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2022-03-02 City Council Special MEETING - Agenda PacketCity Council Chambers 29844 Haun Road Menifee, CA 92586 Bill Zimmerman, Mayor Bob Karwin, District 1 Matthew Liesemeyer, District 2   Lesa Sobek, District 3   Dean Deines, District 4    SPECIAL AGENDA Menifee City Council  Special Meeting Agenda Wednesday, March 2, 2022 3:00 PM Special Meeting Armando G. Villa, City Manager Jeffrey T. Melching, City Attorney Stephanie Roseen, Clerk  Public meetings are open to the public for in person attendance. Please follow State guidelines for mask requirements.  The public may also submit public comments to publiccomments@cityofmenifee.us. Please note emailed comments will not be read aloud during the meeting but will be made part of the record. SPECIAL MEETING (3:00 PM) 1.CALL TO ORDER  2. ROLL CALL  3. PLEDGE OF ALLEGIANCE  4. DISCUSSION ITEMS  4.1 Fiscal Year 2021/2022 Mid­Year Budget Review and Budget Adjustments RECOMMENDED ACTION 1. Accept the Fiscal Year (FY) 2021/22 mid­year budget review and approve the Budget Amendment Resolution to approve additional appropriations and revenue recognitions as presented; and 2. Adopt a Resolution to update the City’s Authorized Position Listing, approving staffing changes; and 3. Approve partial use of American Rescue Plan (ARP) funds/plan as recommended; and 4. Approve the update to the FY 2021/22 Capital Improvement Program to include various Capital Improvement Projects and/or updated funding as presented for approval. 5.ADJOURN  Decorum Policy Notes For more information on how to participate in the meeting, please visit the City’s webpage at https://cityofmenifee.us/agendas. Requests must be received prior to the item being heard. The Council anticipates and encourages public participation at its Council meeting on agenda items. While we encourage participation, we ask there be a mutual respect for the proceedings. Staff Reports Materials related to an item on this agenda, including those submitted to the City Council after distribution of the agenda packet, are available for public inspection by contacting Stephanie Roseen, City Clerk, at (951) 672­6777 during normal business hours. Compliance with the Americans with Disabilities Act If you need special assistance to participate in this meeting, you should contact Stephanie Roseen, City Clerk at (951) 672­6777. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to assure accessibility to this meeting. Menifee Mayor and City Council March 2,2022 Page 1 of 29 City Council Chambers29844 Haun RoadMenifee, CA 92586Bill Zimmerman, MayorBob Karwin, District 1Matthew Liesemeyer, District 2  Lesa Sobek, District 3  Dean Deines, District 4    SPECIAL AGENDA Menifee City Council Special Meeting AgendaWednesday, March 2, 20223:00 PM Special MeetingArmando G. Villa, City ManagerJeffrey T. Melching, City AttorneyStephanie Roseen, Clerk Public meetings are open to the public for in person attendance. Please follow State guidelines for mask requirements. The public may also submit public comments to publiccomments@cityofmenifee.us. Please note emailed comments will not beread aloud during the meeting but will be made part of the record.SPECIAL MEETING (3:00 PM)1.CALL TO ORDER 2. ROLL CALL 3. PLEDGE OF ALLEGIANCE 4. DISCUSSION ITEMS 4.1 Fiscal Year 2021/2022 Mid­Year Budget Review and Budget AdjustmentsRECOMMENDED ACTION1. Accept the Fiscal Year (FY) 2021/22 mid­year budget review and approve theBudget Amendment Resolution to approve additional appropriations andrevenue recognitions as presented; and2. Adopt a Resolution to update the City’s Authorized Position Listing, approvingstaffing changes; and3. Approve partial use of American Rescue Plan (ARP) funds/plan asrecommended; and4. Approve the update to the FY 2021/22 Capital Improvement Program to includevarious Capital Improvement Projects and/or updated funding as presented forapproval.5.ADJOURN Decorum Policy NotesFor more information on how to participate in the meeting, please visit the City’s webpage at https://cityofmenifee.us/agendas. Requests must be received prior to the item being heard. The Council anticipates and encourages public participation at its Council meeting on agenda items. While we encourage participation, we ask there be a mutual respect for the proceedings. Staff Reports Materials related to an item on this agenda, including those submitted to the City Council after distribution of the agenda packet, are available for public inspection by contacting Stephanie Roseen, City Clerk, at (951) 672­6777 during normal business hours. Compliance with the Americans with Disabilities Act If you need special assistance to participate in this meeting, you should contact Stephanie Roseen, City Clerk at (951) 672­6777. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to assure accessibility to this meeting. Menifee Mayor and City Council March 2,2022 Page 2 of 29 CITY OF MENIFEE SUBJECT: Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments MEETING DATE: March 2, 2022 TO: Mayor and City Council PREPARED BY: Margarita Cornejo, Financial Services Manager REVIEWED BY: Rochelle Clayton, Assistant City Manager APPROVED BY: Armando G. Villa, City Manager ------------------------------------------------------------------------------------------------------------------------------- RECOMMENDED ACTION 1. Accept the Fiscal Year (FY) 2021/22 mid-year budget review and approve the Budget Amendment Resolution to approve additional appropriations and revenue recognitions as presented; and 2. Adopt a Resolution to update the City’s Authorized Position Listing, approving staffing changes; and 3. Approve partial use of American Rescue Plan (ARP) funds/plan as recommended; and 4. Approve the update to the FY2021/22 Capital Improvement Program to include various Capital Improvement Projects and/or updated funding as presented for approval. DISCUSSION Annually a mid-year budget review is presented to Council as an opportunity for the City Manager and Finance Department to update City Council on any major financial components affecting the City’s current fiscal year budget. This current mid-year review will update City Council on the current operational status of the City’s finances and provide various budget adjustments required to meet the operational needs of the City through the remainder of the fiscal year. As part of the mid-year budget review, the following have been reviewed and analyzed: - Economic outlook and impacts to adopted budget - Long Term Financial Planning - Revenues Analysis (budgeted, actuals, and projected) - Expenditure Analysis Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:1 Menifee Mayor and City Council March 2,2022 Page 3 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 2 of 17 8 9 1 - Staffing/personnel review - CIP Program review/updates - Year-to-date Budget Appropriations and proposed mid-year Appropriations - American Rescue Plan (ARP) Funds* - Strategic Plan Implementation *As presented in June 2021, the City has received just over $13 million in direct federal assistance as part of the American Rescue Plan (ARP) program. Funding is to be used to address the impacts of Covid-19. The FY21/22 Mid-Year budget provides a summary of the City’s ARP expenditures to date, and a preliminary plan for use of a portion of the remaining funds. Economic Outlook The Fiscal Year 2021/22 budget was adopted in June 2021, with signs of the Covid-19 pandemic impacts beginning to subside. Initial Fiscal Year 2021/22 revenue projections and baseline projections for the new fiscal year reflected an overall optimistic outlook to the regional and local economy. Nationally, over the past several months the economy has faced historic 40-year record inflation and price increases. As the economy ebbs through the impacts of new Covid-19 variants and supply and labor market shortages and bottlenecks, overall economic forecasts point to a steady, albeit more moderate, economic rebound, with anticipated 2021 4.1% Gross Domestic Product (GDP) and more gradual employment gains (UCLA Anderson Forecast, September 2021). Regionally, the Inland Empire’s labor market continues to steadily recover from the COVID-19 pandemic, adding 185,600 jobs since it hit bottom in April 2020 (gaining back roughly 83% of total jobs lost between February and April of last year), but has not fully recovered to pre-pandemic levels. The regional unemployment rate has improved to 6.8% but has not reached the 4% rate prior to the pandemic. Overall, the UCR Center for Economic Forecasting near-term outlook for business activity is positive with steady growth. Throughout 2020, the City experienced robust growth in both residential and commercial development activity. Economic conditions will continue to be closely monitored and factored into the development of both the proposed capital and operating budgets for fiscal year 2022/2023, scheduled to be presented for adoption in June 2022. Long Term Financial Planning: Year to year, and even in times of economic prosperity, the City’s concerted approach to its spending plans has been that of fiscal prudence and thinking of the needs of the Menifee community now and in the future. Therefore, in its budgetary oversight and implementation of the City’s vision to build a safe, thriving and premier place to live, work and call home, the City consciously budgets in anticipation of what will be needed tomorrow, with key focus/efforts on the following: Reserve Policy: In September of 2021, Council reviewed the City’s current Reserve Fund Policy and approved an update raising the reserve percentage from 25% to 35%. Pursuant to the adopted revised policy, the City plans to review the policy every three years, and tentatively has considered increasing the Reserve Fund percentage to 40% in FY24/25. Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:2 Menifee Mayor and City Council March 2,2022 Page 4 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 3 of 17 8 9 1 Unfunded Pension Liability: The City proactively pays off any annual unfunded pension liability adjustments and currently does not have any outstanding unfunded pension liability balance. Infrastructure Needs: With an adopted five-year CIP Program identifying over 143 projects and estimated at nearly $500 million the City continues to strategize on funding the wide range of infrastructure needs, year by yearf. Revenue Analysis The top five budgeted revenue sources for the General Fund, inclusive of Quality of Life (Measure DD), consist of: Sales Tax Property Tax Franchise Fees Development Permitting Fees (Building, Fire Inspection, Engineering and Planning) and Vehicle License Fees (VLF) Together, these five revenue sources represent 90.55% of the total originally adopted budgeted General Fund and Quality of Life (Measure DD) revenues. For the first six months of FY 2021/22, total revenues from development permitting fees are 58.92% of the original proposed budget, or $8.216 million. Planning, Engineering and Fire fees are trending higher than the budgeted revenues, while Building and Safety Inspection permitting fees are trending at a lower growth rate than originally projected for FY 2021/22. Staff is recommending an overall adjustment decrease of $701,083 million in development fees. Property tax revenue and VFL revenues are generally in line with the FY2021/22 projections, with a recommended increase adjustment of $181,816 to VLF revenue based on year-to-date actual receipts. Franchise fees (electric, natural gas, cable TV and solid waste) are recommended to have a net increase adjustment of $22,708. Revenues from sales tax continue be a growing revenue source for the city. The estimated total revenues from sales tax for the General Fund inclusive of Quality of Life (Measure DD), are $23 million, or $4.36 million over the originally budgeted amount. Staff is recommending an increase of $1.661 million increase in Sales Tax Revenues for the General Fund and $2.55 million in the Quality of Life (Measure DD) Fund. Tables 1 and 2 below provide a summary of the various proposed General Fund and Quality of Life (Measure DD) revenue adjustments for FY 2021/22 mid-year. TABLE 1: GENERAL FUND REVENUE MID-YEAR ADJUSTMENTS Account Name Mid-Year Budget Adjustments Justification Current Unsecured Prop Tax 12,117 HdL Forecast Prior Yr Secured Prop Tax (130,000)Current Trend Current Year Unsecured Fire PP Tax 7,102 Current Trend Sales & Use Tax 1,661,000 HdL Forecast Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:3 Menifee Mayor and City Council March 2,2022 Page 5 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 4 of 17 8 9 1 Account Name Mid-Year Budget Adjustments Justification Sales Tax Incentives (12,108)Current Trend Transient Occupancy Tax 376,368 Current Trend TOT Incentives (203,698)Current Trend Real Prop Transfer Tax 819,368 Current Trend Business License Registration 15,000 Current Trend New Business Zoning Review Fee 7,550 Current Trend Water Quality Mgmt Plans Fees 102,000 Current Trend Comm/Ind Stormwater Insp. Fees 11,000 Current Trend Property Tax In Lieu of VLF from County 181,816 Current Trend Building Permits (15,000)Current Trend Building Plan Check Fees (299,890)Current Trend Plumbing Permit Fees (242,681)Current Trend Mechanical Permit Fees (89,868)Current Trend Electrical Permit Fees (264,184)Current Trend Fire Staff Review (80,202)Current Trend Fire Annual Inspection Program Fee 21,000 Current Trend Planning Fees 264,244 Current Trend CEQA Review Revenue 807,000 Based on anticipated projects Code Enforcement Fines 40,229 Current Trend Engineering Fees 26,498 Current Trend Insurance Recovery Revenue (90,000)Current Trend Animal License Fees (100,000)Current Trend Asset Forfeiture (61,189)Current Trend Police Report Fee - PD 5,000 Current Trend Media Duplication - PD 210 Current Trend Clearance Letters - PD 240 Current Trend Citation Sign-Off - PD 1,960 Current Trend Concealed Weapon Permits - PD 1,000 Current Trend Livescan - PD 762 Current Trend Subpoenas - PD (6,500)Current Trend Sworn Personnel Services (Events) - PD 10,000 Current Trend Fines & Forfeitures (34,248)Current Trend SB 90 Claims Revenue 84,601 Current Trend Class Registration Fee 25,000 Current Trend Camp/Program Enrollment Fees 8,825 Current Trend Picnic Shelter Rental 4,000 Current Trend Athletic Field Rental 10,000 Current Trend Athletic Field Lights Fee 5,800 Current Trend Facility/Building Rental 5,000 Current Trend City Sports League Fees 20,000 Current Trend Park & Rec Misc. Revenue 15,056 Current Trend E.D. Event/Program Revenues 5,650 Current Trend Franchise Fee-Cable TV (75,000)Current Trend Franchise Fee-Solid Waste 97,708 Current Trend Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:4 Menifee Mayor and City Council March 2,2022 Page 6 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 5 of 17 8 9 1 Account Name Mid-Year Budget Adjustments Justification Merchandise Sales 150 Current Trend Interest Income 41,118 Current Trend Late Fees 1,000 Current Trend Credit Card Processing Fee 110,000 Current Trend Event Sponsorships 4,500 Current Trend POST Reimbursements 10,000 Current Trend TOTAL $ 3,115,303 TABLE 2: QUALITY OF LIFE (MEASURE DD) REVENUE MID-YEAR ADJUSTMENTS Account Name Mid-Year Budget Adjustments Justification Sales & Use Tax 2,730,000 HdL Forecast Interest Income (28,122)Current Trend TOTAL $2,701,878 Other revenue sources, Special Revenue sources, such as Development Impact Fees (DIF), have also been reviewed for year-to-date actuals, actual tax roll assessment/enrollments for CSAs, LLMDs, and CFDs charges and the following adjustment recommendations are included as part of the FY 2021/22 Mid-Year Budget review. Specific revenue adjustments are reflected in Table 11. Expenditure Analysis Overall, budgetary expenditures for most departments within the General Fund, including Measure DD, are in line with their original budget projections. As of mid-February 2022, personnel expenses are at approximately 53% of the total budgeted amounts, Operating & Maintenance costs are at approximately 27% of budgeted costs, and Capital Outlays are approximately 25%, Larger capital outlays, such as vehicle purchases, have seen a delayed realization of expenditures due to supply shortages. For the most part, the additional mid-year requests of expenditures for FY 2021/22 stem from the high priority/Strategic Plan related actions items, such as the Parks Master Plan Update, and focus on continuing to make Menifee one of the safest communities in the nation, by further investing in its newly formed police department (personnel and equipment expansions). Additionally, over the past several months the City continues to see high activity in industrial activity, and the FY 2021/22 mid-year includes appropriation requests in equal revenue and expenditure amounts of $807,000 to accommodate the corresponding required CEQA professional services. Staffing/Personnel Review The FY 2021/22 budget incorporated a total of 281.65 fill time employee (FTE) personnel. As part of the mid-year review process, departments review organizational structure and operations and identify any personnel needs. Based on the recommended FY 2021/22 mid-year personnel updates and prior personnel adjustments made during FY 2021/22, the updated FTE would be 302.65. Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:5 Menifee Mayor and City Council March 2,2022 Page 7 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 6 of 17 8 9 1 From July 2021 through January 2022, a total of three additional positions were added and seven positions were reclassified/updated under the authority of the City Manager, as personnel changes within the approved budget funding. As part of the FY 2021/22 mid-year budget staff is requesting approval of an additional eighteen positions and seven reclassifications as follows: TABLE 3: FY2021/22 MID-YEAR NEW PERSONNEL REQUESTS Department Position Title City Manager’s Office Media & Production Coordinator Finance Accounting Technician I (Business License) Information Technology (IT)Management Analyst II Menifee PD Lieutenant (Patrol) Menifee PD Sergeant (Patrol Shift) Menifee PD Police Officer (Patrol Shift) Menifee PD Police Officer (Patrol Shift) Menifee PD Police Officer (Patrol Shift) Menifee PD Police Officer (Patrol Shift) Menifee PD Police Officer (Patrol Shift) Menifee PD Police Officer (Traffic) Menifee PD Police Officer (Traffic) Menifee PD Police Officer (Commercial Enforcement Traffic) Menifee PD Detective Menifee PD Detective Menifee PD Detective Menifee PD Detective Menifee PD Property Room Technician TOTAL 18 Reclassification Requests: TABLE 4: FY2021/22 MID-YEAR PERSONNEL RECLASSIFICATION REQUESTS Department Existing Position New Position Title City Clerk Deputy City Clerk Assistant City Clerk Economic Development Marketing Assistant Management Aide Economic Development Management Analyst Sr. Management Analyst Human Resources Human Resources Manager Sr. Human Resources Analyst Public Works/Engineering Associate Engineer Engineering Technician Public Works/Engineering Traffic Technician Assistant Engineer Public Works/Engineering Engineering Technician Administrative Assistant TOTAL 7 Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:6 Menifee Mayor and City Council March 2,2022 Page 8 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 7 of 17 8 9 1 CIP Program At budget adoption, the FY 2021/22 CIP Program included a total of twenty-three projects and funding totaling $27,983,341. TABLE 5: FY2021/22 CIP Budget (As adopted June 2021) PROJECT CATEGORY # OF ORIGINAL FY2021/22 PROJECTS FY 2021/22 ADOPTED PROJECTS Transportation 7 $20,445,679 Traffic Signals 2 1,740,000 Street Improvements 1 410,000 Pavement Management 3 2,922,662 Drainage 0 0 Streetlight 0 0 Public Facilities 5 2,090,000 Parks, Trails, and Recreation 5 375,000 23 $27,983,341 Including FY 2021/22 Mid-Year requests, the CIP Budget would be updated to reflect the following: TABLE 6: FY2021/22 CIP Budget (Proposed thru Mid-Year FY2021/22) PROJECT CATEGORY # OF ADJUSTED FY2021/22 PROJECTS FY 2021/22 ADJUSTED PROJECTS Transportation 7 $23,245,679 Traffic Signals 5 $2,345,984 Street Improvements 7 $1,810,743 Pavement Management 7 $4,814,385 Drainage 0 $0 Streetlight 0 $0 Public Facilities 11 $10,690,000 Parks, Trails, and Recreation 7 $1,381,138 44 $44,287,929 New mid-year specific CIP project/adjustments reflected in the table above include requests for the following: Bell Mountain Pedestrian Improvements Project, $446,210 (separate staff report and budget appropriation request included as part of regular 3/2/2022 Council Agenda) Newport Median Project Phase I (Design), $250,000 Beth Drive Street Improvements Project (Murrieta Rd to Melvin St), $55,000 Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:7 Menifee Mayor and City Council March 2,2022 Page 9 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 8 of 17 8 9 1 Transfer of $60,000 from Trust Fund (350-2193) to Capital Projects Fund (320). Salt Creek Trail Improvements Project - $100,000 AMR Skate Park Improvements, $350,000 Additional budget appropriations are not needed for the AMR Skate Park Project. This project will utilize unused funds included within the approved FY2021/22 adopted budget. AMR Resurfacing Project, $650,000 This project is included within the FY2021/22 adopted budget. However, it was not formally included as part of the CIP Program. As part of the FY 2021/22 mid-year budget review, the project will be formally added as CIP project within the program. Additionally, project funding for the AMR Resurfacing Project is updated to be funded $216,667 from Fund 490 (CFD 2012-1, AMR), $216,667 from Fund 200 (Gas Tax), and $216,666 from Fund 220 (Measure A). In total, the FY 2021/22 CIP Budget, inclusive of the current year adopted budget funding, additional appropriations requests throughout the fiscal year, FY2021/22 Mid-Year requests discussed above and prior year budget carry-overs for on-going projects will be $84,477,809. Year to date Budget Appropriation Requests Proposed FY2021/22 Mid-Year Appropriations: During the first seven months of operations, staff presented fourteen staff reports requesting to increase revenues and appropriations in the General Fund, including Quality of Life (Measure DD), for FY 2021/22. These requested increases in revenues and appropriations were presented and adopted as follows: TABLE 7: GENERAL FUND (FUND 100) BUDGET APPROPRIATIONS TO DATE GENERAL FUND (FUND 100) REVENUES Meeting Date DESCRIPTION Amount ($) 10/6/2021 State Asset Forfeiture $36,189 10/6/2021 CEQA Review Revenue 2,000,000 10/20/2021 Donation (Crime Watch)13,836 TOTAL $2,050,026 GENERAL FUND (FUND 100) EXPENDITURES Meeting Date DESCRIPTION Amount ($) 7/7/2021 CEQA Services: Menifee Specific Plan $55,440 7/7/2021 CIP 20-04: Paloma Wash Trail Improvements (95,527) 7/21/2021 CIP 22-20: Sun City Community Project 183,886 7/21/2021 CIP 22-21: Lazy Creek Pedestrian Project 88,381 8/4/2021 CEQA Services: Freedom Business Park 53,169 9/15/2021 CIP 21-13: McCall Blvd Resurfacing Project 108,774 9/15/2021 Fire Contract 368,502 10/6/2021 Furniture & Equipment 11,589 10/6/2021 Professional Services 24,600 Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:8 Menifee Mayor and City Council March 2,2022 Page 10 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 9 of 17 8 9 1 10/6/2021 Professional Services Recoverable (CEQA)2,000,000 10/6/2021 FY20/21 Budget Carry-Overs 3,764,518 10/20/2021 Donation (Crime Watch)13,837 12/15/2021 Future City Hall 4,000,000 12/15/2021 Future City Hall Parking Lot Project 2,000,000 12/15/2021 Community/Recreation Center Project 1,000,000 12/15/2021 Holland Road Overpass Project 2,800,000 12/15/2021 PMP Menifee Meadows & Potomac Projects 1,057,606 TOTAL $17,434,775 TABLE 8: QUALITY OF LIFE (MEASURE DD) FUND (FUND 105) BUDGET APPROPRIATIONS TO DATE QUALITY OF LIFE (MEASURE DD) FUND (FUND 105) EXPENDITURES Meeting Date DESCRIPTION AMOUNT 9/1/2021 CIP 21-16: Rancho La Vita Resurfacing Project $902,341 9/15/2021 CIP 21-13: McCall Blvd Resurfacing Project 354,980 10/6/2021 FY20/21 Budget Carry-Overs 7,138,216 12/15/2021 Fire Station #5 1,300,000 12/15/2021 Fire Station #68 70,000 12/15/2021 PMP Romoland South Grid Resurfacing Project 184,117 TOTAL $9,949,655 Although there are no requests for use of available fund balance from the General Fund at this mid-year budget review, staff is recommending the use of year-to-date increased revenues to cover the listed requests. TABLE 9: GENERAL FUND (FUND 100) MID-YEAR APPROPRIATIONS General Fund Expenditures Additional Expenditure Amount ($)Justification New Positions (18 New)/(7 Reclassifications)$447,196 Various Departments Risk Management Expenses 80,000 Insurance Premium & Investigative Services Community Services Dept.: Professional Services 130,000 Park Master Plan Update City Attorney: Professional Services 151,303 Rate Increase Adjustment City Manager Office: Professional Services 100,000 Needs Assessment/Conceptual Design Services IT Department 275,000 Network Cluster Servers Replacement Special District OT & Standby to General Fund 49,404 Special District Revenue Shortages Community Development 807,000 Addtl CEQA Contracts City Manager Office: Media Equipment 30,000 Media Equipment Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:9 Menifee Mayor and City Council March 2,2022 Page 11 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 10 of 17 8 9 1 General Fund Expenditures Community Services Dept.: Lighting Safety & Sound Equipment for Events 100,000 Lighting Safety & Sound Equipment for Events Community Services Dept.: Commercial Recycling Compliance Assistance 250,000 Commercial Recycling Compliance Assistance Community Services Dept.: Salt Creek Trail Improvements Project 100,000 Salt Creek Trail Improvements Project Community Services Dept.: Lazy Creek Furnishings & Electronics 100,000 Lazy Creek Furnishings & Electronics Community Services Dept.: Senior Low-Income WM Bill Assistance Program (1) 150,000 Senior Low-Income WM Bill Assistance Program TOTAL GENERAL FUND ADDITIONAL EXPENDITURES:$2,769,903 TOTAL ADDITION TO GENERAL FUND RESERVES:$345,400 To General Fund Balance (1) This will be funded by Waste Management program funding received annually to cover per the Agreement extension effective 4/1/2020 to cover solid waste program implementation, street sweeping, and street maintenance/rehabilitation. As of the end of December 2021, an increase to current year revenues of $3,115,303 is requested. The additional expenditures and positions/reclassifications needed for FY 2021/22 will be offset by the increase in revenues with a request for an increase in appropriations for expenditures of $2,769,903. It is projected that there will be an additional $345,400 added to fund balance at the end of fiscal year 2021/22. Within the Quality of Life (Measure DD) Fund, staff is requesting to use the increased revenues to fund Menifee PD personnel, related equipment, and contribute towards the Menifee PD Police Substation Facility. The recommended use of Measure DD funds was presented at the Quality of Life (Measure DD) Subcommittee meeting on February 17, 2022. The committee reviewed the presented use of available funds and made a motion to recommend use of funds as presented. TABLE 10: QUALITY OF LIFE (MEASURE DD) FY2021/22 MID-YEAR APPROPRIATIONS Quality of Life (Measure DD) Additional Expenditure Amount ($)Justification Additional Police Personnel $200,200 Additional Police Personnel Police Equipment (Vehicles & Employee Equipment) 1,888,459 Police Equipment (Vehicles & Employee Equipment) Sub-Station Facility 230,137 Sub-Station Facility TOTAL QUALITY OF LIFE ADDITIONAL EXPENDITURES: $2,318,796 TOTAL ADDITION TO QUALITY OF LIFE (MEASURE DD) FUND RESERVES: $0 To Quality of Life (Measure DD) Fund Balance Other funds mid-year budget adjustments required to either correct originally budgeted amounts or to meet the operational needs of the City are illustrated on the following page. Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:10 Menifee Mayor and City Council March 2,2022 Page 12 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 11 of 17 8 9 1 TABLE 11: ALL OTHER FUNDS FY2021/22 MID-YEAR APPROPRIATIONS AQMD FUND REVENUES AMOUNT ($)JUSTIFICATION AB 2766 Fees $14,317 Correct Amounts to Actuals Interest Income 27 Correct Amounts to Actuals TOTAL AQMD FUND REVENUE ADJUSTMENTS $14,344 CIP FUND REVENUES AMOUNT ($)JUSTIFICATION Beth Drive Street Improvements $60,000 Transfer from Trust Fund (350-2193) Interest Income 9,018 Correct Amounts to Actuals TOTAL CIP FUND REVENUE ADJUSTMENTS $69,018 CIP FUND EXPENDITURES AMOUNT ($)JUSTIFICATION Beth Drive Street Improvements $60,000 Beth Drive Street Improvements TOTAL CIP FUND EXPENDITURE ADJUSTMENTS $60,000 DIF FUNDS REVENUES AMOUNT ($)JUSTIFICATION DIF Fees $3,157,455 Correct Amounts to Actuals TOTAL DIF FUNDS REVENUE ADJUSTMENTS $3,157,455 FLEET FUND REVENUES AMOUNT ($)JUSTIFICATION Interest Income $2,678 Correct Amounts to Actuals TOTAL FLEET FUND REVENUE ADJUSTMENTS $2,678 GAS TAX FUND REVENUES AMOUNT ($)JUSTIFICATION Gas Tax Revenue $217,880 Correct Amounts to Actuals Interest Income (7,142)Lower Yields TOTAL GAS TAX FUND REVENUE ADJUSTMENTS $210,738 GAS TAX FUND EXPENDITURES AMOUNT ($)JUSTIFICATION Streetlight Costs $208,319 Streetlight Costs TOTAL GAS TAX FUND EXPENDITURE ADJUSTMENTS $208,319 GRANT FUND EXPENDITURES AMOUNT ($)JUSTIFICATION American Rescue Plan (ARP) Mid-Year 21/22 $2,157,322 Proposed ARP expenses TOTAL GRANT FUND EXPENDITURE ADJUSTMENTS $2,157,322 Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:11 Menifee Mayor and City Council March 2,2022 Page 13 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 12 of 17 8 9 1 INFORMATION TECHNOLOGY FUND REVENUES AMOUNT ($)JUSTIFICATION Interest Income $1,230 Correct Amounts to Actuals TOTAL INFORMATION TECHNOLOGY FUND REVENUE ADJUSTMENTS $1,230 MEASURE A FUND REVENUES AMOUNT ($)JUSTIFICATION Interest Income ($986)Lower Yields TOTAL MEASURE A FUND REVENUE ADJUSTMENTS ($986) MEASURE A FUND EXPENDITURES AMOUNT ($)JUSTIFICATION Newport Medians Project $250,000 Newport Medians Project AMR Resurfacing Project $216,667 AMR Resurfacing Project TOTAL MEASURE A FUND EXPENDITURE ADJUSTMENTS $466,667 PEG FUND REVENUES AMOUNT ($)JUSTIFICATION Interest Income $6,338 Correct Amounts to Actuals P.E.G. Fees (14,721)Correct Amounts to Actuals TOTAL PEG FUND REVENUE ADJUSTMENTS ($8,383) QUIMBY FEES FUND REVENUES AMOUNT ($)JUSTIFICATION Interest Income ($1,740)Lower Yields Quimby Park Fees 539,606 Correct Amounts to Actuals TOTAL QUIMBY FEES FUND REVENUE ADJUSTMENTS $537,866 RBBD FUNDS REVENUES AMOUNT ($)JUSTIFICATION Interest Income $41,900 Correct Amounts to Actuals RBBD Revenue 1,020,605 Correct Amounts to Actuals TOTAL RBBD FUNDS REVENUE ADJUSTMENTS $1,062,504 SB 1 ROAD MAINTENANCE REHABILITATION FUND REVENUES AMOUNT ($)JUSTIFICATION Gas Tax Road Maint. Rehab $238,256 Correct Amounts to Actuals Interest Income 631 Correct Amounts to Actuals TOTAL SB 1 ROAD MAINTENANCE REHABILITATION FUND REVENUE ADJUSTMENTS $238,887 SLESF FUND REVENUES AMOUNT ($)JUSTIFICATION Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:12 Menifee Mayor and City Council March 2,2022 Page 14 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 13 of 17 8 9 1 Grant Revenue $103,105 Correct Amounts to Actuals TOTAL SLESF FUND REVENUE ADJUSTMENTS $103,105 TRUST FUND EXPENDITURES AMOUNT ($)JUSTIFICATION Beth Drive Street Improvements $60,000 Transfer to CIP Fund (320) TOTAL TRUST FUND EXPENDITURE ADJUSTMENTS $60,000 LLMD 89-1 FUNDS REVENUES AMOUNT ($)JUSTIFICATION Special Assessment $4,505 Correct Amounts to Actuals TOTAL LLMD 89-1 FUNDS REVENUE ADJUSTMENTS $4,505 CSA FUNDS REVENUES AMOUNT ($)JUSTIFICATION Special Assessment $339 Correct Amounts to Actuals TOTAL CSA FUNDS REVENUE ADJUSTMENTS $339 CFD FUNDS REVENUES AMOUNT ($)JUSTIFICATION Special Assessment $61,802 Correct Amounts to Actuals TOTAL CFD FUNDS REVENUE ADJUSTMENTS $61,802 CITY-WIDE CFD FUNDS REVENUES AMOUNT ($)JUSTIFICATION Special Assessment $6,680 Correct Amounts to Actuals Transfer Correction: Fund 621 -12 To correct actual transfers in Transfer Correction: Fund 622 51,650 To correct actual transfers in TOTAL CITY-WIDE CFD FUNDS REVENUE ADJUSTMENTS $58,318 BONDED CFDS FUNDS REVENUES AMOUNT ($)JUSTIFICATION Special Assessment $496,281 Correct Amounts to Actuals TOTAL BONDED CFDS FUNDS REVENUE ADJUSTMENTS $496,281 BONDED CFDS FUNDS EXPENDITURES AMOUNT ($)JUSTIFICATION Professional Services $45,000 Administrative Expenses TOTAL BONDED CFDS FUNDS EXPENDITURE ADJUSTMENTS $45,000 Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:13 Menifee Mayor and City Council March 2,2022 Page 15 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 14 of 17 8 9 1 American Rescue Plan (ARP) Funds On March 11, 2021 Congress and the executive branch, passed the $1.9 trillion American Rescue Plan (ARP) economic stimulus plan intended to address the on-going impacts of the unprecedented COVID-19 pandemic. All local governments, including the City of Menifee received direct funding to help bridge budget shortfalls and mitigate the impacts of COVID-19. The Act provides that the funds can be used for COVID-19 related expenses incurred between March 3, 2021 and December 31, 2024. Use of funds can be generally categorized into six (6) principal categories: 1. Support Public Health Response- Fund COVID-19 mitigation efforts, medical expenses, behavioral healthcare, and certain public health and safety staff. 2. Replace Public Sector Revenue Loss- Provide government services to the extent of the reduction in revenue experienced due to the pandemic. Revenue Loss is defined by Department of Treasury as a standard allowance of $10 million, or revenue loss using the established Federal formula. 3. Water & Sewer Infrastructure- Make necessary investments to improve access to clean drinking water and invest in wastewater and stormwater infrastructure. 4. Address Negative Economic Impacts- Respond to economic harm to workers, families, small businesses, impacted industries, and the public sector. 5. Premium Pay for Essential Workers- Offer additional support to those who have and will bear the greatest health risks because of their service in critical sectors. 6. Broadband Infrastructure- Make necessary investments to provide unserved or underserved locations with new or expanded broadband access. The City of Menifee has been allocated a total of $13,213,674 in ARP funding. The first half (tranch), $6,606,837, was received in June 2021, and the second half is anticipated to be received in late March/early April 2022. To date, ARP funds have been used for the following purposes: TABLE 12: AMERICAN RESCUE PLAN (ARP) APPROVED EXPENDITURES THROUGH FEBRUARY 2022 CATEGORY PROJECT DESCRIPTION AMOUNT ($) Support Public Health Response Menifee PD: Micro-Robots $9,999 Replace Public Sector Revenue Loss (Government Services) FY2021/22 Salaries (Personnel Costs) 3,616,644 Replace Public Sector Revenue Loss (Government Services) Human Resources: Neo-Gov Training Module 61,513 Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:14 Menifee Mayor and City Council March 2,2022 Page 16 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 15 of 17 8 9 1 CATEGORY PROJECT DESCRIPTION AMOUNT ($) Replace Public Sector Revenue Loss (Government Services) Information Technology: Smart Cities & Broadband Master Plan 162,050 TOTAL $3,850,206 Plan for Use of Remaining Funds, $9,363,468 In February 2022, the Department of Treasury issued the corresponding Final Rule, outlining the governing requirements for the use of ARP funds. Intended Use The City has wide latitude for use of the funds, with exception of some purposes such as pension payments that are restricted or not allowable. The City may direct that the funds are used for structural or ongoing uses, such as authorizing staffing, or for one-time uses in recognition that the funding provided under the Act is one-time money, or some combination of purposes. Structural Use The typical recommendation for one-time money is not for structural uses. However, the most recent recession experienced included a fairly rapid return of lost revenues and there is a reasonable expectation that the post-pandemic recovery will behave similarly, particularly for revenues such as the transient occupancy tax, i.e., hotel tax. One-time Use At the discretion of the City Council, one-time money may be used for discrete projects rather than structural uses. Examples may include updates to facilities to prepare for post-pandemic uses. This option may also be combined with the structural use. As part of the FY 2021/22 Mid-Year budget review, staff is recommending using ARP funds for the following high priority projects: TABLE 13: AMERICAN RESCUE PLAN (ARP) PROPOSED FY2021/22 MID-YEAR EXPENDITURES CATEGORY PROJECT DESCRIPTION AMOUNT ($) Support Public Health Response Mass Notification System- Would provide a dedicated system/solution to communicate with public regarding public health (Covid-19) updates and other emergency alerts $120,000 Water & Sewer Infrastructure Holland Road Sewer & Recycled Water Improvements – Adding recycled water/sewer components for existing properties. 500,000 Replace Public Sector Revenue Loss (Government Services) Business Façade Improvement Program- Provides direct economic support to businesses to beautify and 500,000 Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:15 Menifee Mayor and City Council March 2,2022 Page 17 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 16 of 17 8 9 1 CATEGORY PROJECT DESCRIPTION AMOUNT ($) improve the exterior of business sites. Support Public Health Response City Hall/PD HQ Enhanced Cleaning Services, PPE, Masks, Covid-19 Testing etc. 167,459 Replace Public Sector Revenue Loss (Government Services) Purchase of City facility – Provides an opportunity to use funding as one- time use to help address/alleviate spacing needs. 969,863 TOTAL $2,257,322 If approved as recommended, a corresponding Budget Appropriation to Fund 301 (Grant Fund) in the amount of $2,257,322 will be included as part of the FY 2021/22 Mid-Year. Including Tables 12 and 13, the remaining balance of ARP funds would be $7,106,146, contingent on approval of the items indicated in Table 13. As the City navigates the impacts of Covid-19, short and long-term, the City’s plan and strategy to use of these funds is to maximize the use of the funding and truly meet the needs of the community, is a phased approach/plan. Cognizant of the requirements to expend all funding by December 2024, the City’s approach is fiscally conservative. Further, recognizing that these funds cannot be used for, pension debt or reserves, but can be used to provide general government services (replace revenue loss as defined by the Department of Treasury), the City intends to use the funding for high priority projects/program and/or services. As the City develops its’ upcoming budget, the use of ARP funds will continue to be reviewed with specific recommendations brought for Council consideration and approval. STRATEGIC PLAN OBJECTIVE Responsive and Transparent Community Government. In the development of the FY 2021/22 budget, and in the implementation of the corresponding programs/projects/activities, staff considered the City Council’s Strategic Plan (2018 thru 2023) goals and has addressed them in the following ways: Increased staffing for critical areas including public safety Additional Capital Projects funding Strategic Plan specific action items have been incorporated as part of the FY2021/22 budget. Safe & Attractive Community Livable & Economically Prosperous Community Responsive & Transparent Community Government Accessible & Interconnecte d Community Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:16 Menifee Mayor and City Council March 2,2022 Page 18 of 29 City of Menifee Staff Report FY 21/22 Mid-Year Budget Review and Adjustments March 2, 2022 Page 17 of 17 8 9 1 FISCAL IMPACT Below is a summary of the mid-year budget adjustments being requested for the increase in expenditures and revenues for the General Fund, along with similar adjustments for the other funds. TABLE 14: GENERAL FUND FY2021/22 MID-YEAR ADJUSTMENTS SUMMARY OF MID-YEAR BUDGET ADJUSTMENTS GENERAL FUND Total by Fund Revenues Expenditures General Fund $3,115,303 $2,769,903 Quality of Life (Measure DD)2,701,878 2,318,796 Quality of Life (Measure DD) (Prior Appropriations)383,082 TOTAL ADJUSTMENTS GENERAL FUND $5,817,181 $5,471,781 TABLE 15: ALL OTHER FUNDS FY2021/22 MID-YEAR ADJUSTMENTS SUMMARY OF MID-YEAR BUDGET ADJUSTMENTS OTHER FUNDS Total by Fund Revenue/Savings Expenditure/Reserves IT FUND $1,230 FLEET FUND 2,678 GAS TAX FUND 210,738 208,319 SB1 ROAD MAINT. FUND 238,887 MEASURE A FUND (986)466,667 SLESF FUND 103,105 AQMD FUND 14,344 GRANT FUND 2,257,322 CIP FUND 69,018 60,000 PEG FUND (8,383) TRUST FUND 60,000 LLMD 89-1C FUND 4,505 RBBD FUND 1,062,504 CSA FUND 339 CFD FUND 61,802 DIF FUND 3,157,455 QUIMBY FUND 537,866 CITYWIDE CFD FUND 58,318 BONDED CFD FUNDs 496,281 45,000 TOTAL ADJUSTMENTS OTHER FUNDS $6,009,701 $3,097,308 ATTACHMENTS 1. Budget Amendment Resolution (All Funds) 2. Resolution - Classification and Compensation Plan (Authorized Positions Listing) Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:17 Menifee Mayor and City Council March 2,2022 Page 19 of 29 RESOLUTION NO. 22-____ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MENIFEE, CALIFORNIA, AMENDING THE FISCAL YEAR 2021/22 OPERATING BUDGET WHEREAS, the City of Menifee, California adopted a budget for the fiscal year 2021/22 with Resolution No. 21-1033 on June 2, 2021; and WHEREAS, from time to time the City of Menifee receives unanticipated revenues, experiences unanticipated expenditures, and/or identifies alternative funding sources; and WHEREAS, it is in the best interest of the citizens of the City of Menifee to allocate budget resources to continue the operations of the City of Menifee; and WHEREAS, the City Council of the City of Menifee needs to amend the fiscal year 2021/22 budget as follows: AMENDMENTS TO ADOPTED BUDGET: General Fund Adopted FY 2021/22 Revenue Budget: $59,885,280 CITY COUNCIL MEETING DESCRIPTION ACCOUNT #AMOUNT October 6, 2021 State Asset Forfeiture 100-3468 $36,189 October 6, 2021 CEQA Review Revenue 100-3425 2,000,000 October 20, 2021 Donation (Crime Watch)100-3855 13,836.51 March 2, 2022 Mid-Year Budget Adjustments Various 3,115,303 TOTAL:$5,165,328.51 Amended General Fund FY 2021/22 Revenue Budget: $65,050,608.51 General Fund Adopted FY 2021/22 Expenditure Budget: $59,885,280 2. Record Appropriation(s): CITY COUNCIL MEETING DESCRIPTION ACCOUNT #AMOUNT July 7, 2021 CEQA Services: Menifee Specific Plan 100-4330-52825 $55,440 July 7, 2021 CIP 20-04: Paloma Wash Trail Improvements 100-4555-58086 (95,527) July 21, 2021 CIP 22-20: Sun City Community Project 100-4555-58137 183,886 July 21, 2021 CIP 22-21: Lazy Creek Pedestrian Project 100-4555-58138 88,380.50 August 4, 2021 CEQA Services: Freedom Business Park 100-4330-52825 53,169 September 15, 2021 CIP 21-13: McCall Blvd Resurfacing Project 100-4555-58111 108,773.95 Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:18 Menifee Mayor and City Council March 2,2022 Page 20 of 29 Amending the Fiscal Year 2020/21 Budget 2 4 4 6 6 3 September 15, 2021 Fire Contract 100-4445-52800 368,502 October 6, 2021 Furniture & Equipment 100-4911-53150 11,589 October 6, 2021 Professional Services 100-4911-52800 24,600 October 6, 2021 Professional Services Recoverable (CEQA) 100-4330-52846 2,000,000 October 6, 2021 FY20/21 Budget Carry- Overs 100-xxxx-xxxxx 3,764,518.47 October 20, 2021 Donation (Crime Watch) 100-4911-52509 13,836.51 December 15, 2021 Future City Hall 100-4555-xxxxx 4,000,000 December 15, 2021 Future City Hall Parking Lot Project 100-4555-xxxxx 2,000,000 December 15, 2021 Community/Recreation Center Project 100-4555-xxxxx 1,000,000 December 15, 2021 Holland Road Overpass Project 100-4555-58021 2,800,000 December 15, 2021 PMP Menifee Meadows & Potomac Projects 100-4555-xxxxx 1,057,606 March 2, 2022 Mid-Year Budget Adjustments Various 2,769,903 TOTAL:$20,204,677.43 Amended General Fund FY 2021/22 Expenditure Budget: $80,089,957.43 3. Record Transfer of Funds: FROM ACCOUNT #TO ACCOUNT #AMOUNT TOTAL:0 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MENIFEE DOES HEREBY RESOLVE AS FOLLOWS: Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:19 Menifee Mayor and City Council March 2,2022 Page 21 of 29 Amending the Fiscal Year 2020/21 Budget 3 4 4 6 6 3 Other funds as shown in the table below: SUMMARY OF MID-YEAR BUDGET ADJUSTMENTS OTHER FUNDS Total by Fund Revenue Expenditures MEASURE DD FUND $2,701,878 $2,318,796 IT FUND 1,230 FLEET FUND 2,678 GAS TAX FUND 210,738 208,319 SB1 ROAD MAINT. FUND 238,887 MEASURE A FUND (986)466,667 SLESF FUND 103,105 AQMD FUND 14,344 GRANT FUND 2,257,322 CIP FUND 69,018 60,000 PEG FUND (8,383) TRUST FUND 60,000 LLMD 89-1C FUND 4,505 RBBD FUND 1,062,504 CSA FUND 339 CFD FUND 61,802 DIF FUND 3,157,455 QUIMBY FUND 537,866 CITYWIDE CFD FUND 58,318 BONDED CFD FUNDs 496,281 45,000 TOTAL ADJUSTMENTS OTHER FUNDS $8,711,579 $5,416,104 SUMMARY OF MID-YEAR BUDGET ADJUSTMENTS CIP PROJECTS Total by Project Funding Source Expenditures/Reserves Newport Median Project Phase I (Design)Measure A $250,000 Beth Drive Street Improvements Project CIP Fund 55,000 Salt Creek Channel Improvements Project General Fund 100,000 AMR Resurfacing Project Measure A 216,667 TOTAL ADJUSTMENTS: $621,667 The annual budget for the General Fund for the City of Menifee for fiscal year 2021/22 is hereby increased and amended to reflect unanticipated revenues and expenditures as follows: Revenues: Increase Budget for Mid-Year Budget Adjustments $3,115,303 Amended General Fund FY 2021/22 Budget $65,050,608.51 Expenditures: Increase Budget for Mid-Year Budget Appropriations $2,769,903 Amended General Fund FY 2021/22 Budget: $80,089,957.43 Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:20 Menifee Mayor and City Council March 2,2022 Page 22 of 29 Amending the Fiscal Year 2020/21 Budget 4 4 4 6 6 3 PASSED, APPROVED AND ADOPTED this 2nd day of March 2022. _____________________________ Bill Zimmerman, Mayor ATTEST: APPROVED AS TO FORM: ____________________________ ____________________________ Stephanie Roseen, Acting City Clerk Jeffrey T. Melching, City Attorney Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:21 Menifee Mayor and City Council March 2,2022 Page 23 of 29 RESOLUTION NO. 22- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MENIFEE, CALIFORNIA, ADOPTING THE CLASSIFICATION AND COMPENSATION PLAN FOR THE CITY OF MENIFEE FOR FISCAL YEAR 2021/2022 WHEREAS, it is necessary to amend the City’s Classification and Compensation plan from time to time to maintain a current plan which reflects the organizational structure, workload, or otherwise; and WHEREAS, the Classification and Compensation Plan has been updated to reflect changes in the 2021/2022 fiscal year as recommended in the mid-year review; and WHEREAS, the Classification and Compensation Plan, including the schedule of authorized positions, attached hereto, is hereby adopted pursuant to Section 45001 of the California Government Code; such list is attached to this Resolution as “Exhibit A” and incorporated herein by this reference; and WHEREAS, the changes to the Classification and Compensation Plan as related to the budget require Council approval; and WHEREAS, the Classification and Compensation Plan shall become effective March 2, 2022, and may be, thereafter, amended; and WHEREAS, the City Manager shall implement the attached Classification and Compensation Plan and has the authority to select and appoint employees in accordance with the City’s Personnel Rules and Regulations; and WHEREAS, the City Manager In accordance with the City of Menifee Municipal Code Section 2.08.060(B), shall administer the City personnel system; this resolution specifically authorizes the City Manager to establish, fix and alter job classifications including titles, descriptions, compensation and number of positions in the Classification and Compensation Plan as needed, subject to the total personnel expenditure budget limitations approved by the City Council, and in accordance with the provisions of Gov. Code 3500 et. seq., if applicable; and WHEREAS, all prior resolutions and parts of this resolution in conflict with this resolution are hereby rescinded. NOW, THEREFORE, BE IT RESOLVED that the City of Menifee, California, does hereby DETERMINE and ORDER as follows: SECTION 1: The City Council hereby does adopt the Classification and Compensation Plan effective March 2, 2022 as presented herewith as Exhibit A. Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:22 Menifee Mayor and City Council March 2,2022 Page 24 of 29 PASSED, APPROVED AND ADOPTED this 2nd day of March 2022. Bill Zimmerman, Mayor Attest: Approved as to Form: _____________________________ Stephanie Roseen, Acting City Clerk Jeffrey Melching, City Attorney Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:23 Menifee Mayor and City Council March 2,2022 Page 25 of 29 "EXHIBIT A" Effective 03/02/2022 Department Title Classification Group FTE Step From Step To Council Council Member Elec Elected n/a n/a 7,800.00$ Council Council Member Elec Elected n/a n/a 7,800.00$ Council Council Member Elec Elected n/a n/a 7,800.00$ Council Council Member Elec Elected n/a n/a 7,800.00$ Council Mayor Elec Elected n/a n/a 9,000.00$ City Manager City Manager Contract 1.0 n/a -n/a 272,929$ City Manager Assistant City Manager Contract 1.0 625 183,677$ 675 235,699$ City Manager Public Information & Legislative Affairs Officer Mid 1.0 535 117,249$ 566 150,457$ City Manager Senior Management Analyst Conf 1.0 481 89,566$ 531 114,933$ City Manager Management Analyst Prof 1.0 443 74,102$ 493 95,090$ City Manager Media & Production Coordinator Gen 1.0 432 70,146$ 482 90,014$ City Manager Media Specialist Gen 1.0 405 61,309$ 455 78,673$ City Manager Executive Assistant Conf 1.0 387 56,044$ 437 71,918$ Building and Safety Building Official Mid 1.0 547 124,481$ 597 159,737$ Building and Safety Building/Safety Manager Prof 1.0 525 111,545$ 575 143,137$ Building and Safety Plans Examiner Gen 2.0 443 74,102$ 493 95,090$ Building and Safety Senior Building Inspector Gen 1.0 443 74,102$ 493 95,090$ Building and Safety Building Inspector Gen 5.0 420 66,071$ 470 84,784$ Building and Safety Management Analyst Prof 1.0 443 74,102$ 493 95,090$ Building and Safety Building Permit Technician Gen 3.0 395 58,326$ 445 74,845$ Building and Safety Office Specialist II Gen 1.0 318 39,726$ 368 50,977$ City Clerk City Clerk Contract 1.0 579 146,021$ 629 187,378$ City Clerk Management Analyst Prof 1.0 443 74,102$ 493 95,090$ City Clerk Assistant City Clerk Prof 1.0 462 81,468$ 512 104,542$ City Clerk Records Technician Gen 1.0 347 45,908$ 397 58,911$ City Clerk Administrative Assistant Gen 1.0 367 50,724$ 417 65,090$ City Clerk Receptionist Gen 1.0 284 33,530$ 334 43,026$ Code Enforcement Code Enforcement Supervisor Prof 1.0 449 76,353$ 499 97,979$ Code Enforcement Senior Code Enforcement Officer Gen 2.0 430 69,450$ 480 89,120$ Code Enforcement Code Enforcement Officer II Gen 2.0 409 62,544$ 459 80,258$ Code Enforcement Code Enforcement Officer I Gen 1.0 387 56,044$ 437 71,918$ Code Enforcement Code Enforcement Technician Gen 1.0 367 50,724$ 417 65,090$ Code Enforcement Office Specialist II Gen 1.0 318 39,726$ 368 50,977$ Community Development Community Development Director Contract 1.0 605 166,239$ 655 213,323$ Community Development Planning Manager Mid 1.0 547 124,481$ 597 159,737$ Community Development Principal Planner Mid 1.0 516 106,648$ 566 136,854$ Community Development Senior Planner Prof 3.0 481 89,566$ 531 114,933$ Community Development Senior Management Analyst Prof 1.0 481 89,566$ 531 114,933$ Community Development Associate Planner Gen 3.0 449 76,353$ 499 97,979$ Community Development Management Analyst I Prof 1.0 443 74,102$ 493 95,090$ Community Development Assistant Planner Gen 2.0 430 69,450$ 480 89,120$ Community Development Planning Technician Gen 1.0 395 58,326$ 445 74,845$ Community Development Administrative Assistant Gen 1.0 367 50,724$ 417 65,090$ Community Services Community Services Director Contract 1.0 605 166,239$ 655 213,323$ Community Services Park/Landscape Maintenance Manager Mid 1.0 525 111,545$ 575 143,137$ Community Services Community Services Manager Mid 1.0 525 111,545$ 575 143,137$ Community Services Management Analyst II Prof 1.0 462 81,468$ 512 104,542$ Community Services Community Services Supervisor Prof 1.0 449 76,353$ 499 97,979$ CITY OF MENIFEE AUTHORIZED POSITIONS and COMPENSATION FISCAL YEAR 2021-2022 Annual Salary Ranges FY21/22 Mid-Year Request FY21/22 Personnel Approved Under CM Authority Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:24 Menifee Mayor and City Council March 2,2022 Page 26 of 29 "EXHIBIT A" Effective 03/02/2022 Department Title Classification Group FTE Step From Step To CITY OF MENIFEE AUTHORIZED POSITIONS and COMPENSATION FISCAL YEAR 2021-2022 Annual Salary Ranges FY21/22 Mid-Year Request FY21/22 Personnel Approved Under CM Authority Community Services Management Analyst I Prof 1.0 443 74,102$ 493 95,090$ Community Services Field Supervisor Gen 1.0 420 66,071$ 470 84,784$ Community Services Community Services Coordinator Gen 4.0 383 54,937$ 433 70,497$ Community Services Park Ranger Gen 2.0 383 54,937$ 433 70,497$ Community Services Sr. Park Maintenance Worker Gen 1.0 377 53,318$ 427 68,419$ Community Services Park Maintenance Worker II Gen 5.0 360 48,983$ 410 62,857$ Community Services Sr. Facility Maintenance Worker Gen 1.0 377 53,318$ 410 68,419$ Community Services Administrative Assistant Gen 1.0 367 50,724$ 417 65,090$ Community Services Office Aide (Part-Time)PT 0.50 269 30,206$ 356 46,850$ Community Services Part Time Leader, Instructor, Maintenance(Full Time Equivalents)PT 22.65 269 30,206$ 356 46,850$ Economic Development Economic Development Director Contract 1.0 595 158,152$ 645 202,944$ Economic Development Senior Management Analyst Prof 1.0 462 81,468$ 512 104,542$ Economic Development Management Aide Gen 2.0 405 61,309$ 455 78,673$ Finance Chief Financial Officer Contract 1.0 605 166,239$ 675 213,323$ Finance Deputy Finance Director Contract 1.0 564 135,496$ 614 173,872$ Finance Financial Services Manager Mid/Conf 2.0 534 116,666$ 584 149,709$ Finance Financial Analyst Prof 1.0 481 89,566$ 531 114,933$ Finance Management Aide Gen 1.0 405 61,309$ 455 78,673$ Finance Contract/Purchasing Specialist Gen 1.0 405 61,309$ 455 78,673$ Finance Senior Accounting Technician Gen 2.0 396 58,617$ 446 75,219$ Finance Accounting Technician II Gen 2.0 377 53,318$ 427 68,419$ Finance Contract/Purchasing Technician II Gen 1.0 377 53,318$ 427 68,419$ Finance Contract/Purchasing Technician I Gen 1.0 354 47,539$ 404 61,004$ Finance Accounting Technician I (Business License)Gen 1.0 354 47,539$ 404 61,004$ Finance Accounting Technician I Gen 1.0 354 47,539$ 404 61,004$ Finance Accounting Assistant Gen 1.0 330 42,176$ 380 54,122$ Finance Cashier Gen 1.0 318 39,726$ 368 50,977$ Human Resources Deputy Human Resources Director Contract 1.0 564 135,496$ 614 173,872$ Human Resources Sr. Human Resources Analyst Conf 1.0 481 89,566$ 531 114,933$ Human Resources Human Resources Analyst Conf 2.0 462 81,468$ 512 104,542$ Human Resources Emergency Management Analyst Conf 1.0 443 74,102$ 493 95,090$ Human Resources Human Resources Technician Conf 2.0 377 53,318$ 427 68,419$ Human Resources Office Specialist II Conf 1.0 318 39,726$ 368 50,977$ Information Technology Chief Information Officer Contract 1.0 605 166,239$ 655 213,323$ Information Technology Information Technology Supervisor Conf 1.0 504 100,453$ 554 128,904$ Information Technology Geographic Information System Coordinator Conf 1.0 481 89,566$ 531 114,933$ Information Technology Information Technology Analyst Conf 3.0 462 81,468$ 512 104,542$ Information Technology Management Analyst II Conf 1.0 462 81,468$ 512 104,542$ Information Technology Information Technology Technician Conf 3.0 396 58,617$ 446 75,219$ Information Technology Geographic Information System Technician Conf 2.0 396 58,617$ 446 75,219$ Information Technology Audio Visual (AV) System Technician Conf 1.0 396 58,617$ 446 75,219$ Fire Senior Fire Permit Technician Gen 1.0 420 66,071$ 470 84,784$ Fire Office Specialist II Gen 1.0 318 39,726$ 368 50,977$ Police Chief of Police Contract 1.0 625 183,677$ 675 235,699$ Police Police Captain PMA 2.0 P587 139,110$ P637 178,509$ Police Police Lieutenant PMA 4.0 P557 119,778$ P607 153,702$ Police Police Support Services Manager Mid 1.0 525 111,545$ 575 143,137$ Police Police Sergeant PMA 12.0 P518 98,605$ P568 126,533$ Police Budget and Grants Analyst Prof 1.0 481 89,566$ 531 114,933$ Police Senior Police Personnel & Training Analyst Conf 1.0 481 89,566$ 531 114,933$ Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:25 Menifee Mayor and City Council March 2,2022 Page 27 of 29 "EXHIBIT A" Effective 03/02/2022 Department Title Classification Group FTE Step From Step To CITY OF MENIFEE AUTHORIZED POSITIONS and COMPENSATION FISCAL YEAR 2021-2022 Annual Salary Ranges FY21/22 Mid-Year Request FY21/22 Personnel Approved Under CM Authority Police Crime Analyst Conf 1.0 462 81,468$ 512 104,542$ Police Police Officer POA 72.0 P467 76,459$ P517 98,114$ Police Police Records Supervisor Gen 1.0 430 69,450$ 480 89,120$ Police Crime Scene/Property & Evidence Specialist PEA Misc 2.0 420 64,147$ 470 82,315$ Police Sr. Community Service Officer PEA Misc 1.0 429 67,092$ 479 77,921$ Police Community Service Officer II PEA Misc 6.0 409 60,722$ 459 86,094$ Police Investigative Specialist II PEA Misc 4.0 409 60,722$ 459 77,921$ Police Executive Assistant Conf 1.0 387 56,044$ 437 71,918$ Police Sr. Police Records Technician PEA Misc 1.0 397 57,195$ 447 73,394$ Police Property Room Technician PEA Misc 1.0 377 51,765$ 427 66,426$ Police Police Records Technician PEA Misc 5.0 377 51,765$ 427 66,426$ Police Administrative Assistant Gen 1.0 367 50,724$ 417 65,090$ Public Works/Engineering Director of Public Works and Engineering Contract 1.0 605 166,239$ 655 213,323$ Public Works/Engineering Deputy Director of Public Works/City Engineer Contract 1.0 570 139,612$ 620 179,153$ Public Works/Engineering Assistant City Engineer Mid 1.0 547 124,481$ 597 159,737$ Public Works/Engineering Principal Engineer Mid 2.0 534 116,666$ 584 149,709$ Public Works/Engineering Public Works Manager Mid 1.0 525 111,545$ 575 143,137$ Public Works/Engineering Construction Manager Mid 1.0 516 106,648$ 566 136,854$ Public Works/Engineering Senior Engineer Prof 3.0 504 100,453$ 554 128,904$ Public Works/Engineering Associate Engineer Gen 5.0 481 89,566$ 531 114,933$ Public Works/Engineering Financial Analyst Prof 1.0 481 89,566$ 531 114,933$ Public Works/Engineering Senior Public Works Inspector Gen 1.0 462 81,468$ 512 104,542$ Public Works/Engineering Fleet & Equipment Supervisor Prof 1.0 449 76,353$ 499 97,979$ Public Works/Engineering Public Works Maintenance Supervisor Prof 1.0 449 76,353$ 499 97,979$ Public Works/Engineering Assistant Engineer Prof 1.0 443 74,102$ 493 95,090$ Public Works/Engineering Management Analyst I Prof 2.0 443 74,102$ 493 95,090$ Public Works/Engineering Public Works Inspector II Gen 1.0 430 69,450$ 480 89,120$ Public Works/Engineering Senior Fleet Technician Gen 1.0 420 66,071$ 470 84,784$ Public Works/Engineering Public Works Inspector I Gen 2.0 409 62,544$ 459 80,258$ Public Works/Engineering Fleet Technician Gen 1.0 395 58,326$ 445 74,845$ Public Works/Engineering Engineering Technician I Gen 2.0 395 58,326$ 445 74,845$ Public Works/Engineering Senior Street Maintenance Worker Gen 2.0 377 53,318$ 427 68,419$ Public Works/Engineering Administrative Assistant Gen 2.0 367 50,724$ 417 65,090$ Public Works/Engineering Street Maintenance Worker II Gen 8.0 360 48,983$ 410 62,857$ Public Works/Engineering Street Maintenance Worker I Gen 2.0 340 44,333$ 390 56,889$ Public Works/Engineering Office Specialist II Gen 1.0 318 39,726$ 368 50,977$ Public Works/Engineering Building Project Manager - Retired Annuitant PT 0.5 645 197,033$ 645 197,033$ TOTAL BUDGETED POSITIONS 302.65 Group Key: Elec: Elected Appt: Appointed Nonrep: Non-Represented Conf: Confidential Mid: Mid-Management PMA: Police Management POA: Police Officers PEA Misc: Police Employee Miscellaneous Unit Prof: Professional Gen: General Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:26 Menifee Mayor and City Council March 2,2022 Page 28 of 29 "EXHIBIT A" Effective 03/02/2022 Department Title Classification Group FTE Step From Step To CITY OF MENIFEE AUTHORIZED POSITIONS and COMPENSATION FISCAL YEAR 2021-2022 Annual Salary Ranges FY21/22 Mid-Year Request FY21/22 Personnel Approved Under CM Authority PT: Part-Time Item Title:4.1 Fiscal Year 2021/2022 Mid-Year Budget Review and Budget Adjustments Item Page Number:27 Menifee Mayor and City Council March 2,2022 Page 29 of 29