562$ 839,510$ 899,080$ 795,460$ 778,447$ 789,676$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 161 FINANCE DIVISION KEY SERVICES  Monitor the City’s revenue and expenditures to ensure compliance with the annual operating and capital budget appropriations– in accordance with best practices and standards  Coordinate the annual audit of the City’s financial statements and preparation of the Comprehensive Annual Financial Report (CAFR)  Maintain the City’s financial information system for record-keeping and reporting of all financial transactions  Provide Accounts Payable and Payroll disbursement and reporting services; Accounts Receivable invoicing, revenue collection, and cash reconcilement; and Business License Tax processing and auditing services  Provide accounting, arbitrage reporting, and claim reimbursement services for bond issues  Provide oversight of procurement functions including Purchase Order processing, financial tracking of contracts, vendor resolution issues, and proper accounting allocations Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Administrative Services Director 0.80 0.80 0.80 0.10 0.10 Finance Manager - - 1.00 1.00 1.00 Accountant I/II 0.90 0.90 0.90 0.90 0.90 Accounting Technicians 3.00 3.00 3.00 3.00 2.75 Human Resources Manager - - - - - Human Resources Technician - - - - - Information Technology Administrator - - - - - Information Technology Technician - - - - - TOTAL FTE's 4.70 4.70 5.70 5.00 4.75 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Hours Funded Funded Funded Funded Funded Sr. Accountant 1,200 1,200 200 - - TOTAL ANNUAL HOURS 1,200 1,200 200 - - FINANCE STAFF CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 162 FINANCE DIVISION 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Annual Financial Statements receive an 'Unqualified Opinion' from the City's independent auditor: Yes Yes Yes Yes Yes b.Comprehensive Annual Finance Reports meets the Governmental Finance Officer Association (GFOA) 'Certificate of Achievement of Excellence in Financial Reporting' program standards and receives award: Yes Yes Yes Yes Yes 2. a.Percent of time actual expenditures do not exceed a fund's approved budget appropriations: 100%100%100%Moved to Admin Services Moved to Admin Services b.Governmental Finance Officer Association (GFOA) 'Certificate of Achievement of Excellence in Budgeting' awarded to the City: Yes Yes Yes Moved to Admin Services Moved to Admin Services 3. a.Percent of time bank statements are reconciled to general ledger within 45 days of month-end: 100%100%100%100%100% b.Percent of State Controller's annual financial reports completed and filed by deadlines: 100%100%100%100%100% c.Percent of County annual financial reports completed and filed by deadlines: 100%100%100%100%100% d.Percent of time revenue analyses are completed within 30 days of month-end: 100%100%100%100%100% 4. a.Percentage of Accounts Payable invoices processed accurately and on-time: 99.99%100%99.99%100%100% b.Percentage of Payroll checks paid accurately and on-time:100%100%100%100%100% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.0 0 0 0 0 2.1,220 1,242 1,230 1,260 1,250 3.2,124 2,234 2,240 2,200 2,250 4.5,760 7,494 7,320 7,106 7,100 5.49 53 50 51 50 6.Information not available 0 3 0 0 7.48 23 26 30 25 8.1,879 1,899 1,940 1,850 1,850 Number of Business Licenses issued annually: Average number of Accounts Payable checks issued weekly: Number of payroll checks, paycheck vouchers, and stipends issued annually: Number of invoices entered into Accounts Payable system: Number of Cash Receipt batches processed annually: Number of corrections resulting from annual financial audit: Number of voided checks - due to lost/destroyed checks, printer error, or incorrect invoice information Number of voided checks - due to processing errors Prepare accurate budget forecasts and workplans in compliance with standard budgeting practices. Assure legal and fiscal accountability to the public, in compliance with established accounting standards. Provide financial oversight and administer accounting functions for City funds and accounts. Provide timely and accurate financial reporting within specified deadlines. CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 163 HUMAN RESOURCES The Human Resources Division provides the full scope of professional, technical, and support services to attract, retain, and develop a professional and committed workforce that provides excellent internal and external customer service and promotes a safe workplace; supports the use of best practices to reduce workers’ compensation claims; and ensures that the City complies with laws and regulations regarding employment and labor relations, including establishing and monitoring the City’s personnel practices and policies consistent with employment law updates. Human Resources core services include: recruitment and selection; employee and labor relations; classification and compensation; benefit design, negotiation and administration; performance management; records management; employee training (both legally mandated and discretionary); policies and procedures; employment and labor law compliance; special projects in support of City operations; and management of a variety of City programs including: Employee Recognition; “Volunteer Saratoga”; Emergency Volunteer Management; Workers Compensation, Safety and Wellness; Custodian of Records Department of Justice; and the Department of Motor Vehicles’ Employee Pull Notice (EPN) program. BUDGET OVERVIEW Notable Budget Changes  Annual Employee Event budget was redirected to the Non-Departmental budget as the expense is a Citywide managed award program with various City staff alternating event duties The Human Resources program focus is to support citywide personnel related functions with no direct service activities which generate revenues. Division staffing includes .90 FTE of the Human Resources Manager and .65 FTE of the Human Resources Technician (the remaining .10 FTE for each of these positions is included in the Workers Compensation program under the Non-Departmental Section). The Administrative Services Director allocates .10 FTE to this program for division administration oversight. Ongoing operational expenditures include: membership in the Santa Clara County Bay Area Employee Relations Services (BAERS) (www.bayareaers.org), a joint powers agency which provides online access to relevant classification, benefits and compensation data of Northern California agencies for survey analysis and classification studies; membership with CalOpps (www.calopps.org), a public sector job board for recruiting regular, temporary, and volunteer positions; NEOGOV online performance appraisal system annual license and software support; and contract training services. Also included in the FY 2015/16 budget is ongoing funding for supplies, association dues, employee and organizational training, and the employee assistance program (EAP). Employment law legal services were moved into the Non-Departmental Legal Services program during FY 2013/14 to assign budget responsibility and oversight for legal services to the City Attorney, and to align all attorney fees within the Legal Services program. CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 164 HUMAN RESOURCES FY 2015/16 WORKPLAN PRIORITIES Staff Training – Coordinate on-site AB1825 mandatory harassment training for employees, supervisors, and management (required every two years by law and required within six months of hire of supervisory positions), and coordination of management and supervisory workshops through Leibert Cassidy Whitmore and various training opportunities such as the 2015 Management Talent Exchange and Leadership Academy programs as part of the “Preparing the Next Generation” effort by the City Managers Department of the League of California Cities and the City Managers Association of Santa Clara and San Mateo Counties. Recruitment and Selection – Conduct recruitment and selection processes in accordance with agreed upon scheduled target dates. Negotiations/Collective Bargaining Agreements – Implement new Memorandum of Understanding’s (MOU’s) that become effective July 1, 2015. Benefits Administration – Prepare request for proposal and implement an updated employee life insurance contract to provide employees with the voluntary option to “buy-up” additional life insurance at 100% cost to the employee. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Other Sources - - - - - - TOTAL REVENUES -$ -$ -$ -$ -$ -$ EXPENDITURES Salaries and Benefits 226,109 244,316 250,470 276,863 262,838 262,507 Operating Expenditures Materials & Supplies 2,100 3,908 1,389 1,450 1,244 1,450 Fees & Charges 10,776 10,708 12,291 11,695 9,157 12,195 Consultants & Contract Services 91,004 30,793 11,999 13,000 10,808 13,000 Meetings, Events & Training 6,950 9,787 31,083 13,650 11,337 9,250 Total Operating Expenditures 110,831 55,196 56,762 39,795$ 32,546$ 35,895$ Internal Service Charges 29,323 29,583 30,178 29,833 29,833 32,673 TOTAL EXPENDITURES 366,263$ 329,095$ 337,410$ 346,491$ 325,218$ 331,075$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 165 HUMAN RESOURCES KEY SERVICES  Serve as Custodian of Records pursuant to Penal Code section 11102.2(b) requirements for the security, storage, administration, and destruction of employee criminal records furnished by the Department of Justice  Manage the Department of Motor Vehicles' Employer Pull Notice Program (EPN) including promoting driver safety by monitoring the driving records of employees who are required to drive a City vehicle  Develop, implement, and monitor compliance with human resources policies, monitor and maintain performance management and personnel recordkeeping systems, provide conflict resolution and performance management support services to managers and employees  Negotiate and administer Memorandum of Understandings with the City’s collective bargaining units  Maintain the City’s classification and compensation systems, administer benefits and benefit recordkeeping systems, provide customer service, and manage benefit contracts with third party administrators  Provide recruitment and selection services, complying with state and federal non-discrimination laws in the hiring process, including Equal Employment Opportunity (EEO), the American’s with Disability Act (ADA), and similar California statutes  Oversee employee educational goals through training and professional development programs, including tuition reimbursement for eligible full-time employees and legally mandated training such as harassment in the workplace  Manage the Employee Recognition Program, including special employee commendations, annual employee recognition luncheon, service awards, and individual and team awards  Administer the “Volunteer Saratoga” program, promoting volunteerism as an important part of providing excellent services to City residents Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Administrative Services Director 0.05 0.10 0.10 0.10 0.10 Finance Manager - - - - - Accountant I/II - - - - - Accounting Technicians - - - - - Human Resources Manager 0.95 0.90 0.90 0.90 0.90 Human Resources Technician - - 0.65 0.65 0.65 Information Technology Administrator - - - - - Information Technology Technician - - - - - TOTAL FTE's 1.00 1.00 1.65 1.65 1.65 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded HR Technician 1,568 1,568 - - - Student Intern - - 320 320 - Total Annual Hours 1,568 1,568 320 320 - *This schedule reflects FTEs as funded in the Human Resources Program. Portions of FTEs assigned to Internal Service Funds or other programs, are reflected in the appropriate FTE schedules. HUMAN RESOURCES STAFF CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 166 HUMAN RESOURCES 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Percent of time the Human Resources Division provides reports to outside agencies on or before the deadline: 100%100%100%100%100% 2. a.Manage contracts to ensure compliance with current laws, memoranda of understanding, and City policies and procedures: 100%100%100%100%100% b.Regularly reviewing contracts to ensure that the most cost- effective method of providing required insurances is maintained: 100%100%100%100%100% c.Regularly review contracts to ensure that they meet the needs of the organization: 100%100%100%100%100% d.Providing contract interpretation, and acting as a liaison between the provider and the customer employee: 100%100%100%100%100% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.4 3 8 6 1 2.500 1,085 2,500 314 100 3.78 77 81 76 80 4.160 167 191 150 150 5.$59,000 $58,503 $57,577 $50,000 $50,000 6.1,040 160 160 520 180 7.36 36 36 52 50 Provide timely reporting and/or responses to outside agencies including CAlPERS, insurance vendors, Employment Development Department, City, State and Federal Agencies. Number of meet and confer process hours: Number of training hours offered to employees: Provide effective and efficient employee benefit contract administration. Number of recruitments conducted for regular, benefited positions. Number of employment applications received and processed: Total number of employees (benefited, non-benefited, and temporary, part-time and full-time): Value of volunteer hours: Number of participants in Volunteer Saratoga program: CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 167 ADMINISTRATIVE SERVICES The Administrative Services Division was established effective with the FY 2014/15 budget to reorganize departmental duties and separate administrative oversight functions from the other distinctly organized divisions within the Administrative Services Department. With the addition of the Finance Manager position to the department in mid-FY 2013/14, direct fiscal oversight duties are transferring from the Director to the Manager to allow the Director to focus on departmental leadership and strategic administrative support matters, to improve both departmental and citywide efficiencies. Under the Administrative Services program, efforts will focus on policy and procedural development, long-range forecasting, and financial communication, strategic and financial planning, coordination and development of the City’s annual budgets, records management and documentation, development and implementation of administration management tools and technology related process improvements, and professional and technical assistance and support to other departments relative to financial and administrative matters. Activities will vary year by year as projects and duties are completed, and with various assignments in support of Council and City Manager initiatives and direction. BUDGET OVERVIEW Notable Budge Changes:  Operational expenses were decreased to reflect in house staff development work rather than contract services. In the event of a disaster and cost recovery process, the City’s administrative and financial policies would be subject to a highly critical and restrictive review, and would be the foundation upon which cost recovery decisions would be made. Workload priority will initially be placed on developing and revising high priority policies to prepare for this rigorous process should it occur. As cost recovery planning and preparations are extensive, this activity will continue to be a high priority function for many years. Additional efforts will focus on the management and tracking of financial documents and records, the development of budget and administrative management tools as well as the development of an asset database and reassessment of internal service fund allocations. With the focus on high level analytical, financial, and administrative management, budget activity is limited. Revenues will not be generated by this program and operating expenditures will be minimal, consisting of staffing costs, funding for research and possible implementation of an intranet or similar administrative management tool, required office supplies, financial conference costs, and internal service charges. CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 168 ADMINISTRATIVE SERVICES FY 2015/16 WORKPLAN PRIORITIES Cost Recovery Planning – Staff is in the beginning stages of a large, long-term project to prepare the City for financial tracking and reporting duties, both during, and after, an emergency. The focus will be on researching and preparing emergency policies and forms in conformance with claim reimbursement requirements. Fiscal and Administrative Policies – Staff will research, document, and ultimately develop a comprehensive set of City-wide fiscal and administrative policies. This project is very large and will take several years to complete. Financial Records Management – Staff will finalize the conversion of permanent paper financial records into digital format and organize along with existing digital format files into a readily accessible directory library structure in the City’s Laserfiche program. All files are to be brought up to date. Administrative Management Development – The City will implement an internal website data management tool to provide readily accessible administrative information and resources. Asset Database Development – Staff will work on the development of an asset management tool to better track resources and funding requirements for budget preparation and information tracking purposes. Contract Management – Staff will work on the development of a contract database tool to track Citywide contract life cycles for comprehensive data collection and expiration dates. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Fees, Licenses and Permits - - - - - - Charge for Services - - - - - - Other Sources - - - - - - TOTAL REVENUES -$ -$ -$ -$ -$ -$ EXPENDITURES Salaries and Benefits - - - 173,392 171,331 183,794 Operating Expenditures Materials & Supplies - - - 1,250 209 1,000 Fees & Charges - - - 400 - 600 Consultants & Contract Services - - - 10,300 - 5,300 Meetings, Events & Training - - - 1,150 882 1,150 Total Operating Expenditures - - - 13,100 1,091 8,050 Internal Service Charges - - - 13,960 13,960 15,911 TOTAL EXPENDITURES -$ -$ -$ 200,452$ 186,382$ 207,755$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 169 ADMINISTRATIVE SERVICES KEY SERVICES  Fiscal and administrative leadership  Policy and procedural development  Financial planning, long-range forecasting, and fiscal communication  Coordination, development, and ongoing improvement of the City’s annual budget process and document  Professional and technical support to other departments relative to financial and administrative matters  Implementation and improvements of administrative management functions and processes  Departmental records management Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Administrative Services Director - - - 0.70 0.70 Finance Manager - - - - - Accountant I/II - - - - - Accounting Technicians - - - - 0.25 Human Resources Manager - - - - - Human Resources Technician - - - - - Information Technology Administrator - - - - - Information Technology Technician - - - - - TOTAL FTE's - - - 0.70 0.95 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Hours Funded Funded Funded Funded Funded Graphics Assistant - - - - 150 TOTAL ANNUAL HOURS - - - - 150 ADMINISTRATIVE SERVICES STAFF CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 170 ADMINISTRATIVE SERVICES 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Provide Council and City Management with long-range fiscal planning tools in preparation of annual budget process: See Finance Perf Measure See Finance Perf Measure See Finance Perf Measure Yes Yes b.Keep abreast of fiscal and administrative impacts to the City and communicate pertinent information to City management. See Finance Perf Measure See Finance Perf Measure See Finance Perf Measure Yes Yes 2. a.Percent of time actual expenditures do not exceed a fund's approved budget appropriations: See Finance Perf Measure See Finance Perf Measure See Finance Perf Measure 100%100% b.Governmental Finance Officer Association (GFOA) 'Certificate of Achievement of Excellence in Budgeting' awarded to the City: See Finance Perf Measure See Finance Perf Measure See Finance Perf Measure Yes Yes 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.See Finance Perf Measure See Finance Perf Measure See Finance Perf Measure Yes Yes 2.See Finance Perf Measure See Finance Perf Measure See Finance Perf Measure Yes Yes 3.See Finance Perf Measure See Finance Perf Measure See Finance Perf Measure Yes Yes 4.See Finance Perf Measure See Finance Perf Measure See Finance Perf Measure Yes Yes Prepare accurate budget workplans in compliance with standard budgeting practices. Prepare long-range fiscal and administrative analysis and decision making tools to assist Council with retaining the City's fiscal health, preserve essential services, and achieve other Council goals. Present Mid-year Budget Review at annual Council Retreat: Present Five Year forecast at annual Council Retreat: Research and inform City Management of notable fiscal or administrative matters: Update fiscal and administrative policies: CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 171 OFFICE SUPPORT SERVICES The Office Support program accounts for the photocopy equipment leases, copy supplies, postage machine lease, and postage and related fees on a centralized basis. Usage expenses are allocated back to the appropriate department for services and supplies utilized, on a quarterly basis. As this program functions primarily as a funding mechanism, personnel are not assigned to this fund, therefore fiscal year objectives, a staffing schedule, and performance measures are not included in this program. BUDGET OVERVIEW The City’s Multi-Functional Devices (MFD), consisting of photocopying, scanning, and printing functions, ar e typically leased rather than purchased by the City based on the cost effectiveness of service contracts versus the cost of purchasing equipment. Although leasing does include built-in financing costs, the heavy usage MFDs sustain on a daily basis coupled with rapidly advancing technology improvements and cost reductions seen with these types of machines, leasing provides the City with cost efficiency and better ongoing quality. Additionally, the potential for repeated breakdowns, the cost of service contracts and quality issues with older machines makes “lease and replace” a better option than “purchase and retain”. With the expiration of the MFD lease agreement in late 2013, the City entered into a new lease in February, 2014. As expected, the new machines are more advanced: with higher quality, increased functionality and reliability, and notably faster – while lease and service costs have decreased. Conversely, the City’s postage machine was purchased rather than leased due to a different set of circumstances. Postage machines are more mechanical with less technology than MFDs, and therefore less costly. Hence, they are typically stable and reliable pieces of equipment which do not require constant servicing. The postage machine was purchased in June, 2009, which included free maintenance service (repair services and postage rate upgrades) for the first year, and a service contract for subsequent years. The original five year maintenance agreement expired at the end of June 2014 but as the machine is operating satisfactorily, the decision was made to retain the machine and renew the maintenance agreement on an annual basis for as long as practical. Staff does not expect to replace the postage machine next fiscal year, but has included replacement funding in the budget as a contingency. Replacement funding will be budgeted each year until a replacement machine is required. The FY 2015/16 service chargeback was decreased as fund balance is sufficient, in line with the reserve policy. Operating expenditures are budgeted at last year’s level, which includes the contingency funding for the possible postage equipment replacement. CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 172 OFFICE SUPPORT SERVICES KEY SERVICES  Provide postage and photocopy equipment, as wells as other small office equipment, supplies, and services for citywide use  Monitor service levels and performance of copier and postage machines, maintaining and replacing equipment as needed 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted SOURCES OF FUNDS Beginning Fund Balance Unassigned 15,831 11,220 24,021 53,121 53,121 75,075 Total Beginning Fund Balance 15,831$ 11,220$ 24,021$ 53,121$ 53,121$ 75,075$ Revenues Charge for Services 10,626 12,086 10,028 10,000 13,183 12,000 Internal Service Charges 40,000 55,000 55,000 55,000 55,000 50,000 Total Revenues 50,626$ 67,086$ 65,028$ 65,000$ 68,183$ 62,000$ TOTAL SOURCE OF FUNDS 66,457$ 78,306$ 89,049$ 118,121$ 121,304$ 137,075$ USE OF FUNDS Expenditures Salaries and Benefits - - - - - - Operating Expenditures Materials & Supplies 15,991 17,233 18,323 20,000 18,632 19,500 Fees & Charges 37,281 35,951 15,323 35,750 25,473 35,250 Consultants & Contract Services 1,965 1,101 2,282 3,000 2,124 3,500 Meetings, Events & Training - - - - - - Total Operating Expenditures 55,236$ 54,285$ 35,928$ 58,750$ 46,229$ 58,250$ Fixed Assets - - - 15,000 - 15,000 Internal Service Charges - - - - - - Total Expenditures 55,236$ 54,285$ 35,928$ 73,750$ 46,229$ 73,250$ Operating Transfers Transfer Out - - - - - - Total Operating Transfers - - - - - - Ending Fund Balance Unassigned 11,220 24,021 53,121 44,371 75,075 63,825 Total Ending Fund Balance 11,220$ 24,021$ 53,121$ 44,371$ 75,075$ 63,825$ TOTAL USE OF FUNDS 66,457$ 78,306$ 89,049$ 118,121$ 121,304$ 137,075$ SOURCE & USE OF FUNDS CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 173 INFORMATION TECHNOLOGY SERVICES Information Technology Services supports the delivery of technology based services throughout the City ’s operations. Core services include the maintenance and support for the City’s information systems, including all aspects associated with desktop computers, network maintenance and support, infrastructure, and program implementation and upgrade support. Other core duties include maintaining the City’s various communication systems, including support for the streaming video technology system, internet, landline and wireless communication systems, including voicemail, email, and the archiving of communication records. The IT Services program supports the upgrade of existing information technology, as well as overseeing new technology initiatives. In meeting the City’s information technology needs, the IT Services program strives to continuously enhance and improve IT services, and to maintain and ensure a sound, secure, and reliable IT infrastructure. BUDGET OVERVIEW Notable Budget Changes:  Service Chargebacks were increased by $50,000 to reflect growing technology services and costs.  Additional funding was budgeted for an IT Security Audit, 5 year phone system support, higher Agenda Manager support costs, and higher internal service charges for IT Equipment/System replacement costs. The IT Services program is funded solely through service chargebacks for operational support to the City’s programs. With the ever increasing advancement in technology services, systems, and security, IT costs continue to increase each year. Support fees to offset operational costs will rise by $50,000, up to $475,000 in FY 2015/16. Staff pursues operational savings wherever possible, however IT annual licenses and support expenditures increase most years, and additional technology services are added as the City’s needs change. With the consolidation of multiple small servers into a larger server with a virtual server environment, some software and maintenance duplication costs were eliminated, providing ongoing savings. In addition, the integration of cloud-based solutions has reduced hardware costs while providing off-site capabilities and enhanced security. Staff also utilizes multi-year service plans, when savings are provided, to reduce overall costs. The expansion of the network to Saratoga Prospect Center, free Wi-Fi at Blaney Plaza, EV station software support, and multiple firewall and security systems added to program costs in the last couple of years. Beginning in FY 2014/15, we began to see additional costs as a result of Microsoft’s elimination of 2003 operating system support. This change required purchasing new software systems, which brought increased annual support fees. And, in this new intense era of cybersecurity protection requirements, the City plans to undertake an IT Security Audit, and make improvements where needed. The budget also includes $25,000 of contingent IT support funding due to an ever increasing demand driven by new technology and security needs, which often reveal themselves mid-year. The breadth of knowledge and expertise necessary for implementation and support requires cutting-edge technology consultants who can provide high-level assistance for specialized and emerging technology projects, as well as for emergency operations backup. The City’s IT consultant draws upon multiple staff in their firm who have specialized training with advanced skills to assist in the implementation of new or high-level technology. The consultants also support and train the City’s IT staff on new technology as needed. While there are variations in support and license fees and expenses from year to year, the overall budget remains steady, reflecting very little change from the prior year. CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 174 INFORMATION TECHNOLOGY SERVICES FY 2015/16 WORKPLAN PRIORITIES Emergency Power Backup System – The City utilizes Uninterrupted Power Supply (UPS) battery backup to allow staff time to save data and shut down computers to prevent data corruption. During electrical outages, staff powers down servers and office machines to prevent power spikes and maintain data integrity; however outages during non- working hours cannot be managed and may result in damaged equipment. IT Staff will work with Facility staff on the CIP Emergency Power project to install a back-up generator. Emergency Operations Center (EOC) Site Relocation – With the completion of the Emergency Power Backup System in place, the City’s primary EOC currently housed in the Saratoga Fire Station will be relocated to City Hall to improve operational efficiencies. The Fire Station location will remain as a secondary EOC site. Upgrades and renovations to the Administrative Conference Room will be implemented to accommodate necessary EOC requirements. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted SOURCES OF FUNDS Beginning Fund Balance Unassigned 231,064 256,702 281,284 262,069 262,069 260,322 Total Beginning Fund Balance 231,064$ 256,702$ 281,284$ 262,069$ 262,069$ 260,322$ Revenues Other Sources - 257 3,488 - 5,803 5,000 Internal Service Charges 400,000 400,000 400,000 425,000 425,000 475,000 Total Revenues 400,000$ 400,257$ 403,488$ 425,000$ 430,803$ 480,000$ TOTAL SOURCE OF FUNDS 631,064$ 656,959$ 684,772$ 687,069$ 692,872$ 740,322$ USE OF FUNDS Expenditures Salaries and Benefits 206,092 201,378 237,911 237,559 248,221 242,904 Operating Expenditures Materials & Supplies 6,369 8,966 9,754 16,450 11,141 11,450 Fees & Charges 10,013 13,607 14,356 27,560 15,376 27,560 Consultants & Contract Services 124,456 116,045 123,217 151,390 115,672 179,070 Meetings, Events & Training 661 2,282 1,160 3,250 2,625 5,750 Total Operating Expenditures 141,501 140,900 148,486 198,650 144,813 223,830 Fixed Assets - - - - - - Internal Service Charges 26,769 33,395 36,305 39,516 39,516 63,331 Total Expenditures 374,362$ 375,674$ 422,703$ 475,725$ 432,550$ 530,065$ Ending Fund Balance Unassigned 256,702 281,284 262,069 211,344 260,322 210,257 Total Ending Fund Balance 256,702$ 281,284$ 262,069$ 211,344$ 260,322$ 210,257$ TOTAL USE OF FUNDS 631,064$ 656,958$ 684,772$ 687,069$ 692,872$ 740,322$ SOURCE & USE OF FUNDS CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 175 INFORMATION TECHNOLOGY SERVICES Network Security Assessment – Conduct network security assessment to discover potential security vulnerabilities on City’s data network. Stanley Security Doors – Key card security access doors will be installed at Saratoga Prospect Center buildings upon completion of the center’s IT Room. The doors will be managed and monitored at City Hall. Online Permit Payments – The City will provide public access to secure online payments for permits issued by the TrakIT development system. Interactive Voice Response – Deploy IVR system connectivity integration to CDD’s TrakIT system which will allow the public to schedule building inspections through the City’s telephone system. KEY SERVICES  Maintain and support the City’s information software systems, including Sungard Pentamation financial system, Trak-IT development system, Rec-Trac, LaserFiche, Agenda Manager, Granicus, and others  Maintain, support, repair, and upgrade the City’s servers  Maintain and support the City’s video streaming, internet, voicemail, wireless and telecommunication systems  Maintain, support, repair, upgrade, assist, and educate staff on system usage, desktop computers, printers, and technology accessories  Provide ongoing network maintenance, security, and support  Maintain and enhance the City’s website and AM radio station to effectively provide public access to City information  Support the upgrade of existing technology, as well as new information technology initiatives Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Administrative Services Director 0.15 0.10 0.10 0.10 0.10 Finance Manager - - - - - Accountant I/II - - - - - Accounting Technicians - - - - - Human Resources Manager - - - - - Human Resources Technician - - - - - Information Technology Administrator 1.00 1.00 1.00 1.00 1.00 Information Technology Technician - - 1.00 1.00 1.00 TOTAL FTE's 1.15 1.10 2.10 2.10 2.10 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Hours Funded Funded Funded Funded Funded IT Technician 2,000 2,000 - - - TOTAL ANNUAL HOURS 2,000 2,000 - - - INFORMATION TECHNOLOGY STAFF CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 176 INFORMATION TECHNOLOGY SERVICES 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actual Actual Actual Estimated Budget 1. a.Percent of time online services are available to the public through the City's website and resource links: 97%99%99%99%99% b.Percent of time network remains available during normal business hours: 98%98%98%99%99% c.Percent of time IT responds/resolves support requests within one working day: 98%99%99%99%100% d.Percent of time IT responds to technology system emergency events: 100%100%100%100%100% 2. a.Number of system upgrades or modifications for which IT staff provided project management support: 5 5 4 6 8 b.Number of new technology sytems or equipment for which oversight and support was provided by IT staff: 5 6 9 7 7 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actual Actual Actual Estimated Budget 1.72 86 88 109 106 2.22 26 27 36 36 3.16 22 20 24 24 4.59 57 59 60 59 5.17 17 17 14 25 0 0 6 6 12 6.25 24 24 21 20 7.70 78 77 75 75 8.33 25 23 22 21 Provide technology solution oversight and project management support to improve citywide functions. Support the delivery of technology services to citizens, residents, businesses, other governmental agencies, and internal City departments. Number of desktop systems maintained: Number of cell phones and PDAs serviced and maintained: Number of network servers maintained: Number of network copiers, printers, plotters, scanners, fax machines, and postage machines maintained: Number of users supported: Number of IT software applications monitored and maintained: Number of laptop systems maintained: Number of landlines serviced and maintained: Number of tablets maintained: CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 177 INFORMATION TECHNOLOGY EQUIPMENT REPLACEMENT FUND The Information Technology Equipment Replacement Fund program provides for a consistent level of funding for the replacement of desktop computers and monitors, servers, laptops, printers, and various other technology equipment on an ongoing basis. Staff maintains a replacement schedule for City IT equipment, with estimated life plans and calculated replacement costs to determine replacement needs each year. The schedule is used to calculate the annual funding contribution requirement to smooth operating expenses over the years, as well as provide a more accurate cost of operations on an ongoing basis. Initially, IT equipment is purchased by the requesting department. If the equipment will be replaced on an ongoing basis, the new equipment is added to the department’s replacement schedule list, and replacement charges would be adjusted for outgoing years. With rapid changes in technology, the cost of replacement equipment could vary considerably from the cost of the original equipment, or else the equipment became obsolete and replaced with different technology. In recent history however, IT equipment costs have remained fairly consistent in price, while the technology continues to advance. As a result, ongoing replacement costs are not expected to increase significantly in future years. BUDGET OVERVIEW The FY 2015/16 budget reflects a more comprehensive replacement funding strategy. In past years, software systems were not included in the replacement schedules, in the expectation that due to the cost of most of the software systems, replacements would be managed through the Capital Improvement Plan process. Per Council’s direction, the IT replacement fund will now incorporate system replacements into the annual budget allocations. This will more accurately account for all IT related operational costs of services. As a result of this change, the service chargeback increased significantly – from $65,000 per year to $125,000 per year. Allocation charges to each program are calculated by tracking citywide equipment costs and lifespan, and a weighted average cost determines how much is to be set aside each year in order to have funding available for replacements at the time the equipment’s lifespan is over. Chargebacks to the appropriate department “owner” is reflected in this fund as revenue, and the IT equipment scheduled for replacement for the current fiscal year is shown as a program expenditure. The following IT Equipment Replacement Schedule identifies the equipment to be replaced in FY 2015/16. It should be noted that program expenditures will vary year by year as they are based on software and equipment lifespan cycles, and are independent of the annual chargeback amount. Over the years, funding requirements may adjust as replacement needs are revised, projected costs are more firmly determined, and if scheduled replacements are delayed due to continued equipment functionally. Planned replacements for the budget year total $108,400 and include: $23,000 for desktops, laptops, and tablet computer replacements, $43,000 for network server replacements, $10,400 for network equipment and UPS battery backups, and $32,000 for MS Office Suite, Adobe, and Customer Relationship software. CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 178 INFORMATION TECHNOLOGY EQUIPMENT REPLACEMENT FUND KEY SERVICES  Accumulate and provide annual funding for technology asset replacement  Assess IT equipment for proper replacement timing  Identify and procure best solution equipment 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted SOURCES OF FUNDS Beginning Fund Balance Unassigned 185,567 156,760 156,318 152,788 152,788 194,101 Total Beginning Fund Balance 185,567$ 156,760$ 156,318$ 152,788$ 152,788$ 194,101$ Revenues ISF Charge Back Fees 50,000 46,236 55,000 65,000 65,000 125,000 Total Revenues 50,000$ 46,236$ 55,000$ 65,000$ 65,000$ 125,000$ Operating Transfers Transfer In from General Fund - - - - - - Total Operating Transfers In -$ -$ -$ -$ -$ -$ TOTAL SOURCE OF FUNDS 235,567$ 202,996$ 211,318$ 217,788$ 217,788$ 319,101$ USE OF FUNDS Expenditures Operating Expenditures Materials & Supplies 53,844 46,678 58,530 68,200 23,687 108,400 Fees & Charges - - - - - - Consultants & Contract Services - - - - - - Meetings, Events & Training - - - - - - Total Operating Expenditures 53,844 46,678 58,530 68,200 23,687 108,400 Fixed Assets - - - - - - Internal Service Charges - - - - - - Total Expenditures 53,844$ 46,678$ 58,530$ 68,200$ 23,687$ 108,400$ Operating Transfers Transfer Out to General Fund - - - - - - Transfer Out to CIP 24,963 - - - - - Total Operating Transfers 24,963$ -$ -$ -$ -$ -$ Ending Fund Balance Unassigned 156,760 156,318 152,788 149,588 194,101 210,701 Total Ending Fund Balance 156,760$ 156,318$ 152,788$ 149,588$ 194,101$ 210,701$ TOTAL USE OF FUNDS 235,567$ 202,996$ 211,318$ 217,788$ 217,788$ 319,101$ SOURCE & USE OF FUNDS CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 179 INFORMATION TECHNOLOGY EQUIPMENT REPLACEMENT FUND IT EQUIPMENT REPLACEMENT SCHEDULE Computer Systems FY 2015/16 Standard Desktops 13,500 Graphic Desktops 8,000 Monitors - Laptops 1,500 Tablets - Servers Small Server 5,000 Mid-Size Server 14,000 Large Server 20,000 Virtual Server 4,000 Data Storage Nimble Storage Array Server - Network Network switch 6,000 Firewalls - Network Cabling - Fiber Optic Cabling - Telephone System - Wireless (Wi-Fi)- Printers Check printer - Permits/Receipts printer - Plotter printer - UPS Battery Backups Desktop battery 1,900 Server battery 2,500 Security Equipment Park and Facility Security Cameras - Software Productivity Software (MS Office Suite, Adobe)12,000 Department Software - Financial software (SunGard)- Agenda Management software (Granicus)- Recreation software (RecTrac)- Community Development software (TrakIT)- Electronic Document software (Laserfiche)- City Website/Intranet - GIS Enterprise Software - Customer Relationship Management (CRM) CMO 20,000 Technology Replacements Totals 108,400 CITY OF SARATOGA ADMINISTRATIVE SERVICES DEPARTMENT 180 CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 181 COMMUNITY DEVELOPMENT DEPARTMENT The Community Development Department guides the physical growth of the City and preserves the community’s quality of life by administrating zoning regulations and providing building and inspection services, code enforcement, arborist services, and ongoing advanced planning activities that maintain the City’s General Plan. The Department also supports the City’s business environment through participation and funding of economic development activities. The Saratoga community provides input to the Department through the Planning Commission and Heritage Preservation Commission, and by citizen involvement in Commission and Council reviews of the General Plan and various specific plans. The Department’s staff supports community participation through development review services, commission meeting preparation and support, and public hearings. DEPARTMENT OBJECTIVES The Community Development Department directly supports two of the Council’s Strategic Goals through implementation of the department’s objectives, as listed below. Performance measures provide feedback on the Department’s progress towards meeting these objectives. Council Strategic Goal: City Leadership: Provide a proactive, responsible, inclusive, respectful, transparent, and trustworthy government dedicated to delivering effective high quality leadership for the community. Department Objectives:  Maintain staff’s responsiveness and accountability to the community  Enhance transparency in departmental processes  Maintain community partnerships through support and engagement with business, residents, and all types of community groups  Encourage civic engagement and participation through the Planning Commission and Heritage Preservation Commission processes Council Strategic Goal: Community Heritage: Honor Saratoga's heritage by preserving significant historic assets. Department Objectives:  Administer and enforce development policies and standards to maintain a high quality of life for residents and the business community  Protect Saratoga’s natural beauty DEPARTMENT BUDGET SUMMARY The Bay Area economy continues to grow with Santa Clara County experiencing steady job growth and rising real estate values since 2012. With the economy solidifying, the City saw development activity grow by 12% between FY 2012/13 and FY 2011/12. The pace of development activity began to slow in FY 2013/14, with revenue increasing by a modest 1.6% from the year before, and revenues to date show FY 2014/15 receipts will be relatively flat with a 0.5% increase from the prior year. It appears development activity has reached an equilibrium point consistent with pre-recession levels. Given this short-term trend, FY 2015/16 revenue projections reflect little change in the number of development reviews to be processed and building permits to be issued in the upcoming budget year. The number of planning applications and the level of activity at the public service counter remain steady, therefore projections for future CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 182 building permits are also staying constant. As a result, the Development Services budget will remain at approximately the same level of activity with anticipated increases mirroring the market activity in existing home sales. Despite turnover in the department during FY 2014/15, staffing levels (12 FTE’s) in the Community Development Department were maintained with the assistance of temporary contractual services to backfill positions for portions of the fiscal year while the City recruited for the three vacant positions (Community Development Director, Planner, and Senior Building Inspector/Plan Checker). The proposed FY 2015/16 budget maintains this staffing level, and reflects the hiring of the new Community Development Director, Senior Building Inspector/Plan Checker, and Planner. The budget also includes the continued retention of temporary contract planning services to backfill the anticipated leave of a Senior Planner to fulfill a military obligation for approximately 10 months. There is additional funding for a Summer CDD Intern to assist with the preparation of an upgrade to the City’s permitting software, geographic information system (GIS), and department website. The department will continue staff training efforts started in FY 2014/15, necessitated by the addition of new staff members, processes improvements, and upgrades to existing permitting software. These efforts are intended to increase overall efficiency of the department and enhance customer service for City residents and businesses. Effective FY 2014/15, the Advanced Planning Program budget was restructured to reallocate approximately $100,000 of the Advanced Planning Fee revenue it receives each year to a Capital Improvement Plan (CIP) project for funding contracted consultant work on General Plan Updates. The remainder of the program’s fee revenues support the internal staff work and overhead costs related to Advanced Planning work. A capital project more properly serves and accounts for these multi-year projects as the capital budgeting structure allows revenues to accumulate over several years for the purpose of funding multi-year project contracts, and ensures that accumulated funds are available for General Plan project work as assigned – rather than through an annual budget process that would restrict funding and work levels to a one-year work plan. Consultant contracts for large update projects may cost in the hundreds of thousands of dollars, with work activity flowing over two or three fiscal years. CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 183 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Fees, Licenses and Permits 1,092,109 1,408,832 1,344,008 1,224,100 1,227,554 1,322,250 Charge for Services 829,356 772,506 875,152 905,000 864,804 878,400 Other Sources 1,184 2,444 776 1,000 2,755 1,000 TOTAL REVENUES 1,922,649$ 2,183,782$ 2,219,935$ 2,130,100$ 2,095,113$ 2,201,650$ EXPENDITURES Salaries and Benefits 1,447,562 1,551,471 1,638,097 1,807,178 1,523,194 1,754,373 Operating Expenditures Materials & Supplies 17,109 20,828 14,995 23,250 20,765 23,950 Fees & Charges 28,622 34,440 19,968 24,030 20,940 24,040 Consultant & Contract Services 56,036 104,081 155,458 41,050 140,169 110,300 Meetings, Events & Training 3,250 2,296 5,158 19,600 8,683 19,600 Total Operating Expenditures 105,017 161,644 195,579 107,930 190,557 177,890 Fixed Assets - - - - - - Internal Service Charges 335,217 333,738 348,034 372,929 372,929 368,243 TOTAL EXPENDITURES 1,887,796$ 2,046,853$ 2,181,710$ 2,288,037$ 2,086,680$ 2,300,506$ 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted GENERAL FUND Development Services 822,267 925,009 955,477 966,259 909,462 967,242 Advanced Planning 144,716 115,740 254,409 162,300 113,311 173,230 Code Compliance 92,821 104,799 52,643 141,537 127,653 137,906 Building Inspection Services 827,991 901,305 919,181 1,017,941 936,255 1,022,129 TOTAL EXPENDITURES 1,887,796$ 2,046,853$ 2,181,710$ 2,288,037$ 2,086,680$ 2,300,506$ TOTAL DEPARTMENTAL EXPENDITURES BY DIVISION / PROGRAM GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 184 Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Community Development Director 1.00 1.00 1.00 1.00 1.00 Senior Planner 1.00 1.00 1.00 1.00 1.00 Planner I/II 2.00 2.00 2.00 2.00 2.00 Senior Arborist 1.00 1.00 1.00 1.00 1.00 Plan Check Engineer 1.00 1.00 1.00 1.00 1.00 Building Official 1.00 1.00 - - - Sr. Building Inspector/Plan Checker - - 1.00 1.00 1.00 Building Inspector 2.00 2.00 2.00 2.00 2.00 Permit Technician - - 1.00 1.00 1.00 Office Specialist III 2.00 2.00 2.00 2.00 2.00 Code Compliance Specialist 1.00 - - - - TOTAL FTE's 12.00 11.00 12.00 12.00 12.00 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Student Intern 940 940 - 320 480 Office Specialist III 800 800 800 800 940 TOTAL ANNUAL HOURS 1,740 1,740 800 1,120 1,420 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff by Program Funded Funded Funded Funded Funded Development Services 4.50 4.75 4.85 4.60 4.60 Advanced Planning 0.95 0.50 0.65 0.70 0.70 Code Compliance 1.25 0.60 0.70 0.75 0.75 Building & Inspections 5.30 5.15 5.80 5.95 5.95 TOTALS 12.00 11.00 12.00 12.00 12.00 COMMUNITY DEVELOPMENT DEPARTMENT STAFF COMMUNITY DEVELOPMENT STAFF - by Division CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 185 DEVELOPMENT SERVICES Applicants for building and other development permits are required to comply with City codes, plans, and policies, in order to obtain the Planning Department’s approval of their projects. To help facilitate development projects, Development Services assists applicants by reviewing, analyzing, and processing their applications. The process involves an assessment of a project’s consistency and compliance with the City’s Municipal Code, General Plan, and regulations, followed by plan checks and inspections. Depending on the project, more extensive historical, arboricultural, environmental, or geological reviews and assessments may also be required. BUDGET OVERVIEW Notable Budget Changes  Additional Contract Services funding was provided to backfill the Sr. Planner position called into active duty service for the majority of the fiscal year.  New funding was provided for GIS annual license and support to upgrade development services With the stabilization of development activity, Development Services revenues appear to have hit a plateau over the last several years. Design review applications for large remodels or the replacement of existing homes continue to make up the bulk of development activity while new conditional use permit have stabilized to the average of pre- recession levels. Fees collected for Tree Removal Permits which were declining in past years have also stabilized amidst the on-going drought. Expenditures also remain fairly constant from last year, with the exception of the program’s allocated share of temporary contract staffing costs to backfill for the Senior Planner position and Summer CDD Intern. In addition to processing development applications, Planning Division staff will continue working on major assignments from the Department’s Work Plan, including revision to the City’s Story Pole Regulations, Existing Legal Non-Conforming (ELN) Structures Regulations, Annual Code Update, and Village Visioning. The City’s economic development programs will continue to be administered through Development Services in FY 2015/16, along with the Village Façade Improvement program, assisting the efforts of the Chamber of Commerce, and Destination Saratoga. Staff will also continue to support the Planning and Heritage Preservation Commissions. CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 186 DEVELOPMENT SERVICES FY 2015/16 WORKPLAN PRIORITIES Code Updates – Each year staff identifies sections of the City Code that need updating to remove inconsistencies, code which is difficult to interpret, or code requiring revisions to reflect changes in state law (e.g. zoning definitions, dog leash regulations, massage ordinance and application time extensions). Specific code updates discussed at the 2015 City Council Retreat included Story Pole, Short-Term Rental, and Existing Legal Non-Conforming Structures Regulations. Heritage Preservation Commission – Staff will be working closely with the Heritage Preservation Commission to assist them in identifying and prioritizing properties to include on the City’s list of Historic Landmarks. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Fees, Licenses and Permits 82,399 97,577 72,766 48,500 53,093 46,400 Charge for Services 508,375 425,188 487,187 485,000 477,962 478,400 Other Sources 1,184 1,944 776 1,000 2,255 1,000 TOTAL REVENUES 591,958$ 524,709$ 560,730$ 534,500$ 533,310$ 525,800$ EXPENDITURES Salaries and Benefits 599,786 708,748 741,411 764,016 646,717 704,598 Operating Expenditures Materials & Supplies 15,804 14,543 10,454 11,050 13,256 11,750 Fees & Charges 9,402 12,710 8,081 9,690 5,811 9,700 Consultant & Contract Services 35,652 23,450 21,406 11,550 78,448 69,300 Meetings, Events & Training 1,775 2,096 3,425 10,600 5,876 10,600 Total Operating Expenditures 62,633 52,799 43,366 42,890 103,391 101,350 Fixed Assets - - - - - - Internal Service Charges 159,848 163,462 170,700 159,353 159,353 161,294 TOTAL EXPENDITURES 822,267$ 925,009$ 955,477$ 966,259$ 909,462$ 967,242$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 187 DEVELOPMENT SERVICES KEY SERVICES Planning Services  Provide on-demand services at front counter, via telephone, and through email requests  Provide support to the Planning Commission, Heritage Preservation Commission, and City Council  Provide staff support to Public Works Department for City construction projects and CIP environmental assessments Review and process the following types of applications:  General Plan and Code Amendments  Architecture and Site, Residential Development, and Subdivisions  Environmental, Variances, Rezoning, and Planned Developments  Certificates of Use and Occupancy  Sign, Banner, and Conditional Use Permits  Tree removal and “After the Fact” tree removal permits Arborist Services  Assist planners with review of project designs with respect to trees  Provide specifications to residents and contractors so that trees are protected during construction  Inspect projects prior to, during, and following construction to ensure adequate protection of trees  Provide information to the public through phone and email for general information on tree pruning, selection, care, protection, and tree removal criteria Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Community Development Director 0.60 0.50 0.50 0.50 0.50 Senior Planner 0.70 0.65 0.65 0.60 0.60 Planner I/II 1.40 1.80 1.80 1.60 1.60 Senior Arborist 0.90 0.90 0.90 0.90 0.90 Plan Check Engineer - - - - - Building Official - - - - - Sr. Building Inspector/Plan Checker - - - - - Building Inspector - - - - - Permit Technician - - 0.10 0.10 0.10 Office Specialist III 0.90 0.90 0.90 0.90 0.90 Code Compliance Specialist - - - - - TOTAL FTE's 4.50 4.75 4.85 4.60 4.60 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Student Intern 940 940 - 320 480 Office Specialist III 800 800 800 800 940 TOTAL ANNUAL HOURS 1,740 1,740 800 1,120 1,420 DEVELOPMENT SERVICES STAFF CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 188 DEVELOPMENT SERVICES 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Review planning applications and provide written comment within 30 days deeming them complete or incomplete: 100%100%100%100%100% b.Review all zone clearances from the Building Division within 2 weeks: 95%95%96%98%98% 2. a.90%92%95%98%98% b.Return all phone calls within 24 hours from the time received: 95%96%98%98%98% c.5%15%15%10%10% d.Percentage of applications appealed to the Planning Commission or City Council: 5%3%1%2%2% e.95%100%50%100%95% 3. a.Number of capital projects:2 4 3 1 1 b.Funds allocated to capital projects:78,460$ 149,088$ 171,187$ 70,100$ 60,000$ 4. a.Percent of notices sent within 10 days of Planning Commission meetings: 100%100%100%100%100% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.235 231 275 240 240 2.308 385 370 360 400 3.80 66 80 70 70 4.20 21 20 20 20 5.15 13 15 10 10 6.12 12 12 12 12 7.2 3 5 2 2 8.8 13 20 10 10 Facilitate the development of land and structures consistent with City codes, plans, and policies. Enhance community awareness of land use projects. Number of complex projects (General Plan, amendments/ rezonings, planned developments, environmental review): Analyze and process development applications efficiently and effectively. Effectively administer HUD funding of projects and programs targeted at households of low and moderate income and/or for compliance with the American with Disabilities Act . Process applications to Planning Commission within an average of 4 weeks of deeming the application complete: Percentage of applications upheld by the City Council: Percentage of applications continued by Planning Commission: Number of planning projects processed: Number of tree removal permits processed: Number of Arborist plan reviews: Number of Planning Commission Hearings: Number of Plannning Commission Study Sessions: Number of Heritage Preservation Commission Meetings: Number of public input meetings for citywide programs: CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 189 ADVANCED PLANNING The Advanced Planning program focus is on guiding the physical development of the City by developing and updating the City’s standards, regulations, Specific Plans, and General Plan. The City’s General Plan is an adopted statement of policy for the physical development of the community. As such, it includes the following elements: Land Use, Housing, Circulation, Safety, Noise, Open Space, and Conservation. The City also establishes specific plans to provide additional guidance for future land use development in the plan area, with aspects such as detailed land use, design guidelines, and implementation strategies. As an example, the City of Saratoga has established a Specific Plan for the hillside areas. In order to keep the plans current, at a minimum, one element of the General Plan and/or a Specific Plan is to be updated each year. BUDGET OVERVIEW Notable Budget Changes:  No notable changes Advanced Planning program revenue provides funding for a combination of in-house staff work and consultant services. With activity levels stabilizing, FY 2015/16 budgeted General Plan Update Fee revenue is projected to remain steady, with an estimated net revenue of approximately $150,000. Revenues are loosely tied to program expenditures through a year-end departmental reconciliation and reserve funding. A more concrete methodology to ensure revenue fluctuations do not impact advanced planning expenditures was implemented in FY 2014/15. Now, the estimated $100,000 difference between General Plan Update Fees and in-house staff and operational expenses is redirected to the General Plan capital budget project to fund consultant services as needed, thereby lowering revenues by approximately $100,000 from prior years. Under this structure, General Plan Update Fees accumulate and are available as needed, over multiple years, for use in funding consultant services for advanced planning projects. Advanced Planning work involves General Plan, code, and zoning updates, as well as ongoing and anticipated annexations and updates to design guidelines. Staff conducts a portion of the code, zoning, and administrative work in-house, however the specialized technical General Plan Update work is in part conducted by consultants. Typically, staff and/or consultants complete at least one of the City’s General Plan Elements each fiscal year, however large project work often crosses over fiscal years. The remainder of the program’s operational expenses are minimal, and expected to remain at prior year levels. CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 190 ADVANCED PLANNING FY 2015/16 WORKPLAN PRIORITIES Village Visioning – Staff will be working closely with the City Manager’s Office on managing the City’s efforts to document a community wide vision for Saratoga Village and any necessary follow-up actions related to updating land use policies/documents and or City Codes. This is anticipated to be a multi-year effort that could extend into FY2016/17. Housing Element Implementation – Staff will begin work on implementing the updated Housing Element and to begin necessary implementation action for identified programs. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Fees, Licenses and Permits 169,574 226,973 228,523 150,000 156,165 150,000 Charge for Services - - - - - - Other Sources - - - - - - TOTAL REVENUES 169,574$ 226,973$ 228,523$ 150,000$ 156,165$ 150,000$ EXPENDITURES Salaries and Benefits 126,992 95,000 126,746 140,657 93,089 150,593 Operating Expenditures Materials & Supplies 285 22 - 500 - 500 Fees & Charges 3,170 2,224 1,624 1,860 1,439 1,860 Consultant & Contract Services - 2,659 110,286 500 - 500 Meetings, Events & Training - - - - - - Total Operating Expenditures 3,454 4,905 111,910 2,860 1,439 2,860 Fixed Assets - - - - - - Internal Service Charges 14,270 15,835 15,753 18,783 18,783 19,777 TOTAL EXPENDITURES 144,716$ 115,740$ 254,409$ 162,300$ 113,311$ 173,230$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 191 ADVANCED PLANNING KEY SERVICES  Maintain and apply General Plan and Specific Plan updates to development processes  Develop administrative policies, plans, and ordinances in coordination with Advance Planning updates  Prepare Department of Housing and Community Development annual report on General Plan Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Community Development Director 0.25 0.25 0.30 0.30 0.30 Senior Planner 0.20 0.25 0.25 0.30 0.30 Planner I/II 0.50 - 0.10 0.10 0.10 Senior Arborist - - - - - Plan Check Engineer - - - - - Building Official - - - - - Sr. Building Inspector/Plan Checker - - - - - Building Inspector - - - - - Permit Technician - - - - - Office Specialist III - - - - - Code Compliance Specialist - - - - - TOTAL FTE's 0.95 0.50 0.65 0.70 0.70 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Student Intern - - - - - Office Specialist III - - - - - TOTAL ANNUAL HOURS - - - - - ADVANCED PLANNING STAFF CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 192 ADVANCED PLANNING 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.General Plan complies with State's mandatory requirement to revise 5 of 7 elements within last eight years: Yes Yes Yes Yes Yes 2. a.Housing Element:No No No Yes Yes b.Land Use Element:No Yes Yes No No c.Circulation and Transportation Element:No Yes Yes Yes Yes d.Conservation Element:No Yes Yes No No e.Open Space Element:No Yes Yes No No f.Noise Element:No No Yes Yes Yes g.Safety Element:No Yes Yes Yes Yes 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.4 6 9 6 6 2.0 2 3 1 1 3.1 1 1 1 1 4.3 1 0 1 1 Ensure the City's General Plan is in compliance with State of California requirements. Mandatory General Plan Elements updated within last eight years. Number of ordinances completed (multiple section updates): General Plan Elements updated: Number of General Plan amendments requested: Annexation applications in process: CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 193 CODE COMPLIANCE The City’s Code Compliance program supports community health, safety, and welfare through zoning, planning, business license, and other regulations as reflected in the City Code. Compliance is achieved through education, enforcement of laws and codes, and through maintaining the safety and livability of neighborhoods for the citizens and business community of Saratoga. Program staff works closely with other City departments and various public agencies, including the Santa Clara County Sheriff’s Office, which handles law enforcement duties for the City. BUDGET OVERVIEW Notable Budget Changes:  Additional funding provided for a Hearing Officer Code Compliance revenues are mostly limited to fees from the administration of various special activity permits, such as Noise Exception Permits, Massage Permits, and Solicitor Permits. Only rarely does the City issue administrative citations to obtain compliance with City Code. For those code compliance cases which are not resolved through staff efforts or mediation, and a fine or enforcement action is issued, the City may need to utilize the services of a Hearing Officer. The Hearing Officer is a contract attorney, paid by hours of service, who will conduct a hearing in the case an appeal is requested for a code enforcement action issued by the City. The attorney is an impartial judge and does not have any other connection or working relationship with the City. While the City has not had a need for a hearing officer for many years, two Code Enforcement cases required the services of an Administrative Hearing Officer in FY14/15. For FY 2015/16, a contingency for the Hearing Officer services is being increased to $6,000 to reflect anticipated Code Enforcement efforts related to possible short-term rentals. The Code Compliance program is managed through the Building Division, supervised by the Senior Building Inspector/Plan Checker with assistance from the City Arborist and Planning staff. The cost of this staff time, comprised of salaries, benefits, and internal services charges make up the majority of the expenditures. There is minimal amounts ($780) budgeted for materials, supplies, and postage. CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 194 CODE COMPLIANCE FY 2015/16 WORKPLAN PRIORITIES Abatement Priorities – Prioritize responses to code compliance cases based on the Council’s adopted priorities and procedures. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Fees, Licenses and Permits 9,600 5,655 7,650 5,500 10,225 5,750 Charge for Services - - - - - - Other Sources - 500 - - 500 - TOTAL REVENUES 9,600$ 6,155$ 7,650$ 5,500$ 10,725$ 5,750$ EXPENDITURES Salaries and Benefits 63,527 95,022 44,234 112,237 93,944 105,442 Operating Expenditures Materials & Supplies - - 299 500 41 500 Fees & Charges 148 124 72 280 205 280 Consultant & Contract Services 955 - - 2,000 6,943 6,000 Meetings, Events & Training - - - - - - Total Operating Expenditures 1,103 124 371 2,780 7,188 6,780 Fixed Assets - - - - - - Internal Service Charges 28,192 9,653 8,038 26,520 26,520 25,684 TOTAL EXPENDITURES 92,821$ 104,799$ 52,643$ 141,537$ 127,653$ 137,906$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 195 CODE COMPLIANCE KEY SERVICES  Issue Noise Exception Permits  Administer masseuse and solicitor permit programs  Enforce City regulations while educating and increasing the awareness of residents, businesses, and property owners about the City’s regulations  Receive and maintain status on all violation complaints; respond to, investigate, and abate legitimate complaints  Resolve complex code and zoning violations; and administer citation appeals Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Community Development Director 0.10 0.10 0.05 0.05 0.05 Senior Planner - - - - - Planner I/II - 0.10 - 0.10 0.10 Senior Arborist 0.05 0.05 0.05 0.05 0.05 Plan Check Engineer - - - - - Building Official - 0.15 - - - Sr. Building Inspector/Plan Checker - - - 0.25 0.25 Building Inspector - 0.10 0.50 0.20 0.20 Permit Technician - - - - - Office Specialist III 0.10 0.10 0.10 0.10 0.10 Code Compliance Specialist 1.00 - - - - TOTAL FTE's 1.25 0.60 0.70 0.75 0.75 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Student Intern - - - - - Office Specialist III - - - - - TOTAL ANNUAL HOURS - - - - - CODE COMPLIANCE STAFF CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 196 CODE COMPLIANCE 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Percentage of complaints receiving a response within 48 hours of receipt: Information not available 50%60%70%90% 2. a.Annual number of Solicitor Permits issued:80 40 10 20 20 b.Annual number of Noise Permits issued:20 30 55 40 40 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.80 29 75 70 70 2.1 5 0 5 8 3.2 2 5 5 6 Ensure properties in the City of Saratoga are used safely and are consistent with City zoning regulations. Ensure compliance with City regulations for permitted activities. Annual number of new code enforcement cases: Total number of Administrative Citations: Cases requiring City Attorney review: CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 197 BUILDING & INSPECTION SERVICES The Building & Inspection Services program is a regulatory function that protects the community’s safety, health, and property rights by ensuring minimum building and zoning standards are met. The City‘s development ordinances and standards regulate the design, construction, quality of materials, use and occupancy of buildings, as well as the location and maintenance of all buildings within the City of Saratoga. Staff assists applicants with information concerning building regulations, disability access regulations, and other State and local ordinances, and provides plan check services in compliance with Uniform Building Codes. Staff also maintains permit tracking and plan check systems, inspects commercial and residential buildings under construction, and reviews grading plans and performs grading inspections for construction projects with significant earthwork activity. BUDGET OVERVIEW Notable Budget Changes:  A slight increase in revenue is expected due to slightly higher fees and a large remodeling project. The Building & Inspection Services budget includes revenues from building permits and plan checking services. Fees are calculated based on the construction valuation of the project. Budgeted amounts are derived from an expected level of activity based on recent activity, with adjustments for additional funding if large projects are in process. Effective FY 2014/15 the technology/document storage fee charged to each permit was re-directed to fund a Development Technology Capital Improvement Project for ongoing development related technology costs. This change facilitates a more effective utilization for ongoing and permanent electronic document management costs. Through the CIP, revenues will accumulate over several fiscal years to provide the funding for system upgrades and perpetual digital document storage. Ongoing training in current codes, policies and procedures is essential to maintaining quality building and code enforcement activities. Certified building and code enforcement inspectors attest to this higher level of training. The proposed budget includes cost to maintain current certifications as well as training for new certifications such as property maintenance, housing, and disaster response. The International Code Council (ICC) is in the process of increasing the amount of continuing education units required to maintain current certifications. The proposed budget includes costs for meetings, code development hearings and annual business meetings for ICC and the California Association of Building Officials. Staffing in the Building Division was reorganized in FY 2013/14; budget allocated to the vacant Chief Building Official position was reallocated to help fund two positions - Senior Building Inspector/ Plans Examiner and Permit Technician. These positions continue to provide the Building Division more staffing flexibility during swings in the development cycle by being able to allocate staff resources where they are most needed: either in building inspections, code enforcement, or plan checking. The Department Director is serving the role of the City’s Chief Building Official with assistance from the Senior Building Inspector/ Plans Examiner. The Permit Technician position enables the Department to open the public services counter in the afternoons Monday through Thursday where previously counter services were only offered in the morning. The expanded service hours to the community has been very well received. CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 198 BUILDING & INSPECTION SERVICES FY 2015/16 WORKPLAN PRIORITIES Trak IT Building and Permit System – Continue training and efficiency building on the new Trak-IT system which links the Building program with Planning and Code Compliance functions. Complete a comprehensive update of the land track database with updated owner and land use information. Set the foundation to upgrade to an interactive voice response phone system for inspection scheduling. Plan Check Response Times – Closely monitor the time it takes to provide the first round of plan comments on a building permit application. The target response time for most replacement single family homes is four weeks. Increase over-the-counter plan check services to reduce response times. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Fees, Licenses and Permits 830,536 1,078,628 1,035,068 1,020,100 1,008,071 1,120,100 Charge for Services 320,981 347,319 387,964 420,000 386,842 400,000 TOTAL REVENUES 1,151,517$ 1,425,946$ 1,423,032$ 1,440,100$ 1,394,913$ 1,520,100$ EXPENDITURES Salaries and Benefits 657,257 652,702 725,706 790,268 689,443 793,740 Operating Expenditures Materials & Supplies 1,021 6,262 4,242 11,200 7,468 11,200 Fees & Charges 15,902 19,382 10,191 12,200 13,486 12,200 Consultant & Contract Services 19,429 77,971 23,766 27,000 54,777 34,500 Meetings, Events & Training 1,475 200 1,734 9,000 2,807 9,000 Total Operating Expenditures 37,827 103,815 39,932 59,400 78,539 66,900 Fixed Assets - - - - - - Internal Service Charges 132,908 144,788 153,543 168,273 168,273 161,489 TOTAL EXPENDITURES 827,991$ 901,305$ 919,181$ 1,017,941$ 936,255$ 1,022,129$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 199 BUILDING & INSPECTION SERVICES KEY SERVICES Counter Services  Provide construction and zoning code information to developers, contractors, architects, engineers, homeowners, and the general public  Maintain permit tracking and building permit system information Plan Check Services  Perform residential and commercial building, structural, and site plan reviews under California Building Code guidelines, State regulations, and City ordinances  Provide building code information to applicants Inspection Services  Perform on-site inspections of buildings and structures under construction  Investigate housing code violations  Coordinate building permit applications with other departments and agencies Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Community Development Director 0.05 0.15 0.15 0.15 0.15 Senior Planner 0.10 0.10 0.10 0.10 0.10 Planner I/II 0.10 0.10 0.10 0.20 0.20 Senior Arborist 0.05 0.05 0.05 0.05 0.05 Plan Check Engineer 1.00 1.00 1.00 1.00 1.00 Building Official 1.00 0.85 - - - Sr. Building Inspector/Plan Checker - - 1.00 0.75 0.75 Building Inspector 2.00 1.90 1.50 1.80 1.80 Permit Technician - - 0.90 0.90 0.90 Office Specialist III 1.00 1.00 1.00 1.00 1.00 Code Compliance Specialist - - - - - TOTAL FTE's 5.30 5.15 5.80 5.95 5.95 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Student Intern - - - - - Office Specialist III - - - - - TOTAL ANNUAL HOURS - - - - - BUILDING & INSPECTION SERVICES STAFF CITY OF SARATOGA COMMUNITY DEVELOPMENT DEPARTMENT 200 BUILDING & INSPECTION SERVICES 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Percentage of inspections delivered within 48 hours of request: 95%96%97%98%98% b.Percentage of plan checks completed within 45 days of receipt: 95%95%96%98%98% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1 1,400 1,817 1,800 1,700 1,700 2.250 417 475 450 475 3.4,200 4,330 5,500 5,000 5,000 4.280 262 390 350 400 5.$50.0 $79.0 $61.0 $60.0 $60.0Dollar value of construction permitted (in $Millions): Ensure property improvements comply with City Building Codes. Number of Building Division permits issued: Number of Over-the-Counter Plan Checks for Remodels: Number of inspections performed: Number of building plan checks completed: CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 201 PUBLIC WORKS DEPARTMENT The Public Works Department oversees engineering and capital project functions; reviews the public’s development plans for engineering and geological oversight; maintains the City’s parks, trails, medians, right-of-ways, and landscape districts; repairs and maintains the roadway systems, including streets, traffic and pedestrian signals, lighting, and storm drains; provides vehicle maintenance oversight and minor maintenance; and ensures the City’s environmental responsibilities are fulfilled. Public Works strives to both fulfill operational functions and fund Capital Projects with the assistance of grant funding when possible. Staff is diligent in their pursuit of grant funding on an ongoing basis. The Public Works Department also provides information and outreach to the City’s residents, businesses, and the public regarding the department’s activities and infrastructure projects that may affect them, and resources available to the community. The Department provides these assorted services under five main operational programs: General Engineering, Development Engineering, Environmental Services, Streets and Storm Drains, and Parks and Landscape Maintenance. Additionally, the department oversees two internal support programs: Equipment Maintenance and Equipment Replacement; and 25 separate Landscape and Lighting Assessment Districts. Public Works is integral to many of the City’s services that maintain the quality of life in neighborhoods and in the business community for which Saratoga is known. DEPARTMENT OBJECTIVES The Public Works Department directly supports the City Council’s Strategic Goals through implementation of the department’s objectives, as listed below. Performance Measures in the service programs provide feedback on the Department’s attainment of these objectives. Council Strategic Goal: Facility & Infrastructure: Maintain the City’s facilities and public infrastructure in a safe, sustainable and cost effective manner. Department Objectives:  Maintain roadways, streetlights, and signals, and ensure safe, well-functioning roadway infrastructure (curbs, storm drains, sidewalk, medians, retraining walls)  Enhance roadway landscaping and beautification  Maintain safety standards in parks and playgrounds  Develop and maintain trails and open space  Increase public safety through traffic management  Pursue grant funding for infrastructure improvements Council Strategic Goal: Community Heritage: Honor Saratoga’s heritage by preserving significant historic assets. Department Objectives:  Enhance standards to maintain a high quality of life through development review and adherence to the City’s General Plan and Municipal Code  Protect Saratoga’s natural beauty by maintaining parks and open space  Protect and optimize the City’s natural resources and environment through sustainable practices  Embrace environmentally friendly practices by supporting the Hazardous Household Waste and recycling programs  Establish recycling and waste reduction practices CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 202  Educate the community on environmental issues through collaboration with the West Valley Clean Water Program Council Strategic Goal: Fiscal Stewardship: Ensure fiscal responsibility and transparency, proactively seeking opportunities for improvement. Department Objectives:  Ensure contract rates are competitive and current  Ensure proper financial accounting on projects and contractors adhere to approved funding Council Strategic Goal: City Leadership: Provide a proactive, responsible, inclusive, respectful, transparent, and trustworthy government dedicated to delivering effective high quality leadership for the community. Department Objectives:  Post Department and Commission information on the City’s website  Maintain records and Laserfiche Department archives  Engage the public by working with the Traffic Safety Commission and community groups for large projects DEPARTMENT BUDGET SUMMARY The Public Works’ FY 2015/16 budget holds most operational revenues and expenditures at prior year service levels. A notable revenue decrease is due to a shift of the Sport User Group Rental contract oversight and fees to the Recreation & Facilities Department. The $40,000 shift for Prospect High Schools Field Rental Fees also were shifted to budgeted expenditures. Expenditure increases are primarily attributable to staffing costs, Parks & Landscape Maintenance services, street sweeping, and the addition of GIS software and support. While Street’s operating expenses will hold fairly stable, Parks & Landscape Maintenance expenses will increase substantially. A total of $66,000 in higher maintenance costs for the Village, Fruitvale medians, street tree maintenance, and increased maintenance at the Saratoga Quarry Park will be partially offset by the $40,000 decrease from the field rental expense shift. The higher costs are driven in part, by the State’s new requirements for Public Works contracts. Performance Measures for General Engineering, Development Engineering, Environmental Services, Streets and Storm Drains, Parks and Landscape Maintenance, and Vehicle and Equipment Maintenance are included in the operational programs. CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 203 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Taxes - 133,954 163,954 163,954 164,589 166,638 Intergovernmental Revenues 23,571 208,682 203,908 202,000 212,594 212,000 Fees, Licenses and Permits 94,226 130,214 118,792 90,750 122,189 90,750 Charge for Services 275,525 313,553 400,072 251,653 308,605 253,634 Rental Income 177,993 128,447 121,078 116,103 79,791 2,000 Other Sources 16,164 22,896 7,190 7,500 103,375 2,500 TOTAL REVENUES 587,480$ 937,747$ 1,014,993$ 831,960$ 991,143$ 727,522$ EXPENDITURES Salaries and Benefits 2,395,770 2,340,746 2,448,708 2,536,654 2,485,634 2,584,277 Operating Expenditures Materials & Supplies 81,899 76,516 95,011 86,550 87,668 104,600 Fees & Charges 505,901 522,736 565,785 537,175 509,374 528,777 Consultants & Contract Services 627,559 794,639 814,787 957,762 882,646 1,026,104 Meetings, Events & Training 6,330 4,878 8,467 9,800 8,749 9,800 Total Operating Expenditures 1,221,689 1,398,769 1,484,050 1,591,287 1,488,436 1,669,281 Fixed Assets - - - 35,000 35,343 - Internal Service Charges 700,973 802,705 901,203 939,126 939,125 853,555 TOTAL EXPENDITURES 4,318,432$ 4,542,221$ 4,833,962$ 5,102,067$ 4,948,538$ 5,107,113$ 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted GENERAL FUND General Engineering 469,404$ 476,908$ 502,680$ 555,971$ 532,614$ 522,076$ Development Engineering 191,598 205,693 213,150 196,831 194,320 223,179 Environmental Services 545,492 619,024 643,314 690,581 615,342 760,131 Streets & Storm Drains 1,186,626 1,284,436 1,381,240 1,446,840 1,454,269 1,413,236 Parks & Landscape Maint 1,925,312 1,956,160 2,093,578 2,211,844 2,151,993 2,188,490 TOTAL GENERAL FUND 4,318,432$ 4,542,221$ 4,833,962$ 5,102,067$ 4,948,538$ 5,107,113$ INTERNAL SERVICE FUNDS Equipment Maintenance 219,786 227,604 224,078 244,177 220,785 256,346 Equipment Replacement 10,000 95,000 140,258 66,543 65,775 204,500 TOTAL INTERNAL SERVICES 229,786$ 322,604$ 364,336$ 310,720$ 286,560$ 460,846$ SPECIAL REVENUE FUNDS Landscape & Lighting Districts 432,862 423,644 409,418 611,514 432,671 650,800 TOTAL SPECIAL REVENUE 432,862$ 423,644$ 409,418$ 611,514$ 432,671$ 650,800$ TOTAL DEPT EXPENDITURES 4,981,080$ 5,288,469$ 5,607,716$ 6,024,301$ 5,667,769$ 6,218,758$ GENERAL FUND REVENUES AND EXPENDITURES DEPARTMENTAL EXPENDITURES - by Fund/ Division CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 204 Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Public Works Director 1.00 1.00 1.00 1.00 1.00 Senior Civil Engineer 1.00 1.00 1.00 1.00 1.00 Assistant/Associate Engineer 1.00 1.00 1.00 1.00 1.00 Administrative Analyst I/II 0.90 0.90 1.00 0.90 0.90 Office Specialist II/III 1.75 1.75 1.75 1.75 1.75 Parks Maintenance Manager 1.00 1.00 1.00 1.00 1.00 Parks Maintenance Lead 1.00 1.00 1.00 1.00 2.00 Parks Maintenance Specialist 1.00 - - - - Parks Maintenance Worker I/II/III 5.90 6.00 6.00 6.00 5.00 Street Maintenance Manager 1.00 1.00 1.00 1.00 1.00 Street Maintenance Lead 1.00 1.00 2.00 2.00 2.00 Street Maintenance Specialist 1.00 1.00 - - - Street Maintenance Worker I/II/III 4.00 4.00 4.00 4.00 4.00 TOTAL FTE's 21.55 20.65 20.75 20.65 20.65 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Engineering Inspectors 2,760 2,760 2,760 2,760 2,760 Maintenance Worker 2,000 - - - 999 Student Intern - - - 200 - TOTAL ANNUAL HOURS 4,760 2,760 2,760 2,960 3,759 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff by Program Funded Funded Funded Funded Funded General Engineering 2.05 2.05 2.10 2.05 2.05 Development Engineering 0.95 0.95 0.95 0.95 0.95 Environmental Services 0.95 0.95 1.00 0.95 0.95 Streets & Storm Drains 7.60 7.60 7.60 7.60 7.60 Parks & Landscape 9.30 8.40 8.40 8.40 8.40 Vehicle Equipment Maintenance 0.70 0.70 0.70 0.70 0.70 TOTALS 21.55 20.65 20.75 20.65 20.65 PUBLIC WORKS DEPARTMENT STAFF PUBLIC WORKS DEPARTMENT STAFF - by Division CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 205 GENERAL ENGINEERING The General Engineering program provides oversight for the City’s engineering activities not related to private development. This includes the design, management, and administration of the Capital Improvement Plan to improve the City’s public infrastructure (e.g. streets, storm drains, sidewalks, signalized intersections, parks, and medians) with an emphasis on delivering capital projects within planned schedules and budgets and department staff applying for annual grant opportunities. General Engineering operations also include traffic management, the development of Geographic Information System (GIS) data to manage the City’s infrastructure, and processing annexation requests, right-of-way, and property boundary issues. BUDGET OVERVIEW Notable Budget Changes  Additional funding is provided for GIS license and support fees  Temporary staff funding was shifted back to the Development Engineering budget Planned General Engineering operations for FY 2015/16 are consistent with the prior year’s functions and service levels, which focus on providing support for the Capital Improvement Program’s infrastructure maintenance and improvement objectives. Revenue in this program is limited to encroachment permits, and on occasion, reimbursements for engineering staff time spent on grant funded capital projects. General Engineering anticipates approximately $90,000 will be received for encroachment permits in FY 2015/16, slightly less than the $100,000 earned in the prior year. After completion of the grant funded CIP projects in FY 2014/15, the current CIP staff time reimbursements are completed with no reimbursements planned for FY 2015/16. While most of the General Engineering’s budgeted operating expenditures remain the same, there is a $15,000 increase for GIS software and support to enhance engineering mapping capabilities Also, with the Traffic Safety Commission providing a forum for citizens to bring traffic concerns to the Commissioner’s attention and the increase in patrol officer hours, staff expects the City Traffic Engineer consultant services will be utilized more to determine appropriate solutions, and therefore increased the budget to $50,000 in FY 2014/15. This has continued in FY 2015/16. Other than staff costs and internal services, the program’s remaining expenses are for operational office support, landscape assessment services, and VTA Congestion Management fees. CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 206 GENERAL ENGINEERING FY 2015/16 WORKPLAN PRIORITIES Capital Improvement Program Oversight – Provide plans, specifications, estimates and right-of-way plans, coordinate consultants, and administer contracts. FY 2015/16 CIP Project oversight includes Residential Street Reconstruction, El Camino Grande Storm Drain Pump, Saratoga Hills Storm Drain Improvements, Long Term Trash Plan Storm Drain Capture Devices, Turf Reduction Renovation Program, Quarry Park Master Plan Implementation- Phase I, Quarry Park Right-of-Way Acquisitions, Highway 9 Safety Project Phase IV, Guava Court Railroad Crossing, Wildcat Creek Bank Stabilization, and Village Creek Trail Construction. Traffic Management – Receive resident traffic safety concerns and investigate; using the city’s Traffic Engineer and Traffic Safety Commission as needed. The City increased the Sheriff’s contract in FY 2014/15 and added approximately 1,800 deputy hours for traffic control services. The Sheriff has been working with the City’s schools and the Traffic Safety Committee to improve traffic management, particularly around school activity. Examples of projects that will be implemented in FY2015/16 include more pedestrian warning lights nearby schools and a traffic circle on Beaumont Avenue for traffic calming. Laserfiche Document Management Project – Staff will continue to prepare the backlog of Public Works documents for scanning services, and when returned, will assess the quality of the files to ensure they are legible, complete, and correctly scanned and indexed. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Intergovernmental Revenues - - - - - - Fees, Licenses and Permits 93,726 131,417 117,702 90,250 120,470 90,250 Charge for Services - - - - - - Other Sources 9,096 19,971 - - 97,600 - TOTAL REVENUES 102,822$ 151,388$ 117,702$ 90,250$ 218,070$ 90,250$ EXPENDITURES Salaries and Benefits 303,421 309,708 326,784 378,357 369,338 326,749 Operating Expenditures Materials & Supplies 1,594 1,945 2,183 3,100 3,426 3,100 Fees & Charges 22,784 23,277 23,225 25,030 23,138 25,030 Consultants & Contract Services 47,759 52,145 58,103 67,000 55,986 81,000 Meetings, Events & Training 247 230 1,601 2,100 342 2,100 Total Operating Expenditures 72,384 77,597 85,111 97,230 82,892 111,230 Fixed Assets - - - - - - Internal Service Charges 93,599 89,603 90,784 80,384 80,384 84,097 TOTAL EXPENDITURES 469,404$ 476,908$ 502,680$ 555,971$ 532,614$ 522,076$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 207 GENERAL ENGINEERING KEY SERVICES  Provide assistance and information to the public regarding engineering services  Provide administrative and engineering support services for capital improvement projects including preparing bids and contracts  Perform traffic engineering analyses and manage traffic concerns  Maintain current statistics on traffic accidents, traffic volumes, speeds, and street mileage, and prepare annual reports to state and local agencies, as required  Review requests and issue encroachment permits to residents and utility companies  Review and issue oversize load permits  Process document imaging of department documents Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Public Works Director 0.35 0.35 0.35 0.35 0.35 Senior Civil Engineer 0.25 0.25 0.25 0.25 0.25 Assistant/Associate Engineer 0.75 0.75 0.75 0.75 0.75 Administrative Analyst I/II 0.45 0.45 0.50 0.45 0.45 Office Specialist II/III 0.25 0.25 0.25 0.25 0.25 Parks Maintenance Manager - - - - - Parks Maintenance Lead - - - - - Parks Maintenance Specialist - - - - - Parks Maintenance Worker I/II/III - - - - - Street Maintenance Manager - - - - - Street Maintenance Lead - - - - - Street Maintenance Specialist - - - - - Street Maintenance Worker I/II/III - - - - - TOTAL FTE's 2.05 2.05 2.10 2.05 2.05 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Engineering Inspectors 2,668 2,668 2,668 2,668 2,668 Maintenance Worker - - - - - Student Intern - - - 200 200 TOTAL ANNUAL HOURS 2,668 2,668 2,668 2,868 2,868 GENERAL ENGINEERING STAFF CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 208 GENERAL ENGINEERING 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Respond to traffic safety concerns from residents:100%100%100%100%100% 2. a.Issue encroachment permits for residential projects within 3 weeks of receipt of application: 95%95%100%100%100% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.24 18 18 18 15 2.144 180 225 200 200 3.10 8 5 5 5 4.14 15 12 10 15 Number of traffic concerns investigated and completed: Number of encroachment permits issued: Number of contracts executed: Number of bids issued: Maintain safe, well-functioning roadway infrastructure. Increase Public Safety through Traffic Management. CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 209 DEVELOPMENT ENGINEERING The Development Engineering Program, in coordination with the City’s Community Development Department, provides services for private development projects to ensure they are constructed in accordance with City standards. Development Engineering Services includes reviewing engineering plans and specifications, subdivision maps, and lot line adjustments; issuing certificates of compliance; and, controlling encroachments in the public right-of-way connected to private developments. This program seeks to fully recover the costs associated with development services. BUDGET OVERVIEW Notable Budget Changes:  Temporary staff funding was shifted back from the General Engineering program  Internal Service Fund charges were increased for IT services and IT software and equipment replacement The Development Engineering process requires applicants to provide a deposit of funds to be used for City managed engineering work on their development applications. The deposits pay for various types of outsourced engineering services, and for in-house engineering and review work. Budgeted program revenues and expenditures reflect the in-house portion of engineering work. The outsourced portion flows into and out of a deposit account as it is received and disbursed for contract engineering services, and is therefore not recognized in the Development Engineering budget as a City revenue or expense. In FYs 2012/13 and 2013/14, a small subdivision brought additional revenue to the City. In FY 2014/15, revenues from private development activity decreased as the subdivision project was completed. Revenue projections for FY 2015/16 continue to be cautiously optimistic as staff is not aware of any pending subdivisions. Revenues are based on basic home remodeling and upgrade projects. FY 2015/2016 budgeted expenditures remain consistent with prior years, with minimal operational costs other than staff salary and internal service charges. Operational expenses are limited to a small amount of office supplies and civil engineering services. CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 210 DEVELOPMENT ENGINEERING FY 2015/16 WORKPLAN PRIORITIES Development Review - Review development applications for compliance with City, State and Federal laws for public improvements in the city’s right-of-way. Process private development and subdivision development plans; reviewing for geotechnical compliance, traffic impacts and compliance with NPDES permit. NPDES Compliance Review – Issue an RFQ for a consultant to review subdivision plans for compliance with the City’s NPDES permit and storm water runoff improvement requirements. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Intergovernmental Revenues - - - - - - Fees, Licenses and Permits 500 (1,203) 1,090 500 1,719 500 Charge for Services 106,599 145,435 167,924 72,600 137,936 73,500 Other Sources - - - - - - TOTAL REVENUES 107,099$ 144,232$ 169,014$ 73,100$ 139,654$ 74,000$ EXPENDITURES Salaries and Benefits 153,390 163,747 168,400 147,394 149,277 172,858 Operating Expenditures Materials & Supplies 236 752 50 250 499 300 Fees & Charges 28 288 288 320 240 250 Consultants & Contract Services 1,495 138 1,710 4,700 137 2,700 Meetings, Events & Training - - - - - - Total Operating Expenditures 1,759 1,178 2,047 5,270 876 3,250 Fixed Assets - - - - - - Internal Service Charges 36,449 40,769 42,702 44,167 44,167 47,071 TOTAL EXPENDITURES 191,598$ 205,693$ 213,150$ 196,831$ 194,320$ 223,179$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 211 DEVELOPMENT ENGINEERING KEY SERVICES  Process all final map, lot line adjustments, and Certificates of Compliance applications  Review and comment on Design Reviews and Tentative Map applications  Review initial improvement plan submittals  Process initial submittals for Geotechnical Clearance  Perform daily inspections and reporting on all land development projects  Review subdivision traffic impacts  Review subdivision compliance with NPDES permit Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Public Works Director 0.10 0.10 0.10 0.10 0.10 Senior Civil Engineer 0.60 0.60 0.60 0.60 0.60 Assistant/Associate Engineer - - - - - Administrative Analyst I/II - - - - - Office Specialist II/III 0.25 0.25 0.25 0.25 0.25 Parks Maintenance Manager - - - - - Parks Maintenance Lead - - - - - Parks Maintenance Specialist - - - - - Parks Maintenance Worker I/II/III - - - - - Street Maintenance Manager - - - - - Street Maintenance Lead - - - - - Street Maintenance Specialist - - - - - Street Maintenance Worker I/II/III - - - - - TOTAL FTE's 0.95 0.95 0.95 0.95 0.95 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Engineering Inspectors 92 92 92 92 92 Maintenance Worker - - - - - TOTAL ANNUAL HOURS 92 92 92 92 92 DEVELOPMENT ENGINEERING STAFF CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 212 DEVELOPMENT ENGINEERING 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Percentage of development applications reviewed within 30 days: 90%90%90%90%92% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actual Actuals Actual Estimated Budget 1.45 40 35 35 35 2.15 26 12 12 12 Maintain a high quality of life through development review by adhering to City standards Number of development applications processed: Number of development applications requiring geologic review: CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 213 ENVIRONMENTAL SERVICES Environmental Services accounts for revenue and expenditures related to administering the City’s solid waste programs, promoting environmental services available to the City of Saratoga community, advocating Green Business practices, and ensuring the City complies with the State’s environmental requirements. Under Assembly Bill 939, part of the Integrated Waste Management Act enacted in 1989, local governments are required to prepare, adopt, implement, and maintain plans to reduce waste disposal in landfills. Integrated waste management plans are to include provisions for the proper disposal of household hazardous waste; materials such as pesticides, paints, pool cleaning chemicals, fluorescent lamps, and other toxic materials that are prohibited from being disposed of in landfills. AB 939 allows jurisdictions to impose fees collected at landfills to pay for the costs associated with preparing, adopting, and implementing integrated waste management plans. In Santa Clara County, the current AB 939 fee is $4.10 per ton of garbage disposed of at landfills within Santa Clara County or taken to non-disposal facilities within the County then subsequently transported to landfills outside of Santa Clara County. Of the $4.10 per ton of waste, a total of $2.60 per ton is set aside to fund the countywide Household Hazardous Waste Collection Program. The remaining $1.50 per ton is allocated to the cities in Santa Clara County to implement AB 939 compliance activities. The portion of the AB 939 fee set aside for Household Hazardous Waste (HHW) collection is intended to fund household hazardous waste collection services for a minimum of 4% of households from each of the jurisdictions in the County. Cities must pay for the additional services incurred when more than 4% of their population uses the Household Hazardous Waste Collection Program. In addition, an annual allocation of $50,000 is utilized from the Environmental Program Fund Balance Reserve to help offset other environmental programs within the function, such as non-point source water runoff/pollution administration costs, or emergency environmental clean-up, BUDGET OVERVIEW Notable Budget Changes:  Budget was increased for street sweeping services due to expected increase under a new contract.  Additional funding was provided for increased environmental program charges. The Environmental Services program receives several types of revenue related to solid waste programs for use in funding solid waste related expenses. The City expects to receive $22,000 from the AB 939 Refuse Surcharge program. Additional funding comes from the West Valley Solid Waste Joint Powers Agreement in the form of a franchise fee surcharge charged to customers on their waste management bill. This fee is designated to fund the West Valley Solid Waste Management Authority dues ($34,429), the Household Hazardous Waste (HHW) augmentation ($52,684), and increased street sweeping services ($80,000) – for a total of $167,113 in FY 2015/16. The HHW augmentation revenue offsets the HHW waste collection program services available to Saratoga residents. In FY 2015/16, revenue and expenditure funding was increased slightly due to an increase in the level of participation in the HHW Program by Saratoga residents. Current program augmentation provides for approximately 6% of Saratoga households to participate in the program. Additionally, the City receives a vehicle impact fee charged to ratepayers for wear and damage to City roadways caused by hauler vehicles. The vehicle impact fee is applied towards street resurfacing and repairs in the Capital Budget. A recent study of the impact of WVC&R’s new vehicles recommended a vehicle impact fee of $351,300. The City currently receives just over $62,000 in vehicle impact fees and the new fee is expected to be phased in over two fiscal years starting in 2015/16. As a result, the City plans to receive just over $175,000 in vehicle impact fees in FY 2015/16. CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 214 ENVIRONMENTAL SERVICES Program expenses are comprised of staff time and costs associated with environmental programs and regulatory requirements. Estimated expenditures include $224,000 for the Santa Clara Valley Urban Runoff Pollution Prevention Program and West Valley Clean Water Program fees, $35,000 for West Valley Solid Waste Joint Powers Agreement dues, $52,000 for West Valley Sanitation District’s storm drain cleaning, and $184,000 for Street Sweeping. The remaining costs reflect staff time and internal service charges. FY 2015/16 WORKPLAN PRIORITIES Clean Water Program – Collectively, the Cities of Saratoga, Campbell, Monte Sereno, and the Town of Los Gatos participate in the Clean Water Program for administrative guidance and implementation compliance of the Regional NPDES (National Pollution Discharge Elimination System) Stormwater Permit. The Program is paid for by the participating cities and includes permit administration, public outreach, code compliance, attendance at local storm water meetings, and preparation of the City’s Annual Report submitted to the Regional Water Board. Solid Waste Management - Garbage and recycling collection services in the City of Saratoga are managed by the West Valley Solid Waste Management Authority, which is comprised of 4 member agencies: Saratoga, Campbell, Los Gatos, and Monte Sereno. In December 2013, the Authority approved an agreement with West Valley Collection & Recycling for garbage and recycling services. The new agreement runs from March 1, 2014 to February 2024. The agreement increases the amount of materials that are accepted in the recycling, including some electronic waste, and includes provisions to convert the garbage company fleet to compressed natural gas within the first few years of the agreement. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Franchise Fees - 133,954 163,954 163,954 164,589 166,638 Intergovernmental Revenues 23,571 39,249 26,533 22,000 27,201 22,000 Fees, Licenses and Permits - - - - - - Charge for Services - - - - - - Other Sources - - - - - - TOTAL REVENUES 23,571$ 173,204$ 190,487$ 185,954$ 191,790$ 188,638$ EXPENDITURES Salaries and Benefits 120,500 127,964 139,583 115,707 116,245 134,638 Operating Expenditures Materials & Supplies 9,768 - - - 6 - Fees & Charges 223,454 223,509 240,492 259,500 251,248 289,222 Consultants & Contract Services 174,258 243,899 239,263 287,942 220,412 307,184 Meetings, Events & Training - - - - - - Total Operating Expenditures 407,480 467,408 479,754 547,442 471,667 596,406 Fixed Assets - - - - - - Internal Service Charges 17,512 23,651 23,977 27,432 27,431 29,087 TOTAL EXPENDITURES 545,492$ 619,024$ 643,314$ 690,581$ 615,342$ 760,131$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 215 ENVIRONMENTAL SERVICES KEY SERVICES  Provide street sweeping services for the City’s streets and parking lots – in 2012 sweeping increased to twice a month on residential streets  Coordinate the West Valley Clean Water Program to fulfill the requirements of the NPDES permit  Participate in the West Valley Solid Waste Joint Powers Authority to provide waste management collection services to the community  Assist the community in resolving any issues or problems that arise with the City’s contract waste hauler  Participate in community “Greening” programs, such as e-waste recycling and household hazardous waste programs  Provide storm drain cleaning Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Public Works Director 0.10 0.10 0.10 0.10 0.10 Senior Civil Engineer 0.15 0.15 0.15 0.15 0.15 Assistant/Associate Engineer - - - - - Administrative Analyst I/II 0.45 0.45 0.50 0.45 0.45 Office Specialist II/III 0.25 0.25 0.25 0.25 0.25 Parks Maintenance Manager - - - - - Parks Maintenance Lead - - - - - Parks Maintenance Specialist - - - - - Parks Maintenance Worker I/II/III - - - - - Street Maintenance Manager - - - - - Street Maintenance Lead - - - - - Street Maintenance Specialist - - - - - Street Maintenance Worker I/II/III - - - - - TOTAL FTE's 0.95 0.95 1.00 0.95 0.95 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Engineering Inspectors - - - - - Maintenance Worker - - - - - TOTAL ANNUAL HOURS - - - - - ENVIRONMENTAL ENGINEERING STAFF CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 216 ENVIRONMENTAL SERVICES 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Tons of solid waste collected in Saratoga:29,011 28,887 28,362 29,000 29,000 b.Tons of solid waste diverted from landfills:17,175 16,992 16,344 16,900 16,900 c.Meet State requirements for garbage diversion:Yes Yes Yes Yes Yes 2. a.Percentage of regional meetings attended:90%90%100%90%90% b. Percentage of required reports completed and submitted by deadline: 100%100%100%100%100% 3 a.Percentage of regional meetings attended:90%90%100%90%100% b. Respond to reports of illicit and illegal discharges :100%100%100%100%100% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1 767 563 550 676 951 2 Miles of streets swept per month:275 550 550 550 550 3 25 16 15 15 15 Number of Saratoga residents participating in Countywide Household Hazardous Waste Program: Number of bags of garbage collected at creek clean-up events: Provide effective oversight of waste collection and recycling programs. Meet requirements of the Non-Point Source Pollution Prevention Permit specified for City staff: Protect Saratoga's natural environment throught participation in the West Valley Clean Water Program CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 217 STREETS & STORM DRAINS The Streets and Storm Drains program provides for ongoing maintenance and minor repairs to the City’s roadways, storm drains, curbs, gutters, and sidewalks to ensure the City’s public infrastructure is maintained in a safe, sustainable, and cost effective manner. Program activities include small street repair projects, filling of potholes, maintenance of roadway signs, traffic markings (paint), signals, streetlights, and debris removal. Streets program staff coordinate program work with the General Engineering Division for traffic and roadway projects, and with the Parks program for weed control and storm drain work. The Streets and Storm Drains program represents the consolidation of several programs in prior year budgets. With the realignment of capital project expenses to the Capital Improvement Plan, the focus of this program was limited to ongoing street and storm drain related activities effective with the FY 2007/08 budget. This resulted in combining the former Streets Maintenance program with the Flood Control and Storm Drain program and the Gas Tax program for maintenance services, and moving contract pavement management activity to the Capital Improvement Plan. BUDGET OVERVIEW Notable Budget Changes:  Revenues reflect slightly higher VLF Measure B Surcharge fee receipts  Street and Lot Light Maintenance Service contract oversight and $15,000 of expenditures shifted to Parks & Landscape Maintenance program.  Tree Maintenance Services budget increase from $20,000 to $30,000  Internal Service Charges reflect a decrease in vehicle & equipment maintenance and replacement program charges. Liability charges also decreased with a lower premium costs. Approximately $1.3 million in street resurfacing is planned for FY 2015/16. While roadway resurfacing contracts and related expenses are funded in the Capital Improvement Plan, staffing costs for contract oversight and roadway maintenance services are funded through the General Fund’s Street and Storm Drain Maintenance program. The 999 hours of temporary staff funding to provide street resurfacing assistance to the Streets crew will also be funded through the CIP. The remainder of the program’s operating budget provides for basic operational expenses such as traffic light repair services and electricity, street tree maintenance services, minor tools, supplies, equipment, training, and internal service charges. In FY 2012/13, the City began to receive the voter approved $10 Vehicle Registration Fee surcharge revenue designated for use in maintaining streets. The City expects this will total approximately $180,000 in FY 2014/15. The other designated street program operating revenue is the Utility Box to Grade fees, and staff estimates that it will collect approximately $10,000 in FY 2015/16. FY 2014/15 tree maintenance expenditures were far higher than the planned budget in part attributable to the drought’s effect on trees. Tree maintenance expenditures were increased by $10,000, however the Street & Lot Light $15,000 maintenance expense was shifted to the Parks Program, so the net impact resulted in a budget decrease for the Streets program. The remainder of the expenditure budget is fairly consistent with past years. Overall, the Streets & Storm Drains Program budget provides lean and efficient support for the City’s objective t o provide safe, well-functioning beautiful infrastructure (curbs, storm drains, sidewalks, medians, hillside retaining walls). CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 218 STREETS & STORM DRAINS FY 2015/16 WORKPLAN PRIORITIES Pavement Management – Street Program staff will manage various street capital projects and all maintenance work on City roadways (145 miles), storm drains (45 miles), sidewalks (15 miles), bridges (20), as well as maintaining approximately 15,000 signs and street restriping as needed. Council Policy requires $1 million of funding be designated for this purpose in the Capital Budget. The Street Division staff time is budgeted in the Operating Budget. Annual Sidewalk Replacement – Staff will continue to manage sidewalk maintenance through the $50,000 capital project to manage sidewalk replacement and trip hazard removal program. Annual Storm Drain Repair – Staff will also manage a capital storm drain maintenance program with $50,000 in annual funding for storm drain repairs, culvert replacements and basic storm drain upgrades (i.e.; storm drain grates and catch basins). 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Intergovernmental Revenues - 169,433 177,375 180,000 185,393 190,000 Fees, Licenses and Permits - - - - - - Charge for Services 2,912 798 68,436 10,000 1,240 10,000 Other Sources - - - - - - TOTAL REVENUES 2,912$ 170,231$ 245,811$ 190,000$ 186,633$ 200,000$ EXPENDITURES Salaries and Benefits 842,782 854,558 922,913 956,575 938,074 966,502 Operating Expenditures Materials & Supplies 7,724 8,479 10,700 12,900 10,144 14,900 Fees & Charges 21,700 27,771 29,952 22,200 31,721 22,200 Consultants & Contract Services 38,016 60,287 47,945 70,000 88,809 65,000 Meetings, Events & Training 2,905 4,568 4,852 6,200 6,556 6,200 Total Operating Expenditures 70,345 101,105 93,449 111,300 137,230 108,300 Fixed Assets - - - - - - Internal Service Charges 273,499 328,773 364,878 378,965 378,965 338,434 TOTAL EXPENDITURES 1,186,626$ 1,284,436$ 1,381,240$ 1,446,840$ 1,454,269$ 1,413,236$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 219 STREETS & STORM DRAINS KEY SERVICES  Maintain roadway infrastructure with minor repairs, provide roadside weed control, and conduct litter pickup and bicycle lane sweeping along arterial streets and school sites  Remove illegal signage from public right-of-ways  Resolve sight distance, obstruction, and encroachment complaints  Respond to graffiti removal requests  Inspect open channel drainage facilities to ensure blockages do not impede drainage flows  Respond to emergencies impacting roadways, drainage, and other City facilities  Provide assistance with community events, such as the Chamber of Commerce’s Village events, the Blossom Festival, the 4th of July event, and the Annual Village Tree Lighting  Report PG&E owned street light outages to PG&E  Repair City owned Street light outages Full Time Equivalents (FTE)* 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Public Works Director 0.25 0.25 0.25 0.25 0.25 Senior Civil Engineer - - - - - Assistant/Associate Engineer 0.25 0.25 0.25 0.25 0.25 Administrative Analyst I/II - - - - - Office Specialist II/III 0.40 0.40 0.40 0.40 0.40 Parks Maintenance Manager - - - - - Parks Maintenance Lead - - - - - Parks Maintenance Specialist - - - - - Parks Maintenance Worker I/II/III - - - - - Street Maintenance Manager 0.95 0.95 0.95 0.95 0.95 Street Maintenance Lead 1.00 1.00 2.00 2.00 2.00 Street Maintenance Specialist 1.00 1.00 - - - Street Maintenance Worker I/II/III 3.75 3.75 3.75 3.75 3.75 TOTAL FTE's 7.60 7.60 7.60 7.60 7.60 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Engineering Inspectors - - - - - Maintenance Worker - - - - - TOTAL ANNUAL HOURS - - - - - STREETS & STORM DRAINS STAFF CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 220 STREETS & STORM DRAINS 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Maintain Pavement Condition Index average above 70 (out of 100 total points): 76 76 76 69 69 b.Percentage of potholes repaired within 24 hours of notification: 100%100%100%100%100% 2. a.Storm drains cleaned and maintained to function properly and avert damage from major storm events: 1,300 1,300 1,300 1,300 1,300 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.960 1,150 1,500 1,500 1,500 2.$633,700 $466,800 $0 $0 $0 Number of signs installed and replaced: Amount of Grant funding the City received for street resurfacing: Maintain safe, well functioning infrastructure: To provide safe and functional roadway systems throughout the City. CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 221 PARKS & LANDSCAPE MAINTENANCE The focus of the Parks & Landscape Maintenance program is to provide attractive, well maintained, water efficient landscaping and turf through the management and maintenance of the City’s parks, trails, open spaces, as well as the landscaped medians and islands in the roadways. Facilities within the City’s parks, trails, and open spaces such as bathrooms, pedestrian lighting, walkways, playground and other recreation facilities are safe, clean, and well- maintained for residents and visitors. The Parks & Landscape Maintenance Division is responsible for maintaining 87 acres of parkland in 14 parks, and 250 acres of trails and open space areas throughout the City. The City-owned Hakone Gardens Park Japanese Garden areas are tended by a separate non-profit foundation; however the City retains maintenance of the facility’s infrastructure. Currently, the City is the lead agency for a master plan study jointly funded by Hakone and the City for preservation of the historic gardens and future improvements to include a retreat center tea room. BUDGET OVERVIEW Notable Budget Changes:  Revenues $120,000 decrease reflects the Sport User Group Field Rentals contract oversight function and fees shift to the Recreation & Facilities Department’s Facility Rentals program  Numerous operational changes occurred:  Field Rental Fee expenditures decreased by $40,000 with the expense shifting to Facility Rentals.  $20,000 was added for Park Furnishings and Equipment  $16,000 was added for Street & Lot Light Maintenance  Quarry Park maintenance costs were increased from $20,000 to $30,000  Other park janitorial and maintenance services increased by a total of $16,000  Fixed Assets budget funding was eliminated. Budgeted revenues for this program are comprised of the banner rental fees, tree/bench dedication fees, park attendant fees, and administrative fees from Landscape & Lighting Districts for staffing oversight, and for engineering, legal, and maintenance costs. In prior years, the Parks & Landscape Maintenance program also oversaw the Park’s Sport Use Agreements and collected this revenue. Those duties were transferred to the Recreation Department in mid-FY 2014/15, and the revenues are shifted to Recreation effective with the FY 2015/16 budget year. The $40,000 field rental cost for Prospect High School fields has also shifted to the Recreation Department’s Facility Rentals budget. The Park & Landscape Maintenance program expenditure budget includes a variety of landscaping materials, supplies, equipment, and services. For FY 2015/16, maintenance costs will increase for median and parks maintenance services due to a physical expansion of both – most notably the $30,000 cost budgeted for Quarry Park maintenance services. Additional increases are seen in the shift of the Street & Lot Light Maintenance services, Park Janitorial services, assorted landscape services, and refuse container cleaning services. In FY 2014/15, the City purchased a utility vehicle and an aerator machine. There are no anticipated purchases of small equipment vehicles in FY 2015/16. The remainder of the expenditure budget is for staffing and internal service charges. CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 222 PARKS & LANDSCAPE MAINTENANCE FY 2015/16 WORKPLAN PRIORITIES Water Efficiency – The Parks and Landscape Maintenance Division will continue to monitor and upgrade the City’s irrigation system as needed, to reduce water use through plant selection, soil management, and irrigation methods. Turf areas will continue to be investigated as potential conversion sites into native landscape, hardscape or mulched areas to reduce water usage. Calsense irrigation controllers have been installed at Beauchamps Park, Bonnet Way, and Fruitvale Avenue, to increase water efficiency. The City converted over 37,000 square feet of turf to drought tolerant landscaping at Beauchamps Park in FY 2014/15, and will select additional locations to further implement turf reduction by approximately 20,000 square feet in FY 2015/16. Playground Safety Improvements – Staff continues to oversee the safety and structural integrity of playground equipment at all parks. Improvements include converting sand surfaces to engineered wood fiber material, as mandated by the “Fall Zone/Impact Attenuation Guidelines.” Playground Monitoring – Monitor playgrounds on an on-going basis with regards to a 15-25 year replacement program. Replacement criteria will be based on major equipment wear and tear and changes in safety regulations on outdated structures. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Intergovernmental Revenues - - - - - - Fees, Licenses and Permits - - - - - - Charge for Services 166,015 167,320 163,712 169,053 169,429 170,134 Other Sources 7,068 2,925 7,190 7,500 5,775 2,500 Rental Income 177,993 128,447 121,078 116,103 79,791 2,000 TOTAL REVENUES 351,076$ 298,692$ 291,980$ 292,656$ 254,995$ 174,634$ EXPENDITURES Salaries and Benefits 975,678 884,769 891,029 938,621 912,701 983,530 Operating Expenditures Materials & Supplies 62,577 65,340 82,078 70,300 73,592 86,300 Fees & Charges 237,935 247,891 271,829 230,125 203,027 192,075 Consultants & Contract Services 366,031 438,170 467,766 528,120 517,302 570,220 Meetings, Events & Training 3,177 80 2,014 1,500 1,851 1,500 Total Operating Expenditures 669,721 751,481 823,687 830,045 795,771 850,095 Fixed Assets - - - 35,000 35,343 - Internal Service Charges 279,914 319,909 378,862 408,178 408,178 354,865 TOTAL EXPENDITURES 1,925,312$ 1,956,160$ 2,093,578$ 2,211,844$ 2,151,993$ 2,188,490$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 223 PARKS & LANDSCAPE MAINTENANCE KEY SERVICES  Maintain all parks, trails, and open space areas in a safe, useable, and attractive condition  Foster community awareness and support of the City’s parks and open space resources  Coordinate and assist sport groups with use and care of recreational facilities  Provide assistance with community events, such as the Chamber of Commerce’s Art & Wine Festival, the Mustard Faire, the 4th of July event, and the Annual Village Tree Lighting  Provide for attractive, well maintained landscaped areas with plant maintenance and functioning irrigation systems  Maintain trash receptacles throughout the City  Provide management and oversight of the City’s Landscape & Lighting District contract maintenance work  Conduct monthly playground inspections to maintain safety standards  Maintain pedestrian lighting fixtures throughout City parks properties and Landscaping and Lighting Districts Full Time Equivalents (FTE)* 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Public Works Director 0.20 0.20 0.20 0.20 0.20 Senior Civil Engineer - - - - - Assistant/Associate Engineer - - - - - Administrative Analyst I/II - - - - - Office Specialist II/III 0.50 0.50 0.50 0.50 0.50 Parks Maintenance Manager 0.95 0.95 0.95 0.95 0.95 Parks Maintenance Lead 1.00 1.00 1.00 1.00 1.75 Parks Maintenance Specialist 1.00 - - - - Parks Maintenance Worker I/II/III 5.65 5.75 5.75 5.75 5.00 Street Maintenance Manager - - - - - Street Maintenance Lead - - - - - Street Maintenance Specialist - - - - - Street Maintenance Worker I/II/III - - - - - TOTAL FTE's 9.30 8.40 8.40 8.40 8.40 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Engineering Inspectors - - - - - Maintenance Worker 2,000 - - - - TOTAL ANNUAL HOURS 2,000 - - - - PARKS & LANDSCAPING STAFF CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 224 PARKS & LANDSCAPE MAINTENANCE 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Percentage of parks with playground equipment inspected monthly: 100%100%100%100%100% 2. a.Percentage of reports of needed park maintenance receiving response within 48 hours: 100%100%100%100%100% b.Percentage of reports of needed trail maintenance receiving response within 48 hours: 100%100%100%100%100% 3. a.Staff Maintenance workers maintaining pesticide licenses:100%100%100%100%100% b.Improved irrigation controllers installed to increase water efficiency: 2 1 3 1 3 c.Turf removed and converted to landscape or hardscape for water conservation (in square feet):32,267 10,250 7,000 37,087 20,000 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.12 12 12 13 Moved to Recreation 2.61 125 125 125 125 3.124 70 40 40 15 4.6 7 7 6 6 Number of sport user group agreements: Protect Saratoga's natural beauty by maintaining parks and open space. Protect the environment through sustainable practices. Total acres of City parks maintained: Total number of new trees planted in City parks: Parks and Recreation Commission Meetings: Maintain safety standards in parks and playgrounds. CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 225 VEHICLE & EQUIPMENT MAINTENANCE The Vehicle & Equipment Maintenance Fund is operated as an Internal Service Fund to maintain all City vehicles and equipment in accordance with manufacturers’ recommendations and requirements, and to ensure all vehicles and equipment are safe and function well. Staff provides preventative maintenance and repair services; maintains the repair, ownership, warranty, and maintenance records of vehicle and equipment inventory; provides for regular cleaning of all vehicles in accordance with the City’s non-point source permit; maintains sufficient fuel supplies at all times; maintains records of fuel usage; and performs monthly operational tests of emergency generators. Mechanical and body work repairs are provided through auto and equipment shops and services. BUDGET OVERVIEW Notable Budget Changes:  No notable changes Revenues from this program reflect allocated charges to departments with assigned vehicles for the cost of providing maintenance and repair services, and fueling vehicles and equipment. The Internal Service Fund chargeback decreased to $275,000 for FY 2015/16 to more accurately track actual costs. Repair costs are mitigated due to consistent maintenance practices for vehicles and equipment, and from regular assessments to determine if vehicles or equipment should be replaced. Accidents, though infrequent, are costly when they occur, therefore a contingency is built into the repairs and maintenance budget. And fortunately, a reduction in the cost of fuel has provided some relief to the generally increasing expenditure trajectory. The chargeback is set slightly higher than operating expenditure to increase fund balance reserves in line with Council policy. This budget supports Council’s objective to maintain vehicles and equipment in a safe, secure, sustainable, and cost effective manner. CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 226 VEHICLE & EQUIPMENT MAINTENANCE FY 2015/16 WORKPLAN PRIORITIES Fleet Maintenance – The Vehicle & Equipment Maintenance program tracks vehicle and equipment repair and maintenance history. Staff will continue to refine maintenance schedules and recordkeeping activities to ensure all City vehicles & equipment are included in replacement schedules. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted SOURCE OF FUNDS Beginning Fund Balance Unassigned 42,817 23,031 10,427 36,350 36,350 115,565 Total Beginning Fund Balance 42,817$ 23,031$ 10,427$ 36,350$ 36,350$ 115,565$ Revenues Internal Service Charges 200,000 215,000 250,000 300,000 300,000 275,000 TOTAL REVENUES 200,000$ 215,000$ 250,000$ 300,000$ 300,000$ 275,000$ Operating Transfers In Transfer In - - - - - - Total Operating Transfers -$ -$ -$ -$ -$ -$ TOTAL SOURCE OF FUNDS 242,817$ 238,031$ 260,427$ 336,350$ 336,350$ 390,565$ USE OF FUNDS EXPENDITURES Salaries and Benefits 74,689 76,929 79,697 82,267 81,468 88,088 Operating Expenditures Materials & Supplies 69,815 63,308 58,215 64,500 43,384 61,500 Fees & Charges 5,361 5,055 5,249 6,000 5,265 6,000 Consultant & Contract Services 31,224 40,587 37,007 45,000 44,258 53,000 Meetings & Training - - - - - - Fixed Assets - - - - - - Internal Service Charges 38,697 41,726 43,910 46,410 46,410 47,758 Total Expenditures 219,786$ 227,604$ 224,078$ 244,177$ 220,785$ 256,346$ Operating Transfers Transfers Out - - - - - - Total Operating Transfers -$ -$ -$ -$ -$ -$ Ending Fund Balance Unassigned 23,031 10,427 36,350 92,173 115,565 134,219 Total Ending Fund Balance 23,031$ 10,427$ 36,350$ 92,173$ 115,565$ 134,219$ TOTAL USE OF FUNDS 242,817$ 238,031$ 260,427$ 336,350$ 336,350$ 390,565$ SOURCE AND USE OF FUNDS CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 227 VEHICLE & EQUIPMENT MAINTENANCE KEY SERVICES  Provide preventative maintenance and repairs for all City owned vehicles and equipment  Comply with State and County air quality requirements  Maintain the City’s fueling system and equipment  Perform routine safety inspections to ensure safe operation of fleet Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Public Works Director - - - - - Senior Civil Engineer - - - - - Assistant/Associate Engineer - - - - - Administrative Analyst I/II - - - - - Office Specialist II/III 0.10 0.10 0.10 0.10 0.10 Parks Maintenance Manager 0.05 0.05 0.05 0.05 0.05 Parks Maintenance Lead - - - - 0.25 Parks Maintenance Specialist - - - - - Parks Maintenance Worker I/II/III 0.25 0.25 0.25 0.25 - Street Maintenance Manager 0.05 0.05 0.05 0.05 0.05 Street Maintenance Lead - - - - - Street Maintenance Worker I/II/III 0.25 0.25 0.25 0.25 0.25 TOTAL FTE's 0.70 0.70 0.70 0.70 0.70 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Engineering Inspectors - - - - - Maintenance Worker - - - - - TOTAL ANNUAL HOURS - - - - - VEHICLE EQUIPMENT MAINTENANCE STAFF CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 228 VEHICLE & EQUIPMENT MAINTENANCE 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Percentage of fleet vehicles receiving annual safety inspections: 100%100%100%100%100% b.Percentage of fleet vehicles receiving annual preventative maintenance: 100%100%100%100%100% 2. a.Percentage of City vehicle fleet using alternate fuels (including hybrid vehicles): 20%17%17%17%17% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.27 23 23 23 23 2.50 46 50 46 46 3.13 13 11 13 10 Provide safe and functional vehicles and equipment for City use. Number of vehicles maintained: Protect natural resources through sustainable practices. Number of oil changes performed per year: Number of required smog checks performed per year: CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 229 EQUIPMENT REPLACEMENT FUND The Equipment Replacement Fund provides a consistent level of funding for the replacement of vehicle and equipment assets at the end of their life span. A replacement schedule for the City’s vehicles and equipment replacements over the next twenty years is maintained on an ongoing basis, with estimated life spans and calculated replacement costs to determine funding needs each year. An annual funding level expected to allow for the scheduled replacement of vehicle and equipment assets as they reach the end of their useful life is calculated to provide a smoothing of operating expenses over the years, and a more accurate reflection of the actual cost of operations through the life of the asset. With the high level of care and maintenance staff puts into the City’s vehicles, the replacement schedules reflect a longer than average life span than other agencies use. The City uses eight years for most vehicles and trucks, whereas other cities use five years for general purpose vehicles. In some cases a vehicle or equipment’s life span could be shorter or longer than expected, but with a replacement fund, adjustments can be made without significantly impacting the ongoing operating budget. BUDGET OVERVIEW Notable Budget Changes:  After a replacement program review extending 35 years, the Internal Service Fund chargebacks were decreased from $200,000 to $125,000, to reflect actual cash funds needs per the timing requirements.  Replacement expenditures increased to reflect the scheduled replacement of vehicles and equipment. After conducting a long term (35 year) funding requirement review of the replacement program, it was determined that the annual chargeback amount should be reduced from $200,000 down to $125,000 for FY 2015/16. Chargebacks should provide for current funding requirements, not accumulate full replacement funding. While chargebacks will need to be adjusted over the years as vehicle cost and life span adjust, it is prudent to calculate a lower but sufficient allocated reimbursement to meet near term funding requirements. The funding review shows that a $125,000 annual charge will be sufficient for the next eight years under current assumptions. A $25,000 annual increase in the chargeback amount will be needed at the end of this period. Replacement asset scheduled for FY 2015/16 include: three heavy duty dump trucks, a paint sprayer used for graffiti abatement; and a 72 inch mower. Additionally, two leased electric vehicles are scheduled for replacements in FY 2015/16. Two of the City’s fleet vehicles were replaced with leased electric vehicles in FY 2013/14, and are paid for through this program as an alternative to purchase and replace. Lease payments total approximately $8,000 per year. All remaining current year unallocated and prior year accumulated funding will remain in the fund’s reserve and utilized in accordance with the planned replacement schedule. Staffing is not assigned to this program as the Internal Service Fund operates purely as a funding set-aside for vehicle and equipment replacements. CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 230 EQUIPMENT REPLACEMENT FUND 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted SOURCE OF FUNDS Beginning Fund Balance Unassigned 331,373 437,088 442,088 508,880 508,880 649,497 Total Beginning Fund Balance 331,373$ 437,088$ 442,088$ 508,880$ 508,880$ 649,497$ Revenues Other Sources 15,715 - 7,050 - 6,393 - Internal Service Charges 100,000 100,000 200,000 200,000 200,000 125,000 Total Revenues 115,715$ 100,000$ 207,050$ 200,000$ 206,393$ 125,000$ TOTAL SOURCE OF FUNDS 447,088$ 537,088$ 649,138$ 708,880$ 715,273$ 774,497$ USE OF FUNDS EXPENDITURES Operating Expenditures Materials & Supplies - - - - - - Fees & Charges - - 11,121 7,500 6,733 8,000 Consultant & Contract Services - - - - - - Meetings, Events & Training - - - - - - Fixed Assets 10,000 95,000 129,138 59,043 59,043 196,500 Internal Service Charges - - - - - - Total Expenditures 10,000$ 95,000$ 140,258$ 66,543$ 65,775$ 204,500$ Operating Transfers Transfers Out - - - - - - Total Operating Transfers -$ -$ -$ -$ -$ -$ Ending Fund Balance Unassigned 437,088 442,088 508,880 642,337 649,497 569,997 Total Ending Fund Balance 437,088$ 442,088$ 508,880$ 642,337$ 649,497$ 569,997$ TOTAL USE OF FUNDS 447,088$ 537,088$ 649,138$ 708,880$ 715,273$ 774,497$ SOURCE AND USE OF FUNDS CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 231 EQUIPMENT REPLACEMENT FUND FY 2015/16 WORKPLAN PRIORITIES Vehicle Replacement – Purchase replacement vehicles and equipment in accordance with the FY 2015/16 replacement schedule. Alternative Vehicle Assessment – Continue program assessment of available fuel alternative vehicles to determine usability, advantages, and cost-effectiveness in the city’s fleet. KEY SERVICES  Accumulate and provide annual funding for asset replacement  Assess vehicles and equipment for proper replacement timing  Prepare cost effectiveness study for asset replacement program Current Yr Current Asset Estimated Program Asset # Purch Vehicle / Equipment Life Purpose Cost Vehicles Parks 105 2003 Chevy 3500 Dump 10 MW Vehicle 55,000 Parks 110 2006 Chevy 3500 Dump/crane 10 MW Vehicle 60,000 Parks 111 2006 Chevy 3500 Dump/crane 10 MW Vehicle 60,000 CDD 127 2014 Chevy Volt 3 Arborist - Leased Vehicle * City Hall 128 2014 Chevy Volt 3 Pool Car - Leased Vehicle * Equipment Streets E001 1996 Paint Sprayer Graco 3500 20 Graffiti abatement 3,500 Parks E034 2008 Lawn Mower 8 Lawn Mower 18,000 196,500$ * Leased vehicles do not have an estimated replacement cost 2015/16 VEHICLE & EQUIPMENT REPLACEMENT SCHEDULE CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 232 CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 233 LANDSCAPE & LIGHTING DISTRICTS The City maintains 28 Landscape and Lighting Districts and one Storm Drain District throughout the City with the consent of property owners living along or within the boundaries of the Districts. The Districts are funded through property tax assessments or through property-owner approved benefit assessments. Four of the City’s Districts are funded solely by property taxes, and another three Districts are funded by both property tax and benefit assessments. The remaining twenty-one are funded solely by benefit assessments. Those districts funded with property tax existed prior to the passage of Proposition 13 in 1978, which froze district assessment formulas built into the tax rates at the time of passage. As property tax funding alone was not sufficient for several of the Landscape & Lighting Districts, three districts approved a benefit assessment also be levied to augment funding. The benefit assessment-based Districts are exempt from Proposition 218 requirements requiring a 2/3 majority approval, unless an increase in the approved assessment rates are requested. Section 5 of Proposition 218 provides that the measure does not apply to assessments existing as of November 1996 if the assessments were “imposed pursuant to a petition signed by the persons owning all of the parcels subject to the assessment at the time the assessment was initially imposed”. Consequently, the City is not required to conduct an election of the property owners unless the City is seeking to increase the annual assessment more than the amount provided for in the existing agreement. Since the passage of Proposition 218, the City ensures annual increases are built into the assessment agreements to allow for up to 5% of assessment increases. With operational costs continuing to increase each year, an annual increase enables the City to continue to provide the same level of services. Only two of the Districts established prior to the passage of Prop 218 do not currently have this allowance for annual increases built into the agreement. SUMMARY BUDGET OVERVIEW Notable Budget Changes:  No notable changes The Landscape & Lighting District Fund budget schedule presented on the following page is a summary of 28 separate funds. Each of the individual fund budgets include electricity and/or monthly landscaping service costs, and a pro-rated administrative fee for staffing administration and oversight, legal fees, and engineering services. Some of the fund budgets include water, tree maintenance, and repair expenses. The Landscape & Lighting District administrative service fee expense is, in turn, a revenue to the Parks & Landscape Maintenance program. The separate Fund assessments reflect the continued practice of building fund balance levels to provide sufficient cash flow balances, and/or for use in future year’s repairs and projects. An adequate reserve balance creates a level of protection to both ensure the funds have working capital and to prevent the City from paying for unplanned costs up front, and waiting to be repaid in following years. CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 234 LANDSCAPE & LIGHTING DISTRICTS FY 2015/16 WORKPLAN PRIORITIES District Assessments – Staff will continue to closely monitor all Assessment District Zones for appropriate service and funding levels, and will make a determination of whether the City should proceed with a vote on assessment increases for several of the districts that currently have negative fund balances. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted SOURCE OF FUNDS Beginning Fund Balance Unassigned 504,125 562,504 621,947 733,836 733,836 867,648 Total Beginning Fund Balance 504,125$ 562,504$ 621,947$ 733,836$ 733,836$ 867,648$ Revenues Property Taxes 184,242 193,634 211,010 199,565 232,659 219,897 L&L Assessments 304,840 287,489 306,844 326,077 323,031 364,111 Other Sources 2,159 1,964 3,453 1,734 10,793 1,859 Total Revenues 491,241$ 483,087$ 521,307$ 527,376$ 566,483$ 585,867$ Operating Transfers In Transfer in from CIP - - - - - -$ Total Operating Transfers In -$ -$ -$ -$ -$ -$ TOTAL SOURCE OF FUNDS 995,366$ 1,045,591$ 1,143,254$ 1,261,212$ 1,300,319$ 1,453,515$ USE OF FUNDS Expenditures Operating Expenditures Materials & Supplies - - - - - - Fees & Charges 267,278 286,701 265,892 282,990 283,353 294,574 Consultant & Contract Services 165,585 136,943 143,526 328,524 149,318 356,226 Total Operating Expenditures 432,862 423,644 409,418 611,514 432,671 650,800 Total Expenditures 432,862$ 423,644$ 409,418$ 611,514$ 432,671$ 650,800$ Ending Fund Balance Unassigned 562,504 621,947 733,836 649,698 867,648 802,715 Total Ending Fund Balance 562,504$ 621,947$ 733,831$ 649,698$ 867,648$ 802,715$ TOTAL USE OF FUNDS 995,366$ 1,045,591$ 1,143,249$ 1,261,212$ 1,300,319$ 1,453,515$ SOURCE AND USE OF FUNDS CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 235 LANDSCAPE & LIGHTING DISTRICT Number of Parcel Total Total Zone # Assessment District Parcels Assessment Assessment Property Tax Lighting Districts 231 Village Lighting District 781 -$ -$ 71,966$ 232 Azule Lighting District 120 -$ -$ 33,037$ 233 Sarahills Lighting District 64 82.36$ 5,271$ -$ Landscape Districts 241 Arroyo de Saratoga Landscape District 250 107.64$ 26,911$ -$ 242 Bonnet Way Landscape District 41 127.27$ 5,218$ -$ 243 Carnelian Glen 20 208.30$ 4,166$ -$ 244 Cunningham/Glasgow Landscape District 31 295.42$ 9,158$ -$ 245 Fredericksburg Landscape District 85 71.76$ 6,100$ 762$ 246 Greenbriar Landscape District 176 136.57$ 24,037$ 6,046$ 247 Kerwin Ranch Landscape District 16 804.19$ 12,867$ -$ 248 Leutar Court Landscape District 9 436.00$ 3,924$ -$ 249 Manor Drive Landscape District 29 75.66$ 2,194$ 4,281$ 251 McCartysville Landscape District 48 307.19$ 14,745$ -$ 252 Prides Crossing Landscape District 864 69.88$ 60,373$ -$ 253 Saratoga Legends Landscape District 15 625.73$ 9,386$ -$ 254 Sunland Park Landscape District 200 94.68$ 18,935$ -$ 255 Tricia Woods Landscape District 9 286.56$ 2,579$ -$ 256 Allendale Landscape District 43 87.05$ 3,743$ Landscape & Lighting Districts 271 Beauchamps Landscape District 55 197.18$ 10,845$ -$ 272 Bellgrove Landscape & Lighting District 94 731.24$ 68,737$ -$ 273 Gateway Landscape & Lighting District 12 817.67$ 9,812$ -$ 274 Horseshoe Landscape & Lighting District 53 246.25$ 13,051$ -$ 275 Quito Lighting District 698 -$ -$ 64,023$ 276 Tollgate Landscape & Lighting District 61 100.64$ 6,139$ -$ 277 Village Commercial Landscape District 132 -$ -$ 39,782$ 278 Westbrook Landscape & Lighting Dist 92 47.80$ 4,398$ -$ 279 Covina Landscape & Lighting District 192 197.00$ 37,824$ -$ Storm Drain District 291 Hill Ave Storm Water District 5 739.60$ 3,698$ -$ 28 Assessment Districts 4,195 364,111$ 219,897$ Annual District Assessments FY 2015/16 CITY OF SARATOGA PUBLIC WORKS DEPARTMENT 236 CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 237 RECREATION & FACILITIES DEPARTMENT The Recreation & Facilities Department contributes to the quality of life in Saratoga through a wide variety of diverse activities, services, and programs for people of all ages through both the Recreation and Teen Services divisions. In addition, the Department administers the Facility Rental program for community groups and the public at the City’s parks, Community Center, Warner Hutton House, and Prospect Center Buildings, as well as overseeing building maintenance for the various City facilities (City Hall offices, Corporation Yard, Theater/Council Chambers, Community Center, Warner Hutton House, Prospect Center Buildings, Saratoga Museum, McWilliams House, Book-Go-Round, and the Saratoga Library). Recreational services provided by the department include classes, camps, trips, programs, and activities. The benefits of these programs include building self-esteem in children and providing them opportunities to build life skills for their future, adding more balance to the lives of residents, promoting physical fitness, providing opportunities for social interaction, helping to reduce stress, enhancing or learning new skills, helping to eliminate loneliness in older citizens, and promoting sensitivity to cultural diversity. By offering a variety of classes, camps, trips, pre-school programs, youth and teen activities, dance programs, and fee-based special events, the Department helps create a sense of community and provides opportunities for residents to get to know their neighbors and live happier, healthier lives. The Recreation & Facilities Department’s goal is to provide safe, high quality recreation services at reasonable costs. The City continues to make strides toward reducing service costs in relation to revenues. Staff continues to assess program and activity costs in relation to the community’s interests and needs. While some programs and activities are not cost effective, it may be determined that community need is of greater importance. This is often the case with teen programs. DEPARTMENT OBJECTIVES The Recreation Department, through its variety of service divisions, directly supports a number of the City Council’s Strategic Goals. Performance measures provide feedback on the Department attainment of these objectives. Council Strategic Goal: Community Enrichment: Foster a community with an enriched and diverse culture and engaged community. Department Objectives:  Enhance and promote healthier living in the community through providing a variety of high quality and enjoyable activities that are convenient for residents and help create an engaged and vibrant community  Develop and cultivate organizational and leadership potential in local teens through Youth Commission activities  Provide safe, affordable, clean, and enjoyable facilities for meetings, parties, receptions, and gatherings to enhance and promote quality of life Council Strategic Goal: City Leadership: Provide a proactive, responsible, inclusive, respectful, transparent, and trustworthy government dedicated to delivering effective high quality leadership for the community. Department Objectives:  Promote civic engagement in Saratoga youth through Youth Commission sponsored community events  Develop community partnerships with positive interaction through recreation programs and services CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 238 Council Strategic Goal: Facility & Infrastructure: Maintain the City's facilities and public infrastructure in a safe, sustainable, and cost effective manner. Department Objectives:  Provide safe, clean, cost effective facilities for community meetings, parties, receptions, and gatherings  Ensure City facilities are clean, safe, and maintained according to best practices  Mitigate risk and liability issues in City facilities  Follow environmentally friendly purchasing policies, sustainability and green building practices DEPARTMENT BUDGET SUMMARY The Department’s FY 2015/16 General Fund budget reflects further adjustments to operate at a cost recovery rate which meets or exceeds the Park & Recreation departmental statewide industry average of 65% at the time the policy was established. Recreation revenues is expected to grow slightly, with some corresponding expenditure increases for instructor services, with the overall cost recovery percentage expected to be 66%. The FY 2015/16 staffing levels will continue the prior year FTE reductions of the Recreation Supervisor to 90% and one of the Recreation Coordinator positions to 85%. While departmental staff reductions were offset by an increase in temporary staff support for facility oversight and graphic design work, the FTE reductions have provided salary savings without significant loss of customer service support of any of the department’s core functions, including the increasingly successful “in-house” youth camps. With the City’s ongoing focus to implement citywide emergency event readiness, .05 FTE of the Director position will continue to be assigned to the Emergency Preparedness program for this endeavor. In addition, the Director, who also functions as the City’s Risk Manager, has .30 FTE assigned to the Liability Program to oversee claims, insurance requirements, and maintain Risk Management best practices. Building maintenance activities continue to be broken out from the recreation and facility rental services and activities, and are accounted for as an Internal Service Fund program. These functions provide citywide janitorial and building maintenance support that is allocated by square foot percentage to all departments. As facility services represent a separate function and purpose from recreation services, the Building Maintenance program is not included in the cost recovery analysis. The Facility Furniture, Fixture, and Equipment (FFE) Replacement Internal Service Fund was added this fiscal year to fund and maintain the City’s facility infrastructure on an ongoing basis. This program will eliminate the surprise funding element by accumulating funds on an ongoing basis, and replace facility FFEs as needed. The ISF structure will also incorporate the cost into the City’s operating programs to more fully recognize appropriate overhead, and to maintain fiscal sustainability practices through annual charges. CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 239 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Fees, Licenses and Permits 5,777 8,725 17,799 10,200 9,837 10,100 Charge for Services 611,321 634,760 645,114 713,000 595,208 693,200 Rental Income 235,579 232,236 247,604 269,950 300,567 402,600 Other Sources 60 45 81 - 25 - TOTAL REVENUES 852,736$ 875,765$ 910,597$ 993,150$ 905,638$ 1,105,900$ EXPENDITURES Salaries and Benefits 645,755 647,904 667,895 730,498 662,642 714,793 Operating Expenditures Materials & Supplies 14,234 22,596 27,105 35,550 20,619 38,950 Fees & Charges 16,566 20,955 20,404 21,285 22,021 63,885 Consultant & Contract Serv 356,282 382,334 403,490 427,900 370,831 439,900 Meetings, Events & Training 402 379 1,428 5,850 2,119 5,850 Total Operating Expenditures 387,485 426,264 452,427 490,585 415,590 548,585 Fixed Assets - - - - - - Internal Service Charges 236,258 244,325 262,955 285,195 285,194 323,570 TOTAL EXPENDITURES 1,269,497$ 1,318,493$ 1,383,277$ 1,506,278$ 1,363,426$ 1,586,948$ 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted GENERAL FUND Recreation Services 900,930 938,742 961,244 1,055,579 940,097 1,071,231 Teen Services 67,859 67,955 57,836 48,759 47,073 52,915 Facility Rentals 300,708 311,796 364,197 401,940 376,256 462,801 TOTAL GENERAL FUNDS 1,269,497$ 1,318,493$ 1,383,277$ 1,506,278$ 1,363,426$ 1,586,948$ INTERNAL SERVICES FUNDS Building Maintenance 732,592 771,882 817,506 855,198 813,842 879,629 Facility FFE Replacement - - - - - 169,000 TOTAL INTERNAL SERVICES 732,592$ 771,882$ 817,506$ 855,198$ 813,842$ 1,048,629$ TOTAL EXPENDITURES 2,002,090$ 2,090,375$ 2,200,783$ 2,361,476$ 2,177,268$ 2,635,577$ DEPARTMENTAL EXPENDITURES - by FUND / DIVISION GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 240 Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Recreation & Facilities Director 0.80 0.75 0.70 0.65 0.65 Senior Recreation Supervisor 1.00 - - - - Recreation Supervisor 1.00 1.00 1.00 1.00 0.90 Recreation Coordinator - 2.00 2.00 2.00 1.85 Facility Coordinator 0.60 0.60 0.60 0.60 0.60 Office Specialist II/III 1.90 1.00 1.00 1.00 1.00 Facility Maintenance Manager 1.00 1.00 1.00 1.00 1.00 Facility Maintenance Lead 1.00 1.00 1.00 1.00 1.00 Facility Maintenance Worker I/II/III 2.00 2.00 2.00 2.00 1.00 TOTAL FTE's 9.30 9.35 9.30 9.25 8.00 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Facility Attendents 1,500 1,500 1,500 1,750 1,900 Recreation Leaders 500 500 3,335 3,300 2,004 Graphic Design Assistant - - - - 850 Student Intern - - - - 480 TOTAL ANNUAL HOURS 2,000 2,000 4,835 5,050 5,234 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff by Program Funded Funded Funded Funded Funded Recreation Services 3.65 3.90 3.85 3.85 3.55 Teen Services 0.40 0.30 0.30 0.25 0.30 Facililty Rentals 1.25 1.50 1.50 1.50 1.30 Building Maintenance 4.00 3.65 3.65 3.65 2.85 Total Recreation Staff 9.30 9.35 9.30 9.25 8.00 Staff allocations in other Department Programs Non-Departmental: Risk Management 0.20 0.25 0.30 0.30 0.30 Public Safety: Emergency Preparedness - - - 0.05 0.05 TOTALS 9.50 9.60 9.60 9.60 8.35 RECREATION & FACILITIES DEPARTMENT STAFF RECREATION & FACILITIES STAFF - by Division The Recreation Department Staff FTE schedule includes General Fund and Internal Fund programs assigned to this department. The 30% of the Recreation & Facilities Director's FTE assigned to the Risk Liability division in the Non- Departmental section, and 5% assigned to the Emergency Preparedness division in the Public Safety Department is not reflected in the department total, but is reflected in the Total Staff schedule. CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 241 RECREATION SERVICES Recreation Services plans, organizes, schedules, promotes, supervises, and evaluates over 1,200 classes and activities per year. This involves managing approximately 54 independent contractors, and offering over 9,000 hours of activities at 24 different parks and facilities, offering a City-run camp program, planning 22 excursions and trips per year, conducting monthly e-mail promotional campaigns, and publishing a quarterly (seasonal) full color recreation program Activity Guide that is mailed to all residents and non-resident users. A supplemental full color 16-page summer camp guide is also published and mailed to past participants. Recreation Services also provides an independently contracted preschool program five days a week; works cooperatively with Redwood Middle School and Saratoga High School for use of their facilities for Department programs; and provides Health and Wellness and Arts and Enrichment programs with classes, workshops, demonstrations, and activities. BUDGET OVERVIEW Notable Budget Changes  Budgeted revenues reflect a significant increase in classes and special program revenues due to the addition of new requested programs, and popular dance and yoga classes, with new instructors bringing new clientele.  Salaries & Benefits decreased slightly with a .10 FTE decrease in the Recreation Supervisor, and a .15 FTE reduction in a Recreation Coordinator. The positions are backfilled in part with temporary staffing.  Excursion costs are expected to increase with the growing base of new trips and customers The Recreation Services program has four program revenue sources to support services. FY 2015/16 revenues include a net of $105,000 in excursion fees, $575,000 from classes and special program fees, and $7,500 from advertisements in the Recreation Activity Guide. With the return of the in-house camp programs (summer, winter, and spring), the Department is also planning to generate about $42,000 in camp fee revenue. Staff is planning additional marketing to targeted populations for all programs. Ongoing expenditures in the Recreation Services budget include $305,000 for instructors, $92,000 for excursions, $3,500 for materials and supplies, $22,000 for recreation brochure printing (four full guides rather than three), $18,000 for mailing costs, $17,500 for credit card fees, $1,000 for off-site facility rentals, and $8,500 for the Recreation Department’s RecTrac system support and software upgrades. Class revenue is tied directly to the cost for instructors as each class contract identifies the proportion of class revenue the instructor receives. The remaining ongoing expenditures are minor operational expenses and internal service charges. In FY 2012/13, the Department had an opportunity to restructure, and consequently made a few changes. These changes continue to be refined, and distributions of duties to increase efficiencies are ongoing. In FY 2014/15, the Department reinstated an in-house camp program, developed and led new excursions, oversaw production of an enhanced activity guide, provided additional coverage at the Community Center, and increased marketing efforts through social media and increased visibility at special events. CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 242 RECREATION SERVICES FY 2015/16 WORKPLAN PRIORITIES Recreation Services – Recreation Department staff will enhance and promote recreation in the City of Saratoga by providing a variety of high quality, safe, affordable, and enjoyable activities that are convenient for residents. Staff plans a continuing audit and assessment of activities in FY 2015/16 to determine the community’s desire for class offerings and identify inadvertent class duplication and/or gaps in services with competing recreation providers. Fiscal Stewardship - Recreation strives to contribute to the strength of the City’s fiscal health and stability by creating a desirable environment in which independent contract instructors conduct entrepreneurial revenue- generating events, activities, and contract classes. Staff will continue to: 1) actively recruit service providers, solicit partnerships, and develop collaborations; and 2) conduct activities that serve the needs of the residents of Saratoga; and; 3) encourage economic development by providing facility space and promotional assistance to recreation service providers. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Fees, Licenses and Permits 5,777 8,725 17,799 10,200 9,837 10,100 Charge for Services 608,623 633,179 644,413 708,000 593,733 690,000 Other Sources - - - - - - TOTAL REVENUES 614,400$ 641,904$ 662,212$ 718,200$ 603,570$ 700,100$ EXPENDITURES Salaries and Benefits 441,254 441,215 435,727 490,800 444,981 488,432 Operating Expenditures Materials & Supplies 12,985 19,607 20,419 28,400 16,160 29,700 Fees & Charges 16,553 20,535 19,803 20,985 21,752 23,485 Consultant & Contract Serv 356,282 381,219 403,490 425,250 370,354 437,250 Meetings, Events & Training 102 323 1,428 5,350 2,057 5,350 Total Operating Expenditures 385,922 421,684 445,140 479,985 410,322 495,785 Fixed Assets - - - - - - Internal Service Charges 73,754 75,842 80,378 84,794 84,794 87,014 TOTAL EXPENDITURES 900,930$ 938,742$ 961,244$ 1,055,579$ 940,097$ 1,071,231$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 243 RECREATION SERVICES KEY SERVICES  Plan, organize, schedule, promote, supervise, and evaluate program classes, activities, and events for all ages  Publish recreation activity guides, fliers, brochures, etc. to market and promote recreation classes, camps, and activities  Provide approximately 1,600 classes, camps, etc. and offer 22 excursions per year  Provide an independently operated community preschool program 5 days a week  Provide Health and Fitness and Arts and Enrichment programs with age appropriate activities that build developmental assets for youth and adults that will give them life skills for the future  Collaborate with local schools and community based organizations to provide activities Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Recreation & Facilities Director 0.35 0.35 0.30 0.30 0.30 Senior Recreation Supervisor 0.90 - - - - Recreation Supervisor 0.75 0.90 0.90 0.90 0.85 Recreation Coordinator - 1.90 1.90 1.90 1.65 Facility Coordinator - - - - - Office Specialist II/III 1.65 0.75 0.75 0.75 0.75 Facility Maintenance Manager - - - - - Facility Maintenance Lead - - - - - Facility Maintenance Worker I/II/III - - - - - TOTAL FTE's 3.65 3.90 3.85 3.85 3.55 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Facility Attendents - - - - - Recreation Leaders 500 500 3,335 3,300 2,004 Graphic Design Assistant - - - - 850 Student Intern - - - - 480 TOTAL ANNUAL HOURS 500 500 3,335 3,300 3,334 RECREATION SERVICES STAFF CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 244 RECREATION SERVICES 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Offer a variety of new and ongoing recreation activities:1612 993 1190 1089 1200 b.Percentage of recreation class participants which agreed recreation activities contribute to healthy lifestyle and personal growth: 100%100%100%100%100% c.Number of Recreation Activity Guides published each year which include "Healthy Lifestyle" educational information: 3 3 4 4 4 2. a.Number of independent instructors providing quality recreation activities: 79 60 55 60 60 b.Percentage of Saratoga "households" using online registration software to register for recreation activites: 18%19%22%33%38% c.Percentage of recreation class participants which agreed activities met or exceeded expectations:100%100%100%89%94% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.Information not available 6,561 7,107 8,900 9,200 2.Information not available 5,121 5,675 7,000 7,350 3.909 950 896 1,250 1,400 Number of recreation activity hours offered: Number of online regestrations: Promote healthy lifestyles and personal growth through organized recreation activities. Partner with the community to improve the quality of life for children, teens, adults, and families. Number of participant registrations: CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 245 TEEN SERVICES Staff assigned to Teen Services manage the Youth Commission program the City Council re-established in 1988 to play a key role in all City-sponsored programs for Teens in Saratoga. The Youth Commission is an 11 member commission with a focus to enhance the well-being of local youth, offer positive influences to teens, and provide opportunities for youth involvement in the community. The Commission is comprised of middle and high school students appointed by the City Council for two-year terms, with the commissioners serving as teen leaders, communicating with the City Council on current youth issues, and planning, promoting, and participating in community events, fundraisers, social, and educational activities. Staff members oversee and guide all these activities. Teen Services staff and the Youth Commission work together to: sponsor teen-oriented activities; administer the Youth Commission training; and sponsor three to four special events each year. Teen Services also provides supervision and oversight of teen volunteer opportunities. The goal of the Teen Services program is to provide education, community involvement, and recreation opportunities for all teens in Saratoga, regardless of school or district. The connection with the Youth Commission helps to provide an opportunity and training ground for teens to serve as positive role models in the community: to encourage teens throughout the City to become active, contributing citizens; and, to function as a training camp for future community leaders by developing the youth’s leadership skills. BUDGET OVERVIEW Notable Budget Changes  $1,900 of additional funding is provided for the Teen’s program supplies for fund raising events. Revenue from for the Teen Services program is minimal, coming from a few Youth Commission generated programs and activities. The Teen Services program duties are primarily limited to overseeing the Youth Commission and providing leadership training to the commissioners. Operating expenditures are minimal, however with Council’s request that Youth Commission members attend community events, funding for materials, supplies, and printing increased for FY 2015/16. In addition to these program’s expenditures, another $3,000 for the Commission’s activities related to community events are funded in the Youth Commission’s budget. CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 246 TEEN SERVICES FY 2015/16 WORKPLAN PRIORITIES Leadership Training – Teen Services will oversee the Youth Commission’s participation in the annual CPRS District IV YAC Attack (Youth Advisory Conference) and collaborate with the neighboring Cupertino, Monte Sereno and Los Gatos’ Youth Commissions during FY 2015/16 in sponsoring special events for local teens, building developmental assets and providing leadership training and opportunities for teens and youth in Saratoga. Community Outreach – Teen Services will increase efforts to reach out to young Saratogans; to bring a wider representation of schools to Youth Commission sponsored events (e.g. Walk One Week), provide information about the Commission while participating in downtown events such as St. Paddy’s Day, Tree Lighting Ceremony, Witchy Walk-a-Bout, and to partner with the community to provide opportunities for teens and youth to become more involved and connected with their hometown. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Charge for Services 2,698 1,581 701 5,000 1,475 3,200 Other Sources 60 45 81 - 25 - TOTAL REVENUES 2,758$ 1,626$ 782$ 5,000$ 1,500$ 3,200$ EXPENDITURES Salaries and Benefits 56,791 57,261 45,437 35,546 33,939 37,072 Operating Expenditures Materials & Supplies 156 306 1,078 1,825 1,893 3,700 Fees & Charges 7 78 78 100 104 100 Consultant & Contract Serv - - - 150 - 150 Meetings, Events & Training - - - - - - Total Operating Expenditures 163 384 1,156 2,075$ 1,997$ 3,950$ Internal Service Charges 10,905 10,310 11,243 11,138 11,137 11,893 TOTAL EXPENDITURES 67,859$ 67,955$ 57,836$ 48,759$ 47,073$ 52,915$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 247 TEEN SERVICES KEY SERVICES  Provide activities and special events for pre-teens and teens in the community  Provide opportunities and a “training ground” for teens to learn leadership skills and become contributing citizens to the community  Liaison with Youth Commission to communicate the interests of the youth population to the City  Build the developmental assets of the youth of Saratoga through ongoing evaluations and assessments of the needs of local teens to determine new programming  Provide supervision and oversight of teen volunteer opportunities Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Recreation & Facilities Director 0.10 0.10 0.10 0.05 0.05 Senior Recreation Supervisor 0.05 - - - - Recreation Supervisor 0.25 0.10 0.10 0.10 0.05 Recreation Coordinator - 0.10 0.10 0.10 0.20 Facility Coordinator - - - - - Office Specialist II/III - - - - - Facility Maintenance Manager - - - - - Facility Maintenance Lead - - - - - Facility Maintenance Worker I/II/III - - - - - TOTAL FTE's 0.40 0.30 0.30 0.25 0.30 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Facility Attendents - - - - - Recreation Leaders - - - - - TOTAL ANNUAL HOURS - - - - - TEEN SERVICES STAFF CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 248 TEEN SERVICES 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Percentage of time Recreation staff member attends Youth Commission meetings: 100%100%100%100%100% b.Percentage of teens in satisfaction survey which agree recreation activities met or exceeded expectations in improving quality of life: 100%100%100%100%100% c.Provide teen volunteer opportunity hours:700 700 1,000 2,760 3,300 2. a.Percentage of teens participating in satisfaction survey which agreed recreational activities contributed to healthy lifestyle and personal growth: 100%100%100%100%100% b.Practice and contribute to "Developmental Assets" for teens as measured by survey: 100%100%100%100%100% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.700 700 1,100 3,000 3,350 2.14 11 19 27 30 Partner with the community to improve the quality of life for teens. Promote healthy lifestyles and personal growth through organized recreation activities. Number of teen-age volunteer service hours offered: Number of teen-age volunteers supervised: CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 249 FACILITY RENTALS The Facility Rentals program makes available City facilities for private individuals, non-profit, or for-profit-based groups to use for receptions, parties, events, meetings, workshops, or other community activities. The Facility Rental program reflects only those revenues and expenditures related to the cost of renting and making available City facilities. BUDGET OVERVIEW Notable Budget Changes:  Revenues increased by approximately $120,000 with the shift of the Sport User Group contract fees to Facility Rentals, and $12,000 of total projected increases from the City’s other rental facilities.  Operational expenditures increased by $40,000 for the Prospect High School field rental fees  Internal Service Fund charges increased by $35,000 due to increases in Facility Maintenance charges and the new allocation for Facility FFE Replacement Fund. Facility Rental Program revenues are expected to bring in about $108,000 for Community Center rentals, another $3,800 for Senior Center rentals, and $6,500 for the Warner Hutton House. The Civic Center Theater will bring in approximately $55,000 and the Saratoga Prospect Center buildings another $93,000. Revenue projections for the Saratoga Prospect Center reflect an expected increase in income after the Friendship Hall building has become increasingly more recognized for its rental potential, particularly for dances. Plot rentals at the Community Garden at El Quito Park are expected to bring in another $3,800, and day-use rentals from the City’s parks (exclusive of sport user agreements) will bring in around $17,500 over the year. In fiscal 2015/16, rental fees for the use of the Sports Fields will transfer to the Facility Rental (Recreation) Department and total $115,000. Expenditures for this program reflect staffing by the Facility Coordinator, whose function is to market and rent the facilities; portions of other Recreation & Facilities Department staff to assist with oversight and facility duties; and temporary facility attendant staff for overseeing use of the facilities during evening and weekend events. Over time, temporary staffing expenses are anticipated to increase as the need for facility attendants to supervise rental activities at the Saratoga Prospect Center increases. Direct costs for this program are minimal, with $8,850 budgeted for operational supplies. The program’s largest expense is for internal service charges as Facility Rentals accounts for a large percentage of building maintenance and facility furniture, fixture, and equipment replacement expenses. FY 2015/16 will see a significant increase in these service charges as building maintenance costs are expected to increase by over $50,000 citywide. The remainder of ongoing costs are expected to grow minimally in future years. CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 250 FACILITY RENTALS FY 2015/16 WORKPLAN PRIORITIES Environmental Sustainability – The Facility Rental division will continue implementing environmental best practices to promote sustainability, educating and encouraging all users to follow existing green building practices for facility and park rentals. Facility Rentals - Recreation & Facilities Department staff will provide high quality, safe, affordable, clean, and enjoyable facilities that are convenient to residents for meetings, parties, receptions, and gatherings in a safe, sustainable, and cost effective manner. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Rental Income 235,579 232,236 247,604 269,950 300,567 402,600 Pass-Through Accounts - - - - - - TOTAL REVENUES 235,579$ 232,236$ 247,604$ 269,950$ 300,567$ 402,600$ EXPENDITURES Salaries and Benefits 147,709 149,427 186,732 204,152 183,722 189,289 Operating Expenditures Materials & Supplies 1,093 2,684 5,609 5,325 2,566 5,550 Fees & Charges 7 342 523 200 165 40,300 Consultant & Contract Serv - 1,115 - 2,500 477 2,500 Meetings, Events & Training 300 55 - 500 63 500 Total Operating Expenditures 1,400 4,196 6,132 8,525 3,271 48,850 Internal Service Charges 151,599 158,173 171,334 189,263 189,263 224,662 TOTAL EXPENDITURES 300,708$ 311,796$ 364,197$ 401,940$ 376,256$ 462,801$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 251 FACILITY RENTALS KEY SERVICES  Provide safe, pleasant, and clean facilities for use by the general public  Provide safe, pleasant, and clean facilities for use for key City services (e.g. meetings)  Support tenant needs in the leased buildings  Enforce environmentally friendly purchasing and sustainability policies  Provide safe and affordable venues for community use at the Saratoga Community Center, Civic Theater, Senior Center, and Prospect Center facilities Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Recreation & Facilities Director 0.10 0.05 0.05 0.05 0.05 Senior Recreation Supervisor 0.05 - - - - Recreation Supervisor - - - - - Recreation Coordinator - - - - - Facility Coordinator 0.60 0.60 0.60 0.60 0.60 Office Specialist II/III 0.25 0.25 0.25 0.25 0.25 Facility Maintenance Manager - 0.10 0.10 0.10 0.10 Facility Maintenance Lead 0.10 0.10 0.10 0.10 0.10 Facility Maintenance Worker I/II/III 0.15 0.40 0.40 0.40 0.20 TOTAL FTE's 1.25 1.50 1.50 1.50 1.30 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Facility Attendents 1,500 1,500 1,500 1,750 1,900 Recreation Leaders - - - - - TOTAL ANNUAL HOURS 1,500 1,500 1,500 1,750 1,900 FACILITY RENTALS STAFF CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 252 FACILITY RENTALS 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.According to facility rental survey, the percentage of visitors who felt their visit to the facility was clean, comfortable, and safe: 100%100%100%100%100% b.Percentage of customers which agreed facilities met or exceeded expectations: 100%100%100%100%100% 2. a.Percentage of surveyed visitors which agreed the facility was clean, comfortable, and safe: 100%100%100%100%100% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.394 572 725 800 915 2.8,322 13,250 16,900 18,000 21,000 3.$420 $198 $197 $200 $260 Provide safe, functional, and attractive City buildings for community use and enjoyment of the public. Provide safe, functional, and attractive City buildings for the provision of City services. Number of facility rental applications processed: Number of fee-based and no-charge (for City meetings, events, etc.) facility rental hours for public use: Average dollars per receipt: CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 253 FACILITY MAINTENANCE FUND Facility Maintenance provides services to ensure City facilities are clean, safe and functional for the general public and employee use. This program is a citywide support function for custodial, maintenance, repair services, and building improvements for all facilities at the Civic Center, Prospect Center, and Museum Park, and supports the needs of the tenants of City leased buildings as defined in lease agreements (e.g. Senior Center). Facility Maintenance staff plans, schedules, and manages minor and major building facility maintenance, repair, and improvement projects. The Facility Maintenance staff ensures the City’s facilities are in a clean, safe, and usable condition at all times for employees and the general public. Custodial services such as vacuuming, trash removal, window washing, restroom cleaning, carpet cleaning, and floor stripping and sealing, are all on a regular schedule. Regular preventative maintenance services are also on a schedule, which include items such as painting, roof maintenance, pest control, emergency generator testing and upkeep, HVAC, and alarm servicing. Other maintenance repair services such as electrical and plumbing repairs are contractually provided on an as needed basis. The Facility Maintenance program monitors citywide facility expenses such as water, sewer, electricity and natural gas utilities, maintenance, and janitorial supplies. City departments are charged an allocated amount to recognize the cost associated with the custodial and building maintenance to more fully account for operational expenses associated with providing these services. BUDGET OVERVIEW Notable Budget Changes:  Salaries & Benefits decreased by leaving a Facility Worker vacant, however outsourced janitorial services have increased the operating budget. The vacant position will be reviewed for possible reinstatement next fiscal year.  Internal Service Fund chargebacks increased by $25,000 to offset operational increases . With the implementation of Internal Service Funds with the FY 2007/08 budget, the Facility Maintenance program incorporated staffing and expenses associated with facility custodial and maintenance services, and the revenues earned from charging back to the departments into one cost program. With eight years of history-based data on the actual expenses, minor revisions are included in the FY 2015/16 budget to better reflect actual amounts. The Internal Service Fund charge-backs were increased this fiscal year due to ongoing facility maintenance increases from aging facilities, increases in usage, and service cost increases. Program expenditures include ongoing facility supplies, utility and janitorial expenses, and contract services for maintenance and repairs. For example, the addition of the Saratoga Prospect Center buildings in FY 2010/11 resulted in increased usage, thereby significantly increasing supplies and maintenance costs. Continued efforts to “go green” are also reflected in the costs of maintenance supplies and equipment, as biodegradable supplies often are more expensive. CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 254 FACILITY MAINTENANCE FUND 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted SOURCE OF FUNDS Beginning Fund Balance Unassigned 208,518 200,926 184,901 199,869 199,869 268,326 Total Beginning Fund Balance 208,518$ 200,926$ 184,901$ 199,869$ 199,869$ 268,326$ Revenues Other Sources - 5,858 7,474 - 7,299 - Internal Service Charges 725,000 749,999 825,000 875,000 875,000 900,000 Total Revenues 725,000$ 755,857$ 832,474$ 875,000$ 882,299$ 900,000$ Operating Transfers In Transfer In from General Fund - - - - - - Total Operating Transfers In -$ -$ -$ -$ -$ -$ TOTAL SOURCE OF FUNDS 933,518$ 956,782$ 1,017,375$ 1,074,869$ 1,082,168$ 1,168,326$ USE OF FUNDS Expenditures Salaries and Benefits 441,563 450,377 481,910 484,952 458,354 417,699 Operating Expenditures Materials & Supplies 37,101 37,040 40,244 44,450 44,803 52,550 Fees & Charges 116,827 123,050 130,680 134,750 144,549 145,000 Consultant & Contract Serv 72,703 89,274 87,809 107,500 82,790 160,000 Meetings, Events & Training 32 54 298 1,000 800 1,000 Internal Service Charges 64,365 72,087 76,565 82,546 82,546 103,380 Total Expenditures 732,592$ 771,882$ 817,506$ 855,198$ 813,842$ 879,629$ Ending Fund Balance Unassigned 200,926 184,901 199,869 219,671 268,326 288,697 Total Ending Fund Balance 200,926$ 184,901$ 199,869$ 219,671$ 268,326$ 288,697$ TOTAL USE OF FUNDS 933,518$ 956,782$ 1,017,375$ 1,074,869$ 1,082,168$ 1,168,326$ SOURCE & USE OF FUNDS CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 255 FACILITY MAINTENANCE FUND FY 2015/16 WORKPLAN PRIORITIES Facility and Infrastructure Project Management – Facility staff will oversee services to undertake planned facility improvement projects to ensure City facilities are clean, safe, and maintained according to best practices, such as installing a new facility access control system (door lock system) at Saratoga Prospect Center; as well as perform emergency repairs and improvements, and replace the aging rooftop ductwork and boiler system at the Civic Theater/Council Chambers. Environmental Sustainability - Staff will continue ongoing energy savings projects such as installing energy saving HVAC, a cool roof system over the Community Center, and appliances that follow environmentally friendly purchasing policies, sustainability and green building practices. New double pane windows will be installed on the north side of the City Hall building, further increasing energy conservation. KEY SERVICES  Provide buildings that are clean, safe, and usable for the general public and City employees  Follow environmentally friendly purchasing policies, sustainability, and green building practices  Maintain facilities on a regular schedule to provide efficient and cost effective maintenance Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Recreation & Facilities Director 0.25 0.25 0.25 0.25 0.25 Senior Recreation Supervisor - - - - - Recreation Supervisor - - - - - Recreation Coordinator - - - - - Facility Coordinator - - - - - Office Specialist II/III - - - - - Facility Maintenance Manager 1.00 0.90 0.90 0.90 0.90 Facility Maintenance Lead 0.90 0.90 0.90 0.90 0.90 Facility Maintenance Worker I/II/III 1.85 1.60 1.60 1.60 0.80 TOTAL FTE's 4.00 3.65 3.65 3.65 2.85 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded Facility Attendents - - - - - Recreation Leaders - - - - - TOTAL ANNUAL HOURS - - - - - FACILITY MAINTENANCE STAFF CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 256 FACILITY MAINTENANCE FUND 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Percentage of surveyed visitors who agreed the facilities are clean, comfortable, and safe: 95%100%100%100%100% 2. a.Quarterly preventative maintenance of all City HVAC systems: 100%100%100%100%100% b.Six-days per week cleaning of all City facilities including emptying trash, vacuuming, mopping, and cleaning windows, etc.: 100%100%100%100%100% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.3,270 3,586 3,400 3,400 3,375 2 6 6 10 10 10 3 3 3 4 4 4 4 48 48 48 48 48 Provide safe, functional, and attractive City buildings for the enjoyment of the public and to house the provision of City services. Provide safe and functional, City buildings using environmentally sensitive and cost-effective practices. Number of work orders completed Setup and takedown of Council Chamber dias Maintain AED units on a monthly basis Refinish wood floors annually CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 257 FACILITY FURNITURE, FIXTURES & EQUIPMENT REPLACEMENT FUND The Facility FFE Replacement Internal Service Fund (ISF) was added in FY 2015/16 in recognition that the replacement of facility components is ongoing, and should be treated similarly to Technology Equipment or Vehicles, or even a private business that has to replace furniture or equipment over the years, or pay Triple Net charges in a commercial property rental. The use of a steady annual charge helps to smooth the irregular cost and timing of large facility equipment purchases over the years, as well as provide a more accurate cost of operations on an ongoing basis – similar to asset depreciation. The replacement fund requires an annual charge to the appropriate operational programs based on a program’s share of asset use, the asset’s estimated life span, and the estimated replacement cost. These costs are allocated out to the General Fund’s Facility Rental and Non-Departmental Programs, and to the Internal Service Fund’s Building Maintenance Program. The two direct General Fund allocations are in recognition of the program’s functions – Facility Rental charges are related to rent producing assets, and Non-Departmental charges are for general city-wide use that is not specific to City services. The ISF Building Maintenance program receives an allocation that is subsequently reallocated out to the General Fund operational programs through the Building Maintenance allocation. Initially, furniture, fixtures, and equipment are purchased through a requesting department’s budget, or as part of a capital project. If the Facility asset will be replaced on an ongoing basis, the new equipment is added to the department’s replacement schedule list, and replacement charges would be adjusted for outgoing years. The Replacement Fund’s annual charges accumulate over time to fund the replacement of items at the end of their life cycle. Facility replacements include building equipment such as heating and cooling units, or furniture or facility equipment like audio/visual systems, or all those attachable assets that make a building useful to its occupants, such as carpeting, windows, plumbing and electrical fixtures. BUDGET OVERVIEW Notable Budget Changes:  FY 2015/16 is the first year the Internal Service Fund is budgeted.  Chargebacks are set at $200,000 per year, and budgeted scheduled replacement costs are $169,000. The Internal Service Fund charge-backs were set at $200,000 as this funding level will provide adequate resources to purchase and replace facility assets as needed for a number of years. The long term replacement plan shows that the chargeback fee will fund identified assets for many years into the future, but will be reassessed each year to include re-assessed replacement cost values, or newly identified and added assets. At this point, the chargeback fee appears to be sufficient for the next twenty years. Replacement funding is programmed to be utilized in FY 2015/16 for: new carpeting and partitions in the Administrative Services Department area, replacement of gas furnaces in the Public Works wing of City Hall, facility furnishings upgrades at the Prospect Center Friendship Hall, new carpeting in the Community Center hallways and offices, a new oven in the Community Center kitchen, an HD sound and projection system in the multi-purpose room at the Community Center, new carpeting in the hallways of the Senior Center, and new flooring at the Book-Go-Round building. CITY OF SARATOGA RECREATION & FACILITIES DEPARTMENT 258 FACILITY FFE REPLACEMENT FUND KEY SERVICES  Accumulate and provide annual funding for asset replacements  Assess furniture, fixtures, and equipment for proper replacement timing  Identify and procure best solution equipment 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted SOURCE OF FUNDS Beginning Fund Balance Unassigned - - - - - - Total Beginning Fund Balance -$ -$ -$ -$ -$ -$ Revenues Other Sources - - - - - - Internal Service Charges - - - - - 200,000 Total Revenues -$ -$ -$ -$ -$ 200,000$ Operating Transfers In Transfer In from General Fund - - - - - - Total Operating Transfers In -$ -$ -$ -$ -$ -$ TOTAL SOURCE OF FUNDS -$ -$ -$ -$ -$ 200,000$ USE OF FUNDS Expenditures Fixed Assets - - - - - 169,000 Internal Service Charges - - - - - - Total Expenditures -$ -$ -$ -$ -$ 169,000$ Ending Fund Balance Unassigned - - - - - 31,000 Total Ending Fund Balance -$ -$ -$ -$ -$ 31,000$ TOTAL USE OF FUNDS -$ -$ -$ -$ -$ 200,000$ SOURCE & USE OF FUNDS CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 259 PUBLIC SAFETY DEPARTMENT The Public Safety Department is comprised of two safety-oriented programs: the Public Safety Services Program, which focuses on providing day-to-day law enforcement services; and the Emergency Preparedness Program, which prepares the City for infrequent large-scale disaster and emergency occurrences. The Public Safety Department represents multiple external agencies that protect the community and provide emergency response as needed. The City of Saratoga contracts for law enforcement services with the Santa Clara County Sheriff’s Office. This includes managerial and administrative support and the Cal-ID program services located in the West Valley sub-station, and assigned deputies dedicated to the cities of Saratoga, Cupertino, and the Town of Los Altos Hills. The West Valley Division’s captain represents the Chief of Police for all three cities. Animal control services are provided on contract by the City of San Jose Animal Care and Services Division (SJACS). Fire protection services are provided to Saratoga residents by Santa Clara County Fire District (SCCFD) as a separately funded district. As part of their emergency services oversight function, SCCFD also provides the cities with dedicated staff for coordinating city-based emergency response services. Saratoga is a member of the Silicon Valley Regional Interoperability Authority. This task force has undertaken the mission to design and implement a comprehensive countywide public safety radio communications system, to improve countywide communication systems. As in past years, the funding formula calls for Saratoga to be billed directly in FY 2015/16. In subsequent fiscal years it is anticipated that the City will be charged through the Sheriff’s Office contract as operational services migrate from a jurisdiction basis to a user fee basis. The Emergency Preparedness Program provides funding for operational costs associated with preparing city and community emergency response efforts in the event of a significant earthquake, fire, or other natural or man-made disasters and coordinates with emergency services agencies and utilities to prepare residents for self-sufficiency and proper response to emergency events. To this end, the City plans and trains for various situations in the effort to employ best practices; determine outstanding needs; create awareness; and educate City staff about their emergency response duties. The Emergency Preparedness Program is supported by SCCFD personnel who: develop the City’s Emergency Operations Plan and checklists; assist with the formation of an Emergency Operations Center (EOC); and train City staff and the community in Emergency Preparedness via the planning and supervision of drills and exercises. The City Council has identified the maintenance of basic Public Safety as their number one service priority. This includes traffic, patrol, and general law enforcement, and educating the community on crime prevention, traffic safety, and emergency response. The Public Safety Services Program supports the Council’s priorities through the Sheriff’s Office contract, and for Emergency Preparedness through programs in coordination with the Santa Clara County Fire Department and Office of Emergency Services. As external agencies provide the operational and managerial staffing for these Public Safety programs, city staff assignments are limited to emergency preparation and cost recovery planning efforts. DEPARTMENT OBJECTIVES Council Strategic Goal: Public Safety: Provide for a safe and secure community. Department Objectives:  Preservation of life and property: Ensure effective enforcement of regulations, codes and law in order to maintain a safe and secure community CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 260  Crime Prevention: Build relationships and engage community participation in crime prevention awareness, and implement crime prevention programs  Emergency Preparedness: Prepare and maintain Emergency Operations Plans; develop staff and community’s emergency awareness and readiness; and ensure inter-agency/multi-agency coordination and preparedness DEPARTMENT BUDGET SUMMARY The Public Safety Department’s Budget consists of two program divisions, Public Safety Services and Emergency Preparedness. The two division’s operational functions are primarily staffed by external agencies under a contract service arrangement. In past years, City staff was not assigned to this department. However, with the need to prepare for cost recovery efforts, .05 FTE of the Risk Manager is now allocated to the Emergency Preparedness program. Departmental revenues are primarily related to Sheriff Services. This includes funding from Public Safety Tax, the annual SLESF/COPS Grant, Vehicle Abatement Fees, Vehicle Code Bail & Fines, Parking Citations, and False Alarm Fines. The Sheriff’s contract is structured to bill the City monthly based on an annual estimate. At year end, service costs are reconciled to determine actual costs and the Sheriff’s Office issues the City a reimbursement if expenditures are less than the estimated annual fee. As this refund amount is undeterminable, the City does not include a revenue projection in the budget. Additional Public Safety revenue is received from the San Jose Animal Control Services for fees collected from Saratoga residents for licensing fees, impound, quarantine, and boarding fees. Emergency Preparedness program revenues are limited to grant reimbursements, which in recent years was limited to FEMA’s 50 percent reimbursable EMPG grants. As of FY 2014/15, the County decided to retain the grant for County directed uses, meaning the City’s Emergency Preparedness program is now 100 percent General Fund supported. Public Safety Service expenditures consist mainly of administrative fees and contract service charges for Sheriff Services, Cal-ID, and the San Jose Animal Services contract. The Sheriff Services expenditure is the only area of significant budget growth from year to year. Emergency Preparedness expenditures are typically stable from year to year however over the last few years the reinstatement of the EPMG grant in FY 2012/13, and then the elimination two years later caused some fluctuation. In FY 2014/15, a small amount of staff support was added to address Cost Recovery preparations. FY 2015/16 expenses are anticipated to remain close to the prior year’s level. CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 261 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Intergovernmental Revenues 209,955 186,507 244,766 227,500 252,077 230,000 Charge for Services 16,687 23,270 22,051 17,500 21,011 20,000 Other Sources 467,487 472,776 180,207 160,525 187,508 136,025 TOTAL REVENUES 694,129$ 682,552$ 447,024$ 405,525$ 460,596$ 386,025$ EXPENDITURES Salaries and Benefits - - - 12,884 12,853 12,966 Operating Expenditures Materials & Supplies 14,400 16,262 31,150 41,000 12,144 14,500 Fees & Charges 36,659 39,422 42,534 45,634 39,523 43,334 Consultants & Contract Services 4,237,249 4,325,820 4,407,188 4,781,204 4,789,188 5,153,244 Meetings, Events & Training 209 140 111 300 90 300 Total Operating Expenditures 4,288,517 4,381,644 4,480,983 4,868,138 4,840,946 5,211,378 Fixed Assets 11,336 - - - - - Internal Service Charges 10,260 10,200 10,401 5,580 5,580 6,087 TOTAL EXPENDITURES 4,310,113$ 4,391,844$ 4,491,384$ 4,886,602$ 4,859,379$ 5,230,431$ 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted GENERAL FUND Public Safety Services 4,241,260$ 4,328,818$ 4,411,156$ 4,786,304$ 4,792,104$ 5,158,994$ Emergency Preparedness 68,854 63,026 80,227 100,298 67,275 71,437 GENERAL FUND PROGRAMS 4,310,113$ 4,391,844$ 4,491,384$ 4,886,602$ 4,859,379$ 5,230,431$ GENERAL FUND REVENUES AND EXPENDITURES DEPARTMENTAL EXPENDITURES BY DIVISION / PROGRAM CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 262 Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Risk Manager - - - 0.05 0.05 Total FTE's - - - 0.05 0.05 TOTAL FTE's 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff by Program Funded Funded Funded Funded Funded Public Safety - - - - - Emergency Preparedness - - - 0.05 0.05 TOTALS - - - 0.05 0.05 NOTE The Risk Manager FTE in FY 2014/15 shown in the schedule above is staffed by the Recreation & Facilities Director, and accounted for in the Recreation & Facilities Department in the Total FTE summary as the Public Safety Department is primarily an external services department. PUBLIC SAFETY DEPARTMENT STAFF PUBLIC SAFETY STAFF - by Division CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 263 PUBLIC SAFETY SERVICES Since the City’s incorporation in 1956, the City has contracted for public safety services with the Santa Clara County Sheriff’s Office rather than employ in-house police services. The City has found this option to be very satisfactory as the Sheriff’s department provides services and competencies associated with a large police department without the full large-city expense. This is evidenced by the City being lauded as “the safest city in California” in 2013, and the “12th safest city in the nation” in 2014. The current contract with the Sheriff’s Office provides basic patrol, traffic, and law enforcement services. Over the years, services have increased and decreased, based on need and funding availability. After a slowing of the economy in 2004, and the State’s borrowing of City Property Taxes, traffic enforcement hours had to be reduced in FY 2005/06. The passage of AB 117 in late 2006 allowed a return of slightly more than 1% of the City’s property tax revenues to the City, thereby alleviating some of the fiscal cutbacks. Council augmented the Sheriff’s contract by adding a school resource officer and increasing patrol service hours and added 200 hours of Investigative hours in FY 2009/10. Due to severe economic limitations in FY 2011/12, patrol hours were again reduced, however with the recent economic turnaround, Council added an additional 1800 hours for traffic enforcement beginning with the FY 2014/15 budget. These additional hours will focus on heavy traffic times and locations, during morning drop-off and afternoon pick-up at school locations. As a result of the additional traffic enforcement deputy, the number of moving violation citations increased in the school zones. The deputy also held several meetings with both school and city staff to promote traffic safety awareness that led to a significant decrease in property and injury collisions. The City also contracts with San Jose Animal Care and Services Division (SJACS) for animal related services, including: the pick-up of stray, injured, or dead animals; complaint investigations; shelter for abandoned, impounded, lost, or stray animals; quarantine and testing of animals; medical services; and licensing of animals. BUDGET OVERVIEW Notable Budget Changes  The FY 2015/16 budgeted amount for the Sheriff contract reflects a $373,000 increase from the prior year due to retroactive and current year wage increases. While General Fund revenue is the primary funding source for Public Safety, designated revenue is received from two statewide funding sources and several operational revenues. The Supplemental Law Enforcement Services Fund (SLESF) provides the City with a $100,000 grant to be used for the enhancement of public safety services. Under the Governor’s FY 2011/12 State Budget, SLESF funding was initially eliminated, however through a swap in which the State took the City’s VLF revenues in exchange; SLESF was “permanently” reinstated. The SLESF grant funding is specifically targeted to fund the School Resource Officer position. Another $115,000 is expected from an allocated share of the State’s Public Safety Sales Tax (Proposition 172). Budgeted revenues for False Alarm Fines, Vehicle Code Bails and Fines, and Parking Citations are expected to bring in approximately $136,000 for the year. San Jose Animal Control Agency’s charges to Saratoga residents for boarding, licenses, and fines will result in $20,000 of revenue to Saratoga. In recent years, the Vehicle Code Bail & Fines Revenue has declined due to higher admin fees and reductions in citations. An increase in the number of property crimes has redirected patrol deputies to focus more on burglary suppression and apprehension of suspects, which has impacted the overall number of parking and moving violation citations. The City’s contract for Public Safety services with the Santa Clara County Sheriff’s Office calls for annual increases based on the lesser of either compensation increases, or CPI plus 2% for each individual year, with the increase in CalPERS rates added on to this wage increase. In FY 2014/15, the cost of law enforcement services increased by CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 264 $498,000 due to both added patrol hours and a retroactive and current year wage increases under a new Deputy Sheriff negotiated agreement. Sheriff services are expected to increase another $262,000 in FY 2015/16 due to negotiated wage realignments and cost of living increases, up to the CPI cap of 4.561%. The remaining budgeted Public Safety expenditures include minor operational costs for data ticket forms and supplies, and administrative fees for parking tickets. The Cal-ID program, run by the Santa Clara County’s Sheriff’s Office, provides fingerprint identification services as part of the contracted services. Additional budget appropriations in the Public Safety Program support animal related services through a contract with the City of San Jose. The Animal Control Services contract became effective on July 1, 2004 with an initial annual fee of $155,000 for the first three years. The contract states the fee is to increase every third year based on a formula using the lesser of either 1) the total of the Urban Wages and Clerical Workers for the San Francisco- Oakland-San Jose CPI increases for each of the prior three years plus 1.5% per year, or 2) the total of the rise in San Jose Animal Control Officers for the prior three years. The contract’s third three year rate increase was effective July 1, 2013. With the City of San Jose’s pension and salary reform over the last few years, the total comp growth of 2% was the lower of the contract increase factors. The new annual rate effective for fiscal years 2013/14, 2014/15 and 2015/16 is set at $180,164. City staffing costs are not included in this program as all operational and managerial duties are performed either by Santa Clara County Sheriff’s Office, City of San Jose Police, or Animal Care & Services Division staff. The City of Saratoga is limited to oversight and coordination functions only. CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 265 PUBLIC SAFETY SERVICES FY 2015/16 WORKPLAN PRIORITIES Traffic Enforcement – The additional patrol hours added in FY 2014/15 will continue to drive traffic enforcement efforts near Saratoga schools during the school year, in the effort to ease congestion and promote traffic calming. Deputies will also continue responding to and investigating vehicle accidents on both public and private property including “off street parking facilities” when requested by a driver or when injuries are involved. School Resource Officer – SRO Deputy will continue regular presence on school campuses and amongst the students. The SRO will maintain continuous communication with school administration and staff, and will provide educational services and programs for students that meet their needs and expectations, as well as liaison for law enforcement services as needed. Speed Law Violation Reduction Program – Participate in and maintain relationships with the Traffic Safety Commission, and to identify the most effective locations to deploy the City’s radar trailers with the goal of educating motorists of the speed limits on some of the City’s more problematic locations where drivers have a propensity to speed. The combination of education and enforcement is intended to reduce the amount of speed violators within the City of Saratoga. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Intergovernmental Revenues 200,255 185,660 232,490 215,000 252,057 230,000 Charge for Services 16,687 23,270 22,051 17,500 21,011 20,000 Other Sources 467,487 472,776 180,207 160,525 187,508 136,025 TOTAL REVENUES 684,430$ 681,706$ 434,748$ 393,025$ 460,576$ 386,025$ EXPENDITURES Operating Expenditures Fees & Charges 4,011 2,998 3,968 5,100 2,915 5,750 Consultants & Contract Services 4,237,249 4,325,820 4,407,188 4,781,204 4,789,188 5,153,244 Total Operating Expenditures 4,241,260 4,328,818 4,411,156 4,786,304 4,792,104 5,158,994 Internal Service Charges - - - - - - TOTAL EXPENDITURES 4,241,260$ 4,328,818$ 4,411,156$ 4,786,304$ 4,792,104$ 5,158,994$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 266 PUBLIC SAFETY SERVICES KEY SERVICES  Law enforcement services including: traffic management; patrol and code enforcement; and response to calls for service and traffic incidents  Public education and participation in community, school, and neighborhood groups  Crime prevention, deputy response, investigation, resolution of criminal cases, and subsequent participation in the prosecution of offenders  Records management functions including processing deputy reports and citations, criminal and traffic warrants, and fingerprinting services  Coordination of Emergency Response activities with the SCC Fire District and City staff Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Risk Manager - - - - - TOTAL FTE's - - - - - 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded - - - - - - - - - - TOTAL ANNUAL HOURS - - - - - PUBLIC SAFETY SERVICES STAFF CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 267 PUBLIC SAFETY SERVICES 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Priority I calls (serious emergency and public hazard):58 40 48 48 48 b.Priority II calls ( immediate response, but non-emergency):2,858 2,718 2,505 2,695 2,700 c.Priority III calls (non-emergency):1,925 1,826 2,234 1,995 2,000 2. a.Average response to Priority I calls for service:3.98 min 5.41 min 5.71 min 6.00 min 6.00 min b.Average response to Priority II calls for service:7.15 min 6.90 min 6.83 min 10.00 min 10.00 min c.Average response to Priority III calls for service:10.48 min 10.82 min 11.97 min 20.00 min 20.00 min 3. a.Prepare and provide city staff with weekly reports of crime activity in the city: 100%100%100%100%100% b.Provide community with crime prevention tips and weekly reports on city website: 100%100%100%100%100% c. Educate residents through participation in community events and Neighborhood Watch meetings: 18 18 18 20 20 4. a.Processing of criminal reports:3 days 3 days 3 days 3 days 3 days b.Processing of collision reports for involved parties:7 days 7 days 7 days 7 days 7 days c.Processing of collision reports for insurance companies:7 days 7 days 7 days 7 days 7 days 5. a. Number of Emergency Operation Plan trainings, drills, or activies to enhance Emergency Preparedness skills: Information not available 1 2 1 1 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.11,200 10,804 10,006 10,670 10,650 2.1,050 1,106 1,018 1,058 1,050 3.250 230 191 225 200 4.950 1,064 950 971 975 5.2,100 2,175 2,050 2,110 2,110 Radio calls for service received in the city: Total number of crime reports taken: Total number of collision reports taken: Total number of cases assigned to Detectives: Develop Sheriff's Office Emergency Preparedness to provide public safety leadership in the event of emergency situations. Total number of cases filed with the DA for prosecution: Provide Public Safety service response in a timely, professional manner. Meet or exceed service goals. Promote Crime Prevention awareness and educate community in the protection of their neighborhood and property. Ensure Sheriff's Office responsiveness to community needs by documenting and providing response turnaround time to responsible parties. For effective protection of life and property, ensure a safe and secure community through diligent enforcement of regulations, codes and law. CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 268 CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 269 EMERGENCY PREPAREDNESS The City of Saratoga is responsible for coordinating emergency response efforts in the event of a significant earthquake, fire, or other natural or man-made disaster. To prepare for this responsibility, City staff work in conjunction with the Sheriff’s Office and Santa Clara County Fire Department (SCCFD) to plan and prepare for emergency situations. The SCCFD provides Emergency Services Coordinators to the West Valley Region (Cupertino, Campbell, Los Gatos, Monte Sereno, and Saratoga) to develop emergency plans and train City staff and community members. This includes the City’s Emergency Operations Plan (EOP), maintenance of the City’s Emergency Operations Center (EOC), acquisition and maintenance of supplies and equipment, and development of City’s emergency volunteer programs (Saratoga Community Emergency Response Team, Saratoga Medical Reserve Corps, and the Saratoga Amateur Radio Association). The City Emergency Operations Plan is reviewed annually and updated as needed. An annual exercise is held to train staff in the activities associated with the Emergency Operations Center. Community Emergency Response Team (CERT) classes are offered through the Recreation Department with instructors from SCCFD. BUDGET OVERVIEW Notable Budget Changes  The County’s $12,500 EMPG pass-through grant is no longer passed through to the City  Elimination of the grant reduces expenditures by $25,000 as the grant required a 50/50 City match.  Operating expenditures were also reduced with the transfer of the EOC to the City Administration Building completed in FY 2014/15. The Emergency Preparedness program’s operational expenses are funded by the General Fund. In FY 2012/13 and 2013/14 the program was supplemented with a 50% reimbursable FEMA grant administrated by the County through the State’s Emergency Management Agency. In FY 2014/15 the County decided to utilize and administer the federal grant funding for County-wide purposes rather than distribute the funds to individual cities. Most of the program’s other expenditures have remained limited and fairly stable. Program staffing includes Emergency Preparedness Coordinator services (provided by and fully funded by Santa Clara County Fire). However, with the enormity of the preparation duties, the City of Saratoga decided to allocate 5% of the Risk Manager’s time to this purpose to begin the development and implementation of cost recovery documentation practices, thereby increasing program expenditures. In the event of a destructive disaster, this effort will prove to be an invaluable foundation for the City’s emergency response cost recovery. Additional operational costs for emergency preparedness support include $4,500 to ensure EOC telephone lines are restored on a priority basis in the event of a disaster or emergency situation and City EOC staff have satellite telephone communication services to sustain external communications if phone or cable lines or cell services are inoperable. An additional $5,000 is set aside to fund the ongoing effort to obtain needed emergency preparedness supplies, $2,000 for Records Emergency Action Plan supplies, and $300 for meeting costs associated with the Community Emergency Response Team (CERT) volunteer training program. The City will also contribute about $34,000 to the Silicon Valley Regional Interoperability Authority (SVRIA). SVRIA is comprised of eighteen Santa Clara County jurisdictions, representing some thirty law enforcement, fire and emergency medical services agencies that formed a partnership to enhance inter-agency coordination and communication between the public safety agencies. To participate in the emergency communications organization, agencies are required to pay an allocated share of the funding. At a later date, when the authority is implemented, the organization will be incorporated into the SCC Sheriff’s Office service billing. CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 270 EMERGENCY PREPAREDNESS FY 2015/16 WORKPLAN PRIORITIES Emergency Operations Plan – The Emergency Operations Plan is comprised of individual topic specific plan annexes. Annexes to be developed or updated include a Mass Care/Shelter Operations Plan, a Spontaneous Volunteer Plan, a Community Wildfire Preparedness Plan, and a Donations Management Plan, as additions to a revised City Emergency Operations Plan. Emergency Operation Training – Training will focus on enhancing EOC staff capabilities as identified by need based on the outcome of the After Action Report (AAR) and Improvement Plan (IP) from the fall, 2014 exercise. Training will include Disaster Recovery, Crisis Communications, Situations Analysis, and the Common Operating Procedure. EOC Relocation – The City currently utilizes the Saratoga Fire Department’s Conference Room as the City’s EOC, which is about two miles away from City Hall. In FY 2014/15 the use of this offsite location was reviewed to determine whether EOC operations would be more efficient onsite at the City Hall Administrative Building Rooms. As the assessment identified EOC operations were more practical and efficient onsite, staff will relocate operational supplies and equipment back to City Hall, and finalize the decision with an onsite exercise. The Fire Department’s EOC will continue as a back-up EOC. Cost Recovery Preparedness – Staff will continue to prepare photo-documentation and fixed asset inventories for each City facility and their amenities to help ensure accurate cost recovery in the event of a disaster. Buildings and facilities are assessed annually to maintain current insurance value. Emergency policies, practices, and operational services are in development to better prepare the city for reimbursable operational activities. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Intergovernmental Revenues 9,700 847 12,276 12,500 20 - TOTAL REVENUES 9,700$ 847$ 12,276$ 12,500$ 20$ -$ EXPENDITURES Salaries and Benefits - - - 12,884 12,853 12,966 Operating Expenditures Materials & Supplies 14,400 16,262 31,150 41,000 12,144 14,500 Fees & Charges 32,648 36,424 38,566 40,534 36,608 37,584 Consultants & Contract Services - - - - - - Meetings, Events & Training 209 140 111 300 90 300 Total Operating Expenditures 47,257 52,826 69,826 81,834 48,842 52,384 Fixed Assets 11,336 - - - - - Internal Service Charges 10,260 10,200 10,401 5,580 5,580 6,087 TOTAL EXPENDITURES 68,854$ 63,026$ 80,227$ 100,298$ 67,275$ 71,437$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 271 EMERGENCY PREPAREDNESS KEY SERVICES  Prepare and update Emergency Operations Plan for the City  Train City staff and community members on emergency preparedness  Maintain EOC, equipment, and technology to ensure Saratoga is in compliance with Federal, State, and County standards and requirements  Plan and supervise emergency drills and exercises  Oversee Emergency Management Planning and Community Emergency Response Team grants for the City  Develop and implement disaster event preparation practices for proper cost recovery documentation purposes Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Risk Manager - - - 0.05 0.05 TOTAL FTE's - - - 0.05 0.05 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded - - - - - - - - - - TOTAL ANNUAL HOURS - - - - - The Risk Manager's FTE shown above is located in the Recreation and Facilities Department FTE schedule. EMERGENCY PREPAREDNESS STAFF CITY OF SARATOGA PUBLIC SAFETY DEPARTMENT 272 EMERGENCY PREPAREDNESS 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.CERT Training Courses available to community members:Yes Yes Yes Yes Yes b. Coordinate community outreach to heighten awareness of emergency preparedness programs and needs: Yes Yes Yes Yes Yes c.Prepare emergency preparedness and public education materials: Yes Yes Yes Yes Yes d.Coordinate training of City Staff in personal preparedness and EOC functions: Yes Yes Yes Yes Yes 2. a. EOC radios, emergency telephones, and computers available and periodically tested to ensure emergency communication needs: Yes Yes Yes Yes Yes b.Prepare, test, and revise emergency response and recovery policies, plans, and procedures: Yes Yes Yes Yes Yes 3. a.Participates in and/or maintains communication with local, state, or national emergency preparedness organizations: Yes Yes Yes Yes Yes b. Remain current on technology and emergency management trends: Yes Yes Yes Yes Yes 4. a.Inter-agency technology and emergency equipment tested and maintained: Yes Yes Yes Yes Yes b.Staff attends emergency management meetings and training programs: Yes Yes Yes Yes Yes 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.3 3 3 3 3 2.2 1 2 1 1 3.2 4 4 4 4 Number of annual community disaster training exercises: Number of annual disaster training exercises for City staff: Number of CERT training courses offered per year: Develop emergency readiness of City staff and community members through disaster training and exercise programs. Ensure inter-agency/multi-agency coordination and communication for disaster planning and responses. Maintain the City's Emergency Operations Center in a state of readiness. Maintain effective liaisons with local, state, and national emergency management organizations. CITY OF SARATOGA NON DEPARTMENTAL 273 NON-DEPARTMENTAL The Non-Departmental Section is a collection of programs which are independent of City service and support functions. This collection includes the General Administration program, Legal Services, Community Grants and Events funding programs, the Risk Management/Liability and Workers Compensation Insurance programs, and the General Obligation (GO) Bond Debt Service Fund. The Non-Departmental section accounts for non-operational receipts (such as tax revenues, interest, retiree and unemployment expenses, assessment taxes, and audit recovery fees) and general expenses (such as citywide insurance, contractual legal services, grant funding to outside agencies, and debt service funding). DEPARTMENTAL BUDGET SUMMARY The Non-Departmental Section’s General Administration program accounts for the majority of the City’s revenues. Property Tax, Sales Tax, Transient Occupancy Tax, Business License Tax, Franchise Fees, Vehicle License Fees, and other city-based General Fund revenues are accounted for within the General Administration Program as these receipts represent allocations to the City which are not based on departmental functions. Similarly, expenses in this program are general city expenses which are not based on or provided by departmental services, including retiree insurance premiums, unemployment fees, business license and sales tax audit recovery fees, and non-exempt assessment taxes. The Legal Services program represents attorney time and expenses from external firms for citywide and general services. Community Grants and Community Events are funding programs for city allocations to external agencies and non-profit groups. Non-Departmental programs are not directly related to a specific department’s operational oversight , hence staffing is non-existent or very limited. Only the insurance programs: Risk Management and Workers Compensation include City staffing allocations due to the in-house processing requirements associated with insurance management and claims. These programs are structured as Internal Service Funds which charge back centralized expenses to departments based on usage and risk allocations. Staffing for these programs are represented in the insurance programs for funding purposes, but are included in the staff’s home department in the FTE summary to represent total departmental staffing rather than departmental funding. Lastly, the GO Bond Debt Service Fund accounts for receipts and payments associated with the City’s 2001 voter approved bond debt for the remodel and enlargement of the City’s Library Building. Due to historically low interest rates, it became financially advantageous to refund (refinance) the bond in FY 2011/12. The bond’s terms remains the same – debt payments will finish in twenty years, however the refunding allowed Saratoga taxpayers to buy down a portion of the principal while taking advantage of lower interest rates, thereby lowering annual payments and saving almost $2.7 million dollars over the next twenty years. With this refunding, the 2001 bond was retired, and a 2011 bond was established in its place. As the Non-Departmental Section represents a collection of unrelated programs, notable budget impacts will be discussed in separate sections. The following schedule shows total revenues and expenditures. CITY OF SARATOGA NON DEPARTMENTAL 274 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Taxes 11,916,209 12,706,624 13,238,451 14,035,750 14,596,799 14,440,350 Intergovernmental Revenues 21,299 21,297 17,750 4,000 121,925 4,500 Charge for Services - 22 - - 20 - Interest Income 44,731 28,670 40,003 25,000 45,229 43,000 Rental Income 95,075 104,778 73,526 79,455 94,392 81,002 Other Sources 23,754 9,329 256,652 120,877 147,576 136,877 TOTAL REVENUES 12,101,067$ 12,870,720$ 13,626,382$ 14,265,082$ 15,005,940$ 14,705,729$ Operating Transfers In 205,222 106,000 167,050 - - - TOTAL REVENUE & TRANSFERS IN 12,306,289$ 12,976,720$ 13,793,432$ 14,265,082$ 15,005,940$ 14,705,729$ EXPENDITURES Salaries and Benefits 31,508 311,768 25,171 3,418,600 3,320,628 728,800 Operating Expenditures Materials & Supplies 14,419 27,609 42,122 57,911 21,155 53,050 Fees & Charges 36,080 16,406 32,046 25,300 20,588 10,300 Consultant & Contract Services 267,918 310,183 394,497 354,500 300,663 370,000 Meetings, Events & Training 800 - 2,650 5,850 6,476 30,900 Community Grants & Events 116,203 122,007 169,725 210,576 162,516 216,685 Total Operating Expenditures 435,421 476,205 641,040 654,137 511,398 680,935 Fixed Assets - - - - - - Internal Service Charges 340,474 355,946 386,268 402,005 402,004 552,348 TOTAL EXPENDITURES 807,403$ 1,143,919$ 1,052,480$ 4,474,742$ 4,234,030$ 1,962,083$ Operating Transfers Out 280,000 1,184,500 380,880 1,733,345 1,666,098 1,902,656 TOTAL EXP & TRANSFERS OUT 1,087,403$ 2,328,419$ 1,433,360$ 6,208,087$ 5,900,128$ 3,864,739$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA NON DEPARTMENTAL 275 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted GENERAL FUND General Administration 431,480 721,170 492,236 3,935,157 3,783,847 1,397,598 Legal Services 259,720 300,743 390,518 329,009 287,667 347,800 Community Grants 109,459 103,717 147,506 172,726 135,061 159,890 Community Events 6,744 18,290 22,219 37,850 27,455 56,795 TOTAL GENERAL FUND 807,403$ 1,143,919$ 1,052,480$ 4,474,742$ 4,234,030$ 1,962,083$ INTERNAL SERVICES FUNDS Risk Management 352,603 308,096 336,743 463,117 296,590 393,913 Workers Compensation 211,425 182,700 229,510 267,272 184,683 214,555 TOTAL INTERNAL SERVICES 564,028$ 490,796$ 566,253$ 730,389$ 481,273$ 608,468$ DEBT SERVICE FUNDS General Obligation Bond 13,375,558 868,910 889,510 889,985 889,960 885,085 TOTAL DEBT SERVICE FUNDS 13,375,558$ 868,910$ 889,510$ 889,985$ 889,960$ 885,085$ TOTAL DEPT EXPENDITURES 14,746,989$ 2,503,626$ 2,508,243$ 6,095,116$ 5,605,263$ 3,455,636$ TRANSFERS OUT General Fund 280,000 1,184,500 380,880 1,733,345 1,666,098 1,902,656 TOTAL TRANSFERS OUT 280,000$ 1,184,500$ 380,880$ 1,733,345$ 1,666,098$ 1,902,656$ TOTAL EXP & TRANSFERS OUT 15,026,989$ 3,688,126$ 2,889,123$ 7,828,461$ 7,271,361$ 5,358,292$ TOTAL NON-DEPARTMENTAL EXPENDITURES BY PROGRAM CITY OF SARATOGA NON DEPARTMENTAL 276 Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Recreation & Facilities Director 0.20 0.25 0.30 0.30 0.30 Human Resources Manager 0.05 0.10 0.10 0.10 0.10 Human Resources Technician - - 0.10 0.10 0.10 TOTAL FTE's 0.25 0.35 0.50 0.50 0.50 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Hours Funded Funded Funded Funded Funded HR Technician 200 - - - - TOTAL ANNUAL HOURS 200 - - - - NON-DEPARTMENTAL STAFF CITY OF SARATOGA NON DEPARTMENTAL 277 GENERAL ADMINISTRATION The General Administration program represents revenues and expenditures that are generated as a result of being a governmental entity rather than from departmental operations. Tax Revenues, Intergovernmental Revenues, Interest, and Rental Income are the primary non-service based revenue sources for the City, and account for approximately 70% of the City’s Total General Fund Operating Revenues each year. General Administration expenditures are minimal in comparison, as program expenditures are limited to funding citywide general expenses and internal service charges for general use areas or non-departmental functions. BUDGET OVERVIEW The General Administration’s Property Tax revenues continue to define the economic rebound which began in the spring of 2012, with annual revenue increases between 6 and 9% for each of the last three years. Homeowners that waited out the downturn in the housing market rather than sell at bargain prices began to sell their houses as the housing market resurgence delivered steadily rising prices, and hence, notable increases in assessed values and transfer tax revenues. February, 2015 housing reports show that median housing prices in Santa Clara County are 5.9% higher than a year ago, whereas Saratoga’s median housing prices are almost 40% higher. Saratoga’s transfer tax receipts indicate home sales continue to hold steady, therefore property tax revenues are conservatively projected to continue rising, although at a slower pace. Sales Tax revenue however, is an enigma. Despite the improving economy, FY 2012/13 revenues were lower than the prior year, and FY 2013/14 were lower still. While this was due in part to allocation corrections, the decrease also indicates that less and less of Saratoga’s purchasing base is in taxable sales. It is suspected (statewide) that lower local revenues are attributable to increases in online sales – however this type of information is not distinct. The City’s Sales Tax auditors expect current fiscal year revenues to be higher than the prior year, again due to allocation corrections, and then a bit less in FY 2015/16 as the revenues more accurately reflect actual sales. With limited retail and business in Saratoga, and consumers continued migration to online purchasing, Sales Tax is expected to remain fairly flat, if not slightly decreasing into the future. Business License Tax revenues associated with licensing a business are also expected to remain fairly flat, whereas the supplemental license tax portion based on building construction permits appears to follow the housing market. FY 2012/13 saw a 20% increase, and a slight but steady growth in the years since. With home remodeling experiencing a renaissance in conjunction with housing turnover, this modest incline is expected to continue into the near future. Transient Occupancy Tax receipts, considered a leading indicator of economic strength, began to show improvement in late FY 2011/12, and has held steady since. TOT grew rapidly in FY 2014/15, with suspicion this is linked to the opening of Levi Stadium in Santa Clara – as other nearby cities are experiencing notable TOT growth also. With the National Football League’s ‘Super Bowl’ scheduled to be played at Levi Stadium in January 2016, TOT revenues receipts are expected to grow even higher in FY 2015/16. Franchise Fee Taxes however, have brought mixed messages. Gas and Electric Fees decreased slightly while water, cable, and solid waste continue a slow but steady growth. On a less optimistic note, interest income continues its long journey at historic lows, without relief in sight. The City’s investments are limited to the LAIF investment pool which for the last seven years, has wallowed in the lowest rates of their 35 year history. With a steady pace below 1% since July of 2009, interest income is expected to remain low during FY 2015/16. CITY OF SARATOGA NON DEPARTMENTAL 278 GENERAL ADMINISTRATION In March 2014, the Authority and West Valley Collection & Recycling (WVC&R) signed a new 10 year agreement effective through February 2024. As part of the new agreement, WVC&R will make annual payments of $450,000 to the Authority for the right to hold the exclusive franchise agreement. The annual fee is dispersed to member cities based on population, with Saratoga receiving just over $130,000 per year. This funding is allocated to the General Administration program for general purpose use, not designated for solid waste support. As the General Administration program represents non-service functions, staffing is not assigned to the program and hence does not include workplan priorities or key services. Budgeted appropriations represent general expenses, such as retiree medical insurance administration fees, unemployment insurance charges, funding for employee termination and leave payouts, Sales Tax and Business License audit finder’s fees, and several Internal Services charges which account for general public usage of the building maintenance expenses, most notably an allocation for the Civic Theater/Council Chambers and the Civic Center buildings. The General Administration program also contains all Transfers In and Transfers Out for the General Fund. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Taxes Property Tax 8,279,947 8,966,396 9,526,189 10,223,750 10,436,621 10,475,350 Sales Tax 1,100,489 1,051,121 941,350 1,085,000 1,224,427 1,060,000 Transient Occupancy Tax 205,421 228,199 257,010 245,000 309,618 310,000 Business License Tax 313,984 336,298 336,911 330,000 357,597 355,000 Other Taxes 163,979 204,859 228,350 210,000 199,056 220,000 Franchise Tax 1,852,390 1,919,750 1,948,642 1,942,000 2,069,479 2,020,000 Intergovernmental Revenues 21,299 21,297 17,750 4,000 121,925 4,500 Fees, Licenses and Permits - - - - - - Charge for Services - - - - - - Interest Income 44,731 28,670 40,003 25,000 45,229 43,000 Rental Income 95,075 103,278 73,526 79,455 94,392 81,002 Other Sources 23,108 9,603 231,652 120,877 142,576 131,877 TOTAL REVENUES 12,100,422$ 12,869,472$ 13,601,382$ 14,265,082$ 15,000,920$ 14,700,729$ Operating Transfers In 205,222 106,000 167,050 - - - TOTAL REV & TRANSFERS IN 12,305,644$ 12,975,472$ 13,768,432$ 14,265,082$ 15,000,920$ 14,700,729$ EXPENDITURES Salaries and Benefits 31,508 311,768 25,171 3,418,600 3,320,628 728,800 Operating Expenditures Materials & Supplies 13,119 26,401 40,280 57,311 20,936 52,750 Fees & Charges 36,080 16,406 32,046 25,300 20,534 10,300 Consultant & Contract Services 11,313 12,526 7,882 27,000 15,233 22,500 Meetings & Training 800 - 2,650 5,850 5,420 30,900 Total Operating Expenditures 61,312 55,334 82,858 115,461 62,123 116,450 Fixed Assets - - - - - - Internal Service Charges 338,659 354,068 384,207 401,096 401,095 552,348 TOTAL EXPENDITURES 431,480$ 721,170$ 492,236$ 3,935,157$ 3,783,847$ 1,397,598$ Operating Transfers Out 280,000 1,184,500 380,880 1,733,345 1,666,098 1,902,656 TOTAL EXP & TRANSFERS OUT 711,480$ 1,905,670$ 873,116$ 5,668,502$ 5,449,945$ 3,300,254$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA NON DEPARTMENTAL 279 LEGAL SERVICES The City of Saratoga contracts with the firm Shute, Mihaly & Weinberger LLP (Shute Mihaly) to provide City Attorney services, advice, and representation on legal matters to ensure City actions and activities are legally sound. Shute Mihaly in turn, utilizes Wittwer & Parkins LLP firm for land use/development attorney services on an as- needed basis. The City Attorney also oversees the use of Mouser Law Firm legal services for employment law, and occasionally other legal firms for specialized services. The City Attorney manages the City’s pursuit or defense in litigation matters as directed by the City Council, supervises litigation costs, and provides the City with a monthly status report of all outstanding litigation, case updates, and potential lawsuits. In addition, the City Attorney: reviews all proposed ordinances and resolutions requiring City Council action to ensure proper format and content; reviews staff reports for reasoned and sound commentary; identifies policy options and alternatives; and provides direction, recommendations, and appropriate summaries consistent with Council requirements. Additional contract city attorney services include: review and recommendations on legislative issues; recommendations on environmental review requirements and preparation of environmental review documents; review of bid requests, vendor contract documents, purchase and sale agreements, code enforcement matters, and the preparation and/or review of contractual agreements with other agencies. Employment Law services include policy development, human resources oversight, and negotiation services as needed. The City Attorney attends the bi-monthly City Council meetings, and special City Council sessions as needed. Overall, Legal Services provides support to the City Council’s Strategic Goals for a transparent and ethical City government, in conformance with and abiding by the rule of law. BUDGET OVERVIEW Notable Budget Changes:  No notable changes The legal program does not typically include budgeted revenues; however services reimbursements may occur during the course of the year if the City provides legal representation, such as in development lawsuits. Additionally, applicants who have development applications in process under the deposit fee development process are required to reimburse the City for billed legal services if the project utilizes attorney time for appeals in the Planning Commission or City Council meetings. Reimbursements would also result from applicants requesting research and information from the City, or from legal services related to environmental reviews. As these occurrences are not common, revenues are not anticipated nor budgeted. Budgeted expenditures are primarily comprised of regular on-going City Attorney services, with some contingency funding for litigation expenditures, based on the City Attorney’s estimate of outstanding and future litigation. Employment law services were moved into the Legal Service program in FY 2013/14 to better assign budget responsibility and oversight for legal services to the City Attorney, and to align all attorney fees within the Legal Services program. Budgeted expenditures represent expected legal service levels based on prior year ‘normal’ level of activity. If circumstances require higher than anticipated attorney services, a budget adjustment would be brought to Council. CITY OF SARATOGA NON DEPARTMENTAL 280 LEGAL SERVICES FY 2015/16 WORKPLAN PRIORITIES Risk Management – Work with staff to identify and implement Best Practices to mitigate risk in City operations and administer claims. City Codes and Ordinances – Work with staff on the annual code update. Public Records Access – Work with the City Clerk’s office to update the records retention schedule and streamline public access to routinely requested public records. Community Development – Work with Community Development Department staff on review of complex projects and updates to the non-conforming use ordinance and Planning Commission training. Public Works – Work with Public Works department staff on environmental review and regulatory compliance for major public works projects and the Hakone Gardens Master Plan. 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Adjusted Actuals Adopted REVENUES Charge for Services 22 - - 20 - Other Sources 1,226 25,000 - - - TOTAL REVENUES 1,248$ 25,000$ - 20 - EXPENDITURES Operating Expenditures Materials & Supplies 1,208 1,842 600 219 300 Fees & Charges - - - 54 - Consultant & Contract Services 297,658 386,615 327,500 285,430 347,500 Total Operating Expenditures 298,865 388,457 328,100 286,758 347,800 Internal Service Charges 1,878 2,061 909 909 - TOTAL EXPENDITURES 300,743$ 390,518$ 329,009$ 287,667$ 347,800$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA NON DEPARTMENTAL 281 LEGAL SERVICES KEY SERVICES  Provides sound legal advice for the City and represents the City regarding litigation matters  Attends City Council meetings to provide legal guidance  Drafts and/or reviews staff reports, resolutions, and proposed ordinances  Prepares and/or reviews contractual agreements with other agencies  Reviews and makes recommendations on legislative issues  Reviews bid requests, vendor contract documents, and purchase and sale agreements  Provides legal advice on code enforcement matters  Provides legal advice on employment law matters  Makes recommendations on environmental review requirements and preparation of environmental review documents CITY OF SARATOGA NON DEPARTMENTAL 282 LEGAL SERVICES 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Number of staff reports and resolutions drafted or reviewed:22 22 25 35 35 b.Number of ordinances drafted or reviewed:7 14 9 15 10 2. a.Number of agreements/contracts using standard forms reviewed: 75 75 75 75 75 b.Number of agreements/contracts using non-standard forms prepared or reviewed: 21 18 20 15 15 3. a. Percentage of potential litigation issues resolved prior to court action: 85%90%95%75%75% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.23 24 22 23 24 2.7 5 4 5 5 Review staff reports, resolutions, and proposed ordinances to ensure City is in compliance with legal requirements and applicable laws, and performing in a transparent and ethical manner. Ensure legal documents protect the City's interests and are in compliance with Federal, State, and City requirements. Reduce legal and financial consequences of potential litigation against the City. Number of City Council meetings or study sessions attended: Number of multi-agency agreements prepared: CITY OF SARATOGA NON DEPARTMENTAL 283 COMMUNITY GRANTS The Community Grants program was established to consolidate the City’s grant support to outside agencies into one program, thereby retaining historical funding reference. The City allocates grant funding to local organizations to support the services these groups provide to the Saratoga community, including the Saratoga Chamber of Commerce for business support, the public access television station KSAR 15 for public information broadcasts of council and commission meetings, and the Saratoga Area Senior Coordinating Council (SASCC) for operational support of the Senior Center. The Senior Center provides an assortment of services – such as Blood Pressure Checks, Podiatric Checks, Tax Assistance, Vision Screening, Hearing Tests, Senior Nutrition Programs, Fifty-Five Alive Driving Program, Flu Shots, and other non-cost-recovery services that the senior population finds valuable. In past years, the Community Grant program included funding from both the City and the Federal Community Development Block Grant (CDBG) program’s allocation for Human Service grants. In FY 2011/12, Santa Clara County revised the CDBG grant program’s funding process to both determine which organization would receive a grant, and to pay the recipients directly. With this change, CDBG Public Service Grants are no longer included in the Community Grants budget. Grant amounts listed reflect City funding provided to service groups and non-profit organizations. The City also contributes in-kind services, such as building space and utilities to the Saratoga Area Senior program, as well as staff support, rental and permit waivers, sheriff services, or street sweeping. BUDGET OVERVIEW Notable Budget Changes:  Grant funding was increased for the Chamber’s city maps and triple panel advertisement, per the Chamber services agreement.  Grant funding was decreased by $20,000 provided last year for the Destination Saratoga marketing campaign. As the SASCC program is heavily dependent on City and CDBG funding, the City Council continued to award the majority of the General Fund’s Public Service grant allocation to SASCC ($22,000) to help support the adult day care program. The remainder of the City’s public service grant funding was split between two non-profit group programs which deliver vital support to the Saratoga community: West Valley Community Services ($8,000) for food and housing assistance, and; Catholic Charities Ombudsmen ($5,000) which acts as advocates for residents in long-term care facilities. The City also provides ongoing annual funding to support the SASCC senior program, the KSAR community access channel, the Saratoga Chamber of Commerce, and United Way’s 211 Call Center. The Saratoga Chamber of Commerce grant reflects additional funds in FY 2015/16 in support of the Chamber providing additional economic development and tourism activities. The KSAR grant award was also increased to more fully support the service the Community television group provides to the City of Saratoga’s viewing audience. Grant funding includes a $25,000 grant to the SCC FireSafe Council to provide fuel reduction services for Saratoga residents. This five year program began in FY 2013/14, and is considered a crucial service to the City’s hillside residents in the midst of this extremely high fire danger caused by the drought. The $20,000 Destination Saratoga grant funding was discontinued for FY 2015/16 as the volunteer group has significantly curtailed its planned activities. The distribution of grant funding for FY 2015/16 and four prior years is illustrated in the Grant Schedule on the following page. CITY OF SARATOGA NON DEPARTMENTAL 284 COMMUNITY GRANTS 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Other Sources - - - - - - TOTAL REVENUES -$ -$ -$ -$ -$ -$ EXPENDITURES Operating Expenditures Materials & Supplies - - - - - - Fees & Charges - - - - - - Consultant & Contract Services - - - - - - Meetings & Training - - - - - - Community Grants 109,459 103,717 147,506 172,726 135,061 159,890 Total Operating Expenditures 109,459 103,717 147,506 172,726 135,061 159,890 Internal Service Charges - - - - - - TOTAL EXPENDITURES 109,459$ 103,717$ 147,506$ 172,726$ 135,061$ 159,890$ GENERAL FUND REVENUES AND EXPENDITURES 2011/12 2012/13 2013/14 2014/15 2015/16 Grants Grants Grants Grants Grants Community Services Support SASCC Service Support 21,000 21,000 21,000 21,000 21,000 SASCC Supplemental Support 18,000 18,000 18,000 18,540 19,096 Adult Daycare Support 1,422 20,000 22,000 22,000 22,000 KSAR Community Access Grant 26,000 26,650 33,600 35,000 35,000 Chamber of Commerce Annual Support 12,384 9,567 21,790 16,186 22,794 SCC FireSafe Council - Fuel Reduction Services - - 25,000 25,000 25,000 Destination Saratoga - - - 20,000 - Silicon Valley Wildlife Service Support 1,425 - - - Shady Shakespeare Theater Co.1,375 - - - West Valley Community Services 14,691 3,250 8,000 8,000 8,000 Children's Health Insurance Assistance 7,037 - - - United Way 211 Funding 2,000 2,000 2,000 2,000 2,000 Catholic Charities Ombudsmen Funding 4,125 3,250 5,000 5,000 5,000 Total Community Services Support Grants 109,459 103,717 156,390 172,726 159,890 COMMUNITY GRANTS SCHEDULE CITY OF SARATOGA NON DEPARTMENTAL 285 COMMUNITY EVENTS The City Council established the Community Event Program to build a stronger sense of community. The Community Event program budget consolidates the funding allocated for both the City’s sponsored events and event grants provided to various community organizations. While the community events are supported and promoted by the City, it is the external community organizations and volunteers who are primarily responsible for staffing and organizing most of these events. Support funding occurs at many different levels including small events to celebrate days of recognition; such as Memorial Day and the Fourth of July; and Arbor Day to support the City’s tree heritage. More festive celebrations include the Blossom Festival to celebrate Saratoga’s orchard heritage, the Village’s Holiday Tree Lighting Ceremony to celebrate the start of the holiday season; and the Chamber’s annual festival to celebrate the historic Saratoga Village. The City also sponsors celebrations in honor of cultures, such as the Bollywood Dance and Sister City events, as well as events for facility openings or groundbreakings to increase awareness of a new or improved community facility, and to publicly thank supporters and contributors. BUDGET OVERVIEW Notable Budget Changes:  Event funding was increased by $17, 500 to increase some of the existing events, and for new additional event funding, such as the Chamber’s Classic Car Show, City Neighborhood Celebrations Saratoga Grammar School Celebration, Odd Fellows Easter Event, St. Paddy’s Day, and the City’s Anniversary celebration. On an annual basis, Council considers requests for funding and in-kind support through a Special Event Grant Process where event organizers speak to the Council at a City Council meeting about their event and request community event grants. The City established a streamlined process for Special Event Permits to improve customer service delivery. For FY 2015/16, Council set aside $25,000 for community events grants. Due to the number and worthiness of requests, Council decided to fund all the requests, using $9,195 of Council Discretionary funds in addition to the planned $25,000. A complete list of event funding is displayed in the schedule following the program budget. The grant funds will be used for a variety of expenses associated with putting on these community events, including food, entertainment, park rental fees, the cost of a park attendant, permits and licenses, additional sanitary units, security, signage, or many other event-related expenses. Additional funding is included in the Community Events budget for City Sponsored events, including funds for a Village street closure event, the Arbor Day Celebration, Wildwood Movie Night, and Facility or Park & Trail grand openings. CITY OF SARATOGA NON DEPARTMENTAL 286 COMMUNITY EVENTS 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted REVENUES Other Sources 645 - - - 5,000 5,000 TOTAL REVENUES 645$ -$ -$ -$ 5,000$ 5,000$ EXPENDITURES Salaries and Benefits - - - - - - Operating Expenditures Community Grants & Events 6,744 18,290 22,219 37,850 27,455 56,795 Total Operating Expenditures 6,744 18,290 22,219 37,850 27,455 56,795 Internal Service Charges - - - - - - TOTAL EXPENDITURES 6,744$ 18,290$ 22,219$ 37,850$ 27,455$ 56,795$ GENERAL FUND REVENUES AND EXPENDITURES CITY OF SARATOGA NON DEPARTMENTAL 287 COMMUNITY EVENTS 2011/12 2012/13 2013/14 2014/15 2015/16 Grants Grants Grants Grants Grants Chamber of Commerce Events Annual Village Festival - 4,684 - - - Holiday Wine Stroll - 2,173 2,501 3,100 4,000 Classic Car Show - - - - 4,000 Community Celebrations City Neighberhood Celebrations - - - - 3,000 Montalvo Celebrations - 747 2,000 3,500 Mustard Faire/Blossom Festival - 3,924 4,204 4,500 4,600 Sister City Events - - 618 - - Saatoga Community Band - - 325 600 725 Opera in the Park - 1,896 1,320 800 1,750 Bollywood - 1,000 1,242 1,200 1,500 Food & Wine Events - 835 1,230 - - Celebrating Service Events 3,515 - - - - Saratoga Grammar School Reunion - - 118 - 1,000 Library Events (various)- 2,000 - 2,800 - Cultural-Chinese Autumn Festival - - - - 350 Holiday Celebrations Memorial Day Event (Banner)- 750 250 900 1,000 Odd Fellows Easter Event 500 - - - 600 Fourth of July Event 1,225 - 1,831 1,900 2,670 St. Paddy's Day - - - - 500 SASCC Health Fair - - 2,380 3,600 5,000 Total Community Event Grants 5,240 17,263 16,766 21,400 34,195 City Sponsored Events Roadway Improvement Events - - - 250 250 Parks, Trails, Open Space Events 56 33 - 250 2,500 Facility Events - 17 17 - - KMP Groundbreaking / Opening - - - - - City Anniversary - - - - 2,500 Village Tree Lighting Event - - 2,480 2,000 2,000 Village Street Closure Event - - - 10,000 10,000 Outdoor Movie Nights 1,202 927 2,756 3,600 5,000 Arbor Day Celebration 246 51 201 350 350 Total Annual Sponsored Events 1,504 1,027 5,453 16,450 22,600 Total Community Event Funding 6,744 18,290 22,219 37,850 56,795 COMMUNITY EVENT GRANT SCHEDULE CITY OF SARATOGA NON DEPARTMENTAL 288 CITY OF SARATOGA NON DEPARTMENTAL 289 RISK MANAGEMENT / LIABILITY FUND The City is a member of the Association of Bay Area Government (ABAG) insurance pool (PLAN), a self-insurance program pool established in 1986 which provides general liability, auto, property insurance, and risk management services to thirty (30) cities within the Bay Area. Each member chooses a self-insured retention ranging from $25,000 to $250,000, which is reflected in premium rates. The insurance pool pays claims up to a limit of $5 million. To provide further protection, the association purchases another $15 million of excess insurance coverage, for a total of $20 million per occurrence limit. Coverage provides protection for Bodily Injury, Property Damage, Personal Injury, and Public Officials Errors and Omissions claims, and minimizes the City’s exposure to losses as a result of City policy or actions. The City’s annual premium allows for a self-coverage retention level of $25,000 per occurrence. In 2014, ABAG converted their Risk Management insurance claim administration from in-house staff to a contracted insurance administrator as a means to reduce administrative overhead. The City now submits claim information to this third party administrator (TPA) York Insurance Services Group. York’s staff follow up with other parties and insurance firms, acting as the City’s insurance agent. In addition to insurance, ABAG provides risk management services, including policy guidance, to effectively identify, analyze, and minimize risks, guidance on best practices, trainings, and grant incentives for safety programs. BUDGET OVERVIEW Notable Budget Changes:  Chargebacks were reduced by $50,000 as insurance premium costs decreased significantly last year lowering overall expenditures. The Risk Management/Liability Fund is an Internal Service Fund program for which the cost of the program is primarily funded with service charge-backs to the departments. Charge-backs in turn, allocate the cost of the program to the departments to more fully recognize operational costs. Other revenues in the Risk Liability Fund programs include ABAG grant reimbursements and claim reimbursements. Program expenditures consist primarily of the Risk Manager’s staff time, insurance premiums, ABAG grant expenses, and $25,000 for the city-paid portion of non-reimbursable claim expenses. If substantial claim losses should occur, a budget adjustment would be brought to Council. A pass-through liability program, solely for reimbursable claim expenses, is included in a separate pass-through program in this fund. As a cost saving measure, ABAG PLAN reduced the amount of grant funding in recent years, and now requires a 50% match for non-goal related Program Grant expenses. Program Grant funds are used for safety improvements and hazard mitigation. Training Grants are used for costs associated with the Risk Manager (Public Administration Risk Management Association [PARMA] conference, the Public Risk Management Association [PRIMA] conferences, or Playground Safety (NPSI) training. Insurance premiums vary from year to year, dependent on the City’s and the entire JPA’s claim loss activity. A 16% increase in FY 2013/14, was followed by a 27% decrease in FY 2014/15. The premiums decrease was due to the City’s reductions in claim liability over the last several years and from ABAG’s reduced administrative overhead from contracting out the claims management process. Premiums are expected to increase slightly in FY 2015/16, in part due to general liability and service cost increases, and possibly from several claims filed in the current fiscal year. As premium cost information is not available until after the budget is prepared, the estimates reflect a more conservative, higher amount. CITY OF SARATOGA NON DEPARTMENTAL 290 RISK MANAGEMENT / LIABILITY 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted SOURCE OF FUNDS Beginning Fund Balance Unassigned 134,905 134,757 230,059 283,125 283,125 386,018 Total Beginning Fund Balance 134,905$ 134,757$ 230,059$ 283,125$ 283,125$ 386,018$ Revenues Intergovernmental Revenues 34,318 26,562 9,907 14,560 2,500 19,008 Fees, Licenses and Permits - - 128 - - - Other Sources 18,137 1,837 4,774 50,000 21,982 50,000 Internal Service Charges 300,000 375,000 375,000 375,000 375,000 325,000 Total Revenues 352,455$ 403,399$ 389,809$ 439,560$ 399,482$ 394,008$ TOTAL SOURCE OF FUNDS 487,360$ 538,156$ 619,868$ 722,685$ 682,607$ 780,026$ USE OF FUNDS Expenditures Salaries and Benefits 43,634 58,864 61,513 74,305 77,558 77,793 Operating Expenditures Materials & Supplies 30,158 26,540 9,907 14,560 2,500 19,008 Fees & Charges 24,710 8,192 15,234 87,750 33,565 100,300 Consultant & Contract Services 2,221 - - - - - Meetings & Training - - - - - - Insurance Premiums 251,581 214,130 249,780 286,000 182,465 196,379 Internal Service Charges 298 371 309 502 502 433 Total Expenditures 352,603$ 308,096$ 336,743$ 463,117$ 296,590$ 393,913$ Ending Fund Balance Unassigned 134,757 230,059 283,125 259,568 386,018 386,113 Total Ending Fund Balance 134,757$ 230,059$ 283,125$ 259,568$ 386,018$ 386,113$ TOTAL USE OF FUNDS 487,360$ 538,156$ 619,868$ 722,685$ 682,607$ 780,026$ SUMMARY OF REVENUES AND EXPENDITURES CITY OF SARATOGA NON DEPARTMENTAL 291 RISK MANAGEMENT / LIABILITY FY 2015/16 WORKLOAD PRIORITIES Risk Management – Employ the Risk Management Committee to identify and mitigate hazards throughout City to reduce loss exposures. Conduct quarterly Safety Meetings to identify safety issues and increase safety awareness. ABAG Grant Management – Utilize ABAG program grant to attend public agency risk management training and implement best practice safety standards to improve citywide safety. KEY SERVICES  Facilitate implementation of risk management best practices to increase public and staff’s safety, and reduce the City’s liabilities  Facilitate claim processing and reimbursements for the City, in coordination with the staff, the City Manager, and the City Attorney Full Time Equivalents (FTE) 2011/12 2012/13 2013/14 2014/15 2015/16 City Staff Funded Funded Funded Funded Funded Recreation & Facilities Director 0.20 0.25 0.30 0.30 0.30 Human Resources Manager - - - - - Human Resources Technician - - - - - TOTAL FTE's 0.20 0.25 0.30 0.30 0.30 2011/12 2012/13 2013/14 2014/15 2015/16 Temporary Staff Funded Funded Funded Funded Funded HR Technician - - - - - TOTAL ANNUAL HOURS - - - - - RISK MANAGEMENT STAFF CITY OF SARATOGA NON DEPARTMENTAL 292 RISK MANAGEMENT / LIABILITY 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Contracts reviewed for compliance with Liability Insurance requirements within 48 hours of receipt: 100%100%100%100%100% b.Liability Claims processed within 48 hours of receipt:100%100%100%100%100% c.Conduct City-owned facility inspections on a quarterly basis: 100%100%100%100%100% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1 6 6 9 10 6 2 12 12 12 12 12 3 15 8 6 15 10 Number of ABAG risk management annual goals established and maintained: Number of monthly inspections and reporting -- streets, sidewalks, urban forest, parks, buildings, and equipment: Number of Liability Claims received: Provide timely, comprehensive Risk Management services to the City to reduce liability and claims costs. CITY OF SARATOGA NON DEPARTMENTAL 293 WORKERS COMPENSATION FUND The City’s Workers Compensation Program provides insurance benefit coverage for employee work-related illnesses and/or injuries. The City has been a member of the Association of Bay Area Government’s (ABAG) Shared Risk Pool (SHARP) Joint Powers Association since January 1, 1989. SHARP is a self-funded public agency insurance pool providing workers compensation coverage for five public entities that are too small to self-insure independently (Cities of Saratoga and American Canyon, ABAG, and the Towns of Ross and Los Altos Hills). SHARP is liable for City of Saratoga claims up to a per occurrence self-insurance retention (SIR) of $250,000. SHARP members jointly purchase excess insurance to cover claims exceeding the SIR through the Local Agency Workers’ Compensation Excess (LAWCX) Joint Powers Authority. The Human Resources Division manages the workers compensation processes according to the California State Department of Industrial Relations (DIR) regulations, serves as the liaison between the City and SHARP’s third party administrator (TPA) York Insurance Services Group, monitors the TPA’s performance, periodically meets with the TPA to provide guidance and direction on behalf of the City, and works with the injured worker in developing a return to work plan to hold down the workers’ compensation costs. There are three major categories of workers compensation claims: 1) Medical only claims are claims that involve little or no time lost from work (3 days or less) and no disability payments; 2) Indemnity claims, which tend to be more serious injuries, and thus provide payments for lost wages for three or more days lost from work until full recovery after an injury; and 3) Indemnity claims which involve permanent disabilities. Permanent disability benefits (either permanent total disability or permanent partial disability) are paid to workers who never recover their full functions after an injury. The TPA investigates, accepts, or denies claims. If the TPA accepts medical only claims, the City pays for any lost time (3 days or less). If the TPA accepts indemnity claims, the TPA uses the California Labor Code to decide the type of disability, the percentage of disability, the payment amount, and the period of payment. The TPA issued payments are funded through SHARP. BUDGET OVERVIEW Notable Budget Changes  Chargebacks decreased by $25,000 as insurance premiums decreased significantly last year. The annual revenue appropriation for this fund is limited to service charge-backs to departments based on department experience factors, and ABAG grants to promote worker health and safety. In FY 2015/16, a $10,000 Wellness and Safety Grant from ABAG will be used for wellness promotion and training, and for safety training specifically related to the Illness and Injury Prevention Program (IIPP) such as the development of safety standards and compliance audit programs. Program costs covered in the internal service rates include program staff time, insurance premiums, and the expenditure side of the wellness and safety grants. Approximately $28,700 of staff time is budgeted to account for .10 FTE of the Human Resource Manager position and .10 FTE of the Human Resources Technician position. Staff time is required to manage various program functions, including workers compensation, safety, wellness, ergonomics, and contracts. The reimbursable ABAG SHARP Wellness and Safety Grant expenditures are budgeted for $10,000, and $600 is available for ergonomic evaluations as required during the year. As premium information is not available until after the proposed budget is prepared, expense amount reflects a conservative estimate that is updated with the final budget. CITY OF SARATOGA NON DEPARTMENTAL 294 WORKERS COMPENSATION FY 2015/16 WORKLOAD PRIORITIES Wellness Program Initiative - Continue Wellness Program Initiative (funded by ABAG Grant) to successfully minimize the exposure to incidents which may cause loss to the City or injury to its employees. The Wellness Program Initiative provides benefits to employees to increase productivity, reduce absenteeism, result in health care costs reductions, and improve morale. Return to Work, Modified Duty Program – To the extent possible and as needed, HR, department directors, managers, and line supervisors will proactively identify light duty assignments for injured employees to ensure the proposed work is compatible with restrictions that are expected to be imposed by an injured employee’s physician. Injury and Illness Prevention Program (IIPP) – Coordinate training in support of the IIPP. 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted SOURCE OF FUNDS Beginning Fund Balance Unassigned 224,103 231,966 293,719 281,642 281,642 314,525 Total Beginning Fund Balance 224,103$ 231,966$ 293,719$ 281,642$ 281,642$ 314,525$ Revenues Intergovernmental Revenues 4,287 4,453 17,433 10,000 17,567 10,000 Other Sources - - - - - - Internal Service Charges 215,000 240,000 200,000 200,000 200,000 175,000 Total Revenues 219,287$ 244,453$ 217,433$ 210,000$ 217,567$ 185,000$ TOTAL SOURCE OF FUNDS 443,390$ 476,419$ 511,152$ 491,642$ 499,209$ 499,525$ USE OF FUNDS Expenditures Salaries and Benefits 10,395 20,437 25,753 28,824 27,059 28,700 Operating Expenditures Materials & Supplies 4,699 7,865 14,381 17,567 17,567 10,000 Fees & Charges 3 78 78 80 78 80 Consultant & Contract Services 619 620 343 600 - 600 Meetings & Training - - - - - - Insurance Premiums 195,587 153,620 188,889 220,000 139,776 175,000 Operating Expenditures 200,908 162,184 203,691 238,247 157,421 185,680 Fixed Assets - - - - - - Internal Service Charges 122 79 66 201 203 175 Total Expenditures 211,425$ 182,700$ 229,510$ 267,272$ 184,683$ 214,555$ Ending Fund Balance Unassigned 231,966 293,719 281,642 224,370 314,525 284,970 Total Ending Fund Balance 231,966$ 293,719$ 281,642$ 224,370$ 314,525$ 284,970$ TOTAL USE OF FUNDS 443,390$ 476,419$ 511,152$ 491,642$ 499,209$ 499,525$ SUMMARY OF REVENUES AND EXPENDITURES CITY OF SARATOGA NON DEPARTMENTAL 295 WORKERS COMPENSATION KEY SERVICES  Minimize the City’s exposure to losses through employee work safety, wellness, and ergonomic training programs  Manage the workers compensation processes according to the California State Department of Industrial Relations (DIR) regulations  Serve on Association of Bay Area Government’s (ABAG) Shared Risk Pool (SHARP) Board and provide oversight of third party administrator (TPA)  Review injury and illness trends  Mandatory reporting of injury and illness records (OSHA log 300) and recordkeeping  Review injury and illness trends  Communicate workplace safety and health practices and ensure workplace incidences (injuries, exposures, or illnesses) are reported, investigated, and that corrective actions are taken promptly CITY OF SARATOGA NON DEPARTMENTAL 296 WORKERS COMPENSATION 2011/12 2012/13 2013/14 2014/15 2015/16 Performance Objectives and Measures Actuals Actuals Actual Estimated Budget 1. a.Managing workers compensation claims process and reporting requirements to ensure compliance with current workers compensation laws and City policies and procedures: 100%100%100%100%100% b.Regularly inspect injury claim files to insure they are up to date and all applicable information is in the file: 100%100%100%100%100% c.Keep procedures up to date and ensure employees have been trained and are well-versed in the claims process: 100%100%100%100%100% 2011/12 2012/13 2013/14 2014/15 2015/16 Activity and Workload Highlights Actuals Actuals Actual Estimated Budget 1.3 2 1 2 0 2.6 2 0 1 0 3.Number of open claims to date (since FY 1998/99):249 251 251 253 253 4.Number of closed claims to date (since FY 1998/99):246 248 248 252 252 5.Lost time in full work days:0 14 0 0 0 Provide effective, efficient, and timely claims administration, working closely with supervisors, injured workers and workers compensation insurance carrier. New claims (based on date of claim): Closed claims (based on date closed): CITY OF SARATOGA NON DEPARTMENTAL 297 GENERAL OBLIGATION BOND DEBT SERVICE FUND More than two-thirds of the electors of the City voting at a general municipal election held on March 7, 2000 approved the issuance of $15 million dollars of General Obligation Bonds to improve, renovate, and expand the Saratoga Community Library. The Series 2001 General Obligation Bonds were subsequently issued by the City of Saratoga pursuant to Chapter 4 of Division 4 of Title 4 of the California Government Code, and a resolution of the Saratoga City Council authorizing the issuance of the Bonds. Bonds constitute general obligations of the City, and the vote to approve the bond authorized the establishment of a property tax levy to fund debt service payments. The property tax levy is added to Saratoga property owner’s annual property tax bill, collected by the County Assessor, and subsequently remitted to the City. The 2001 GO Bond’s principal and interest on the bonds was established to be payable on February 1 and August 1 of each year, commencing February 1, 2002, and ending August 1, 2031. However, with interest rates falling to historic lows in the fall of 2010, Council requested the 2001 GO Bonds be refunded. The refunding was completed with the refunding effective date held until the ten year anniversary date, August 1, 2011 to eliminate the premium penalty. As with the 2001 GO Bonds, principal and interest for the new 2011 GO Bonds are payable on February 1 and August 1 of each year, commencing February 1, 2012 and ending August 1, 2031. The refunding will save Saratoga taxpayers approximately $2.7 million over twenty years. In 2011, as part of the refunding process, the City obtained an updated credit rating. The City of Saratoga was awarded an AAA issuer credit rating by Standard and Poor’s, one of the nation’s top-ranked independent credit rating agencies. Saratoga’s solid tax base and low debt burden, high property values and personal income levels, and the expectation of continued strong financial operations by the City supported this high rating and resulted in lower debt costs and savings to the Saratoga community. Subsequent reviews have continued to award the City an AAA rating. The Bank of New York Western Trust Company acts as Saratoga’s fiscal agent to administer the debt servicing of the bonds. To ensure compliance with IRS Code and US Treasury Obligations, NBS Government Services provides services related to arbitrage rebate calculations and consulting services. NBS will also assist in compliance with the annual disclosure regulations of the SEC continuing disclosure Rule 15c.2-12. BUDGET OVERVIEW The Library Bond is the City’s only bonded debt, and as a General Obligation debt, is paid for by the residents through a parcel assessment. This debt is not a financial burden to the City. In addition, no other debt obligations are anticipated at this time. The Debt Service Fund budget appropriations are restricted to revenues and expenditures solely related to the servicing of the General Obligation Bond. The City does not assume an administrative fee, or assign staff for the management of the bond’s debt service. The FY 2015/16 revenue budget reflects total levy assessments at less than the annual scheduled debt service. This underfunding is designed to reduce the fund balance reserve over time, to approximately $700,000; representing the cash needed for the August principal and interest bond payment. The levy rate is set to allow a slow, steady reduction through a stable levy rate. With property values increasing, rates have been lowered each year since FY 2010/11 as assessed values continue to increase. Budgeted expenditures reflect principal and interest payments, fees for continuing disclosure services, and financial advisor fees for the refunding. CITY OF SARATOGA NON DEPARTMENTAL 298 LIBRARY GO BOND DEBT SERVICE 2011/12 2012/13 2013/14 2014/15 2014/15 2015/16 Actuals Actuals Actuals Adjusted Actuals Adopted SOURCES OF FUNDS Beginning Fund Balance Unassigned 850,656 862,414 885,756 897,785 897,785 906,600 Total Beginning Fund Balance 850,656$ 862,414$ 885,756$ 897,785$ 897,785$ 906,600$ Revenues Taxes 930,474 890,401 900,018 850,000 897,241 845,000 Interest 2,104 1,852 1,521 1,300 1,533 1,300 Other Sources 12,454,738 - - - - - Total Revenues 13,387,316$ 892,253$ 901,539$ 851,300$ 898,774$ 846,300$ TOTAL SOURCE OF FUNDS 14,237,972$ 1,754,666$ 1,787,295$ 1,749,085$ 1,796,560$ 1,752,900$ USE OF FUNDS Expenditures Operating Expenditures - - - - - - Debt Service 13,375,558 868,910 889,510 889,985 889,960 885,085 Total Expenditures 13,375,558$ 868,910$ 889,510$ 889,985$ 889,960$ 885,085$ Operating Transfers Transfer Out - - - - - - Total Operating Transfers -$ -$ -$ -$ -$ -$ Ending Fund Balance Unassigned 862,414 885,756 897,785 859,100 906,600 867,815 Total Ending Fund Balance 862,414$ 885,756$ 897,785$ 859,100$ 906,600$ 867,815$ TOTAL USE OF FUNDS 14,237,972$ 1,754,666$ 1,787,295$ 1,749,085$ 1,796,560$ 1,752,900$ SOURCE & USE OF FUNDS CITY OF SARATOGA NON DEPARTMENTAL 299 LIBRARY GO BOND DEBT SERVICE LIBRARY GO BOND DEBT SERVICE August August February Fiscal Year Bond Fiscal Interest Annual Interest Interest Annual Debt Principal Year Rate Principal Payment Payment Interest Service Balance @ YE Bond Refunding Date - August 1, 2011 - - 11,995,000 2011/12 2.000%- - 228,211 228,211 228,211 11,995,000 2012/13 2.000%455,000 208,518 203,968 412,485 867,485 11,540,000 2013/14 2.000%485,000 203,968 199,118 403,085 888,085 11,055,000 2014/15 2.000%495,000 199,118 194,168 393,285 888,285 10,560,000 2015/16 2.000% 500,000 194,168 189,168 383,335 883,335 10,060,000 2016/17 3.000% 475,000 189,168 182,043 371,210 846,210 9,585,000 2017/18 3.000% 485,000 182,043 174,768 356,810 841,810 9,100,000 2018/19 4.000% 500,000 174,768 164,768 339,535 839,535 8,600,000 2019/20 4.000% 525,000 164,768 154,268 319,035 844,035 8,075,000 2020/21 4.000% 545,000 154,268 143,368 297,635 842,635 7,530,000 2021/22 3.000% 565,000 143,368 134,893 278,260 843,260 6,965,000 2022/23 4.000% 580,000 134,893 123,293 258,185 838,185 6,385,000 2023/24 4.000% 610,000 123,293 111,093 234,385 844,385 5,775,000 2024/25 4.000% 630,000 111,093 98,493 209,585 839,585 5,145,000 2025/26 3.500% 655,000 98,493 87,030 185,523 840,523 4,490,000 2026/27 3.500% 685,000 87,030 75,043 162,073 847,073 3,805,000 2027/28 3.700% 705,000 75,043 62,000 137,043 842,043 3,100,000 2028/29 4.000% 730,000 62,000 47,400 109,400 839,400 2,370,000 2029/30 4.000% 760,000 47,400 32,200 79,600 839,600 1,610,000 2030/31 4.000% 790,000 32,200 16,400 48,600 838,600 820,000 2031/32 4.000% 820,000 16,400 - 16,400 836,400 - TOTALS 11,995,000 2,601,993 2,621,686 5,223,678 17,218,678 Total Bond Principal 11,995,000 Total Bond Interest 5,223,678 Total Cost of Bond 17,218,678 City of Saratoga 2011 Series General Obligation Bonds Debt Schedule CITY OF SARATOGA NON DEPARTMENTAL 300 LIBRARY GO BOND DEBT SERVICE LEGAL DEBT MARGIN The California Government Code Section 43605 states: A city shall not incur an indebtedness for public improvements which exceeds in the aggregate 15 percent of the assessed value of all real and personal property of the city. Within the meaning of this section, “indebtedness” means bonded indebtedness of the city payable from the proceeds of taxes levied upon taxable property in the city. This schedule calculates the City of Saratoga’s legal debt margin by determining the 15% debt limit and comparing this limit to the City’s outstanding debt at the end of the fiscal year so as to determine the difference between the two. Only certain types of debt are subject to the legal debt limit, most prominently General Obligation Bond debt. Therefore while this schedule recognizes all types of long-term debt, the total debt is reduced by that debt not subject to the legal debt limit, as well as amounts held in sinking funds for debt repayment. The City’s debt structure is comprised of one General Obligation Bond. Assessed Secured Property Valuation for FY 2014/15 12,133,048,482$ Debt Limitation (15% of assessed value)15% Bonded Debt Limit 1,819,957,272$ Outstanding Bonded Debt at 6/30/15 2011 Series General Obligation Bond 10,560,000 TOTAL Outstanding Debt 10,560,000$ LESS Debt not subject to limit: Special Assessment Bonds - Special Revenue Bonds - Certificate of Participation Debt - Amounts held in Sinking Funds - TOTAL Debt not subject to limit: -$ Amount of Debt Subject to Limit: 10,560,000$ LEGAL DEBT MARGIN 1,809,397,272$ LEGAL DEBT MARGIN COMPUTATION FY 2015/16 301 CAPITAL IMPROVEMENT PLAN BUDGETS 302 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN 303 CAPITAL IMPROVEMENT PLAN CIP OVERVIEW The City of Saratoga’s FY 2015/16 – 2019/20 Capital Improvement Plan (CIP) represents an ongoing process through which the City identifies, prioritizes, and develops a multi-year plan for major capital expenditures and their associated funding sources, to improve and maintain the City of Saratoga’s roadways, parks, facilities, and other infrastructure. Generally CIP improvements are major expenditures that have a multi-year life, and result in becoming City assets. As a city is comprised of diverse infrastructure, the CIP is structured under four separate program areas in which projects are categorized by infrastructure type. This includes: Streets Program; Parks & Trails Program; Facilities Program; and an Administrative & Technology Improvement Program. The discrete program areas allow for further sub-classifications of projects the City is undertaking, and the tracking of resources expended for these purposes. The four programs are structured as follows:  Streets Program – includes projects which develop and maintain the City’s roadway system to provide safe and efficient traffic flows while minimizing traffic movement and noise through residential neighborhoods; street lighting for traffic safety at intersections and throughout public streets; infrastructure development and maintenance of street surfaces, storm drain systems, curbs, gutters and sidewalks; bridges and retaining walls; and roadway landscaping to maintain the quality streetscapes of the Saratoga community. Gas Tax revenues, including the reclassified Prop 142/TCR allocations and Refuse Impact Fees are dedicated funding sources for the Streets Program, with total revenues of approximately $1 million per year. Funding for projects may also come from prior year General Fund savings, from development projects requiring mitigation of impacts, from partnerships with other jurisdictions, or from federal, state, and local grants as either part of statewide initiatives or through grant applications based on specific City projects.  Parks & Trails Program - includes projects to develop and improve parks and sport fields, park structures, trails, the city plaza park, and various citywide tree planting and maintenance. Dedicated funding for the Parks Program includes a Park Development Fee collected when a development project subdivides property, and from Tree Fines collected from un-permitted tree removals. Funding may also come from prior year General Fund savings, from grants and park bond funds, and from donations. Park projects may, on occasion, include community volunteer services for minor construction and clean-up projects.  Facility Program - includes projects for purchasing, constructing or making capital repairs to City buildings, structures, and equipment. City buildings include the Civic Center and Chamber/Theater Building, the Senior/Community Center and auxiliary structures, the Corporation Yard and structures, the North Campus, the Historical Buildings including the Saratoga Museum, the McWilliams House, the Book-Go-Round. Funding is not specifically designated for this capital program; allocations generally come from General Fund prior year savings or grant funds applied to qualified improvements, such as Community Development Block Grant funds for ADA improvements. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN 304  Administrative & Technology Improvements Program – includes projects which provide operational efficiencies and improvements in the administration of City services. Administrative & Technology Improvement Projects typically include major expenditures for new systems or system upgrades, new technology equipment or services, and one-time and/or multi-year administrative projects such as converting a decades-long accumulation of microfiches, building plans, and legal documents; the development of business and community incentives; the implementation of risk management programs; and for non-recurring operational improvement projects. Revenues for administrative projects may come from the City’s Internal Service Replacement Funds, from grants, or from prior year General Fund savings. CAPITAL PROGRAM GUIDELINES The standard definition of a Capital Improvement Plan (CIP) project is for construction, acquisition, rehabilitation, or non-routine maintenance work that generally costs $25,000 or more with a minimum useful life of 5 years at a fixed location. The City also includes projects under $25,000 in the CIP if they qualify as staged or ongoing improvement projects, or if they are significant multi-year projects. Additionally, non-infrastructure projects may be included in the CIP under the Administrative & Technology programs if they are one-time, operational efficiency, technology, or multi-faceted administrative projects. The CIP endeavours to identify all funded capital improvements planned for completion within the next five years, with cost estimates based on current year dollars. Project estimates are updated each year based upon current design specifications and bid prices. Equipment, operation, and maintenance costs incurred as an outcome of CIP projects are to be identified and included in the operating budget. Under direction from the City Manager, the Public Works Department takes the lead in the preparation of most street and park projects for consideration in the current Capital Improvement Plan, and the Recreation and Facilities Department takes the lead in most Facility Program projects. Capital Administrative & Technology projects typically are recommended by the City Manager, Administrative Services, or Community Development departments as they represent non-infrastructure projects. The CIP Procedure Process Policy guides proposed projects through a proposal preparation and review process, including a review by the Planning Commission; to ensure projects are consistent with the City’s General Plan prior to Council’s final budget review. The entire Capital Budget is presented to the City Council for final review at the Budget Hearing in May, with budget approval scheduled in June. This summary overview of the CIP budget reflects the City’s capital projects plan and estimated project status as of the year end. The CIP schedules reflect estimated unexpended fund balance at the beginning of the fiscal year, the estimated funding to be received during the fiscal year (by category), and the full appropriation of all available funds to allow for either completion of projects or large encumbrances for multi-year projects . The Capital Improvement Plan also includes a number of unfunded capital projects which were brought to the Planning Commission and approved for conformance with General Plan guidelines. These planned projects will be brought to Council for budget approval at a later time, when resources becomes available. The following pages contain summary schedules and graphs illustrating the program budgets by project category and by fund for the four CIP Programs, and a list of unfunded projects. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN 305 CAPITAL PROGRAM BUDGET BY PROJECT CATEGORY Streets Program 74.4% Park & Trail Program 15.6% Facility Program 4.6% Admin & Tech Program 5.4% Adopted Category FY 2015/16 % Streets Street Repair & Resurfacing 2,051,679$ 14.1% Roadway Safety Projects 6,460,140 44.5% Street Landscaping & Beautification 43,536 0.3% Sidewalk, Curbs & Storm Drains 1,238,584 8.5% Bridge & Retaining Walls 909,205 6.3% Utility Undergrounding Projects 98,744 0.7% Total Streets 10,801,888 74.4% Parks & Trails Citywide Projects 267,863 1.8% Park Projects 1,244,414 8.6% Trail Projects 755,222 5.2% Total Parks & Trails 2,267,499 15.6% Facility Improvements Citywide Projects 105,168 0.7% Civic Center Improvements 516,380 3.6% Community Center Improvements 10,458 0.1% Saratoga Prospect Center Improvements 13,896 0.1% Village Historical Building Improvements 3,578 0.0% Library Building Improvements 15,470 0.1% Total Facility Improvements 664,950 4.6% Administrative & Technology Improvements Information Technology Projects 249,357 1.7% Community Enhancement Programs 74,000 0.5% Development Programs 320,321 2.2% Administrative Enhancement Programs 139,192 1.0% Total Administrative & Technology Improvements 782,869 5.4% TOTAL CIP BUDGET BY PROJECT CATEGORY 14,517,207$ 100% CAPITAL PROGRAM BUDGET BY PROJECT CATEGORY CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN 306 CAPITAL IMPROVEMENT PLAN BUDGET BY FUND Streets CIP Fund 17.7% Streets Grant Fund 45.9% Streets Gas Tax Fund 10.8% Parks & Trails CIP Fund 7.4% Parks & Trails In-Lieu Fees Fund 4.4% Park & Trails Grant Fund 3.4% Facility CIP Fund 4.0% Admin & Tech CIP Fund 5.4% Adopted Category FY 2015/16 % Streets 411 Streets CIP Fund 2,566,491 17.7% 431 Streets Grant Fund 6,664,187 45.9% 481 Streets Gas Tax Fund 1,571,210 10.8% Total Streets 10,801,888 74.4% Park & Trails 412 Parks & Trails CIP Fund 1,076,633 7.4% 421 Parks & Trails Tree Fund 56,248 0.4% 422 Parks & Trails In-Lieu Fees Fund 634,656 4.4% 432 Parks & Trails Grant Fund 499,963 3.4% Total Park & Trails 2,267,499 15.6% Facility Improvements 413 Facility CIP Fund 586,514 4.0% 433 Facility Grant Fund 78,436 0.6% Total Facility Improvements 664,950 4.6% Administrative & Technology Improvements 414 Admin & Tech CIP Fund 782,869 5.4% Total Administrative & Technololgy 782,869 5.4% TOTAL CIP BUDGET BY FUND 14,517,207 100% CAPITAL IMPROVEMENT PLAN BUDGET BY FUND CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN 307 UNFUNDED PROJECTS Project Title Project Descriptions Project Cost 1 Quito Road Sidewalk Improvements This project would fund sidewalk improvements along Quito Road between Highway 85 and Allendale Avenue. 150,000 2 Big Basin Way Turn Around This project would fund the design and construction of a turn around on Big Basin Way to improve traffic circulation through Saratoga Village. 500,000 650,000$ 3 Village to Hakone Trail This project would fund the design and construction of a trail along Big Basin Way from Saratoga Village to Hakone Gardens. 120,000 4 Congress Springs Park North Side Entrance This project would fund the construction of a trail connecting the residential neighborhood around Cox Avenue east of Highway 85 to the northside of Congress Springs Park. 100,000 5 Via Regina Trail This project would fund the construction of a pedestrian-equestrian trail connecting Via Regina and Villa Oaks Lane. 60,000 6 Norton/Villa Montalvo Emergency Route This project would fund the construction of an emergency access road connecting the Montalvo Arts Center parking lot with Norton Road. 1,000,000 7 Joe's Trail at Saratoga de Anza This project would fund the design and construction of a trail from Saratoga- Sunnyvale Rd. to Arroyo de Arguello. 600,000 1,880,000$ 8 Theater Improvements This project would fund the design and construction of improvements identified in the Civic Theater Master Plan. Improvements include, but are not limted to, the backstage dressing room, restroom annex, and relocation of control booths 1,000,000 9 Solar Panels at City Hall This project would fund the Installation of Solar Panels on the roof of the City Hall Administration Building in order to provide increased efficiency and energy savings. 120,000 10 Renovate Existing Stage at Community Center This project would fund ADA accessibility and storage and safety improvements to the Community Center Multi-Purpose Room Stage. Partial funding may be provided through a $10k grant from the Rotary Club. 70,000 11 Community Development Lobby Remodel This project would fund the remodel of the Community Development lobby area to allow customers to remain at a single location while appropriate staff members respond to the customer's location during the planning and building customer process, resulting in improved efficiencies and customer service. 100,000 1,330,000$ 3,860,000$ FACILITY IMPROVEMENT PROJECTS TOTAL FACILITY UNFUNDED PROJECTS TOTALS CIP UNFUNDED LIST FY 2015/16 STREET IMPROVEMENT PROJECTS TOTAL STREETS UNFUNDED PROJECTS PARK & TRAIL IMPROVEMENT PROJECTS TOTAL PARKS AND TRAILS UNFUNDED PROJECTS CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN 308 309 STREET IMPROVEMENT PROGRAM 310 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 311 STREETS PROGRAM PROGRAM DIRECTORY STREET PROGRAM SUMMARY PAGE Program Summary 313 Project List Summary 314 Project Funding Summary 315 STREET REPAIR AND RESURFACING PROJECTS 9111-001 Annual Street Resurfacing & Maintenance 318 9113-001 Residential Street Reconstruction 322 9113-002 Roadway Maintenance and Repairs 324 9113-003 EV Stations 326 ROADWAY SAFETY PROJECTS 9121-001 Roadway Safety & Traffic Calming 330 9121-003 ADA Signal Lights & Curb Cut-outs 332 9122-001 Highway 9 Safety Improvements – Phase II 334 9122-004 Highway 9 Safety Improvements – Phase III 336 9122-005 Highway 9 Safety Improvements – Phase IV 338 9122-006 Prospect/Saratoga OBAG Improvements 340 9122-007 Citywide Signal Upgrades Project - Phase II 342 9122-008 Big Basin Way Turnaround 344 9122-009 Beaumont Traffic Circle 346 STREET LANDSCAPE & BEAUTIFICATION IMPROVEMENTS 9133-001 Fruitvale Avenue Median 350 9138-001 Village LED Streetlights 352 SIDEWALK, CURBS & STORM DRAIN PROJECTS 9141-001 Annual Sidewalk Repairs 356 9141-002 Annual Storm Drain Upgrades 358 9141-004 Curb and Gutter Maintenance and Repairs 360 9142-004 Village Sidewalk & Pedestrian Enhancements 362 9142-005 Saratoga Avenue Sidewalk 364 9142-010 Village Sidewalk & Pedestrian Enhancements Phase II – Design 366 9142-011 Village Sidewalk & Pedestrian Enhancements Phase II – Construction 368 9142-012 Arroyo de Arguello Outfall Repair 370 9142-013 Quito Road Storm Drain 372 9142-014 OBAG Big Basin Way Sidewalk, Curb & Gutter Repair 374 9142-015 El Camino Grande Storm Drain Repair 376 9142-016 Saratoga Hills Storm Drain Improvements 378 9142-017 Long Term Trash Plan Storm Drain Capture Devices 380 9142-018 Wildcat Creek Outfall Repair 382 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 312 BRIDGE AND RETAINING WALLS 9152-001 Fourth Street Bridge 386 9152-002 Quito Road Bridges Replacement 388 9152-003 Bridge Maintenance and Repairs 392 STREET UNDERGROUNDING PROJECTS 9171-001 Rule 20A Electric Undergrounding Conversion Projects 396 9171-002 Quito Road Electric Undergrounding Project 398 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 313 STREET PROGRAM SUMMARY The Capital Improvement Plan’s Streets Program provides for a safe and functional roadway and pedestrian street system. Projects within the Street Program are classified by their primary scope of work into six project categories:  Street Resurfacing, Repair & Maintenance Projects  Roadway Safety Improvements  Street Landscape & Beautification Improvements  Sidewalks, Curbs & Storm Drain Improvements  Bridge & Hillside Support Projects  Utility Undergrounding Projects Street Resurfacing, Repair & Maintenance Projects – consist of projects that primarily repave and improve roadway surfaces. Projects include resurfacing for neighborhood, collector, and arterial streets on a priority basis. Funding is added to the ongoing street resurfacing project each year as available. Individual Street Repair & Resurfacing projects may be established when grants are provided for specifically identified sections of roadway. Roadway Safety Improvements – consists of projects that improve roadway safety factors. Roadway safety improvement projects include small site-specific improvement items that include signs, striping, and curbs as directed by the Traffic Safety Commission; ADA projects for accessibility enhancements, such as curb ramps and audible signals; refuge lanes for traffic merging; railroad crossing improvements; radar feedback signs; and larger safety projects, such as the bicycle and pedestrian safety improvements made to Highway 9. Street Landscape & Beautification Improvements – consist of projects that improve the visual component of streets. This includes median landscape improvements, city entrance signs, tree lighting, sidewalk furniture, and accessories such as trash receptacles and news rack stands. Sidewalk, Curbs, Gutters & Storm Drains – consist of sidewalk improvement and repair projects; curb, gutter, and storm drain improvements; and pedestrian safety improvement projects. These projects are both general and specific, depending on funding sources. Bridge & Hillside Support Projects – consist of projects that repair, replace, or rehabilitate deficient bridge structures or provide support for hillside roadways. Bridge structures fall under the guidance of federal and state regulations, and are often funded by these regulatory agencies, such as Caltrans or the Federal Highway Bridge Replacement and Rehabilitation Program (HBBR). Hillside Support projects are generally funded through transfers from the General Fund. Utility Undergrounding Projects – consist of projects that move aboveground utilities underground, such as electric, cable, and telephone lines. Funding for these projects varies, but a significant funding source is Pacific Gas, & Electric’s Rule 20A Program. The following pages include a list of the Street Program’s capital projects, summary funding by account classification, and individual project pages for each of the funded projects in this capital program. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 314 PROJECT LIST SUMMARY With the addition of the following six new projects, there are a total of twenty nine active funded projects for FY 2015/16:  Roadway Maintenance and Repairs  Residential Street Reconstruction  Beaumont Traffic Circle  Curb and Gutter Maintenance and Repairs  Bridge Maintenance and Repairs  Electric Vehicle Stations The following five projects were finalized or discontinued in FY 2014/15:  Hwy 9 Safety Improvements – Phase II  Hwy 9 Safety Improvements – Phase III  Big Basin Way Turnaround  Fruitvale Avenue Median  Village SW/CG Phase II - Design PY FY Total Expended 2014/15 Expended Project STREETS PROJECT EXPENDITURE SUMMARY To Date Estimated To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expenditures Street Repair & Resurfacing Projects 9111-001 Annual Street Resurfacing 7,633,928 927,807 8,561,735 1,108,068 - - - - 9,669,802 9113-001 Residential Street Construction - 56,388 56,388 543,612 - - - - 600,000 9113-002 Roadway Maintenance and Repairs - - - 375,000 - - - - 375,000 9113-003 EV Stations - - - 25,000 - - - - 25,000 Roadway Safety Improvements 9121-001 Roadway Safety & Traffic Calming 440,600 24,491 465,091 77,114 50,000 50,000 50,000 50,000 742,205 9121-003 CDBG - ADA Signal Lights 188,286 - 188,286 71,337 - - - - 259,623 9122-001 Highway 9 Safety Improvements - Phase II 1,475,837 144,241 1,620,078 closed - - - - 1,620,078 9122-004 Highway 9 Safety Improvements - Phase III 525,297 13,317 538,614 closed - - - - 538,614 9122-005 Highway 9 Safety Improvements - Phase IV - 27,378 27,378 1,032,019 - - - - 1,059,396 9122-006 Prospect/Saratoga OBAG Improvements - - - 4,750,825 - - - - 4,750,825 9122-007 Citywide Signal Upgrade Project Phase II - 1,155 1,155 498,845 - - - - 500,000 9122-008 Big Basin Way Turn Around - - - closed - - - - - 9122-009 Beaumont Traffic Circle - - 30,000 - - - - 30,000 Street Landscape & Beautification Projects 9133-001 Fruitvale Avenue Median 143,894 12,718 156,612 closed - - - - 156,612 9138-001 Village LED Streetlights 404,227 1,500 405,727 43,536 - - - - 449,263 Sidewalks, Curbs & Gutters 9141-001 Annual Sidewalk Repairs 393,250 42,734 435,984 96,702 50,000 50,000 50,000 50,000 732,686 9141-002 Annual Storm Drain Repairs 312,613 51,547 364,160 59,352 50,000 50,000 50,000 50,000 623,512 9141-004 Curb and Gutter Maint & Repairs - - - 50,000 - - - - 50,000 9142-004 Village S/W & Pedestrian Enhancemts 1,128,735 - 1,128,735 114,875 - - - - 1,243,610 9142-005 Saratoga Avenue Sidewalk 113,571 91,055 204,626 31,971 - - - - 236,597 9142-010 Village SW/C/G - Phase II Design 186,427 13,363 199,790 closed - - - - 199,790 9142-011 Village SW/C/G Phase II Construction 99,655 657,744 757,399 363,816 - - - - 1,121,215 9142-012 Arroyo de Arguello Outfall Repair - 36,122 36,122 33,878 - - - - 70,000 9142-013 Quito Road /Paseo Olivos Storm Drain - - - 40,000 - - - - 40,000 9142-014 OBAG SCG Sidewalk Repair - - - 183,990 - - - - 183,990 9142-015 El Camino Grande Storm Drain Pump - - - 150,000 - - - - 150,000 9142-016 Saratoga Hills Storm Drain Improvements - - - 44,000 - - - - 44,000 9142-017 Long Term Trash Plan Capture Devices - - - 30,000 - - - - 30,000 9142-018 Wildcat Creek Outfall Repair - - - 40,000 - - - - 40,000 Bridges & Retaining Walls 9152-001 4th Street Bridge 1,078 - 1,078 585,922 - - - - 587,000 9152-002 Quito Road Bridges 727,735 221,069 948,804 273,283 - - - - 1,222,087 9152-003 Bridge Maintenance and Repairs - - - 50,000 - - - - 50,000 Utility Undergrounding Project 9171-001 Rule 20A Fund Project - - - - - - - - - 9171-002 Quito Road Undergrounding Project - - - 98,744 - - - - 98,744 Total Project Expenditures 14,518,271 2,322,630 16,840,900 10,801,888 150,000 150,000 150,000 150,000 28,242,788 Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 315 STREET IMPROVEMENT PROGRAM FUNDING SUMMARY Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREETS FUND State Roadway Allocations 580,665 - 580,665 - - - - - 580,665 Road/Refuse Impact Fees 2,053,623 62,989 2,116,611 218,645 - - - - 2,335,256 CIP Project Reimbursements 204,114 30,240 234,353 217,698 - - - - 452,051 Contributions/Assessments 938,684 12,718 951,402 - - - - - 951,402 Transfer In - General Fund 1,757,464 670,000 2,427,464 1,088,760 150,000 150,000 150,000 150,000 4,116,224 Transfer In - Other CIP 689,150 61,010 750,160 - - - - - 750,160 Transfer In - Gas Tax 90,000 - 90,000 - - - - - 90,000 Transfer In - L&L 213,178 - 213,178 - - - - - 213,178 GRANT FUND Federal Grants 2,853,954 651,094 3,505,048 1,774,324 - - - - 5,279,371 State Grants 954,930 100,273 1,055,203 4,481,569 - - - - 5,536,772 Local Grants 8,494 - 8,494 400,000 - - - - 408,494 Transfer In - Other CIP 466,818 - 466,818 - - - - - 466,818 GAS TAX FUND Gas Tax Revenue 5,001,098 764,036 5,765,134 682,717 - - - - 6,447,851 Transfer In - Other CIP 430,676 149,990 580,666 33,878 - - - - 614,544 TOTAL REVENUES 16,242,848 2,502,350 18,745,197 8,897,591 150,000 150,000 150,000 150,000 28,242,787 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREETS FUND Salary & Benefits 426,472 106,646 533,118 - - - - - 533,118 Site Acquisition & Prep 19,356 - 19,356 - - - - - 19,356 Materials & Supplies 248,409 5,170 253,579 - - - - - 253,579 Fees & Expenses 35,645 4,734 40,379 - - - - - 40,379 Consultant/Contract Svs 549,176 62,317 611,493 - - - - - 611,493 Construction Expenses 3,871,600 355,636 4,227,236 2,566,491 150,000 150,000 150,000 150,000 7,393,728 Reimbursable Expenses 1,858 - 1,858 - - - - - 1,858 Transfers Out 574,417 61,010 635,427 - - - - - 635,427 GRANT FUND Salary & Benefits 47,312 - 47,312 - - - - - 47,312 Site Acquisition & Prep 77,423 27,089 104,513 - - - - - 104,513 Materials & Supplies 150,936 - 150,936 - - - - - 150,936 Fees & Expenses 19,704 - 19,704 - - - - - 19,704 Consultant/Contract Svs 775,792 81,223 857,015 - - - - - 857,015 Construction Expenses 2,719,649 632,865 3,352,513 6,664,187 - - - - 10,016,700 Reimbursable Expenses 28,459 - 28,459 - - - - - 28,459 Transfers Out 466,818 - 466,818 - - - - - 466,818 GAS TAX FUND - Site Acquisition & Prep - 11,375 11,375 11,375 Materials & Supplies 80,019 62,965 142,985 - - - - - 142,985 Fees & Expenses 2,730 777 3,507 - - - - - 3,507 Consultant/Contract Svs 10,330 112,270 122,600 - - - - - 122,600 Project Equip & Fixtures 44,790 1,635 46,425 - - - - - 46,425 Construction Expenses 3,625,378 796,915 4,422,293 1,537,332 - - - - 5,959,625 Transfers Out 742,000 - 742,000 33,878 - - - - 775,878 TOTAL EXPENDITURES 14,518,271 2,322,630 16,840,900 10,801,888 150,000 150,000 150,000 150,000 28,242,787 FY Total 2014/15 Estimated Project TOTAL ALL FUND SUMMARY Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity BEGINNING BALANCE 1,724,577 1,904,297 - - - - Revenues & Transfers In 16,242,848 2,502,350 18,745,197 8,897,591 150,000 150,000 150,000 150,000 28,242,787 Expenditures & Transfers Out 14,518,271 2,322,630 16,840,900 10,801,888 150,000 150,000 150,000 150,000 28,242,787 ENDING BALANCE 1,724,577 1,904,297 1,904,297 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 316 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 317 STREET REPAIR & RESURFACING PROJECTS CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 318 STREET REPAIR & RESURFACING PROJECTS Project Name Street Resurfacing & Maintenance Project Number 9111-001 Department Public Works Project Manager John Cherbone Description This project funds ongoing street resurfacing and maintenance in order to maintain the City’s pavement infrastructure. Location This is a Citywide project that is conducted throughout the fiscal year. Project Background Every two to three years, an engineering consultant conducts an assessment of City roads using the Paving Condition Index (PCI). The PCI is based on a scale of 0 to 100, with the overall score used to indicate the average of the City’s road conditions. The scale ranges from 0 for roads which have failed , to 100 for roads in excellent condition. Scores are classified into five categories: Category Score “Very Poor” 0-25 “Poor” 25-49 “Good” 50-69 “Very Good” 70-89 “Excellent” 90-100 The City uses this assessment to prioritize and schedule streets and arterial roads in the worst condition for resurfacing. With a total of 135 miles of roadway in Saratoga, most street resurfacing work is performed by contractors; staff conducts minor repairs to roadways when practical. Resurfacing streets on a regular basis extends the lifetime of the roadways and minimizes the need for larger and more costly projects in the future. Keeping the streets in good condition also reduces liability risks and staff time for minor repairs. In-house project management and oversight is funded through the General Fund under the Engineering and Street Program staff time in the Operating Budget. Operating Budget Impacts Engineering, administrative, and maintenance staff costs for oversight and implementation of the various projects are incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 319 STREET REPAIR & RESURFACING PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Project Development Ongoing Prepare plans and specifications Begin Bid Process Ongoing Invite contractors to bid on the project Contract Award Ongoing Award contract Estimated Construction Start Ongoing Construction project begins Estimated Completion Date Ongoing Specified project work is completed ANNUAL STREET RESURFACING 9111-001 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND State DOT Prop 42 (TCR) 580,665 - 580,665 - - - - - 580,665 Road/Refuse Impact Fees 2,053,623 62,989 2,116,611 218,645 - - - - 2,335,256 Project Reimbursements 70,649 - 70,649 - - - - - 70,649 Transfers In - General Fund - - - 64,760 - - - - 64,760 Transfers In - Other CIP 44,073 - 44,073 - - - - - 44,073 TOTAL 2,749,010 62,989 2,811,999 283,405 - - - - 3,095,403 GRANT FUNDS State - Prop 1B 466,818 - 466,818 - - - - - 466,818 TOTAL 466,818 - 466,818 - - - - - 466,818 GAS TAX FUND Gas Tax - HUTA 3,567,123 425,473 3,992,596 537,784 - - - - 4,530,380 Gas Tax - 7360 (TCR swap) 1,383,976 338,563 1,722,538 144,933 - - - - 1,867,471 Transfers In (324,149) - (324,149) 33,878 - - - - (290,271) TOTAL 4,626,949 764,036 5,390,985 716,595 - - - - 6,107,580 TOTAL REVENUES 7,842,777 827,025 8,669,802 1,000,000 - - - - 9,669,802 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND EXP Salary & Benefits 423,201 100,149 523,349 - - - - - 523,349 Materials & Supplies 123,434 (12.10) 123,422 - - - - - 123,422 Fees & Expenses 14,619 - 14,619 - - - - - 14,619 Consultant/Contract Svs 118,035 - 118,035 - - - - - 118,035 Construction Expenses 1,794,173 - 1,794,173 283,405 - - - - 2,077,578 Transfers Out 238,400 - 238,400 - - - - - 238,400 TOTAL 2,711,862 100,136.42 2,811,999 283,405 - - - - 3,095,404 GRANT FUND EXP Transfers Out 466,818 - 466,818 - - - - - 466,818 TOTAL 466,818 - 466,818 - - - - - 466,818 GAS TAX EXP Materials & Supplies 72,930 62,878 135,808 - - - - - 135,808 Fees & Expenses 2,730 364 3,094 - - - - - 3,094 Consultant/Contract Svs 10,330 2,000 12,330 - - - - - 12,330 Project Equip & Fixtures 23,662 1,635 25,297 - - - - - 25,297 Construction Expenses 3,603,595 760,793 4,364,388 824,663 - - - - 5,189,051 Transfers Out 742,000 - 742,000 - - - - - 742,000 TOTAL 4,455,247 827,670 5,282,918 824,663 - - - - 6,107,581 TOTAL EXPENDITURES 7,633,928 927,807 8,561,734 1,108,068 - - - - 9,669,802 Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 320 STREET REPAIR & RESURFACING PROJECTS ANNUAL STREET RESURFACING – CONTINUED 9111-001 Prior FY Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND Beginning Balance 37,147 - - - - - - Revenues & T/I 2,749,010 62,989 2,811,999 283,405 - - - - 3,095,404 Expenditures & T/O 2,711,862 100,136 2,811,999 283,405 - - - - 3,095,404 Ending Balance 37,147 - - - - - - - - GRANT FUND Beginning Balance - - - - - - - Revenues & T/I 466,818 - 466,818 - - - - - 466,818 Expenditures & T/O 466,818 - 466,818 - - - - - 466,818 Ending Balance - - - - - - - - - GAS TAX FUND Beginning Balance 171,702 108,068 - - - - - Revenues & T/I 4,626,949 764,036 5,390,985 716,595 - - - - 6,107,580 Expenditures & T/O 4,455,247 827,670 5,282,918 824,663 - - - - 6,107,580 Ending Balance 171,702 108,068 108,068 - - - - - - TOTAL BALANCE 208,850 108,068 108,068 - - - - - - Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 321 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 322 STREET REPAIR & RESURFACING PROJECTS Project Name Residential Street Reconstruction Project Number 9113-001 Department Public Works Project Manager John Cherbone Description This project will fund the reconstruction of streets that have deteriorated beyond the scope of annual resurfacing maintenance methods. Location Residential streets identified for reconstruction include Harper Avenue, Palmtag Drive, Brookview Drive, McFarland Avenue, and Devon Avenue. Other streets will be added to the list depending on construction costs and available funding. Project Background This project represents a $300,000 commitment of City funds t hat will repair severely damaged streets which cannot be maintained by resurfacing methods. Over the years, curbs and gutters are damaged by impacts and large tree roots and the asphalt covered roadways deteriorate from water runoff, weather, and everyday vehicle use. If streets are not maintained in a timely manner, or if circumstances deteriorate streets rapidly, severe damage may occur. Costs to repair streets vary depending on the type of repair and the dimensions of the specific street. Street reconstruction requires removing and replacing curb s and gutters, constructing a new roadway to allow for proper drainage, and repaving the asphalt roadway. The City plans to repair one major street each year. Operating Budget Impacts Engineering, administrative, and maintenance staff costs for oversight and implementation of the various projects are incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 323 STREET REPAIR & RESURFACING PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Design Phase N/A Begin Design Prepare Agreements March 2015 Prepare Agreement Estimated Construction Start May 2015 Begin Construction Estimated Completion Date June 2016 Project is Complete RESIDENTIAL STREET CONSTRUCTION 9113-001 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - General Fund - 300,000 300,000 300,000 - - - - 600,000 TOTAL REVENUES - 300,000 300,000 300,000 - - - - 600,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Salary & Benefits - 4,935 4,935 - - - - - 4,935 Materials & Supplies - 1,503 1,503 - - - - - 1,503 Fees & Expenses - 1,329 1,329 - - - - - 1,329 Construction Expenses - 48,621 48,621 543,612 - - - - 592,232 TOTAL EXPENDITURES - 56,388 56,388 543,612 - - - - 600,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING BALANCE - 243,612 - - - - - Revenues & T/I - 300,000 300,000 300,000 - - - - 600,000 Expenditures & T/O - 56,388 56,388 543,612 - - - - 600,000 ENDING BALANCE - 243,612 243,612 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 324 STREET REPAIR & RESURFACING PROJECTS Project Name Roadway Maintenance and Repairs Project Number 9113-002 Department Public Works Project Manager John Cherbone Description This project includes traffic light repair, striping and signage, curb and gutter repairs, street materials and miscellaneous roadway repairs. Location Roadways to be repaired are located throughout the City Project Background As a result of the downturn in the economy, funds normally used for Annual Street Resurfacing projects were used for traffic light repairs, striping and signage, curb & gutter repairs, street materials, and miscellaneous roadway repairs. With these funds being used for other street purposes, the surface areas of the City’s roads have deteriorated over the past five years. The City has utilized grant awards to address maintenance and repairs along the City’s arterial roadways with great effectiveness, however, maintenance on collectors and residential streets have backlogged. This project represents an initial $375,000 commitment to address maintenance issues on the City’s collector and residential streets. Streets that are not maintained on a regular basis may suffer severe damage resulting in costly road reconstruction. This project is funded by a transfer from the General Fund CIP Reserve. Operating Budget Impacts Engineering, administrative, and maintenance staff costs for oversight and implementation of the various projects are incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 325 STREET REPAIR & RESURFACING PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Design Phase To Be Determined Prepare Agreements To Be Determined Estimated Construction Start To Be Determined Estimated Completion Date To Be Determined ROADWAY MAINTENANCE & REPAIRS 9113-002 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - General Fund - - - 375,000 - - - - 375,000 TOTAL REVENUES - - - 375,000 - - - - 375,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Construction Expenses - - - 375,000 - - - - 375,000 TOTAL EXPENDITURES - - - 375,000 - - - - 375,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING BALANCE - - - - - - - Revenues & T/I - - - 375,000 - - - - 375,000 Expenditures & T/O - - - 375,000 - - - - 375,000 ENDING BALANCE - - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 326 STREET REPAIR & RESURFACING PROJECTS Project Name EV Charging Stations Project Number 9113-003 Department Public Works Project Manager John Cherbone Description This project will provide matching funds for grants that will fund the installation of Electronic Vehicle (EV) charging stations in the City Location Stations to be installed in locations throughout the City Project Background This $25,000 project represents matching funds for grants related to the installation of additional EV charging stations in the City. The City desires to install additional EV charging stations with emphasis on other locations within Saratoga Village. The City currently has 4 electronic vehicle charging stations with two locations in Saratoga Village, and one location at the Saratoga Library and City Hall, respectively. . This project is funded by a transfer from the General Fund Operating Budget Impacts Engineering, administrative, and maintenance staff costs for oversight and implementation of the various projects are incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 327 STREET REPAIR & RESURFACING PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Grant Application To Be Determined Awaiting grant opportunities Notice of Grant Award To Be Determined Estimated Construction Start To Be Determined Estimated Completion Date To Be Determined ELECTRONIC VEHICLE CHARGING STATIONS 9113-003 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - General Fund - - - 25,000 - - - - 25,000 TOTAL REVENUES - - - 25,000 - - - - 25,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Construction Expenses - - - 25,000 - - - - 25,000 TOTAL EXPENDITURES - - - 25,000 - - - - 25,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING BALANCE - - - - - - - Revenues & T/I - - - 25,000 - - - - 25,000 Expenditures & T/O - - - 25,000 - - - - 25,000 ENDING BALANCE - - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 328 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 329 ROADWAY SAFETY PROJECTS CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 330 ROADWAY SAFETY PROJECTS Project Name Roadway Safety & Traffic Calming Project Number 9121-001 Department Public Works Project Manager Mainini Cabute Description In conjunction with the Traffic Safety Commission (TSC), this project funds traffic calming improvements that include the installation of roadway devices which enhance pedestrian and roadway safety. Location This is a Citywide project; locations vary depending on prioritized projects for the year. Project Background This project represents an annual transfer of $50,000 of City funds in order to make roads safer. Projects are primarily focused on decreasing driver speed and making pedestrians more visible, resulting in the reduction of the number of accidents in the City. The Traffic Safety Commission (TSC) and staff meet on a bi-monthly basis to review and assess traffic concerns throughout the City. Concerned residents may also attend these meetings to provide input and request improvements. Most TSC recommended improvements are small and fall within the scope of the operating budget. Occasionally, more costly remediation is warranted and roadway safety and traffic calming funds are used. The most common uses of these funds are for traffic calming improvements such as speed bumps, radar signs, median chokers, and bulb-outs that slow traffic and increase pedestrian safety. Unfunded traffic projects on the CIP list are reviewed each year by the TSC and prioritized according to safety and proximity to schools. Locations identified for Fiscal Year 2015/16 include Arroyo De Arguello, Thelma Avenue and Hammons Avenue, Tweed Court and Scotland Drive and o thers as they are determined by the Traffic Safety Commission and the City Traffic Engineer. Improvements include striping, signage, education and direct enforcement. Operating Budget Impacts Engineering, administrative, and maintenance staff costs for oversight and implementation of the various projects are incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 331 ROADWAY SAFETY PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Project Development Ongoing Prepare plans and specifications Begin Bid Process Ongoing Invite contractors to bid on the project Contract Award Ongoing Award contract Estimated Construction Start Ongoing Construction project begins Estimated Completion Date Ongoing Project is completed ROADWAY SAFETY & TRAFFIC CALMING 9121-001 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Project Reimbursement - 850 850 - - - - - 850 Transfers In - General Fund 441,355 50,000 491,355 50,000 50,000 50,000 50,000 50,000 741,355 TOTAL REVENUES 441,355 50,850 492,205 50,000 50,000 50,000 50,000 50,000 742,205 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Materials & Supplies 63,727 - 63,727 - - - - - 63,727 Fees & Expenses 310 - 310 - - - - - 310 Consultant/Contract Svs 106,920 19,606 126,526 - - - - - 126,526 Construction Expenses 269,642 4,885 274,527 77,114 50,000 50,000 50,000 50,000 551,641 TOTAL EXPENDITURES 440,600 24,491 465,091 77,114 50,000 50,000 50,000 50,000 742,205 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING BALANCE 755 27,114 - - - - - Revenues & T/I 441,355 50,850 492,205 50,000 50,000 50,000 50,000 50,000 742,205 Expenditures & T/O 440,600 24,491 465,091 77,114 50,000 50,000 50,000 50,000 742,205 ENDING BALANCE 755 27,114 27,114 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 332 ROADWAY SAFETY PROJECTS Project Name ADA Signal Lights & Curb Cut-outs Project Number 9121-003 Department Public Works Project Manager Macedonio Nunez Description This project will complete ADA improvements to existing signalized intersections throughout Saratoga. Location This project will upgrade the 15 signalized intersections with traffic signals throughout the City. Project Background Pushbuttons at the City’s 15 signalized intersections will be replaced with “vibrotactile” buttons for the visually impaired. A vibrotactile type of pedestrian signal has pushbuttons that vibrate when the “WALK” signal is on, indicating to visually impaired pedestrians when to cross the street. This project will also improve the intersection’s ramps, curbs, and crosswalks to comply with ADA requirements. Crosswalks will be added or repainted where needed; and ramps and curbs will be rebuilt to meet accessibility standards. These improvements will reduce City liability associated with pedestrian accidents. Improvements and upgrades will be performed by contractors. As Community Development Block Grant (CDBG) funding becomes available, more intersections will be upgraded until all City signalized intersections have been completed. At this time, additional CDBG funding is not available for this project. This project is on hold until an alternative funding source, or additional CDBG funding is identified and secured. Operating Budget Impacts Engineering staff time for project design and oversight will be incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 333 ROADWAY SAFETY PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Project Development On Hold Prepare plans and specifications Begin Bid Process On Hold Invite contractors to bid on the project Contract Award On Hold Award contract Estimated Construction Start On Hold Construction project begins Estimated Completion Date On Hold Project is completed ADA SIGNAL LIGHTS & CURB CUT-OUTS 9121-003 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfer In - From General Fund 188,286 - 188,286 - - - - - 188,286 TOTAL 188,286 - 188,286 - - - - - 188,286 GRANT FUNDS CDBG - ADA Grant - - - 71,337 - - - - 71,337 TOTAL - - - 71,337 - - - - 71,337 TOTAL REVENUES 188,286 - 188,286 71,337 - - - - 259,623 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Fees & Expenses 1,023 - 1,023 - - - - - 1,023 Consultant/Contract Svs 83,816 - 83,816 - - - - - 83,816 Construction Expenses 103,447 - 103,447 - - - - - 103,447 TOTAL 188,286 - 188,286 - - - - - 188,286 GRANT FUNDS Construction Expenses - - - 71,337 - - - - 71,337 TOTAL - - - 71,337 - - - - 71,337 TOTAL EXPENDITURES 188,286 - 188,286 71,337 - - - - 259,623 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING FUND BAL - - - - - - Revenues & T/I 188,286 - 188,286 - - - - - 188,286 Expenditures & T/O 188,286 - 188,286 - - - - - 188,286 ENDING FUND BALANCE - - - - - - - - - GRANT FUNDS BEGINNING BALANCE - - - - - - - Revenues & T/I - - - 71,337 - - - - 71,337 Expenditures & T/O - - - 71,337 - - - - 71,337 ENDING BALANCE - - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 334 ROADWAY SAFETY PROJECTS Project Name Highway 9 Safety Improvements – Phase II Project Number 9122-001 Department Public Works Project Manager Iveta Harvancik Description A multi-agency pedestrian and bicycle safety improvement project to enhance the safety of the Highway 9 corridor, which links the communities of Saratoga, Monte Sereno, and Los Gatos. Location Improvements will be made along a 3.5 miles stretch of Highway 9 between Oak Street in Saratoga, through Monte Sereno and up to the Los Gatos Town limit, which begins just after Rose Avenue. Project work will start at the outer project limits and work inward. Project Background As a result of several accidents on Highway 9, Saratoga, Monte Sereno, and Los Gatos participated in a feasibility study to add bicycle lanes and pedestrian paths along the Highway 9 corridor. An ad hoc committee comprised of two Council members from each jurisdiction was formed to accept public input on development of a master plan for Highway 9 safety improvements. The Saratoga City Council approved the master plan in April 2007. Due to limited funding sources, the project has been divided into phases. Phase I was administered by the Town of Los Gatos and included installation of bicycle lanes on both sides of Highway 9 between Saratoga and Los Gatos. Additionally, two pedestrian-activated lighted crosswalks were installed. The improvements were completed in 2008 and were funded by a federal Congestion Mitigation and Air Quality (CMAQ) grant and matching funds from the cities. Phase II is managed by Saratoga and is partially funded from remaining Phase 1 CMAQ funds and a Highway Safety Improvement Program (HSIP) grant. Phase II will include installation of pedestrian pathways, curbs, retaining walls, driveway modifications, crosswalks, signage, and striping on Highway 9 between Saratoga and Monte Sereno. This phase was completed in Fiscal Year 2014/15. Phase III included improvements to the Austin Way and Highway 9 intersection and additional bicycle improvements on Highway 9. Phase III was completed in Fiscal Year 2014/15. Phase IV will complete the interior section of the project. Operating Budget Impacts Project management, engineering oversight, and grant reporting costs were incorporated into the operating budget. Now complete, the City will see a minimal increase in maintenance costs associated with the upkeep of pathways, retaining walls, and curbs. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 335 ROADWAY SAFETY PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Bid Process April 2012 Council approves plans and authorizes bidding the project Contract Award June 2012 Council awards contract Construction Start July 2012 Construction project begins Completion Date December 2014 Project is completed HIGHWAY 9 SAFETY IMPROVEMENTS PHASE II 9122-001 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Project Reimbursements 33,610 40,587 74,197 - - - - - 74,197 Community Benefit Assess 8,200 - 8,200 - - - - - 8,200 Transfers In - General Fund 85,960 - 85,960 - - - - - 85,960 Transfers In - Other CIP 90,000 - 90,000 - - - - - 90,000 TOTAL 217,770 40,587 258,357 - - - - - 258,357 GRANT FUND Federal - HSIP Grant 803,900 95,821 899,721 - - - - - 899,721 Federal CMAQ 458,325 3,675 462,000 - - - - - 462,000 TOTAL 1,262,225 99,496 1,361,721 - - - - - 1,361,721 TOTAL REVENUES 1,479,995 140,084 1,620,078 - - - - - 1,620,078 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Salary & Benefits 3,271 1,562 4,833 - - - - - 4,833 Fees & Expenses 1,647 - 1,647 - - - - - 1,647 Consultant/Contract Svs 58,842 - 58,842 - - - - - 58,842 Construction Expenses 101,801 - 101,801 - - - - - 101,801 Transfers Out 46,154 45,079 91,233 - - - - - 91,233 TOTAL 211,716 46,641 258,357 - - - - - 258,357 GRANT FUND Salary & Benefits 29,369 - 29,369 - - - - - 29,369 Fees & Expenses 12,515 - 12,515 - - - - - 12,515 Consultant/Contract Svs 448,504 - 448,504 - - - - - 448,504 Construction Expenses 773,734 97,600 871,334 - - - - - 871,334 TOTAL 1,264,121 97,600 1,361,721 - - - - - 1,361,721 TOTAL EXPENDITURES 1,475,837 144,241 1,620,078 - - - - - 1,620,078 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND Beginning Balance 6,054 - - - - - - Revenues & T/I 217,770 40,587 258,357 - - - - - 258,357 Expenditures & T/O 211,716 46,641 258,357 - - - - - 258,357 Ending Balance 6,054 - - - - - - - - GRANT FUND Beginning Balance (1,896) - - - - - - Revenues & T/I 1,262,225 99,496 1,361,721 - - - - - 1,361,721 Expenditures & T/O 1,264,121 97,600 1,361,721 - - - - - 1,361,721 Ending Balance (1,896) - - - - - - - - ENDING BALANCE 4,158 - 1,361,721 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 336 ROADWAY SAFETY PROJECTS Project Name Highway 9 Safety Improvements - Phase III Project Number 9122-004 Department Public Works Project Manager Iveta Harvancik Description A multi-agency pedestrian and bicycle safety improvement project to enhance the safety of the Highway 9 corridor, which links the communities of Saratoga, Monte Sereno, and Los Gatos through additions of bicycle lanes and line of sight improvements. Location Austin Way and Highway 9 and other locations along Highway 9 within the city limits of Saratoga. Project Background This project marks Phase III of safety improvements to the Highway 9 corridor that stretches from Saratoga to Los Gatos. The improvements were initiated following several serious accidents on Highway 9. Phase III realigned the Austin Way and Highway 9 intersection to improve motorists view of bicyclists. The project installed a median at Austin Way, bicycle loops at the signalized intersections along the Highway 9 corridor, and widened Highway 9 in Los Gatos to accommodate a bicycle lane. The project is expected to make it safer for bicyclists traveling along this section of Highway 9. Most of the funding for this phase came from State Proposition 116 monies. Proposition 116 was a 1990 $1.852 billion bond measure that included $20 million of capital outlay for bicycle improvement projects that improve safety and convenience for bicycle commuters. This phase was completed in Fiscal Year 2014/15. Phase I of Highway 9 safety improvements was administered by the Town of Los Gatos and included installation of bicycle lanes on both sides of Highway 9 between Saratoga and Los Gatos. Additionally, two pedestrian-activated lighted crosswalks were installed. The improvements were completed in 2008 and were funded by a federal Congestion Mitigation and Air Quality (CMAQ) grant and matching funds from the cities. Phase II will be managed by the City of Saratoga and will include installation of pedestrian pathways, curbs, retaining walls, driveway modifications, crosswalks, signage, and striping between Saratoga and Los Gatos on Highway 9. Phase II improvements will be continued into Phase IV. Operating Budget Impacts Project management, engineering oversight, and grant reporting costs were incorporated into the operating budget. Now complete, the City will see a minimal increase in maintenance costs associated with the upkeep of pathways, retaining walls, and curbs. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 337 ROADWAY SAFETY PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase March 2011 Prepare plans and specifications Begin Bid Process October 2011 Council approves plans and authorizes bidding the project Contract Award December 2011 Council awards contract Estimated Construction Start March 2012 Construction project begins Estimated Completion Date December 2014 Project is completed HIGHWAY 9 SAFETY IMPROVEMENTS – PHASE III 9122-004 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Project Reimbursements 39,312 (11,197) 28,115 - - - - - 28,115 Transfers In - Other CIP 21,154 - 21,154 - - - - - 21,154 TOTAL 60,466 (11,197) 49,269 - - - - - 49,269 GRANT FUND Federal - CMAQ Grant 460,851 - 460,851 - - - - - 460,851 State - MTC (TDA) 20,000 - 20,000 - - - - - 20,000 Local - SCC Roads & Airport 8,494 - 8,494 - - - - - 8,494 TOTAL 489,345 - 489,345 - - - - - 489,345 TOTAL REVENUES 549,811 (11,197) 538,614 - - - - - 538,614 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Fees & Expenses 78 - 78 - - - - - 78 Consultant/Contract Svs 35,873 - 35,873 - - - - - 35,873 Transfers Out - 13,317 13,317 - - - - - 13,317 TOTAL 35,952 13,317 49,269 - - - - - 49,269 GRANT FUND Salary & Benefits 17,943 - 17,943 - - - - - 17,943 Fees & Expenses 4,623 - 4,623 - - - - - 4,623 Consultant/Contract Svs 51,629 - 51,629 - - - - - 51,629 Construction Expenses 415,150 - 415,150 - - - - - 415,150 TOTAL 489,345 - 489,345 - - - - - 489,345 TOTAL EXPENDITURES 525,297 13,317 538,614 - - - - - 538,614 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING FUND BAL 24,514 - - - - - - Revenues & T/I 60,466 (11,197) 49,269 - - - - - 49,269 Expenditures & T/O 35,952 13,317 49,269 - - - - - 49,269 ENDING FUND BALANCE 24,514 - - - - - - - - GRANT FUND BEGINNING BALANCE - - - - - - - Revenues & T/I 489,345 - 489,345 - - - - - 489,345 Expenditures & T/O 489,345 - 489,345 - - - - - 489,345 ENDING BALANCE - - - - - - - - - ENDING BALANCE 24,514 - 489,345 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 338 ROADWAY SAFETY PROJECTS Project Name Highway 9 Safety Improvements – Phase IV Project Number 9122-005 Department Public Works Project Manager Iveta Harvancik Description A multi-agency pedestrian improvement project to enhance the safety of the Highway 9 corridor, which links the communities of Saratoga, Monte Sereno, and Los Gatos. Location This project will complete the improvements to pedestrian pathways started in Phase II. The interior section of the project is expected to span a 1.5 mile stretch of Highway 9 between Fruitvale Avenue in Saratoga and Grand View Avenue in Monte Sereno. Project Background Phase IV of this project will continue bicycle and pedestrian safety improvements to the Highway 9 corridor from Saratoga to Los Gatos. The improvements were initiated following several serious accidents on Highway 9. In Phase IV, pedestrian pathways, retaining walls, and pedestrian safety improvements will be constructed on Highway 9 from Fruitvale Avenue in Saratoga to Grand View Avenue in Monte Sereno. The Phase IV improvements were designed during Phase II, which included installation of pedestrian pathways, curbs, retaining walls, driveway modificati ons, crosswalks, signage, and striping between Saratoga and Los Gatos on Highway 9 in addition to the design work. The exact scope of work and location is to be determined. A significant portion of funding for this project will be coming from a federal Highway Safety Improvement Grant (HSIP) administered by the California Department of Transportation (Caltrans). As with Phase II of the Highway 9 safety improvements project, the City of Saratoga will be the lead agency of Phase IV. The improvement work will be contracted out. This project is funded through grants, reimbursements from other agencies and a transfer of surplus funds ($58,396) remaining in Phase II ($45,079) and Phase III ($13,317) in Fiscal Year 2014/15 . Operating Budget Impacts Project management, engineering oversight, and grant reporting staff costs for this project are incorporated into the operating budget. Once completed, there will be a minimal increase in maintenance costs associated with the City of Saratoga’s portion of this project. However, the improvements will increase safety on Highway 9 for pedestrians, bicyclists and commuters, reduce accidents, and, therefore, reduce liability risk. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 339 ROADWAY SAFETY PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Bid Process November 2015 Council approves plans and authorizes bidding the project Contract Award January 2016 Council awards contract Estimated Construction Start March 2016 Construction project begins Estimated Completion Date August 2016 Project is completed HIGHWAY 9 SAFETY IMPROVEMENTS PHASE IV 9122-005 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Project Reimbursements - - - 11,000 - - - - 11,000 Transfers In - Other CIP - 58,396 58,396 - - - - - 58,396 Transfers In - Gas Tax 90,000 - 90,000 - - - - - 90,000 TOTAL 90,000 58,396 148,396 11,000 - - - - 159,396 GRANT FUND Federal - HSIP Grant - - - 900,000 - - - - 900,000 TOTAL - - - 900,000 - - - - 900,000 TOTAL REVENUES 90,000 58,396 148,396 911,000 - - - - 1,059,396 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Fees & Expenses - 1,000 1,000 - - - - - 1,000 Consultant/Contract Svs - 26,378 26,378 - - - - - 26,378 TOTAL - 27,378 27,378 132,019 - - - - 159,396 GRANT FUND Construction Expenses - - - 900,000 - - - - 900,000 TOTAL - - - 900,000 - - - - 900,000 TOTAL EXPENDITURES - 27,378 27,378 1,032,019 - - - - 1,059,396 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING FUND BAL 90,000 121,019 - - - - - Revenues & T/I 90,000 58,396 148,396 11,000 - - - - 159,396 Expenditures & T/O - 27,378 27,378 132,019 - - - - 159,396 ENDING FUND BALANCE 90,000 121,019 121,018 - - - - - - GRANT FUND BEGINNING BALANCE - - - - - - - Revenues & T/I - - - 900,000 - - - - 900,000 Expenditures & T/O - - - 900,000 - - - - 900,000 ENDING FUND BALANCE - - - - - - - - - ENDING BALANCE 90,000 121,019 - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 340 ROADWAY SAFETY PROJECTS Project Name Prospect/Saratoga OBAG Improvements Project Number 9122-006 Department Public Works Project Manager John Cherbone Description Improve Prospect/Saratoga Avenue (PSA) corridor through the addition of roadway medians, sidewalks, ADA ramps, bicycle loops at intersections, and increase pedestrian and bicycle access. Location Project work will occur along a 1.9 mile section of Prospect Road between Saratoga/Sunnyvale Rd and Lawrence Expressway, and along a 1.3 mile section of Saratoga Ave between Highway 85 to the City Limits to the north. Project Background This project will improve safety of the road by physically reducing the width of the road, channeling vehicles into defined turn lanes, reducing the threat of vehicles crossing the center lane, and creating safer pedestrian crossings. Improvements will also be made to existing pedestrian, bicycle and VTA bus stop facilities, thereby enhancing pedestrian accessibility and providing a safe and convenient walking and bicycling experience. The scope of the project includes the following:  Installment of sidewalk at several identified gaps, and several ADA compliant ramps at several crosswalks.  Upgrades to existing signalized intersections with audible signals for the visually impaired, and repairs and ADA upgrades to existing curb ramps.  Installment of bicycle detector loops at all the signalize d intersections within the project limits, and “Green” bike lanes at the heavy congested intersections at Prospect Rd/Saratoga Sunnyvale Rd and Prospect Rd/Lawrence Expressway.  Installment of new bus shelters at all the VTA bus stops within the project limits total of (14) bus stops, and bus pads at all the bus stops.  A new median with landscaping will be installed between Lawrence Expressway and Saratoga Ave.  A continuous Class II bike lane is provided along the entire length of the segment. This project is funded by a $4.2 million OBAG grant and City matching funds in the amount of $544,825 from the Gas Tax fund. Operating Budget Impacts Project management, engineering oversight, and grant reporting staff costs for this project are incorporated into the operating budget. Once completed, there will be a minimal increase in maintenance costs. However, the improvements will increase safety for pedestrians, bicyclists and commuters, reduce accidents, and, therefore, reduce liability risk. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 341 ROADWAY SAFETY PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase April 2015 Prepare plans and specifications Begin Bid Process January 2016 Council authorizes bidding the project Contract Awarded February 2016 Council approved vendor Estimated Construction Start February 2016 Construction project begins Estimated Completion Date December 2016 Project is completed PROSPECT/SARATOGA OBAG IMPROVEMENTS 9122-006 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP GRANT FUND State - BEP Grant - - - 4,206,000 - - - - 4,206,000 TOTAL - - - 4,206,000 - - - - 4,206,000 GAS TAX FUND Transfer In - Gas Tax Fund 544,825 - 544,825 - - - - - 544,825 TOTAL 544,825 - 544,825 - - - - - 544,825 TOTAL REVENUES 544,825 - 544,825 4,206,000 - - - - 4,750,825 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP GRANT FUND Construction Expenses - - - 4,206,000 - - - - 4,206,000 TOTAL - - - 4,206,000 - - - - 4,206,000 GAS TAX FUND Construction Expenses - - - 544,825 544,825 TOTAL - - - 544,825 - - - - 544,825 TOTAL EXPENDITURES - - - 4,750,825 - - - - 4,750,825 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP GRANT FUND BEGINNING FUND BAL - - - - - - - Revenues & T/I - - - 4,206,000 - - - - 4,206,000 Expenditures & T/O - - - 4,206,000 - - - - 4,206,000 ENDING FUND BALANCE - - - - - - - - - GAS TAX FUND BEGINNING BALANCE 544,825 544,825 - - - - - Revenues & T/I 544,825 - 544,825 - - - - - 544,825 Expenditures & T/O - - - 544,825 - - - - 544,825 ENDING FUND BALANCE 544,825 544,825 544,825 - - - - - - ENDING BALANCE 544,825 544,825 544,825 - - - - - 544,825 Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 342 ROADWAY SAFETY PROJECTS Project Name Citywide Signal Upgrade Project - Phase II Project Number 9122-007 Department Public Works Project Manager Macedonio Nunez Description This project continues the development of a citywide master signal system to standardize and coordinate the City’s traffic signals and allow real-time monitoring and control along Saratoga’s major traffic corridors. The project also allows for future regional integration. Location This is a Citywide project which will incorporate all City owned signals in Saratoga. Project Background The City’s intersection signal timing settings were last coordinated in approximately 2001. Subsequently, the City of Saratoga received a Regional Signal Timing Program (RSTP) grant from VTA in 2006 to conduct a citywide signal timing study. Phase I of the project included developing updated signal coordination plans during the morning, afternoon, and evening periods for the signalized intersections in the City of Saratoga. Phase I: Upgrade hardware and software at all City signals, and provide inter-connect hardware with wire and wireless technology. This phase is complete. Phase II: Install Traffic Management System, at City Hall, and communication equipment in all upgraded signals. Inter-connect signals along Coordination Corridors and coordinate with the Management System. Through the use of the Traffic Management System, City engineers will be able to manage signal coordination. This project is funded by a $400,000 grant from the VTA and a $100,000 transfer from other CIP funds. Operating Budget Impacts Project management, engineering, administrative oversight and grant reporting staff costs for this project are incorporated into the operating budget. The new system will reduce call-out expenses for traffic signal repairs as signal timing changes will now be handled in-house by staff. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 343 ROADWAY SAFETY PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase June 2015 Prepare plans and specification Begin Bid Process January 2016 Council authorizes bidding the project Contract Awarded February 2016 Council approves vendor Estimated Construction Start February 2016 Construction project begins Estimated Completion Date December 2016 Project is completed CITYWIDE SIGNAL UPGRADE PROJECT PHASE II 9122-007 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding GRANT FUNDS Local - VTA Grant - - - 400,000 - - - - 400,000 TOTAL - - - 400,000 - - - - 400,000 GAS TAX FUND Transfer In - Gas Tax 100,000 - 100,000 - - - - - 100,000 TOTAL 100,000 - 100,000 - - - - - 100,000 TOTAL REVENUES 100,000 - 100,000 400,000 - - - - 500,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended GRANT FUNDS Consultant/Contract Svs - 924 924 - - - - - 924 Construction Expenses - - - 399,076 - - - - 399,076 TOTAL - 924 924 399,076 - - - - 400,000 GAS TAX FUND Consultant/Contract Svs - 231 231 - - - - - 231 TOTAL - 231 231 99,769 - - - - 100,000 TOTAL EXPENDITURES - 1,155 1,155 498,845 - - - - 500,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity GRANT FUNDS BEGINNING BALANCE - (924) - - - - - Revenues & T/I - - - 400,000 - - - - 400,000 Expenditures & T/O - 924 924 399,076 - - - - 400,000 ENDING BALANCE - (924) (924) - - - - - - GAS TAX FUND BEGINNING FUND BAL - 100,000 99,769 - - - - - Revenues & T/I 100,000 - 100,000 - - - - - 100,000 Expenditures & T/O - 231 231 99,769 - - - - 100,000 ENDING FUND BALANCE 100,000 99,769 99,769 - - - - - - ENDING FUND BALANCE 100,000 98,845 100,000 - - - - - 100,000 Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 344 ROADWAY SAFETY PROJECTS Project Name Big Basin Way Turnaround Project Number 9122-008 Department Public Works Project Manager John Cherbone Description This project will retain a consultant to design the conceptual phase of a turnaround and to investigate the feasibility of cost and layout of the improvements. Location The project is located near the corner of 6th Street and Big Basin Way. Project Background In order to improve the traffic flow on the last segment of Big Basin Way before leaving downtown, a feasibility study of turnaround improvements at this location, including cost and layout of this project must be conducted. The City will collaborate with Caltrans and the Traffic Safety Commission in order to develop this conceptual plan. This project was completed in Fiscal Year 2014/15. The project is feasible but unfunded until additional funding sources are identified and secured. Operating Budget Impacts The costs associated with oversight of this project were incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 345 ROADWAY SAFETY PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Design/Feasibility Phase Completion Date BIG BASIN WAY TURNAROUND 9122-008 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - General Fund - - - - - - - - - TOTAL REVENUES - - - - - - - - - Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Transfers Out - - - - - - - - - TOTAL EXPENDITURES - - - - - - - - - Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING BALANCE - - - - - - - Revenues & T/I - - - - - - - - - Expenditures & T/O - - - - - - - - - ENDING BALANCE - - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 346 ROADWAY SAFETY PROJECTS Project Name Beaumont Avenue Traffic Circle Project Number 9122-009 Department Public Works Project Manager John Cherbone Description This project will fund the installation of a traffic circle on Beaumont Avenue. Location The traffic circle would be located at the intersection of Beaumont Avenue and Saratoga Vista Court. Project Background Beaumont Avenue is a two-lane collector street that extends north-south between Herriman Avenue and Glasgow Drive. The posted speed limit on Beaumont Avenue is 25 mph. Over the past decade, there have been a handful of residents living on Beaumont Avenue or near Beaumont Avenue who have spoken at the Traffic Safety Commission (TSC) expressing their concerns about traffic safety and speeding vehicles in that area. In the last 2 years, the issue of speeding at Beaumont has been discussed by the TSC at four separate meetings. Residents have requested speed bumps, traffic signals and stops signs for that area. The City’s traffic engineer has stated that there are not enough warrants to justify these specific traffic calming methods at this location. In 2013, the City conducted its regularly scheduled speed survey and the 85 th percentile speeds were observed to be approximately 35 miles per hour on Beaumont Avenue between Herriman Avenue and Glasgow Drive. The observed speeds would indicate that the speed limit should be posted at 35 mph. The observed speeds have increased by 2-3 miles per hour since the last speed survey was conducted in 2006. In order for traffic deputies to enforce the speed in that area, the speed limits posted would have to be increased to reflect the 85th percentile speeds. At this time, the City has not made any decisions to increase posted speed limits at various residential collector streets. City staff recommends placing a traffic circle in that location to reduce vehicle speeds. This project is funded by a transfer from the General Fund. Operating Budget Impacts Costs associated with engineering, administrative and staff time for oversight and implementation of the project are incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 347 ROADWAY SAFETY PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase December 2015 Prepare plans and specification Begin Bid Process April 2016 Council authorizes bidding the project Contract Awarded May 2016 Council approves vendor Estimated Construction Start May 2016 Construction project begins Estimated Completion Date August 2016 Project is completed BEAUMONT AVENUE TRAFFIC CIRCLE 9122-009 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - General Fund - - - 30,000 - - - - 30,000 TOTAL REVENUES - - - 30,000 - - - - 30,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Construction Expenses - - - 30,000 - - - - 30,000 TOTAL EXPENDITURES - - - 30,000 - - - - 30,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING BALANCE - - - - - - - Revenues & T/I - - - 30,000 - - - - 30,000 Expenditures & T/O - - - 30,000 - - - - 30,000 ENDING BALANCE - - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 348 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 349 STREET LANDSCAPE & BEAUTIFICATION IMPROVEMENTS CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 350 STREET LANDSCAPE & BEAUTIFICATION IMPROVEMENTS Project Name Fruitvale Avenue Median Improvements Project Number 9133-001 Department Public Works Project Manager Kevin Meek Description A cooperative agreement between West Valley College and City of Saratoga to improve the Fruitvale Avenue medians along the Fruitvale avenue side of the college. Location This project is located on Fruitvale Avenue between Allendale Avenue and San Marcos Road Project Background The West Valley College and City of Saratoga Joint Median Beautification Project involved the installation of an irrigation system and landscaping on Fruitvale Avenue between Allendale Avenue and San Marcos Road. The project included restoring the edge of the median and repairing the drainage system. The now completed project totaled $156,612. The sources of funding for this project included $90,000 from West Valley College, $3,864 from the Saratoga Monte Sereno Community Foundation, $50,000 from the City of Saratoga’s Gas Tax Fund and a $12,718 refund from PG&E that installed a sola r irrigation system. Operating Budget Impacts Engineering, administrative and staff time for oversight and implementation of the project was incorporated into the operating budget. The City anticipates spending an annual amount of $14,400 for water and landscaping maintenance services to maintain the median. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 351 STREET LANDSCAPE & BEAUTIFICATION IMPROVEMENTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Bid July 2012 Contract Award February 2013 Award construction contract Irrigation Completion March 2013 Irrigation project is complete Planting Completion June 2015 Planting project is complete FRUITVALE AVENUE MEDIAN IMPROVEMENTS 9133-001 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Contributions and Donations 93,894 12,718 106,612 - - - - - 106,612 TOTAL 93,894 12,718 106,612 - - - - - 106,612 GAS TAX FUND Transfers In - Gas Tax 50,000 - 50,000 - - - - - 50,000 TOTAL 50,000 - 50,000 - - - - - 50,000 TOTAL REVENUES 143,894 12,718 156,612 - - - - - 156,612 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Materials & Supplies 24,675 - 24,675 - - - - - 24,675 Fees & Expenses 8,380 - 8,380 - - - - - 8,380 Construction Expenses 60,839 12,718 73,557 - - - - - 73,557 TOTAL EXPENDITURES 93,894 12,718 106,612 - - - - - 106,612 GAS TAX EXP Materials & Supplies 7,089 - 7,089 - - - - - 7,089 Project Equip & Fixtures 21,128 - 21,128 - - - - - 21,128 Construction Expenses 21,783 - 21,783 - - - - - 21,783 TOTAL 50,000 - 50,000 - - - - - 50,000 TOTAL EXPENDITURES 143,894 12,718 156,612 - - - - - 156,612 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING BALANCE - - - - - - - Revenues & T/I 93,894 12,718 106,612 - - - - - 106,612 Expenditures & T/O 93,894 12,718 106,612 - - - - - 106,612 ENDING FUND BALANCE - - - - - - - - - GAS TAX FUND Beginning Balance - - - Revenues & T/I 50,000 - 50,000 - - - - 50,000 Expenditures & T/O 50,000 - 50,000 - - - - - 50,000 ENDING FUND BALANCE - - - - - - - - - TOTAL BALANCE - - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 352 STREET LANDSCAPE & BEAUTIFICATION IMPROVEMENTS Project Name Village LED Street Lights Project Number 9138-001 Department Public Works Project Manager Macedonio Nunez Description Replacement of existing High Pressure Sodium (HPS) street lights with LED lights in the Village. Location This project is located in Saratoga Village. Project Background The Federal Energy Independence and Security Act of 2007 established the Energy Efficiency Community Block Grant (EECBG) program. The purpose of this program is to reduce fossil fuel emissions in an environmentally sustainable manner, reduce energy consumption, and improve energy efficiency in the building, transportation, and other appropriate sectors. The program received funding as a result of the passage of the American Recovery and Reinvestment Act of 2009. Large municipalities, Indian tribes, and states received a direct allocation of EECBG funds for energy efficiency projects. Each state also received money to be allocated to small cities and counties. The California Energy Commission is responsible for distributing monies to small California municipalities. Saratoga was eligible to receive just over $169,000 for cost effective energy efficiency projects. In December 2009, Council adopted a resolution authorizing use of these funds to replace the current High Pressure Sodium street lights in the Village with light-emitting diode (LED) street lights. In addition, $250,900 of the CMAQ grant awarded for Village Pedestrian Enhancements projects has been designated for this phase of village pedestrian enhancement projects. The required local match for this grant is funded from the City’s CIP funds. Operating Budget Impacts This project will reduce City expenses for electricity and staff time spent maintaining the street lights in the Village. The City currently spends $5,000 per year to maintain the High Pressure Sodium lights in the Village area. The LED lights have a much longer lifespan than High Pressure Sodium lights, so regular maintenance and replacement expenses will decrease. Additionally, the City will use 50% less energy to power the street lights in the Village and switch to a lower PG&E billing rate. The City may also qualify for a small project rebate from PG&E for upgrading the Village street lights. Staff time for project oversight is included in the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 353 STREET LANDSCAPE & BEAUTIFICATION IMPROVEMENTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Submit Grant January 2010 City submits EECBG grant application Contract Award April 2012 Award construction contract Estimated Construction Start May 2012 Construction project begins Estimated Completion Date July 2012 Final reports submitted to the CEC Project Completion July 2015 Project completed. Final administrative tasks nearly complete VILLAGE LED STREET LIGHTS 9138-001 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - Other CIP 32,500 - 32,500 - - - - - 32,500 TOTAL STREET FUND 32,500 - 32,500 - - - - - 32,500 STREET GRANT FUND Federal - Energy Comm PT 376,906 1,328 378,234 38,529 - - - - 416,763 TOTAL GRANT FUND 376,906 1,328 378,234 38,529 - - - - 416,763 TOTAL REVENUES 409,406 1,328 410,734 38,529 - - - - 449,263 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Fees & Expenses 534 - 534 - - - - - 534 Consultant/Contract Svs - 172 172 - - - - - 172 Construction Expenses 26,786 - 26,786 5,007 - - - - 31,793 TOTAL STREET FUND 27,320 172 27,493 5,007 - - - - 32,500 GRANT FUND Materials & Supplies 143,439 - 143,439 - - - - - 143,439 Fees & Expenses 1,749 - 1,749 - - - - - 1,749 Consultant/Contract Svs 5,625 1,328 6,953 - - - - - 6,953 Construction Expenses 206,483 - 206,483 38,529 - - - - 245,011 Reimbursable Expenses 19,611 - 19,611 - - - - - 19,611 TOTAL GRANT FUND 376,906 1,328 378,234 38,529 - - - - 416,763 TOTAL EXPENDITURES 404,227 1,500 405,727 43,536 - - - - 449,263 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity BEGINNING BALANCE 5,180 5,007 - - - - - Revenues & T/I 32,500 - 32,500 - - - - - 32,500 Expenditures & T/O 27,320 172 27,493 5,007 - - - - 32,500 ENDING BALANCE 5,180 5,008 5,007 - - - - - - GRANT FUND BEGINNING BALANCE - - - - - - - Revenues & T/I 376,906 1,328 378,234 38,529 - - - - 449,263 Expenditures & T/O 376,906 1,328 378,234 38,529 - - - - 449,263 ENDING BALANCE - - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 354 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 355 SIDEWALKS, CURBS & STORM DRAINS CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 356 SIDEWALKS, CURBS & STORM DRAINS Project Name Annual Sidewalk Repairs Project Number 9141-001 Department Public Works Project Manager Rick Torres Description This project provides annual funding to maintain the City’s sidewalks. Location This project is conducted at various locations throughout the City. Project Background Each year, staff conducts assessments of the City’s sidewalks to identify areas of sidewalk in need of repair. Priority repair is established for damaged areas or those that present a tripping hazard. Work is conducted continuously throughout the year. Most work is performed by contractors; however, staff will address smaller projects or those that require immediate attention. Approximately 35,000 square feet of sidewalk is repaired each year. There are approximately 17 linear miles of sidewalk in Saratoga. Sidewalk repairs ensure that the City’s sidewalks are maintained in good condition, minimizing the need for larger and more costly improvement projects in the future. Additionally, repairs to City sidewalks minimize tripping hazards and reduce liability risk. This project is funded by an annual transfer of $50,000 from the General Fund. Operating Budget Impacts Costs associated with engineering, administrative and staff time for oversight and implementation of the project are incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 357 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Project Development Ongoing Prepare plans and specifications Begin Bid Process Ongoing Invite contractors to bid on the project Contract Awarded Ongoing Vendor selected Estimated Construction Start Ongoing Annual construction project begins Estimated Completion Date Ongoing Annual repairs completed ANNUAL SIDEWALK REPAIRS 9141-001 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - GF 431,105 50,000 481,105 50,000 50,000 50,000 50,000 50,000 731,105 Transfers In - Other CIP 1,581 - 1,581 - - - - - 1,581 TOTAL REVENUES 432,686 50,000 482,686 50,000 50,000 50,000 50,000 50,000 732,686 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Fees & Expenses 312 - 312 - - - - - 312 Consultant/Contract Svs 675 - 675 - - - - - 675 Construction Expenses 392,263 42,734 434,997 96,702 50,000 50,000 50,000 50,000 731,699 Transfers Out - - - - - - - - - TOTAL EXPENDITURES 393,250 42,734 435,984 96,702 50,000 50,000 50,000 50,000 732,686 FY Total 2014/15 Project Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING FUND BAL 39,437 46,702 - - - - - Revenues & T/I 432,686 50,000 482,686 50,000 50,000 50,000 50,000 50,000 732,686 Expenditures & T/O 393,250 42,734 435,984 96,702 50,000 50,000 50,000 50,000 732,686 ENDING BALANCE 39,437 46,702 46,702 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 358 SIDEWALKS, CURBS & STORM DRAINS Project Name Annual Storm Drain Upgrades Project Number 9141-002 Department Public Works Project Manager Rick Torres Description This project funds repairs and upgrades to the City’s storm drains. Location This project encompasses storm drains located throughout the City. Project Background The City’s storm drain system is approximately 45 miles long with 2,600 storm drains located throughout the City. Maintenance work is conducted by contractors. Storm drains are inspected by the City of Saratoga Public Works Department and West Valley Sanitation District to identify failures, or potential failures. Sections of storm drains that have failed, which often results in flooding, are either replaced or repaired to prevent future failure. Frequently, corrugated metal pipe corrodes and is replaced with plastic or plastic lined pipes that are protected from rust and, therefore, have a longer lifespan. Annual upgrades and repairs to the City’s storm drains helps to keep them functioning properly, thereby reducing expenses associated with failed storm drains. Failed storm drains often result in floods that can cause significant damage, including sink holes in roadways, and damage to private property. Maintaining storm drains in good operating condition protects the City from additional repair and liability costs. This project is funded by an annual transfer of $50,000 from the General Fund . Operating Budget Impacts Costs associated with engineering, administrative and staff time for oversight and implementation of the project are incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 359 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Project Development Ongoing Prepare plans and specifications Begin Bid Process Ongoing Invite contractors to bid on the project Contract Awarded Ongoing Vendor selected Estimated Construction Start Ongoing Annual construction project begins Estimated Completion Date Ongoing Annual repairs completed ANNUAL STORM DRAIN UPGRADES 9141-002 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Project Reimbursement 1,413 - 1,413 - - - - - 1,413 Transfers In - Other CIP 10,786 - 10,786 - - - - - 10,786 Transfers In - General Fund 311,313 50,000 361,313 50,000 50,000 50,000 50,000 50,000 611,313 TOTAL REVENUES 323,512 50,000 373,512 50,000 50,000 50,000 50,000 50,000 623,512 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2011/12 2012/13 2013/14 2014/15 Expended CIP STREET FUND Materials & Supplies 2,449 1,060 3,510 - - - - - 3,510 Fees & Expenses 1,977 - 1,977 - - - - - 1,977 Consultant/Contract Svs - 416 416 - - - - - 416 Construction Expenses 308,186 19,271 327,457 90,152 50,000 50,000 50,000 50,000 617,609 TOTAL EXPENDITURES 312,613 20,747 333,360 90,152 50,000 50,000 50,000 50,000 623,512 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2011/12 2012/13 2013/14 2014/15 Activity CIP STREET FUND BEGINNING FUND BAL 10,899 40,152 - - - - - Revenues & T/I 323,512 50,000 373,512 50,000 50,000 50,000 50,000 50,000 623,512 Expenditures & T/O 312,613 20,747 333,360 90,152 50,000 50,000 50,000 50,000 623,512 ENDING FUND BALANCE 10,899 40,152 40,152 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 360 SIDEWALKS, CURBS & STORM DRAINS Project Name Curb and Gutter Maintenance and Repairs Project Number 9141-004 Department Public Works Project Manager Rick Torres Description This project funds the repair and replacement of curbs and gutters. Location This project is located citywide. Project Background This project represents an initial commitment of $50,000 to fund the repair and replacement of curbs and gutters. Specific locations that require curb and gutter improvements have been identified throughout the City. Repairs and replacement are prioritized in coordination with the Annual Street Resurfacing program. Curbs and gutters need to be maintained on a regular basis. Ongoing repairs prevent flooding through improved water runoff. Additionally, well maintained curbs and gutters improve pedestrian and bicycle safety by reducing tripping hazards. Damage to curbs and gutters is most frequently caused by tree roots or impact from a heavy vehicle. This project is funded by a transfer of $50,000 from the General Fund . Operating Budget Impacts Costs associated with engineering, administrative and staff time for oversight and implementation of the project are incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 361 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Project Development To Be Determined Prepare plans and specifications Begin Bid Process To Be Determined Invite contractors to bid on projects Contract Awarded To Be Determined Vendor selected Estimated Construction Start To Be Determined Construction project begins Estimated Completion Date June 2016 Repairs completed CURB AND GUTTER MAINTENANCE AND REPAIRS 9141-004 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - General Fund - - - 50,000 - - - - 50,000 Transfers In - Other CIP - - - - - - - - - TOTAL REVENUES - - - 50,000 - - - - 50,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2011/12 2012/13 2013/14 2014/15 Expended CIP STREET FUND Construction Expenses - - - 50,000 - - - - 50,000 TOTAL EXPENDITURES - - - 50,000 - - - - 50,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2011/12 2012/13 2013/14 2014/15 Activity CIP STREET FUND BEGINNING FUND BAL - - - - - - - Revenues & T/I - - - 50,000 - - - - 50,000 Expenditures & T/O - - - 50,000 - - - - 50,000 ENDING FUND BALANCE - - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 362 SIDEWALKS, CURBS & STORM DRAINS Project Name Village Sidewalk & Pedestrian Enhancements Phase I Design & Improvements Project Number 9142-004 Department Public Works Project Manager Macedonio Nunez Description This project funds sidewalk and pedestrian safety improvements in the Village. Location This project is located in Saratoga Village at Big Basin Way and Highway 9, Big Basin Way and Blaney Plaza, Big Basin Way and 3rd Street, and Big Basin Way and 4th Street. Project Background In 2008, the City entered into a contract with Gates and Associates for design improvements to the Village that would increase pedestrian safety and the beauty of the City’s do wntown area. The design included pedestrian bulb-outs and enhanced crosswalks that will make pedestrians more visible to drivers. Plans also included additional landscaping, benches, and bike racks. Following the award of the contract to Gates and Associations for design work, the City held two community meetings to explain the purpose of the project and to seek public input on the design of the sidewalk and pedestrian improvements. A conceptual design was p resented to Council in April 2009 and the detailed design was completed during fiscal year 2009/10. Construction began in the same fiscal year. Once completed, the project will enhance the appearance of Saratoga Village and , as a result of significant improvements to pedestrian safety, may make it a more popular retail and dining destination. Operating Budget Impacts Project management, engineering oversight, and grant reporting staff costs for this project are incorporated into the operating budget. The project will result in increased maintenance costs as the City will be responsible for caring for additional landscaping, bulb outs, crosswalks, and other features. However, the project will also make significant improvements to pedestrian safety in the Village by increasing visibility of pedestrians. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 363 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase October, 2008 Prepare plans and specifications Begin Bid Process April, 2010 Council approves plans and authorizes bidding the project Contract award May, 2010 Council awards contract Estimated Construction Start June, 2010 Construction project begins Estimated Completion Date July, 2015 Project is complete. Final administrative tasks nearly complete VILLAGE SIDEWALK & PEDESTRIAN IMPROVEMENTS 9142-004 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Contributions / Donations 737,846 - 737,846 - - - - - 737,846 Transfers In - Other CIP 80,764 - 80,764 - - - - - 80,764 TOTAL STREET FUND 818,610 - 818,610 - - - - - 818,610 GRANT FUND State MTC (TDA)335,184 - 335,184 89,816 - - - - 425,000 TOTAL GRANT FUND 335,184 - 335,184 89,816 - - - - 425,000 TOTAL REVENUES 1,153,793 - 1,153,793 89,816 - - - - 1,243,610 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Materials & Supplies 33,072 - 33,072 - - - - - 33,072 Fees & Expenses 6,200 - 6,200 - - - - - 6,200 Consultant/Contract Svs 46,523 - 46,523 - - - - - 46,523 Construction Expenses 449,249 - 449,249 25,059 - - - - 474,308 Reimbursable Expenses 1,143 - 1,143 - 1,143 Transfers Out 257,363 - 257,363 - - - - - 257,363 TOTAL STREET FUND 793,551 - 793,551 25,059 - - - - 818,610 GRANT FUND Consultant/Contract Svs 12,202 - 12,202 - - - - - 12,202 Construction Expenses 321,808 - 321,808 89,816 - - - - 411,624 Reimbursable Expenses 1,174 - 1,174 - - - - - 1,174 TOTAL GRANT FUND 335,184 - 335,184 89,816 - - - - 425,000 TOTAL EXPENDITURES 1,128,735 - 1,128,735 114,875 - - - - 1,243,610 Prior FY Total Year 2014/15 Estimated Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND Beginning Balance 25,059 25,059 - - - - - Revenues & T/I 818,610 - 818,610 - - - - - 818,610 Expenditures & T/O 793,551 - 793,551 25,059 - - - - 818,610 ENDING FUND BALANCE 25,059 25,059 25,059 - - - - - - GRANT FUND Beginning Balance - - - - - - - Revenues & T/I 335,184 - 335,184 89,816 - - - - 425,000 Expenditures & T/O 335,184 - 335,184 89,816 - - - - 425,000 ENDING FUND BALANCE - - - - - - - - - ENDING BALANCE 25,059 25,059 25,059 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 364 SIDEWALKS, CURBS & STORM DRAINS Project Name Saratoga Avenue Sidewalk Project Number 9142-005 Department Public Works Project Manager Macedonio Nunez Description This project will install new sections of sidewalk on Saratoga Avenue. Location New sidewalk sections will be located along Saratoga Avenue between Heritage Oak and Orchard Road. Project Background Since 1992, the City has been adding new sections of sidewalk along Saratoga Avenue, using Transit Development Act (TDA) funds to create a continuous sidewalk between the Village and Quito Road. Each year, approximately $25,000 of TDA grant funding is awarded. After several years, when sufficient amount of funds have accumulated, the City identifies the pathway sections to complete along Saratoga Avenue and uses the funding to fill these gaps. Sidewalks offer a number of benefits. They provide a safe path for pedestrians, away from the roadway. The sidewalk also allows residents in wheelchairs or other wheeled devices to travel in the City. Furthermore, extension of the City’s sidewalk system increases the City’s walk-ability and adds to the recreational opportunities available to residents. This project has been ongoing since 1992 and will continue until all sidewalk gaps are closed. Additional funding needs to be identified and secured in order to close the final sidewalk gaps located on Saratoga Avenue near La Paloma and Lutheria Way. Work for this project is conducted by a contractor and managed by City staff. Operating Budget Impacts Project management, engineering oversight, and grant reporting staff costs for this project are incorporated into the operating budget. The project will make significant improvements to pedestrian safety on Saratoga Avenue. Maintenance costs will increase with the extension of the sidewalk. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 365 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase Ongoing Prepare plans and specifications Contract Awarded Ongoing Vendor selected Estimated Construction Start Ongoing Construction project phase begins Estimated Completion Date October 2018 Project is completed SARATOGA AVENUE SIDEWALK 9142-005 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding GRANT FUND State MTC (TDA)113,571 100,273 213,844 22,753 - - - - 236,597 TOTAL REVENUES 113,571 100,273 213,844 22,753 - - - - 236,597 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended GRANT FUND Consultant/Contract Svs 6,745 - 6,745 - - - - - 6,745 Construction Expenses 106,099 91,055 197,155 31,971 - - - - 229,125 Reimbursable Expenses 727 - 727 - - - - - 727 TOTAL EXPENDITURES 113,571 91,055 204,626 31,971 - - - - 236,597 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity GRANT FUND BEGINNING BALANCE - 9,218 - - - - - Revenues & T/I 113,571 100,273 213,844 22,753 - - - - 236,597 Expenditures & T/O 113,571 91,055 204,626 31,971 - - - - 236,597 ENDING BALANCE - 9,218 9,218 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 366 SIDEWALKS, CURBS & STORM DRAINS Project Name Village Sidewalk & Pedestrian Enhancements Phase II – Design Project Number 9142-010 Department Public Works Project Manager Macedonio Nunez Description This project funds the design portion of the second phase of sidewalk and pedestrian safety improvements in the Village. Location This project will make improvements in Saratoga Village at Big Basin Way and Highway 9 spur at Blaney Plaza; Big Basin Way and 5th Street; Big Basin Way and 6th Street; and Big Basin Way just past Highway 9. Project Background In 2008, the City entered into a contract with Gates and Associates to design improvements to the Village that would increase pedestrian safety and the beauty of the City’s downtown area. The design included pedestrian bulb-outs and enhanced crosswalks that will make pedestrians more visible to drivers. Plans also included additional landscaping, benches, and bike racks. Following the award of contract with Gates and Associates for design work, the City held two community meetings to explain the purpose of the project a nd seek public input on the design of the sidewalk and pedestrian improvements. A conceptual design was presented to the City Council in April 2009. The project added more pedestrian bulb-outs, enhanced crosswalks, and other safety improvements in the Village. Funding for this project came from a Federal Congestion Mitigation and Air Quality (CMAQ) grant, the State, and the City. This phase of the project was completed in Fiscal Year 2014/15. Operating Budget Impacts Project management, engineering oversight, and grant reporting staff costs for this project are incorporated into the operating budget. The project will result in increased maintenance costs as the City will be responsible for caring for additional landscaping, bulb outs, crosswalks, an d other features. However, the project will also make significant improvements to pedestrian safety in the Village by increasing visibility of pedestrians. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 367 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase May 2011 Prepare RFP Contract Awarded August 2011 Vendor selected Design Work Begins Sept 2011 Design work begins Design Approval Feb 2012 Council approves designs Estimated Completion Date November 2014 Final design work completed VILLAGE SIDEWALK & PEDESTRIAN ENHANCEMENTS PHASE II – DESIGN 9142-010 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - Other CIP 65,790 - 65,790 - - - - - 65,790 TOTAL STREET FUND 65,790 - 65,790 - - - - - 65,790 GRANT FUND Federal - CMAQ PT 134,000 - 134,000 - - - - - 134,000 TOTAL GRANT FUND 134,000 - 134,000 - - - - - 134,000 TOTAL REVENUES 199,790 - 199,790 - - - - - 199,790 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Consultant/Contract Svs 52,427 10,749 63,176 - - - - - 63,176 Construction Expenses - - - - - - - - - Transfers Out - 2,614 2,614 - - - - - 2,614 TOTAL STREET FUND 52,427 13,363 65,790 - - - - - 65,790 GRANT FUND Consultant/Contract Svs 134,000 - 134,000 - - - - - 134,000 TOTAL GRANT FUND 134,000 - 134,000 - - - - - 134,000 TOTAL EXPENDITURES 186,427 13,363 199,790 - - - - - 199,790 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND Beginning Balance 13,363 - - - - - - Revenues & T/I 65,790 - 65,790 - - - - - 65,790 Expenditures & T/O 52,427 13,363 65,790 - - - - - 65,790 Ending Balance 13,363 - - - - - - - - GRANT FUND Beginning Balance - - - - - - Revenues & T/I 134,000 - 134,000 - - - - - 134,000 Expenditures & T/O 134,000 - 134,000 - - - - - 134,000 Ending Balance - - - - - - - - - ENDING BALANCE 13,363 - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 368 SIDEWALKS, CURBS & STORM DRAINS Project Name Village Sidewalk & Pedestrian Enhancements Phase II – Construction Project Number 9142-011 Department Public Works Project Manager Macedonio Nunez Description This project funds the second phase of sidewalk and pedestrian safety improvement construction in the Village. Location This project is located in Saratoga Village at Big Basin Way and Highway 9 at Blaney Plaza; Big Basin Way and 5th Street; Big Basin Way and 6th Street; and Big Basin Way just past Highway 9. Project Background The Village is the historical downtown center of Saratoga and is the main corridor for local retail and professional offices. Businesses found along this road include fine restaurants, salons, galleries, home furniture show rooms, bakeries, coffee shops, banks, and delicatessans. As a shopping and dining destination, there is a good deal of pedestrian traffic as shoppers and diners enjoy the Village’s ambiance In 2008, the City entered into a contract with Gates and Associates to design improvements to the Village that would increase pedestrian safety and the beauty of the City’s downtown area. The design included pedestrian bulb-outs and enhanced crosswalks that will make pedestrians more visible to drivers. Plans also included additional landscaping, benches, and bike racks. Following the award of contract with Gates and Associates for design work, the City held two community meetings to explain the purpose of the project and seek public input on the design of the sidewalk and pedestrian improvements. A conceptual design was presented to the City Council in April 2009. Phase I of construction began in June, 2010. Phase II will continue improvements along Big Basin Way. The project will add more pedestrian bulb -outs, enhanced crosswalks, and other safety improvements in the Village. The improved enhancements to pedestrian safety and appearance of the Saratoga Village may make it a more popular retail and dining destination. Funding for this project comes from a Federal Congestion Mitigation and Air Quality (CMAQ) grant, and the City’s grant match. Operating Budget Impacts Project management, engineering oversight, and grant reporting staff costs for this project were incorporated into the operating budget. The project will result in increased maintenance costs as the City will be responsible for caring for additional landscaping, bulb outs, crosswalks, and other features. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 369 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase May 2011 Prepare plans and specifications Design Approval February 2012 Council approves plans Begin Bid Process April 2013 Council authorizes bidding the project Contract Award August 2013 Council awards contract Estimated Construction Start May 2014 Construction project begins Estimated Completion Date July 2015 Project is completed VILLAGE SIDEWALK & PEDESTRIAN ENHANCEMENTS PHASE II – CONSTRUCTION 9142-011 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - Other CIP 342,501 2,614 345,115 - - - - - 345,115 TOTAL STREET FUND 342,501 2,614 345,115 - - - - - 345,115 GRANT FUND Federal - CMAQ PT 46,448 451,116 497,564 278,536 - - - - 776,100 TOTAL GRANT FUND 46,448 451,116 497,564 278,536 - - - - 776,100 TOTAL REVENUES 388,949 453,730 842,680 278,536 - - - - 1,121,215 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Materials & Supplies 886 2,619 3,505 - - - - - 3,505 Fees & Expenses 79 2,405 2,484 - - - - - 2,484 Consultant/Contract Svs 827 4,996 5,824 - - - - - 5,824 Construction Expenses 18,915 196,608 215,522 85,281 - - - - 300,803 Transfers Out 32,500 - 32,500 - - - - - 32,500 TOTAL STREET FUND 53,207 206,628 259,835 85,281 - - - - 345,115 GRANT FUND Materials & Supplies 6,837 - 6,837 - - - - - 6,837 Fees & Expenses 610 - 610 - - - - - 610 Consultant/Contract Svs 6,354 6,907 13,261 - - - - - 13,261 Construction Expenses 32,647 444,209 476,857 278,536 - - - - 755,392 TOTAL GRANT FUND 46,448 451,116 497,564 278,536 - - - - 776,100 TOTAL EXPENDITURES 99,655 657,744 757,399 363,816 - - - - 1,121,215 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND Beginning Balance 289,294 85,281 - - - - - Revenues & T/I 342,501 2,614 345,115 - - - - - 345,115 Expenditures & T/O 53,207 206,628 259,835 85,281 - - - - 345,115 ENDING FUND BALANCE 289,294 85,281 85,281 - - - - - - GRANT FUND Beginning Balance - - - - - - - Revenues & T/I 46,448 451,116 497,564 278,536 - - - - 776,100 Expenditures & T/O 46,448 451,116 497,564 278,536 - - - - 776,100 ENDING FUND BALANCE - - - - - - - - - ENDING BALANCE 289,294 85,281 85,281 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 370 SIDEWALKS, CURBS & STORM DRAINS Project Name Arroyo de Arguello Outfall Repair Project Number 9142-012 Department Public Works Project Manager Rick Torres Description This project will replace a 36-inch rusted corrugated metal storm drain outfall pipe at Calabazas Creek. Location This project is located in Calabazas Creek, approximately 350 feet downstream (north) of Wardell Road along the western bank. Project Background A site assessment by Santa Clara Valley Water District (SCVWD) staff in 2011 revealed the outfall pipe was corroded and recommended replacement to prevent failure and erosion of creek banks due to flooding. SCVWD recommends using the Stream Maintenance Program (SMP) permit procedure to fix the outfall, and committed to providing the planning, design, and construction services similar to the Padero Court project. The new outlet pipe will extend the useful life of the storm drain structure. Although the outfall pipe and storm drain system is owned by the City of Saratoga, SCVWD offered to pay for half of the cost of repairs, as this repair would prevent the failure of the outflow pipe and subsequent stream bank erosion, which would result in an even more costly repair project. The Water District also agreed to manage the project. This project has been funded with Gas Tax revenues. Operating Budget Impacts As the planning, design, and construction services will be managed by SCVWD, the Cit y’s engineering staff time will be minimal and, therefore, will not impact the City’s operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 371 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Design Phase July 2012 Prepare plans and specifications – completed Estimated Construction Start August 2014 Construction Begins Estimated Completion Date August 2015 Project is complete. ARROYO DE ARGUELLO OUTFALL REPAIR 9142-012 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding GAS TAX FUND Transfers In - Gas Tax 70,000 - 70,000 - - - - - 70,000 TOTAL GAS TAX FUND 70,000 - 70,000 - - - - - 70,000 TOTAL REVENUES 70,000 - 70,000 - - - - - 70,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended GAS TAX FUND Construction Expenses - 36,122 36,122 - - - - - 36,122 Transfers Out - - - 33,878 - - - - 33,878 TOTAL GAS TAX FUND - 36,122 36,122 33,878 - - - - 70,000 TOTAL EXPENDITURES - 36,122 36,122 33,878 - - - - 70,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity GAS TAX FUND Beginning Balance 70,000 33,878 - - - - - Revenues & T/I 70,000 - 70,000 - - - - - 70,000 Expenditures & T/O - 36,122 36,122 33,878 - - - - 70,000 ENDING BALANCE 70,000 33,878 33,878 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 372 SIDEWALKS, CURBS & STORM DRAINS Project Name Quito Road Storm Drain Project Project Number 9142-013 Department Public Works Project Manager Rick Torres Description This project will build two storm drains and replace the curb, gutter, and ruined asphalt at Quito Road and Paseo Olivos. Location This project is located on the southwest and northwest corners of Quito Road and Paseo Olivos. Project Background There are currently no storm drains installed on the corner of Quito Road and Paseo Olivos. As a result, water collects at the corner, creating potential traffic hazards, and undermines the roadway. This project will install two new storm drains and connect them to the City of San Jose’s existing storm water system. The City of Saratoga must obtain an encroachment permit from the City of San Jose before it can begin the project. Previous estimates to the timeline have been revised due to delays in obtaining the necessary permits from the City of San Jose. This project has been funded with Gas Tax revenues. Operating Budget Impacts Costs associated with engineering, administrative and staff time for oversight and implementation of the project are incorporated into the operating budget. The installation of the two storm drains will diminish the need for continuous repair of ruined asphalt and reduce City liability risk. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 373 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Project Development July 2013 Prepare Plans & Specifications Obtain Permits September 2015 Apply for Encroachment Permit from City of San Jose Contract Award December 2015 Vendor selected Estimated Construction Start April 2016 Construction project begins Estimated Completion Date September 2016 Project is complete QUITO ROAD STORM DRAIN PROJECT 9142-013 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding GAS TAX FUND Transfers In Gas Tax 40,000 - 40,000 - - - - - 40,000 TOTAL GAS TAX FUND 40,000 - 40,000 - - - - - 40,000 TOTAL REVENUES 40,000 - 40,000 - - - - - 40,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended GAS TAX FUND Construction Expenses - - - 40,000 - - - - 40,000 TOTAL GAS TAX FUND - - - 40,000 - - - - 40,000 TOTAL EXPENDITURES - - - 40,000 - - - - 40,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity GAS TAX FUND Beginning Balance 40,000 40,000 - - - - - Revenues & T/I 40,000 - 40,000 - - - - - 40,000 Expenditures & T/O - - - 40,000 - - - - 40,000 Ending Balance 40,000 40,000 40,000 - - - - - - ENDING BALANCE 40,000 40,000 40,000 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 374 SIDEWALKS, CURBS & STORM DRAINS Project Name OBAG Big Basin Way Sidewalk, Curb & Gutter Repairs Project Number 9142-014 Department Public Works Project Manager John Cherbone Description This project will repair and replace sidewalk, curb, and gutter along Big Basin Way, on an as needed basis, to reduce tripping hazards and beautify the village. Location This project is located on Big Basin Way between 6th street and Hwy 9. Project Background The Village is the historical downtown center of Saratoga and is the main corridor for local retail and professional offices. Businesses found along this thoroughfare road include fine restaurants, salons, galleries, home furniture show rooms, wine tasting rooms, bakeries, banks, and delis. As a shopping and dining destination, there is a good deal of pedestrian traffic as shoppers and diners enjoy the Village’s ambiance. This project is intended to improve patron safety along this major active corridor and enhance Saratoga’s pedestrian-friendly environment through ensuring a safe and convenient walking experience. This project provides funding for removal and replacement of any sidewalk, curb, and gutter along the Saratoga Village that is deteriorating, or considered a potential tripping hazard. This project is funded through a $163,000 STP OBAG grant and gas tax revenues of $20,990. Operating Budget Impacts Costs associated with engineering, administrative and staff time for oversight and implementation of the project are incorporated into the operating budget. Staff time and material costs for minor repairs will be eliminated, and liability risks will be reduced with the infrastr ucture in new condition and in compliance with current standards. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 375 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Design Phase September 2015 Prepare plans and specifications Contract Award January 2016 Council awards contract Estimated Construction Start May 2016 Construction Begins Estimated Completion Date September 2016 Project is completed OBAG SIDEWALK, CURB & GUTTER REPAIR 9142-014 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding GRANT FUND State - STP OBAG Grant - - - 163,000 - - - - 163,000 TOTAL GRANT FUND - - - 163,000 - - - - 163,000 GAS TAX FUND Gas Tax - 20,990 20,990 - - - - - 20,990 TOTAL GAS TAX FUND - 20,990 20,990 - - - - - 20,990 TOTAL REVENUES - 20,990 20,990 163,000 - - - - 183,990 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended GRANT FUND Construction Expenses - - - 163,000 - - - - 163,000 TOTAL GRANT FUND - - - 163,000 - - - - 163,000 GAS TAX FUND Construction Expenses - - - 20,990 - - - - 20,990 TOTAL GAS TAX FUND - - - 20,990 - - - - 20,990 TOTAL EXPENDITURES - - - 183,990 - - - - 183,990 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP GRANT FUND Beginning Balance - - - - - - - - Revenues & T/I - - - 163,000 - - - - 163,000 Expenditures & T/O - - - 163,000 - - - - 163,000 Ending Balance - - - - - - - - - GAS TAX FUND Beginning Balance - 20,990 - - - - - Revenues & T/I - - 20,990 - - - - - 20,990 Expenditures & T/O - - - 20,990 - - - - 20,990 Ending Balance - - 20,990 - - - - - - ENDING BALANCE - - 20,990 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 376 SIDEWALKS, CURBS & STORM DRAINS Project Name El Camino Grande Storm Drain Pump Project Number 9142-015 Department Public Works Project Manager John Cherbone Description This project will improve the existing storm drain system at El Camino Grande. Location This project is located on El Camino Grande and Saratoga-Los Gatos Road. Project Background This is the second part of the Monte Vista Drive/El Camino Grande area storm drain improvements. This section of the roadway receives a large amount of storm water runoff from Saratoga-Los Gatos Road. The capacity of the existing storm drain system is inadequate during intense storm events. Without a proper storm drain system, flooding could occur resulting in erosion and possible street failure. This project is funded by a $150,000 transfer from the General Fund. Operating Budget Impacts Costs associated with engineering, administrative and staff time for oversight and implementation of the project are incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 377 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Design Phase August 2016 Prepare plans and specifications Prepare Agreements March 2016 Prepare Agreements Estimated Construction Start August 2016 Begin Construction Estimated Completion Date October 2016 Project Complete EL CAMINO GRANDE STORM DRAIN PUMP 9142-015 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - General Fund - 150,000 150,000 - - - - - 150,000 TOTAL REVENUES - 150,000 150,000 - - - - - 150,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Construction Expenses - - - 150,000 - - - - 150,000 TOTAL EXPENDITURES - - - 150,000 - - - - 150,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING BALANCE - 150,000 - - - - - Revenues & T/I - 150,000 150,000 - - - - - 150,000 Expenditures & T/O - - - 150,000 - - - - 150,000 ENDING BALANCE - 150,000 150,000 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 378 SIDEWALKS, CURBS & STORM DRAINS Project Name Saratoga Hills Storm Drain Improvements Project Number 9142-016 Department Public Works Project Manager Iveta Harvancik Description This project will improve the existing storm drain system at the corner of Saratoga Hills Road and Pontiac Avenue. Location This project is located on Saratoga Hills Road near Pontiac Avenue. Project Background This area receives a large amount of storm water runoff from Saratoga Hills Road and the existing drain inlet’s capacity is inadequate to accommodate the high amount of runoff. Without a proper storm drain system, flooding could occur resulting in erosion and possible street failure. This project is funded by a $10,000 transfer from the General Fund. Operating Budget Impacts Costs associated with engineering, administrative and staff time for oversight and implementation of the project are incorporated into the operating budget. Ongoing maintenance costs are included in the West Valley Sanitation District contract. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 379 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Design Phase January 2016 Prepare plans and specifications Prepare Agreements March 2016 Prepare agreements Estimated Construction Start August 2016 Begin construction Estimated Completion Date October 2016 Project Complete SARATOGA HILLS STORM DRAIN IMPROVEMENTS 9142-016 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - General Fund - - - 44,000 - - - - 44,000 TOTAL REVENUES - - - 44,000 - - - - 44,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Construction Expenses - - - 44,000 - - - - 44,000 Transfers Out - - - - - - - - - TOTAL EXPENDITURES - - - 44,000 - - - - 44,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING BALANCE - - - - - - - Revenues & T/I - - - 44,000 - - - - 44,000 Expenditures & T/O - - - 44,000 - - - - 44,000 ENDING BALANCE - - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 380 SIDEWALKS, CURBS & STORM DRAINS Project Name Long-Term Trash Plan Storm Drain Capture Devices Project Number 9142-017 Department Public Works Project Manager Mainini Cabute Description This project will install 15 storm drain full capture devices in areas that have the highest density of trash to implement the City’s Long Term Trash Plan (LTTP). Location Identified locations include Prospect Road, sections of Saratoga-Sunnyvale near Saratoga High School, Sea Gull and Prospect Road, Congress Springs Park and Saratoga Village. Project Background The Municipal Regional Stormwater National Pollutant Discharge Elimination System (NPDES) Permit for Phase I communities in the San Francisco Bay (Order R2 -2009-0074), also known as the Municipal Regional Permit (MRP), became effective on December 1, 2009. Provision C.10.c of the MRP requires Permittees to submit a Long-Term Trash Load Reduction Plan (Long-Term Plan) by February 1, 2014. Long-Term Plans must describe control measures that are currently being implemented, including the level of implementation, and additional control measures that will be implemented and/or require an increased level of implementation designed to attain a 70% trash load reduction by July 1, 2017, and 100% by July 1, 2022. The City of Saratoga submitted a Long-Term Trash Plan (LTTP) in compliance with MRP provision C.10.c. The goal of the Long-Term Trash Plan is to solve trash problems in receiving waters by reducing the impacts associated with trash in discharges from the City of Saratoga’s municipal separate storm sewer system that are regulated by NPDES Permit requirements. The City believes that purchasing and installing 15 storm drain full capture devices will effectively reduce the instances of trash entering the storm drains and flowing into the Bay. The City developed the LTTP using a regionally consistent outline and guidance developed by the Bay Area Stormwater Management Agencies Association (BASMAA) and reviewed by San Francisco Bay Regional Water Quality Control Board staff. This project is funded by a $30,000 transfer from the General Fund. Operating Budget Impacts This project will require a minimal amount of Street Crew time to inspect full capture devices after each storm to empty out trash from the capture devices. Staff time is funded in the Operating Budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 381 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Project Purchase December 2015 Purchase full capture devices Estimated Completion Date June 2016 Complete installation of capture devices LONG-TERM TRASH PLAN STORM DRAIN CAPTURE DEVICES 9142-017 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - General Fund - 30,000 30,000 - - - - - 30,000 TOTAL REVENUES - 30,000 30,000 - - - - - 30,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Construction Expenses - - - 30,000 - - - - 30,000 TOTAL EXPENDITURES - - - 30,000 - - - - 30,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING BALANCE - 30,000 - - - - - Revenues & T/I - 30,000 30,000 - - - - - 30,000 Expenditures & T/O - - - 30,000 - - - - 30,000 ENDING BALANCE - 30,000 30,000 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 382 SIDEWALKS, CURBS & STORM DRAINS Project Name Wildcat Creek Outfall Repair Project Number 9142-018 Department Public Works Project Manager Iveta Harvancik Description Replacement of 36-inch rusted corrugated metal storm drain outfall pipe. Location This project is located at Gardiner Park. Project Background The City of Saratoga owns the outfall pipe and storm drain structure. A recent site assessment by Santa Clara Valley Water District (SCVWD) staff revealed the outfall pipe located at Gardiner Park was corroded, and subsequently recommended the outflow pipe be replaced to prevent failure and erosion of creek banks due to flooding. SCVWD recommends using the Stream Maintenance Program (SMP) permit procedure to fix the outfall, and committed to providing the planning, design, and construction services similar to the Padero Court project. The new outlet pipe will extend the useful life of the storm drain structure. Although the outfall pipe and storm drain system is owned by the City of Saratoga, S CVWD offered to pay for half of the cost of repairs, as this repair will prevent a failure which would cause stream bank erosion, which would result in an even more costly repair project. The Water District also agreed to manage the project. The Water District will manage the repair project. The City will reimburse SCVWD for the City’s share of the project cost when completed. This project will be funded with Gas Tax revenues. Operating Budget Impacts As the planning, design, and construction services will be managed by SCVWD, the City’s engineering staff time will be minimal and therefore will not impact the City’s operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 383 SIDEWALKS, CURBS & STORM DRAINS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Design Phase To Be Determined SCVWD will design. Estimated Construction Start To Be Determined Construction Begins Estimated Completion Date To Be Determined Project is complete. WILDCAT CREEK OUTFALL REPAIRS 9142-018 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - General Fund - 40,000 40,000 - - - - - 40,000 TOTAL REVENUES - 40,000 40,000 - - - - - 40,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Construction Expenses - - - 40,000 - - - - 40,000 TOTAL EXPENDITURES - - - 40,000 - - - - 40,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING BALANCE - 40,000 - - - - - Revenues & T/I - 40,000 40,000 - - - - - 40,000 Expenditures & T/O - - - 40,000 - - - - 40,000 ENDING BALANCE - 40,000 40,000 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 384 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 385 BRIDGE & RETAINING WALL PROJECTS CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 386 BRIDGE & RETAINING WALL PROJECTS Project Name Fourth Street Bridge Project Number 9152-001 Department Public Works Project Manager John Cherbone Description This project will widen the bridge at 4th Street in Saratoga. Location This project is located on 4th Street near Wildwood Park in the Saratoga Village. Project Background The 4th Street Bridge was constructed in 1939 and crosses Saratoga Creek near the entrance to Wildwood Park. This project will widen the bridge to accommodate a sidewalk for pedestrian traffic. Additionally, this project will make structural improvements to bring the bridge in compliance with current standards. A California Department of Transportation review of Saratoga bridges in 2004 listed the 4th Street Bridge as being in “generally good condition”. There are 20 bridges located in the City. Nine of the bridges pass over Saratoga Creek. Funding for the project comes primarily from the Federal Highway Bridge Replacement and Rehabilitation (HBRR) program. HBRR monies account for 80% of total project costs. The remaining 20% is funded by the City. Operating Budget Impacts Project management costs are included in the operating budget as staff time in the Engineering and Streets programs. This project will increase safety for pedestrians walking across the 4th Street Bridge and subsequently reduce City liability exposure. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 387 BRIDGE & RETAINING WALL PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase May 2013 Prepare plans and specifications Begin Bid Process February 2017 Council approves plans and authorizes bidding the project Contract Award April 2017 Council awards contract Estimated Construction Start April 2017 Construction project begins Estimated Completion Date October 2017 Project is completed FOURTH STREET BRIDGE 9152-001 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - General Fund 100,000 - 100,000 - - - - - 100,000 TOTAL STREET FUND 100,000 - 100,000 - - - - - 100,000 GRANT FUND Federal - HBRR 1,078 - 1,078 485,922 - - - - 487,000 TOTAL GRANT FUND 1,078 - 1,078 485,922 - - - - 487,000 TOTAL REVENUES 101,078 - 101,078 485,922 - - - - 587,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Construction Expenses - - - 100,000 - - - - 100,000 TOTAL STREET FUND - - - 100,000 - - - - 100,000 GRANT FUND Construction Expenses 1,078 - 1,078 485,922 - - - - 487,000 TOTAL GRANT FUND 1,078 - 1,078 485,922 - - - - 487,000 TOTAL EXPENDITURES 1,078 - 1,078 585,922 - - - - 587,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND Beginning Balance 100,000 100,000 - - - - - Revenues & T/I 100,000 - 100,000 - - - - - 100,000 Expenditures & T/O - - - 100,000 - - - - 100,000 ENDING FUND BALANCE 100,000 100,000 100,000 - - - - - - GRANT FUND Beginning Balance - - - - - - - Revenues & T/I 1,078 - 1,078 485,922 - - - - 487,000 Expenditures & T/O 1,078 - 1,078 485,922 - - - - 487,000 ENDING FUND BALANCE - - - - - - - - - ENDING BALANCE 100,000 100,000 100,000 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 388 BRIDGE & RETAINING WALL PROJECTS Project Name Quito Road Bridges Project Number 9152-002 Department Public Works Project Manager Macedonio Nunez Description This project funds removal and replacement of two bridges on Quito Road. Location This project is located on two sections of Quito Road along the border of Saratoga and Los Gatos. Project Background The California Department of Transportation (Caltrans) conducted a structural assessment of the two bridges on Quito Road and rated them in need of replacement. Additionally, the bridges are not wide enough to meet current Caltrans standards for roadway size. This project will rebuild the bridges, bringing the width of the Quito Road bridges in compliance with State roadway standards, which will ultimately increase safety for people using Quito Road. Both bridges pass over San Tomas Creek, which flows through Saratoga, Campbell, Los Gatos, Monte Sereno, San Jose, and Santa Clara. As these two bridges fall along the city limit lines of Saratoga and Los Gatos and along the San Tomas Creek, Los Gatos, Saratoga, and the Santa Clara Valley Water District all share in the boundaries and responsibilities. As Saratoga holds the primary share of allocated responsibility, the City agreed to manage this bridge replacement project. There are a total of 20 bridges in Saratoga. Four of these bridges pass over San Tomas Creek. Funding to remove and replace the existing bridges comes primarily from a Federal Highway Bridge Replacement and Rehabilitation (HBRR) Program Grant, with allocated grant match contributions from the Water District, Los Gatos, and Saratoga through a co -operative agreement. Operating Budget Impacts Project management, engineering oversight, and grant reporting staff costs for this project are incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 389 BRIDGE & RETAINING WALL PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase January 1996 Prepare plans and specifications Begin Bid Process December 2012 Council approves plans and authorizes bidding the project Contract Award March 2016 Council awards contract Estimated Construction Start April 2016 Construction project begins Estimated Completion Date April 2017 Project is completed QUITO ROAD BRIDGES 9152-002 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Project Reimbursements 59,130 - 59,130 206,698 - - - - 265,828 Transfers In - General Fund 155,659 - 155,659 - - - - - 155,659 TOTAL 214,789 - 214,789 206,698 - - - - 421,487 GRANT FUND Federal - HBRR 572,446 99,153 671,600 - - - - - 671,600 TOTAL 572,446 99,153 671,600 - - - - - 671,600 GAS TAX FUND Gas Tax Revenues - 129,000 129,000 - - - - - 129,000 TOTAL - 129,000 129,000 - - - - - 129,000 TOTAL REVENUES 787,235 228,153 1,015,389 206,698 - - - - 1,222,087 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Salary & Benefits - - - - - - - - - Site Acquisition & Prep 19,356 - 19,356 - - - - - 19,356 Materials & Supplies 165 - 165 - - - - - 165 Fees & Expenses 485 - 485 - - - - - 485 Consultant/Contract Svs 45,237 - 45,237 - - - - - 45,237 Construction Expenses 89,333 - 89,333 266,198 - - - - 355,531 Reimbursable Expenses 714 - 714 - - - - - 714 TOTAL 155,289 - 155,289 266,198 - - - - 421,487 GRANT FUND Site Acquisition & Prep 77,423 27,089 104,513 - - - - - 104,513 Materials & Supplies 660 - 660 - - - - - 660 Fees & Expenses 207 - 207 - - - - - 207 Consultant/Contract Svs 110,734 72,064 182,798 - - - - - 182,798 Construction Expenses 376,475 - 376,475 - - - - - 376,475 Reimbursable Expenses 6,947 - 6,947 - - - - - 6,947 TOTAL 572,446 99,154 671,600 - - - - - 671,600 GAS TAX FUND Site Acquisition & Prep - 11,375 11,375 - - - - - 11,375 Materials & Supplies - 87 87 - - - - - 87 Fees & Expenses - 413 413 - - - - - 413 Consultant/Contract Svs - 110,039 110,039 - - - - - 110,039 Construction Expenses - - - 7,085 - - - - 7,085 TOTAL - 121,915 121,915 7,085 - - - - 129,000 TOTAL EXPENDITURES 727,735 221,069 826,889 273,283 - - - - 1,222,087 Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 390 QUITO ROAD BRIDGES 9152-002 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND Beginning Balance 59,500 59,500 - - - - - Revenues & T/I 214,789 - 214,789 206,698 - - - - 421,487 Expenditures & T/O 155,289 - 155,289 266,198 - - - - 421,487 ENDING FUND BALANCE 59,500 59,500 59,500 - - - - - - GRANT FUND Beginning Balance - - - - - - - Revenues & T/I 572,446 99,153 671,600 - - - - - 671,600 Expenditures & T/O 572,446 99,154 671,600 - - - - - 671,600 ENDING FUND BALANCE - - - - - - - - - GAS TAX FUND Beginning Balance - 7,085 - - - - - Revenues & T/I - 129,000 129,000 - - - - - 129,000 Expenditures & T/O - 121,915 121,915 7,085 - - - - 129,000 ENDING FUND BALANCE - 7,085 7,085 - - - - - - ENDING BALANCE 59,500 59,500 59,500 - - - - - - Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 391 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 392 BRIDGE & RETAINING WALL PROJECTS Project Name Bridge Maintenance and Repairs Project Number 9152-003 Department Public Works Project Manager John Cherbone Description This project will ensure that existing bridges in Saratoga are adequately maintained and that repairs are done in a timely matter. Location This project is located citywide. Project Background This project represents an initial $50,000 commitment towards maintenance and repairs of the City’s 20 bridges. Each year Caltrans inspects all bridges in the state, including 12,200 bridges owned by local government agencies. Caltrans provides repair recommendations, determines the safe load capacity of all bridges, and assists in specifications and esti mates for bridge maintenance projects. This project is funded by a transfer from the General Fund. Operating Budget Impacts Engineering and administrative staff time for project management and oversight is incorporated into the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 393 BRIDGE & RETAINING WALL PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase October 2015 Prepare plans and specifications Begin Bid Process June 2016 Select contractor Contract Award July 2016 Award contract Estimated Construction Start July 2016 Begin construction Estimated Completion Date October 2016 Project complete BRIDGE MAINTENANCE AND REPAIRS 9152-003 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Transfers In - General Fund - - - 50,000 - - - - 50,000 TOTAL - - - 50,000 - - - - 50,000 TOTAL REVENUES - - - 50,000 - - - - 50,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Construction Expenses - - - 50,000 - - - - 50,000 TOTAL - - - 50,000 - - - - 50,000 TOTAL EXPENDITURES - - - 50,000 - - - - 50,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND Beginning Balance - - - - - - - Revenues & T/I - - - 50,000 - - - - 50,000 Expenditures & T/O - - - 50,000 - - - - 50,000 Ending Balance - - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 394 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 395 UTILITY UNDERGROUNDING PROJECTS CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 396 UTILITY UNDERGROUNDING PROJECTS Project Name Rule 20A Undergrounding Project Project Number 9171-001 Department Public Works Project Manager Macedonio Nunez Description This project will fund undergrounding of utilities in Saratoga. Location One or more locations for this project are to be determined. Project Background Each year, Pacific Gas & Electric (PG&E) allocates undergrounding work credits to Saratoga and other municipalities to provide funding for undergrounding utilities. The credits for these allocations are provided through PG&E’s Rule 20A program, which is an electric tariff filed with the California Public Utilities Commission. As a result of the Rule 20A program, PG&E is able to annually fund relocation of approximately 30 miles of overhead utilities underground. Rule 20A funding comes from electricity rate payers. Before Rule20A work credits can be used, proposed undergrounding projec ts must be approved by PG&E. Projects must reduce an unusually heavy concentration of overhead power lines, be conducted on arterial streets with high pedestrian or vehicular traffic, or be done on roads that are in a civic, recreational, or scenic area. Due to the very high cost of undergrounding, Saratoga has been collecting Rule 20A credits over the past few years to allow for a more substantial undergrounding project in the City. Operating Budget Impacts Moving overhead utilities underground will make the City more attractive and will reduce safety risks associated with down power lines. As fallen power lines can be especially problematic during winter storms, undergrounding the lines would reduce emergency staff costs and liability. Project management costs for this project will be included in the operating budget when it becomes active. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 397 UTILITY UNDERGROUNDING PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase To be determined Prepare plans and specifications in conjunction with PG&E Estimated Construction Start To be determined PG&E begins construction Estimated Completion Date To be determined PG&E completes construction RULE 20A ELECTRIC UNDERGROUND CONVERSION PROJECTS As of May 31, 2015, $4,055,204 of work credit funding is available from PG&E for utility undergrounding work funded and completed by PG&E. Additional funds accumulate each year. The City does not receive cash funds for this work; therefore the work credit amount is not included in the CIP financial schedules. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 398 UTILITY UNDERGROUNDING PROJECTS Project Name Quito Road Undergrounding Project Project Number 9171-002 Department Public Works Project Manager Macedonio Nunez Description This project will fund undergrounding of utilities on Quito Road in Saratoga. Location Undergrounding work would take place on Quito Road near Twin Creeks Road. Project Background Several years ago, as a result of fees collected for a subdivision, the City received funds to underground utilities on Quito Road near Twin Creeks Road. In recent years, municipalities and Pacific Gas & Electric (PG&E) have started moving overhead utility lines underground. Due to the high costs of undergrounding, transferring the overhead utilities at this location will have to be incorporated into a larger undergrounding project. Moving overhead utilities underground will make the City more attractive and will reduce safety risks associated with down power lines. Fallen power lines can be espe cially problematic during winter storms. Operating Budget Impacts Staff time associated with project management is included in the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 399 UTILITY UNDERGROUNDING PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase To be determined Prepare plans and specifications Begin Bid Process To be determined Council approves plans and authorizes bidding the project Contract Award To be determined Council awards contract Estimated Construction Start To be determined Construction project begins Estimated Completion Date To be determined Project is completed QUITO ROAD UNDERGROUNDING PROJECT 9171-002 Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP STREET FUND Community Benefit Assess 98,744 - 98,744 - - - - - 98,744 TOTAL REVENUES 98,744 - 98,744 - - - - - 98,744 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP STREET FUND Construction Expenses - - - 98,744 - - - - 98,744 TOTAL EXPENDITURES - - - 98,744 - - - - 98,744 FY Total 2014/15 Estimated Project Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP STREET FUND BEGINNING FUND BAL 98,744 98,744 - - - - - Revenues & T/I 98,744 - 98,744 - - - - - 98,744 Expenditures & T/O - - - 98,744 - - - - 98,744 ENDING BALANCE 98,744 98,744 98,744 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN STREET PROGRAM 400 401 PARKS & TRAILS PROGRAM 402 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 403 PARKS & TRAILS PROGRAM PROGRAM DIRECTORY PARKS & TRAILS PROGRAM PAGE Program Summary 405 Project List Summary 406 Program Funding Summary 407 CITYWIDE PROJECTS 9211-001 Annual Park & Trails Repairs 410 9211-002 Tree Replanting Program 412 9211-003 Playground Safety Improvements 414 9211-005 Fibar Playground Safety Improvements 416 9211-006 Turf Reduction Program 418 9211-007 Park Pathway Repairs 420 9211-008 Sustainable Landscaping Project 422 9212-001 Tree Dedication Program 424 9212-002 Saratoga Monte Sereno Community Foundation Tree Dedication Program 426 9213-001 Beverage Container Grant Project 428 PARK PROJECTS 9222-001 Hakone Gardens Master Plan 432 9222-004 Hakone Gardens Upper Moon House Foundation Repairs 434 9225-003 Wildwood Park Bridge Rehabilitation 436 9226-001 Quarry Park Master Plan Implementation – Phase I 438 9226-002 Quarry Park Right-of-Way/Property Acquisition 440 TRAILS & OPEN SPACE PROJECTS 9274-001 Joe’s Trail at Saratoga De Anza 444 9274-002 Guava Ct/Fredericksburg Entrance 446 9277-001 Saratoga Village Creek Trail – Design & Environmental 448 9277-002 Saratoga Village Creek Overlook 450 9277-003 Village Creek Trail – Construction 452 9281-002 Saratoga to the Sea Trail Master Plan Implementation 454 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 404 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 405 PARKS & TRAILS PROGRAM SUMMARY The Parks & Trails Program provides for capital improvements to the City of Saratoga’s neighborhood and city parks and plaza, sports fields, bike and pedestrian trails, and open space areas throughout the city. Projects within the Parks & Trails Program are classified as General/Citywide Park Improvements, City Park Projects, Neighborhood Park Projects, Sport Park Projects, or Trail and Open Space Projects. Within the project classification, the projects are sub- classified by site. This structure allows for the tracking of resources by individual park, trail, or open space area, and by specific project work completed. General Repairs & Maintenance – include general and citywide park and trail repair projects to provide for minor projects that are not specified bodies of work to an individual site, and for citywide projects that apply to multiple sites. Projects could include fence repairs or improvements, tree removals, park furniture and equipment, lighting or irrigation enhancements, structure repairs, or various minor projects that arise to improve the infrastructure. This category also includes the Citywide Tree Replanting project which is primarily funded through tree fines and used for tree planting and irrigation throughout the City. A third subcategory is funding projects for open space contributions. City Parks – include projects which improve the larger parks which draw the entire community. These include Wildwood Park, Hakone Gardens, Heritage Orchard Park, Blaney Plaza and the Village Historical Park. City Parks generally have features and attractions in addition to playground equipment, picnic areas, and ball courts. Neighborhood Parks – are comprised of projects for the City’s smaller parks located within neighborhoods. These include Azule Park, Beauchamps Park, Bellgrove Park, Brookglen Park, Foothill Park, Gardiner Park, Kevin Moran Park, and Ravenswood Park. Sport Parks & Facilities Projects - include improvement projects at the City’s sport field type parks. These sites include Congress Springs Park, El Quito Park, and West Valley Soccer Fields. Trails & Open Space Projects –include Joe’s Trail at Saratoga De Anza, Saratoga Village Creek Trail and Saratoga to Sea Quarry. The schedule on the following page summarizes the City’s FY 2015/16 Parks & Trails Program capital projects and their currently funded status. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 406 PROJECT LIST SUMMARY Two new park projects are funded in FY 2015/16. These include:  Park Pathway Repairs  Sustainable Landscaping The following five projects were completed in FY 2014/15, leaving a total of sixteen active projects for FY 2015/16:  Playground Safety Improvements  Fibar Playground Safety Improvements  Turf Reduction Renovation Program  Wildwood Park Bridge Rehabilitation  Saratoga to Sea Quarry Master Plan Prior FY Total Year 2014/15 Funded Project PARKS PROJECT EXPENDITURE SUMMARY Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding City Wide Projects 9211-001 Annual Park & Trail Repairs 267,336 23,116 290,452 67,929 - - - - 358,381 9211-002 CityWide Tree Replanting 218,142 18,813 236,955 33,248 - - - - 270,203 9211-003 Playground Safety Improvements 33,522 15,539 49,061 closed - - - - 49,061 9211-005 Fibar Playground Safety Improvements 35,980 4,020 40,000 closed - - - - 40,000 9211-006 Turf Reduction Renovation Program - 25,000 25,000 closed - - - - 25,000 9211-007 Park Pathway Repairs - - - 50,000 - - - - 9211-008 Sustainable Landscaping Project - - - 89,068 - - - - 9212-001 Tree Dedication Program 7,500 - 7,500 21,250 - - - - 28,750 9212-002 SMSCF Tree Donation Fund - - - 1,750 - - - - 1,750 9213-001 AB 8939 Beverage Container Grant 20,305 5,447 25,752 4,618 - - - - 30,370 Park Projects 9222-001 Hakone Gardens Match Contribution - 206,009 206,009 193,991 - - - - 400,000 9222-004 Hakone Gardens UH Foundation - - - 125,000 - - - - 125,000 9225-003 Wildwood Park Bridge Rehabilitation 64,501 59,234 123,735 closed - - - - 123,735 9226-001 Quarry Park Master Plan Implementation - 129,420 129,420 825,424 - - - - 954,844 9226-002 Quarry Park ROW/Property Acquisition - - - 100,000 - - - - 100,000 Trail Projects 9274-001 Joe's Trail at Saratoga De Anza 2,011,163 - 2,011,163 202,822 - - - - 2,213,985 9274-002 Guava Ct/Fredericksburg Entrance - - - 345,880 - - - - 345,880 9277-001 Village Creek Trail - Design & Environ 5,000 34,000 39,000 80,000 - - - - 119,000 9277-002 Village Creek Overlook 480 - 480 26,520 - - - - 27,000 9277-003 Village Creek Trail - Construction - - - 100,000 - - - - 100,000 9281-002 Saratoga to Sea Quarry Master Plan 276,128 23,872 300,000 closed - - - - 300,000 - Total Project Expenditures 3,502,339 544,470 4,046,809 2,267,499 - - - - 6,175,240 Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 407 PARK & TRAILS PROGRAM FUNDING SUMMARY Prior FY Total Year 2014/15 Funded Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP PARK FUND AB 8939 Beverage Container 22,059 - 22,059 - - - - - 22,059 CIP Project Reimbursement - 64,068 64,068 - - - - - 64,068 Park In Lieu Fees 432,589 - 432,589 - - - - - 432,589 Donations/Contributions - 150,000 150,000 - - - - - 150,000 Transfers In - General Fund 950,573 443,445 1,394,018 124,000 - - - - 1,518,018 Transfers In - Hillside Reserve 280,000 - 280,000 - - - - - 280,000 Transfers In - Other CIP 90,312 29,735 120,046 64,068 - - - - 184,114 Transfers In - ABAG 25,000 - 25,000 - - - - - 25,000 TREE FUND Fines & Forfeitures 85,445 1,750 87,195 - - - - - 87,195 Donations/Contributions 5,375 125 5,500 - - - - - 5,500 Transfers In 208,007 - 208,007 - - - - - 208,007 PARK IN-LIEU FEES FUND Park In Lieu Fees 372,031 61,200 433,231 - - - - - 433,231 Transfers In - General Fund - - - 171,000 - - - - 171,000 Transfers In - Other CIP (29,735) (29,735) 290,768 - - - - 261,033 GRANT FUND AB 8939 Beverage Container 16,749 - 16,749 - - - - - 16,749 Federal - CMAQ to VTA 1,363,343 - 1,363,343 36,657 - - - - 1,400,000 Local - BAAQMD TFCA Grant - 300,000 - - - - 300,000 Local - VTA DeAnza Trail Grant 379,988 - 379,988 - - - - - 379,988 Local - SCVWD Grant 5,480 34,000 39,480 26,520 - - - - 66,000 Private - DeAnza Trail Grant 280,641 - 280,641 119,359 - - - - 400,000 Transfers In 13,621 - 13,621 - - - - - 13,621 TOTAL REVENUES 4,531,214 754,588 5,285,802 1,132,372 - - - - 6,418,174 Prior FY Total Year 2014/15 Expended Project CIP PARK EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP PARK FUND Site Acquisition & Prep 8,657 - 8,657 - - - - - 8,657 Supplies & Expenses 37,294 11,333 48,627 - - - - - 48,627 Fees & Expenses 2,527 1,521 4,048 - - - - - 4,048 Consultant/Contract Svs 311,401 228,798 540,199 - - - - - 540,199 Project Equip & Fixtures - 3,760 3,760 - - - - - 3,760 Construction Expenses 781,795 114,055 895,849 721,797 - - - - 1,617,646 Transfers Out 98,075 - 98,075 354,836 - - - - 452,911 TREE FUND Tree Supplies/Services 18,395 890 19,285 - - - - - 19,285 Consultant/Contract Svs 12,596 - 12,596 - - - - - 12,596 Construction Expenses 194,652 17,923 212,575 54,498 - - - - 267,072 Transfers Out - - - 1,750 - - - - 1,750 PARK IN-LIEU FEES FUND Supplies & Expenses - 10,157 10,157 - - - - - 10,157 Fees & Expenses - 23,098 23,098 - - - - - 23,098 Construction Expenses - 93,489 93,489 634,656 - - - - 728,144 GRANT FUND Salary & Benefits 81,364 - 81,364 - - - - - 81,364 Site Acquisition & Prep 612,066 - 612,066 - - - - - 612,066 Supplies & Expenses 19,393 2,587 21,980 - - - - - 21,980 Fees & Expenses 25,679 - 25,679 - - - - - 25,679 Consultant/Contract Svs 136,258 34,000 170,258 - - - - - 170,258 Construction Expenses 1,162,189 2,860 1,165,049 499,963 - - - - 1,665,012 TOTAL EXPENDITURES 3,502,340 544,470 4,046,810 2,267,499 - - - - 6,314,310 Prior FY Total Year 2014/15 Project TOTAL ALL FUND SUMMARY Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity BEGINNING BALANCE 1,028,874 1,238,991 - - - - - Revenues & Transfers In 4,531,214 754,588 5,285,802 1,132,372 - - - - 6,418,174 Expenditures & Transfers Out 3,502,340 544,470 4,046,810 2,267,499 - - - - 6,314,310 ENDING BALANCE 1,028,874 1,238,991 1,238,991 103,865 - - - - 103,865 Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 408 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 409 CITYWIDE PROJECTS CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 410 CITYWIDE PROJECTS Project Name Annual Park & Trail Repairs Project Number 9211-001 Department Public Works Project Manager Shawn Gardner Description This project provides funding for minor projects and repairs to City parks, trails, and open spaces. Location Projects and repairs vary throughout the year and may be located at any of the 14 City parks containing 67 acres of developed parkland, within the 13 miles of walking and hiking trails, or in the nearly 50 acres of undeveloped open space in the City. Project Background To address unplanned minor projects and repairs in a timely manner, the City provides capital funding for infrastructure maintenance. The work is limited to projects that do not exceed $5,000 and address safety matters or projects that are of an urgent nature to prevent further damage. Past repairs have included installation of handrails along trails, placement of fibar material in playground fall areas, fence repairs, park bench replacement or repairs, improvements to retaining walls, repair or installation of park and trail signs, and other unanticipated projects. Because this funding is reserved for unexpected issues that ar e above and beyond regular maintenance of parks and trails, upcoming projects are not known at this time. Most projects and repair work are contracted out, with park staff providing project oversight. Funding for this project comes from General Fund transfers and minor residual Park & Trail project balance transfers. Operating Budget Impacts This project helps to reduce Operating Budget expenses by addressing necessary repairs and maintenance promptly. These repairs help to ensure the City’s parks, trails, and open spaces are well- maintained, liability issues are reduced, and maintenance issues are mitigated. Ultimately, this prevents small problems from growing into larger and more costly repairs. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 411 CITYWIDE PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Project Development Ongoing Prepare project plans and request bids for work contracted out Contract Award Ongoing Award contract Estimated Construction Start Ongoing Construction project begins Estimated Completion Date Ongoing Project is completed ANNUAL PARK & TRAIL REPAIRS 9211-001 Prior FY Total Year 2014/15 Funding Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP PARK FUND AB 8939 Beverage Container 22,059 - 22,059 - - - - - 22,059 CIP Project Reimbursement - 64,068 64,068 - - - - - 64,068 Transfers In - General Fund 230,000 25,000 255,000 - - - - - 255,000 Transfers In - Other CIP 16,315 939 17,254 - - - - - 17,254 TOTAL REVENUES 268,374 90,007 358,381 - - - - - 358,381 FY Total 2014/15 Expended Project EXPENDITURES Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP PARK FUND Site Acquisition & Prep 2,094 - 2,094 - - - - - 2,094 Materials & Supplies 10,260 5,741 16,001 - - - - - 16,001 Fees & Expenses 50 - 50 - - - - - 50 Construction Expenses 236,693 17,375 254,068 3,861 - - - - 257,930 Transfers Out 18,238 - 18,238 64,068 - - - - 82,306 TOTAL EXPENDITURES 267,336 23,116 290,452 67,929 - - - - 358,381 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity BEGINNING BALANCE - 1,038 67,929 - - - - - Revenues & Transfers In 268,374 90,007 358,381 - - - - - 358,381 Expenditures & Transfers Out 267,336 23,116 290,452 67,929 - - - - 358,381 ENDING BALANCE 1,038 67,929 67,929 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 412 CITYWIDE PROJECTS Project Name Tree Replanting Program Project Number 9211-002 Department Public Works Project Manager Kevin Meek Description This ongoing project provides for the upkeep of the City’s urban forest through the planting of City trees and shrubbery, installation of irrigation for new plantings, tree maintenance, and removal of damaged trees on City property. Location The Tree Replanting Program is a Citywide project, primarily directed toward reforesting areas within City parks and medians. Project Background To mitigate the loss of the urban forest, the City assesses fines for unpermitted tree removal and related violations, and then uses these funds to reforest the City. Fines provide the funding for the cost to plant new trees and shrubbery and if needed, to install irrigation to sustain the new plantings on public property. Citywide tree replanting work is sometimes completed by staff; however, larger-scale projects may be contracted out to tree and landscape contractors. Operating Budget Impacts The Citywide Tree Replanting Program offsets tree planting and related maintenance expenses that would otherwise be funded through the City’s operating budget. Additionally, maintaining the City’s urban tree canopy adds to Saratoga’s attractiveness and increases its desirability. To some degree , this helps to generate higher property values and consequently higher property tax revenues received by the City. Staff time for project oversight is funded through the Operating Budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 413 CITYWIDE PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Project Development Ongoing Prepare project plans and request bids if work is contracted out Contract Award Ongoing Award contract Estimated Construction Start Ongoing Construction project begins Estimated Completion Date Ongoing Project is completed CITYWIDE TREE REPLANTING PROGRAM 9211-002 Prior FY Total Year 2014/15 Funding Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding TREE FINE FUND Fines & Forfeitures 85,445 1,750 87,195 - - - - - 87,195 Transfers In - General Fund 183,007 - 183,007 - - - - - 183,007 TOTAL REVENUES 268,453 1,750 270,202.87 - - - - - 270,203 FY Total 2014/15 Expended Project EXPENDITURES Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended TREE FINE FUND Materials & Supplies 18,395 890 19,285 - - - - - 19,285 Consultant/Contract Svs 12,596 - 12,596 - - - - - 12,596 Construction Expenses 187,152 17,923 205,075 33,248 - - - - 238,322 TOTAL EXPENDITURES 218,142 18,813 236,955.17 33,248 - - - - 270,203 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity TREE FINE FUND BEGINNING BALANCE 50,311 33,248 - - - - Revenues & T/I 268,453 1,750 270,203 - - - - - 270,203 Expenditures & T/O 218,142 18,813 236,955 33,248 - - - - 270,203 ENDING BALANCE 50,311 33,248 33,248 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 414 CITYWIDE PROJECTS Project Name Playground Safety Improvements Project Number 9211-003 Department Public Works Project Manager Kevin Meek Description This project provided funding for safety improvements in Saratoga’s park playgrounds. Location This is a Citywide project. Project Background In 2010, the Association of Bay Area Governments (ABAG) conducted a safety assessment of Saratoga playgrounds. The ABAG consultant who performed the assessment visited every City playground and identified recommended safety improvement and options to improve compliance with the Americans with Disabilities Act. Priority improvements implemented under this project focused on potential entrapment and protrusion issues. Standards require that playground equipment minimize hazardous situations in which clothing entrapment may occur and result in strangulation. Playground equipment identified with such hazards were tightened, caulked, or repaired to mitigate these hazards. Protrusions were filed, trimmed, cut, or otherwise repaired to eliminate sharp points. ABAG also recommended that fences be installed around playgrounds to help keep children in designated play areas. ABAG Risk Management provided a matching grant to assist with funding the safety improvements. This project was completed in Fiscal Year 2014/15 and the remaining balance of $939 was transferred to the Annual Park & Trails Project. Operating Budget Impacts The installation of fences around playgrounds may slightly impact the Operating Budget through increased maintenance requirements. However, the project will increase the safety of City playgrounds. The cost of managing this project is included in the Operating Budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 415 CITYWIDE PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Begin Design Phase February 2010 Prepare plans and specifications Request Cost Estimates July 2010 Seek estimates for cost of playground equipment and installation Estimated Construction Start September 2010 Construction project begins Estimated Completion Date July 2014 Project is completed PLAYGROUND SAFETY IMPROVEMENTS 9211-003 Prior FY Total Year 2014/15 Funding Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP PARK FUND Transfers In - General Fund 25,000 (939) 24,061 - - - - - 24,061 Transfers In - ABAG 25,000 - 25,000 - - - - - 25,000 TOTAL REVENUES 50,000 (939) 49,061 - - - - - 49,061 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP PARK FUND Materials & Supplies 3,373 4,638 8,010 - - - - - 8,010 Construction Expenses 30,149 10,901 41,050 - - - - - 41,050 TOTAL EXPENDITURES 33,522 15,539 49,061 - - - - - 49,061 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP PARK FUND BEGINNING BALANCE - 16,478 - - - - - - Revenues & T/I 50,000 (939) 49,061 - - - - - 49,061 Expenditures & T/O 33,522 15,539 49,061 - - - - - 49,061 ENDING BALANCE 16,478 - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 416 CITYWIDE PROJECTS Project Name Fibar Playground Safety Improvements Project Number 9211-005 Department Public Works Project Manager Kevin Meek Description This project replaces sand at City Park playgrounds with fibar material. Location This project is located at playgrounds at Gardiner and Kevin Moran Parks. Project Background The project involved upgrading the playgrounds to current standards to comply with the American Disabilities Act regarding access. The fibar surface material upgrade also improved attenuation and injury prevention. Project funding came from a $25,000 ABAG Safety Grant and a $15,000 transfer from the Risk Management CIP project. This project was completed in Fiscal Year 2014/15. Operating Budget Impacts Costs associated with project management and maintenance staff time for this project are incorporated in the Operating Budget. The City does not anticipate any additional maintenance costs from this project. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 417 CITYWIDE PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Contract Award August 2013 Vendor selected Estimated Construction Start September 2013 Sand removed and Fibar installed at two separate parks Estimated Completion Date July 2014 Fibar material installed FIBAR PLAYGROUND SAFETY IMPROVEMENTS 9211-005 Prior FY Total Year 2014/15 Funding Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP PARK FUND Transfers In - Admin CIP Fund 40,000 - 40,000 - - - - - 40,000 TOTAL REVENUES 40,000 - 40,000 - - - - - 40,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP PARK FUND Construction Expenses 35,980 4,020 40,000 - 40,000 TOTAL EXPENDITURES 35,980 4,020 40,000 - - - - - 40,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP PARK FUND BEGINNING BALANCE 4,020 - - - - - - Revenues & T/I 40,000 - 40,000 - - - - - 40,000 Expenditures & T/O 35,980 4,020 40,000 - - - - - 40,000 ENDING BALANCE 4,020 - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 418 CITYWIDE PROJECTS Project Name Turf Reduction Renovation Program Project Number 9211-006 Department Public Works Project Manager Kevin Meek Description This project reduced the amount of turf at Beauchamps Park in order to decrease irrigation and maintenance costs. Location This project is located at Beauchamps Park. Project Background The City continues ongoing efforts to implement water conservation methods. Reducing the amount of turf in City parks and medians in places not utilized and replacing it with drought tolerant landscaping reduces irrigation and maintenance costs while increasing the park ’s utility for residents. Turf that sloped upward from the curb to the main field was removed and replaced with native plants and drought tolerant landscaping. This project was completed in Fiscal Year 2014/15 and was funded by a transfer from the General Fund. Operating Budget Impacts Staff anticipates water savings will be approximately $5,500, and closer to $8,000 per year in total cost savings with a five to six year return on investment. On-going maintenance staff time and expenses are included in the Operating Budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 419 CITYWIDE PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Contract Award Sept. 2014 Estimated Construction Start Oct. 2014 Project construction is estimated to take 6 months. Estimated Completion Date April 2015 Project complete. TURF REDUCTION RENOVATION PROGRAM 9211-006 Prior FY Total Year 2014/15 Funding Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP PARK FUND Transfers In - General Fund - 25,000 25,000 - - - - - 25,000 TOTAL REVENUES - 25,000 25,000 - - - - - 25,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP PARK FUND Construction Expenses - 25,000 25,000 - 25,000 TOTAL EXPENDITURES - 25,000 25,000 - - - - - 25,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP PARK FUND BEGINNING BALANCE - - - - - - - Revenues & T/I - 25,000 25,000 - - - - - 25,000 Expenditures & T/O - 25,000 25,000 - - - - - 25,000 ENDING BALANCE - - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 420 CITYWIDE PROJECTS Project Name Park Pathways Maintenance & Repairs Project Number 9211-007 Department Public Works Project Manager Shawn Gardner Description This project provides funding for minor projects and repairs to Park pathways Location Projects and repairs may be located at any of the 14 City parks with pathways Project Background The asphalt concrete pathways located within City parks need regular maintenance and repairs to ensure safety liability issues are reduced and maintenance issues are mitigated to increase longevity of these resources. This project is funded by a transfer from the General Fund. Operating Budget Impacts Staff time associated with project management and maintenance of this project a re included in the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 421 CITYWIDE PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Contract Award Ongoing Estimated Construction Start Ongoing Estimated Completion Date June 2016 PARK PATHWAY REPAIRS 9211-007 Prior FY Total Year 2014/15 Funding Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP PARK FUND Transfers In - General Fund - - - 50,000 - - - - 50,000 TOTAL REVENUES - - - 50,000 - - - - 50,000 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP PARK FUND Construction Expenses - - - 50,000 50,000 TOTAL EXPENDITURES - - - 50,000 - - - - 50,000 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP PARK FUND BEGINNING BALANCE - - - - - - - Revenues & T/I - - - 50,000 - - - - 50,000 Expenditures & T/O - - - 50,000 - - - - 50,000 ENDING BALANCE - - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 422 CITYWIDE PROJECTS Project Name Sustainable Landscaping Project Project Number 9211-008 Department Public Works Project Manager Kevin Meek Description This project will reduce the amount of turf at City parks in order to decrease irrigation and maintenance costs. Location This project will be located at City parks and medians throughout the City where water conservation is appropriate. Project Background The City considers pursuing water conservation methods throughout the City a priority and has already converted turf areas at Kevin Moran and Beauchamps Parks into native and drought tolerant landscape. Staff anticipates significant costs savings each year as a result of this project. This project is funded by a transfer from the General Fund and rebates received from the Santa Clara Valley Water District. Operating Budget Impacts Water and maintenance costs will be reduced. Staff time associated with project management and maintenance of this project are included in the operating budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 423 CITYWIDE PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Contract Award Ongoing Estimated Construction Start Ongoing Estimated Completion Date Ongoing SUSTAINABLE LANDSCAPING PROJECT 9211-008 Prior FY Total Year 2014/15 Funding Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding CIP PARK FUND Transfers In - General Fund - - - 25,000 - - - - 25,000 Transfers In - Other CIP - - - 64,068 - - - - 64,068 TOTAL REVENUES - - - 89,068 - - - - 89,068 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended CIP PARK FUND Construction Expenses - - - 89,068 89,068 TOTAL EXPENDITURES - - - 89,068 - - - - 89,068 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity CIP PARK FUND BEGINNING BALANCE - - - - - - - Revenues & T/I - - - 89,068 - - - - 89,068 Expenditures & T/O - - - 89,068 - - - - 89,068 ENDING BALANCE - - - - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 424 CITYWIDE PROJECTS Project Name Tree Dedication Program Project Number 9212-001 Department Public Works Project Manager Kevin Meek Description This program provides a 50% matching grant for the cost of trees purchased through the Tree and Bench Dedication Program. Location The Tree Dedication Program is a Citywide project. Project Background The City of Saratoga’s Tree and Bench Dedication program allows members of the public to purchase trees or benches for dedication purposes. Trees dedicated through this program are planted on City property, either in City parks, along Saratoga trails, or on City medians. The cost to purchase a 15 gallon tree through the dedication program is $500. In July 2010, the City Council set aside $25,000 for tree dedications to encourage the public to participate in the program. The funding reduces the cost to dedicate trees by 50% and is expected to help fund the planting of 100 trees. Reducing the cost of dedicating a tree is intended to help maintain and expand the City’s urban forest. Management of the program is performed by City staff and planting is typically contracted out. Operating Budget Impacts Trees planted through the Tree Dedication Program will slightly increase maintenance and water expenses, but the increase will be absorbed in the operating budget without i mpacting services. The cost of managing the program is incorporated in the Operating Budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 425 CITYWIDE PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Application Phase Ongoing Member of the public submits an Tree Dedication Program application Tree Planting Coordination Ongoing Staff works with the applicant to determine type of tree to be planted and where it will be placed; tree dedication invoice is processed Tree Planting Ongoing Tree is planted and project is complete TREE DEDICATION PROGRAM 9212-001 Prior FY Total Year 2014/15 Funding Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding TREE FINE FUND Tree Dedication Payments 3,625 125 3,750 - - - - - 3,750 Transfers In - Other CIP Fund 25,000 - 25,000 - - - - - 25,000 TOTAL REVENUES 28,625 125 28,750 - - - - - 28,750 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended TREE FINE FUND Construction Expenses 7,500 - 7,500 21,250 - - - - 28,750 Transfers Out - - - - - - - - - TOTAL EXPENDITURES 7,500 - 7,500 21,250 - - - - 28,750 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity TREE FINE FUND BEGINNING BALANCE 21,125 21,250 - - - - - Revenues & T/I 28,625 125 28,750 - - - - - 28,750 Expenditures & T/O 7,500 - 7,500 21,250 - - - - 28,750 ENDING BALANCE 21,125 21,250 21,250 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 426 CITYWIDE PROJECTS Project Name SMSCF Tree Dedication Grant Program Project Number 9212-002 Department Public Works Project Manager Kevin Meek Description This grant program provides an additional 25% subsidy for participants toward the cost of trees purchased through the Tree and Bench Dedication Program. Location The Saratoga-Monte Sereno Community Fund (SMSCF) Tree Dedication Grant Program is a Citywide project. Project Background The City of Saratoga’s Tree and Bench Dedication program allows members of the public to purchase trees or benches for dedication purposes. Trees dedicated through this program are planted on City property, either in City parks, along Saratoga trails, or o n City medians. The cost to purchase a 15 gallon tree through the dedication program is $500. As noted in the Tree Dedication Progra m, the City Council set aside $25,000 for tree dedications to encourage the public to participate in the program. The funding reduces the cost to dedicate trees by 50% and is expected to help fund the planting of 100 trees. Reducing the cost of dedicating a tree is intended to help maintain and expand the City’s urban forest. In August, 2011, the SMSCF gave the City a $2,500 matching grant to further encourage participation in the Tree and Bench Dedication Program. This additional funding will provide a 5 0% match for the remainder of the tree or bench dedication fee, meaning the cost is, in effect, lowered to 25% of the normal fee. For example, the SMSCF grant will be used to further reduce the cost of dedication trees from $250 per tree to $125 per tree for up to 20 trees. To date, $750 has been used from this grant to offset the costs related to the Tree and Bench Dedication Program. Operating Budget Impacts Trees planted through the Tree Dedication Program will slightly increase maintenance and water expenses, but the increase will be absorbed in the operating budget without impacting services. The cost of managing the program is incorporated in the Operating Budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 427 CITYWIDE PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Application Phase Ongoing Member of the public submit a Tree Dedication Program application Tree Planting Coordination Ongoing Staff works with the applicant to determine the type of tree to be planted and where it will be placed; tree dedication invoice is processed Tree Planting Ongoing Tree is planted and project is complete SMSCF TREE DONATION PROGRAM 9212-002 Prior FY Total Year 2014/15 Funding Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding TREE FINE FUND Contributions & Donations 1,750 - 1,750 - - - - - 1,750 TOTAL REVENUES 1,750 - 1,750 - - - - - 1,750 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended TREE FINE FUND Transfers Out - - - 1,750 - - - - 1,750 TOTAL EXPENDITURES - - - 1,750 - - - - 1,750 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity TREE FINE FUND BEGINNING BALANCE 1,750 1,750 - - - - - Revenues & T/I 1,750 - 1,750 - - - - - 1,750 Expenditures & T/O - - - 1,750 - - - - 1,750 ENDING BALANCE 1,750 1,750 1,750 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 428 CITYWIDE PROJECTS Project Name Beverage Container Grant Project Project Number 9213-001 Department Public Works Project Manager Kevin Meek Description This project utilizes Beverage Container Rebate grant funding for the purchase and installation of recycled plastic products, such as picnic tables and benches, in city parks. Location Park furniture and fixtures made from recycled materials are installed at various locations throughout the City. Project Background As part of the State’s larger Integrated Waste Management Program efforts, t he Department of Resources Recycling and Recovery (CalRecycle) provides California cities, counties, schools, and other types of local government entities grant funding through the Beverage Container Recycling Grant Program. CalRecycle funding is to be used for projects that either implement new or enhance existing programs to provide convenient beverage container recycling opportunities. Annual grant awards range from the minimal funding of $5,000, up to a maximum grant award of $250,000. The City typically receives $5,000 per year from the beverage container recycling grant program, which is used to purchase and install recycled plastic park furniture and fixtures. Funding may be accumulated for several years until replacement furniture and fixtures are needed. Operating Budget Impacts Staff time utilized to purchase and install AB 939 recycled park furniture is incorporated into the Operating Budget. CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 429 CITYWIDE PROJECTS PROJECT TIMELINE PROJECT COMPONENT TIMELINE DESCRIPTION Project Development Ongoing Prepare project workplan and request bids if work is contracted out Contract Award Ongoing Award purchase order or contract Estimated Construction Start Ongoing Construction begins Estimated Completion Date Ongoing Project is completed AB8939 BEVERAGE CONTAINER GRANT 9213-001 Prior FY Total Year 2014/15 Funding Project REVENUES Funded Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Funding TREE FINE FUND AB 8939 Grant 16,749 - 16,749 - - - - - 16,749 Transfers In - Other CIP 13,621 - 13,621 - - - - - 13,621 TOTAL REVENUES 30,370 - 30,370 - - - - - 30,370 Prior FY Total Year 2014/15 Expended Project EXPENDITURES Expended Actuals To Date 2015/16 2016/17 2017/18 2018/19 2019/20 Expended TREE FINE FUND Materials & Supplies 18,357 2,587 20,945 - - - - - 20,945 Construction Expenses 1,948 2,860 4,808 4,618 - - - - 9,426 TOTAL EXPENDITURES 20,305 5,447 25,752 4,618 - - - - 30,370 Prior FY Total Year 2014/15 Project Activity Actuals Total 2015/16 2016/17 2017/18 2018/19 2019/20 Activity TREE FINE FUND BEGINNING BALANCE 10,065 4,618 - - - - Revenues & T/I 30,370 - 30,370 - - - - - 30,370 Expenditures & T/O 20,305 5,447 25,752 4,618 - - - - 30,370 ENDING BALANCE 10,065 4,618 4,618 - - - - - - Budgeted for Fiscal Year Budgeted for Fiscal Year Budgeted for Fiscal Year CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 430 CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 431 PARK PROJECTS CITY OF SARATOGA CAPITAL IMPROVEMENT PLAN PARKS & TRAILS PROGRAM 432 PARK PROJECTS Project Name Hakone Gardens Visitors Center – Matching Contributions Project Number 9222-001 Department Public Works Project Manager John Cherbone Description The Master Plan (Plan) project involves an agreement between the City of Saratoga and the Hakone Foundation to develop a Visitors Center at Hakone Gardens. The Plan will develop a Visitors Center and explore the possibility of repurposing existing buildings and construction of a new multi -purpose center. Location The Visitors Center will be located at Hakone Gardens. Project Background Hakone Gardens is a City-owned 18 acre park nestled in the hillside just outside of Sarato ga Village. The park is maintained and operated by the Hakone Foundation, a non -profit that seeks to promote a deeper understanding of Asian and Japanese culture through the preservation of the oldest Japanese - style residential garden in the Western Hemisphere. The garden was constructed between 1917 and 1929. In 2006, the Hakone Foundation requested that the City Council allocate funds to be used to cover a portion of the cost to develop a Plan. In April 2011, the City Council approved matching funds in the amount of $250,000 toward development of the Plan. In July 2014, the City received a contribution from the Hakone Foundation in the amount of $150,000. In November 2015, the City Council approved the selection of The Portico Group to develop the P