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HomeMy WebLinkAbout070621-06.7 ADMINISTRATIVE STAFF REPORT 6.7 TO: Mayor and Town Council July 6, 2021 SUBJECT: Resolution No. 39-2021: approving the 2021/22 Operating Budget and setting the 2021/22 Appropriation Limit SUMMARY The 2021/22 Operating Budget continues to reflect careful financial planning. All planned services address the Town’s highest priorities. The budget is balanced, prudent reserves continue to be maintained, and ten-year forecasts show that Danville is holding to a course that is fiscally sustainable. For 2021/22, total revenues of $38,048,880 are forecast, including $35,774,166 for the Town and $2,274,714 for the Town Successor Agency. Total operating expenditures of $34,424,678 are recommended, including $33,249,964 for the Town and $1,174,714 for the Successor Agency. BACKGROUND The global Coronavirus pandemic and the resultant Health Orders that began in mid- March 2020 created an immediate and significant financial impact upon the Town. Danville has operated in a continuous State of Emergency since March 17, 2020. The pandemic has presented budget planning challenges resulting from ongoing economic uncertainty and frequently changing state and county directives that impact how, and to what extent, services can be delivered. For 2020/21, the Town Council adopted a budget that forecast a net revenue loss of $5 million. Functionally, this has necessitated operating in a much more fluid manner, while adapting to changing conditions and increasing reliance upon virtual services and operations. Expenditures and staffing were reduced in all operating departments. The 2020/21 mid-year budget review showed that these adjustments were effectively mitigating pandemic-driven fiscal impacts and the Town’s reserves remained intact. Town businesses and the local economy have shown resilience in the face of operating limitations mandated by health orders. Though significantly impacted, the incidence of business failure has been limited. Initial concerns that consumers would react to by eliminating or reducing expenditures have been offset through a shift toward increased e-commerce. While this has helped to mitigate the fiscal impact upon the Town, it has accelerated the trend toward online commerce, which continues to pose an existential threat for all brick and mortar retail businesses. 2021/22 Operating Budget II July 6, 2021 With the arrival of spring 2021, efforts to vaccinate the population were well underway and state and county health orders had been adjusted to allow for the resumption of certain indoor Town activities. In March 2021, the State announced that normal business operations could resume for all sectors on June 15, 2021. Service Priorities The mission of the Town Government is to deliver superior municipal services that make people’s lives better. In order to achieve this mission, we:  keep residents, businesses and property safe.  provide well-maintained public facilities.  protect our environment, preserve our history and retain the special character.  celebrate diversity, dignity and equality for all members of our community.  provide opportunities that support residents’ growth and enrichment.  promote and support economic vitality and growth.  represent and promote Danville’s best interests.  celebrate community through family oriented special events; and  effectively engage and communicate with residents and businesses. The mission statement has been updated to reflect the value that the Town places upon celebrating diversity, dignity and equality for all members of our community. Fiscal Approach Danville strives for long-term fiscal sustainability through conservative management practices coupled with cost-effective government operations. Municipal services address the highest priority needs, and are delivered through an effective combination of Town personnel, contracted or privatized sources, and partnerships with other entities. Services are further enhanced through increased use of technology. This approach has assisted in achieving:  balanced annual budgets with no unfunded liabilities  positive year-end fund balances  annual General Fund transfers to fund high priority capital needs  maintaining appropriate operating and capital reserves; and  sustainable ongoing ten-year forecasts. Revenue and Expenditure Trends Table 1 illustrates the recent history for Danville’s major sources of General Fund and Special Purpose revenues. 2021/22 Operating Budget III July 6, 2021 Table 1 Revenue History (In $ millions) 2017/18 2018/19 2019/20 2020/21 2021/22 Actual Actual Actual Budget Budget Total General Fund $25.25 $26.15 $26.85 $23.96 $26.21 Property Tax $13.04 $13.63 $14.26 $14.51 $15.20 Sales Tax $5.31 $5.52 $5.58 $4.34 $5.25 Franchise Fees $2.38 $2.30 $2.33 $2.28 $2.22 All Other $4.52 $4.69 $4.68 $2.84 $3.50 Total Special Revenue $8.77 $9.41 $9.49 $8.11 $9.56 Lighting & Landscape $3.12 $3.12 $3.12 $3.13 $3.13 Building & Planning $2.75 $2.53 $2.21 $1.79 $2.15 Gas Tax $1.21 $1.84 $1.92 $0.97 $1.66 All Other $1.69 $1.92 $2.24 $2.22 $2.62 Total Revenues $34.02 $35.56 $36.34 $32.08 $35.77 CDA/Successor Agency $2.18 $2.28 $2.28 $2.28 $2.27 Operating Expenditures $31.71 $32.70 $33.23 $30.98 $33.25 2021/22 Highlights A number of significant projects and programs planned for 2021/22 are expected to contribute significantly to the overall quality of life enjoyed by Danville residents. Economic Development Supporting a vibrant local economy remains a top priority. The Town will continue to assist and support local businesses in their recovery from the pandemic with efforts such as the Forward Focus Grant Program and the Business Assistance Program. The Town will continue to work with the Danville Area Chamber of Commerce and the business community on efforts and initiatives aimed at promoting businesses locally, sub- regionally and regionally to strengthen the Danville brand. Partnership for Public Safety The Town strives to work in partnership with our community to protect people, property and rights for all community members. Community outreach, crime prevention and enforcement efforts have resulted in reducing property and violent crimes to another all- time low in 2020; and Danville is consistently ranked among the safest cities in California. In 2021/22, the Town looks to partner with other agencies to explore ways of improving crisis response for individuals and families that may be suffering from mental health challenges. This would help meet a growing community need and lessen dependence upon law enforcement to act as the primary responders for all mental health calls. 2021/22 Operating Budget IV July 6, 2021 Parks, Recreation and Arts Strategic Plan Efforts continue to implement recommendations focused on enhancing cultural arts programming, public art, mobile recreation, and expanding trail networks in Danville. Downtown Parking The Town has continuously worked to increase the supply of public parking to support an economically viable downtown. Over the past three years the Town has invested approximately $16 million on parking infrastructure including the Rose Street and Village Theatre Municipal parking lots and the San Ramon Valley High School student parking lot expansion completed in partnership with the SRVUSD. Transportation and Mobility Street and Pavement Maintenance – Maintaining our public streets continues to be a high Town priority, with a total of $6.5 million in new expenditures planned over the next two fiscal years to re-surface various residential streets and arterial roadways. The Town continues to meet the goal of maintaining a minimum Town-wide Pavement Condition Index (PCI) of 70. The most recent survey of Town streets shows that the Town’s current PCI is 81. Traffic Operations and Mobility – Replacement of aging traffic signal infrastructure began in 2020 and will continue over the next three years. This involves replacing traffic signal controllers and detection systems to better accommodate vehicle, bicycle and pedestrian mobility and safety. Future bicycle facility improvements and safety enhancements will be identified and prioritized based on the findings of the Townwide Bicycle Master Plan. La Gonda Way Bridge Replacement – Design work is continuing to replace the decades-old La Gonda Way Bridge, at Danville Boulevard. The new bridge will be wider to better accommodate pedestrian, bicycle and vehicular traffic. The project will be 88.5% funded through a federal grant. Construction is targeted to occur within the next four years. Diablo Road Trail – Design and environmental work are underway to construct a multi- purpose asphalt walking and biking trail connecting Diablo Road west of Alameda Diablo with Blackhawk Road. This trail will provide a critical bicycle and pedestrian link to the center of Town. Plans call for the Town to construct the 3,500 foot western segment of the trail, with Davidon Homes constructing the eastern segment through the Magee Preserve project and connecting to Blackhawk Road. Construction of this trail segment will allow for completion of a vital link that has been planned for over 30 years. San Ramon Creek Pedestrian Foot Bridge at Danville Green – The recently completed construction of the new pedestrian/bicycle bridge which crosses San Ramon Creek and links Diablo Road to the Town Green and Library is the initial step in implementing the Town Green Master Plan approved in 2019. This pedestrian and bicycle connection will provide improved downtown access for non-motorized travelers and will connect the new Riverwalk development to the Town Green. 2021/22 Operating Budget V July 6, 2021 Facilities Town Office Relocation – In 2021/22, the Danville Town Offices and Police Department will relocate to 500 La Gonda Way, next door to the current Town Offices. This newer, larger building will provide a long term, permanent solution to housing these Town facilities while providing additional public use space. Town-wide Storm Drain Improvements - Improvements are planned for areas impacted by the 2017 winter storms, including Westridge Avenue, Loch Lomond Way, Starview Drive and Pulido Road. Design phase is at 90% and awaiting approval from outside agencies. 2021/22 Operating Budget Summary The 2021/22 Operating Budget continues to focus on the Town’s highest priorities. The budget is balanced, reserves funding for capital projects, and maintains strong reserves. Table 2 illustrates the effects of the pandemic upon budgeted revenues and expenditures. With recovery expected to begin in 2021/22, forecast revenues are equivalent to 2018/19 levels while recommended expenditures are at levels equivalent to 2019/20. Table 2 Prior Year Revenue & Expenditure Comparison 2018/19 2019/20 2020/21 2020/21 2021/22 Revenues Budget Budget Pre-COVID w/COVID Budget General Fund $26,152,198 $26,846,684 $27,200,136 $23,963,524 $26,210,144 Special Revenue $9,410,286 $9,490,271 $9,905,115 $8,112,057 $9,564,022 TOTAL $35,562,484 $36,336,955 $37,105,252 $32,075,581 $35,774,166 Operating Exp. $32,945,781 $33,227,071 $34,211,482 $30,978,161 $33,249,964 Revenues Total revenues of $38,048,880 are forecast, including $35,774,166 for the Town and $2,274,714 for the Successor Agency. Town revenues include $26,210,144 for the General Fund and $9,564,022 in Special Purpose revenues. General Fund General Fund revenues are forecast to total $26,210,144, up 9.4% from 2020/21. Property Tax, Sales Tax, Recreation Fees and Franchise Fees account for 92.2% of General Fund revenues. For 2021/22, the General Fund accounts for 73.2% of Town revenues. • Property Tax is forecast to total $15,200,000 (58.0% of total G.F. revenues), up 4.8% from 2020/21. Although the Town receives only 7.6% of total Property Taxes paid by Danville property owners, the continued appreciation in property values has accounted for significant growth in Property Tax. 2021/22 Operating Budget VI July 6, 2021 • Sales Tax is forecast to total $5,250,000 (20.0% of total G.F. revenues), up 21.0% from 2020/21. This reflects significant economic recovery from the prior year but remains well short of the $5,947,752 received in 2018/19. Sales Tax includes the 1% local business share plus the Town’s share of the County Sales Tax Pool (which now represents approximately 28% of the Town’s total Sales Tax). • Recreation Fees and Charges are forecast to total $1,500,001, up 11.0% from 2020/21. This continues to be the revenue sources most significantly impacted by the pandemic. The forecast falls well short of the $2,531,713 collected in 2018/19. Offsetting expenditure reductions will continue in place until further recovery allows for full restoration of services. • Franchise Fees are forecast to total $2,222,254, down 2.6% from 2020/21. This forecast reflects reduced consumption of utility company produced electricity and reduced Cable TV revenues. • All Other General Fund Revenues are forecast to total $2,037,889, up 37.1% from 2020/21. Economic recovery is reflected in the forecasts for revenues such as Transient Occupancy Tax, Business License Tax, Property Transfer Tax and Interest Income. Special Purpose Revenue Special Purpose revenues are forecast to total $9,564,122, up 17.9% from 2020/21 revenues of $8,112,057. Major revenues include Lighting and Landscape assessments, Building and Planning fees, Gas Tax, Solid Waste Vehicle Impact Fees, Measure J Return to Source funds and Clean Water assessments, which collectively account for 94.9% of the Town’s Special Purpose revenues. • Lighting and Landscape Assessment District revenues are forecast to total $3,129,750. Revenue growth is flat due to negligible development and fixed assessments. • Building and Planning revenues are forecast to total $2,153,200, up 20.5% from 2020/21. Building permit activity and construction has remained robust despite the Coronavirus pandemic and other related economic impacts. • Gas Tax (Highway Users Tax) revenues are forecast to total $1,664,828. While this represents a 71.8% increase from 2020/21, the forecast continues to fall well short of the $1,897,802 actually received in 2019/20. Gas Tax funds continue to be critical to the Town’s ability to perform ongoing public streets and road maintenance. • Solid Waste Vehicle Impact Fees are forecast to total $846,851, up 44.8% from 2020/21. The increase is due to the rate increase enacted for 2020. These revenues help to offset the impacts upon Town streets attributable to solid waste and recycling collection vehicles, and are committed to the Town’s annual Pavement Management Program. • Measure J Return to Source revenues are forecast to total $710,139, up 23.2% from 2020/21. Like Gas Tax, the increase is magnified by the significant decrease forecast for the prior year, and falls well short of the $929,061 received in 2019/20. • Clean Water Assessment revenues are forecast to total $572,700, a negligible decrease from prior year due to slightly lower interest earnings. 2021/22 Operating Budget VII July 6, 2021 Expenditures For 2021/22, total operating expenditures of $34,424,678 are recommended, including $33,249,964 for the Town and $1,174,714 for the Successor Agency. Town Operating Expenditures Recommended operating expenditures total $33,249,964, up 7.3% from 2020/21. Operating expenditures are funded by $23,300,924 from the General Fund, and $9,949,040 from Special Purpose revenue. • General Government expenditures total $1,945,545, up $81,032 or 4.3% from 2021/22. • Police Services expenditures total $10,806,192, up 6.6%, from 2020/21. The increase is attributable to increased contract costs and restoration of funding for temporary salary expenses that were reduced for 2020/21. • Administrative Services expenditures total $3,954,123, up 4.1% from 2020/21. The increase is largely attributable to restoration of Asset Replacement expenditures which were eliminated entirely in 2020/21 • Development Services expenditures total $4,954,302, up 30.2% from 2020/21. The increase restores expenditures that were reduced by $1.1 million for 2020/21, and are largely attributable to one-time costs associated with Housing Element preparation, restoration of staffing vacancies and increased contract plan check services in Building. Development Services is 76.2% funded through Special Purpose Revenue. • Maintenance Services expenditures total $8,001,658, up 8.7% from 2020/21. The increase is largely attributable to increased utility and contract costs in Building, Parks and Roadside Maintenance, and restoration of staffing vacancies including, temporary salary costs. Maintenance Services is 69.8% funded through Special Purpose Revenue. • Recreation, Arts and Community Services expenditures total $3,588,144, down 10.7% from 2020/21. Significant program and service reductions continue due to the pandemic. As discussed at the Budget Study Sessions, if economic and program recovery outpace budget forecasts, it will be necessary to consider mid-year increases to department expenditures. The forecast cost recovery rate for the Sports and Fitness, Facilities Management, Cultural Arts, Youth, Teens, Adults and Seniors programs is estimated to be 41.9% for the year. Total 2021/22 operating expenditures are allocated 40.0% for Contracted Services, 37.6% for Employee Expenses, 11.1% for Program Activities and 11.3% for Temporary Salaries, Administration, Materials, Supplies and Equipment. Lighting and Landscape Assessment District (LLAD) 1983-1 The Townwide LLAD partially funds maintenance of street lighting, roadside landscaping, and public parks and buildings. Annual property assessments set pursuant 2021/22 Operating Budget VIII July 6, 2021 to Proposition 218 are combined with transfers from the General Fund to fund LLAD operations. Assessments are set at fixed rates with no escalator and were last increased in 2003. LLAD expenditures are for operations, capital, asset replacement and overhead. Table 3 2021/22 LLAD Fund Activity LLAD Operating & Assessment Assessment Transfer In/ Net Change in Zone OH Expenses Revenue* Revenue % Difference G.F. Subsidy Fund Balance A $ 973,929 $ 583,858 59.9% ( $ 390,071) $ 250,000 ($ 140,071) B $1,094,130 $ 746,968 68.3% ( $ 347,162) $ 250,000 ($ 97,162) C $ 755,348 $ 664,183 87.9% ( $ 91,165) $ 0 ($ 91,165) D $1,825,250 $1,134,741 62.2% ( $ 690,509) $ 600,000 ($ 90,509) $4,648,657 $3,129,750 67.3% ( $1,518,907) $1,100,000 ($ 418,907) * includes interest income on assessment revenue Revenues total $4,229,750, including assessments of $3,129,750 and fund transfers of $1,100,000. Recommended expenditures total $4,648,657, down 10.7% from 2020/21. LLAD expenses are funded 67.3% through assessment revenues and 32.7% through transfers from the General Fund and LLAD fund balance. For 2021/22, the available LLAD fund balance totals $3,117,941, up 9.0% from 2020/21. General Fund Transfers and Designations Transfers In Community Development Agency (CDA) Loan Re-Payment – Debt re-payment of $1,100,000 is included toward the balance owed to the Town under the Cooperative Loan agreement between the Town and the former CDA. This loan will be paid off by 2025/26. Transfers Out Recommended General Fund transfers and designations total $4,306,773, up 40.0% from 2020/21. • Capital Improvement – Recommended transfers total $3,206,773, include $250,000 for Pavement Management, $750,000 for CIP Project B-626 – Town Office Relocation, and $2,206,773 for CIP Park Facilities. • Lighting and Landscaping - Recommended transfers total $1,100,000 to subsidize LLAD operating costs in benefit Zones A, B, C and D. Operating Reserve Policy Resolution No. 35-98 established a minimum Operating Reserve level equivalent to 20% of the annual Operating Budget. The current Operating Reserve of $12,309,768 equals 37.0% of the total Budget, and 52.8% of the General Fund Budget. 2021/22 Operating Budget IX July 6, 2021 Staffing and Employee Costs The Town workforce includes regular employees, contract employees (sworn police officers) from the Contra Costa County Sheriff’s Office, and temporary part-time employees. Economic impacts resulting from the Coronavirus pandemic have required the Town to operate with reduced staffing levels. Table 4 illustrates authorized (budget) versus actual staffing based upon total full time equivalent (FTE) positions. Table 4 Town Staffing – Total FTEs 2020/21 2020/21 2021/22 2021/22 Budget Actual Budget Actual Regular Staff 95.25 83.25 92.25 88.25 Contract Staff (Police) 30.00 28.00 30.00 29.00 P.T. Temporary Staff 36.00 24.00 35.75 28.75 TOTAL 161.25 135.25 158.00 146.00 For 2021/22, staffing is recommended to be reduced from 161.25 to 158.5. Actual staffing will continue to be less for all three categories until economic recovery allows additional positions to be re-filled. Employee expenses of $12,499,923 include restoring positions, a merit-based salary increase, and updating employee salary ranges, last adjusted in 2018. Town employees receive a 401k defined contribution pension and no Town-funded retirement medical benefits. The Town has no unfunded pension or other post- employment benefit liabilities. Adoption of Resolution No 39-2021 will re-set salary ranges for all employee classifications. In accordance with SB 1436, passed by the State in August 2016, prior to taking final action on the Operating Budget, the Town Council shall orally provide a summary of any change in salaries, salary schedules or fringe benefits for the Town Manager, City Attorney or any department heads. In compliance with SB 1436, the following changes are incorporated into the Town Employee Salary Schedule for 2021/22: • the salary range for the Assistant Town Manager is set at $11,952 to $16,374. • the salary range for all department heads is set at $10,840 to $14,852 • the salary range for the Deputy Town Manager is set at $8,631 to $11,824 There are no changes to fringe benefits for any employees and there are no changes in compensation of any kind for the Town Manager or City Attorney. For the positions listed, only the salary ranges are changed. Any actual increase in compensation will be determined under the Town’s Pay for Performance system, there are no automatic increases or cost of living adjustments. 2021/22 Operating Budget X July 6, 2021 Ten-Year Forecasts Ten-year forecasts are updated annually to assist with planning for and ensuring on- going sustainability of service delivery. In addition to the immediate impact upon the Town’s 2020/21 Budget, the Coronavirus pandemic significantly affected the Ten-Year Forecasts by re-setting and reducing the base year for both revenues and expenditures. Initial estimates also forecast a recovery period of up to four-years. Fortunately, the mid- year 2020/21 review and subsequent forecast updates done preparatory to the draft 2021/22 Budget indicates that economic recovery is expected to occur sooner. Revenues Forecasts project a 17.0% increase in total revenues, from $35,774,166 in 2021/22 to $41,870,310 in 2030/31. General Fund revenues increase by 18.4%, from $26,210,144 to $31,028,430; Special Purpose revenues increase by 13.4% from $9,564,022 to $10,841,880. Successor Agency revenues continue to offset the recognized obligations of the Agency. Projections assume no increases in current LLAD assessments, Police funds (SLESF, Abandoned Vehicle Abatement or Asset Seizure), Clean Water revenues or Donations. Recovery-wise, Property Tax growth remains strong, and Sales Tax, Gas Tax and Measure J Return to Source revenues return to pre-COVID levels within 2 years. Recreation Fees and Charges recover by year three and other revenues recover sooner. Operating Expenditures Operating expenditures increase 26.1%, from $33,249,964 in 2021/22 to $41,936,577 in 2030/31 equivalent to 2.6% annually. Successor Agency expenditures decrease by 38.7% from $1,174,714 to $720,369, as the 2001 Certificates of Participation are retired in 2026/27. Transfers and Designations Forecasts project average annual General Fund transfers of $1,412,954 for Capital, including Pavement Management, CIP General Purpose and Asset Replacement; and $1,197,224 for LLAD operations. Revenues of $1,100,000 annually through 2024/25, and $659,401 in 2025/26 are included for repayment of the outstanding loan to the Town by the former Community Development Agency. This loan is fully repaid by 2025/26. The ten-year forecast shows that current Town operations are sustainable for several more years. With rising contract and utility costs, the Town will need to evaluate LLAD operations and ask property owners for an increase in assessments within the next 3-4 years. LLAD assessments have been set at a fixed rate with no escalator since 2003. 2021/22 Operating Budget XI July 6, 2021 2021/22 Appropriation Limit The Town Council is statutorily required to adopt an annual limit which fixes the amount of general tax revenue that can be appropriated in the upcoming fiscal year. The limit is adjusted annually based upon factors provided by the State Department of Finance, and any excess revenue must be returned to the taxpayers. The Town Council annually chooses between the population growth within either the Town, or Contra Costa County as a whole. The selected growth factor is then multiplied by the annual growth in California per capita income to arrive at the total annual adjustment factor. For 2021/22, population growth is 0.15% within Danville, and 0.35% within Contra Costa County; annual growth in California per capita income is 5.73%. Multiplying population growth within Contra Costa County by the annual growth in California per capita income results in a total growth factor of 1.0610%. Increasing the 2020/21 appropriation limit by 6.10% results in a 2021/22 appropriation limit of $46,349,240. FY 2021/22 General Fund revenues are forecast to total $26,210,144 of which $22,185,561 is subject to the Proposition 111 appropriation limit. Town revenues subject to Proposition 111 are well below the appropriation limit and no Proposition 111 constraints are projected in the ten-year financial forecast. Table 6 Appropriation Limit History 2017/18 2018/2019 2019/2020 2020/2021 2021/22 Prior Year Limit $36,625,529 $38,406,151 $40,166,305 $42,044,414 $43,684,464 Population % Increase 1.0113 1.0088 1.0070 1.0026 1.0035 Inflation % Increase 1.0369 1.0367 1.0385 1.0373 1.0573 Population % x Inflation % 1.0486 1.048 1.0457 1.0400 1.0610 Prop 111 Limit $38,406,151 $40,166,305 $42,004,414 $43,684,464 $46,349,240 Increase from Prior Year $1,780,622 $1,759,884 $1,838,109 $1,680,050 $2,664,776 SUMMARY Despite the significant negative fiscal impacts associated with the Coronavirus pandemic, the Town’s overall financial condition continues to be positive. The 2021/22 Budget is balanced, while providing quality municipal services that address the highest priority community needs. Recommended capital projects are funded with no debt, and appropriate operating and capital reserves are maintained. The Town has no unfunded future liabilities related to employee pension or medical costs, and ten-year forecasts for 2021/22 through 2030/31 illustrate that the Town is RESOLUTION NO. 39-2021 APPROVING THE 2021/22 OPERATING BUDGET AND SETTING THE 2021/22 APPROPRIATION LIMIT WHEREAS, an Operating Budget for FY 2021/22 was submitted to the Town Council on April 29, 2021; and WHEREAS, the Town Council held five public study sessions on May 4, May 11, May 18, May 25, and June 1, 2021 to review the draft FY 2021/22 Operating Budget; and WHEREAS, the Town Council accepted public testimony and studied the proposed Operating Budget; and WHEREAS, the emphasis in the Operating Budget is focused upon the Town’s Mission, which is to deliver superior municipal services that make people’s lives better, through: •keeping residents, businesses and property safe •providing well-maintained public facilities •protecting our environment, preserving our history and retaining the special character •celebrating diversity, dignity and equality for all members of our community •providing opportunities that support residents’ growth and enrichment •promoting and supporting economic vitality and growth •representing and promoting Danville’s best interests •celebrating community through family oriented special events •effectively engaging and communicating with residents and businesses; and WHEREAS, the Operating Budget proposes programmatic service levels which are within the Town’s financial means, while reserving funds for capital projects and maintaining adequate reserve and contingency levels; and WHEREAS, sufficient revenues are available to fund all 2021/22 expenditures; and WHEREAS, the Town Council is required to adopt an appropriation limit for proceeds of taxes pursuant to Proposition 111 passed by the voters in June 1990; and WHEREAS, this limit fixes the amount of general tax revenue that can be appropriated in a given fiscal year; and WHEREAS, any excess revenue must be returned to the taxpayers; and DocuSign Envelope ID: 6A5BB0F4-608F-486F-82E8-8E886776714E PAGE 2 OF RESOLUTION NO. 39-2021 WHEREAS, pursuant to Proposition 111, the Town Council has selected population growth within Contra Costa County and growth in California per capita income as the adjustment factors for FY 2021/22; now therefore, be it RESOLVED that the Danville Town Council hereby: 1.Adopts the FY 2021/22 Operating Budget as recommended. 2.Appropriates Town Revenues, Fund Balances and Special Revenues totaling $33,249,964 for 2021/22 Operating Expenditures. 3. Sets the FY 2021/22 Appropriation Limit at $46,349,240. 4.Transfers $3,100,000 from COVID Reserve funds designated by Resolution No. 78- 2020, into the Capital Improvement Program to fund Project B-626 - Town Office Relocation and Project C-610 - Pavement Management. 5.Adjusts FY 2021/22 Employee Salary Ranges as shown on Exhibit 1. 6.Directs the Town staff to publish the FY 2021/22 Operating Budget: and 7.Directs the Town Manager to implement the FY 2021/22 Operating Budget. 8.This resolution supersedes and replaces Resolution No. 29-2021. APPROVED by the Danville Town Council at a regular meeting on July 6, 2021, by the following vote: AYES: NOES: ABSTAINED: ABSENT: _________________________________ MAYOR APPROVED AS TO FORM: ATTEST: _____________________________ ________________________________ CITY ATTORNEY CITY CLERK DocuSign Envelope ID: 6A5BB0F4-608F-486F-82E8-8E886776714E EMPLOYEE SALARY RANGES Employee salary ranges, effective July 1, 2021, are set as follows. Minimum Maximum Office Administrative Assistant 4,296$ 5,885$ Secretary II 3,906$ 5,350$ Secretary I 3,446$ 4,722$ General Government City Clerk 8,631$ 11,824$ Deputy Town Manager 8,631$ 11,824$ Emergency Services Manager 7,267$ 9,956$ Public Information Officer 6,795$ 9,309$ Assistant to the Town Manager 6,213$ 8,512$ Police Services Family & Community Services Specialist 6,026$ 8,255$ Community Services Officer 3,943$ 5,666$ Administrative Services Finance Director/Treasurer 10,840$ 14,852$ Business & Economic Development Director 10,840$ 14,852$ Human Resources Manager 8,631$ 11,824$ Chief Technology Officer 8,631$ 11,824$ Human Resources Analyst 6,213$ 8,512$ Information Systems Analyst 6,213$ 8,512$ Accounting Analyst 6,213$ 8,512$ Economic Development Specialist 6,026$ 8,255$ Information Systems Technician 4,988$ 6,834$ Accounting Technician 4,296$ 5,885$ Administrative Services Coordinator 4,136$ 5,666$ Account Clerk II 4,136$ 5,666$ Account Clerk I 3,446$ 4,722$ Development Services Assistant Town Manager/Director 11,952$ 16,374$ Deputy D.S. Director 9,348$ 12,806$ City Engineer 9,348$ 12,806$ Chief Building Official 8,974$ 12,294$ Chief of Planning 8,974$ 12,294$ Transportation Manager 8,974$ 12,294$ Senior Civil Engineer 7,946$ 10,885$ Senior Planner 7,267$ 9,956$ Minimum Maximum EXHIBIT 1 TO RESOLUTION 39-2021 Landscape Architect 7,267$ 9,956$ Associate Civil Engineer 7,267$ 9,956$ Permit Center Supervisor 6,795$ 9,309$ Plans Examiner 6,795$ 9,309$ Development Coordinator 6,795$ 9,309$ Associate Planner 6,213$ 8,512$ Traffic Engineering Associate 6,213$ 8,512$ Civil Engineering Assistant 6,213$ 8,512$ Program Analyst 6,026$ 8,255$ Building Inspector 5,643$ 7,731$ Public Works Inspector 5,643$ 7,731$ Assistant Planner 5,643$ 7,731$ Code Enforcement Officer 5,166$ 7,078$ Development Services Tech 4,498$ 6,163$ Maintenance Services Maintenance Services Director 10,840$ 14,852$ Maintenance Superintendent 7,549$ 10,342$ Maintenance Supervisor 6,026$ 8,255$ Maintenance Specialist 4,751$ 6,508$ Maintenance Coordinator 4,751$ 6,508$ Maintenance Worker II 4,136$ 5,666$ Maintenance Worker I 3,726$ 5,104$ Recreation, Arts & Community Services Recreation, Arts & C. S. Director 10,840$ 14,852$ Recreation Superintendent 7,549$ 10,342$ Program Supervisor 6,026$ 8,255$ Program Coordinator 4,751$ 6,508$ Facilities Attendant 3,726$ 5,104$ Temporary Positions (hourly) Technical Specialist 27.50$ 38.00$ Clerical Assistant 18.00$ 28.00$ Program Specialist 18.00$ 28.00$ Parking Enforcement Officer 16.00$ 26.50$ Parks/Field Prep Worker 16.00$ 26.50$ Program Assistant 16.00$ 26.50$ Building Attendant 15.00$ 25.00$ Police Aide 15.00$ 25.00$ Program Leader 15.00$ 20.00$