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HomeMy WebLinkAboutAGENDA REPORT 2024 0403 CCSA REG ITEM 09B POWERPOINT-City of Moorpark • Background • Development & Review of Long -Term Financial Plan Assumptions • Long Term Financial Plan • Financial Scenarios • Recommendation • City of Moorpark has a long history of financial stewardship. — City Council direct fiscal policies • Investment Policy • Reserve Policy • Purchasing Policy — Strong Fiscal Management • Retirement funded at 97% per 2022 actuarial • Other Post Employment benefits super funded at 185% per 2022 actuarial • Ended last 7 years with multi -million $ budget surpluses • "Pay -go" philosophy on capital improvement projects = No General Fund Debt Service • Traditionally enjoyed strong General Fund (GF) reserves — Recognized by GFOA for transparency, accuracy in reporting and compliance • Annual Comprehensive Financial Reporting (Awarded for decades) • Annual Budgeting (Awarded 2020) • City of Moorpark faces fiscal threats — Rising Expenses • GF subsidies (Landscape & Parks maintenance) • Service Contracts • Human Resource expenses (compensation and benefits) — Resources needed for: • Public Safety • Transportation / Infrastructure maintenance and rehabilitation • Addition services (trails, public facilities, parks etc) — Other Factors • Lagging regional economy • Limited financial resources (no auto malls, big box stores) • Revenue structure (low prop. tax) • Goal 3, Objective 3.5: "Financial Sustainability" • Tool designed to highlight and project financial sustainability • Not accounting, not budgeting • Assist with projecting impacts of current and future policy decisions. • Flexible to economic uncertainty • Reflective of local economy and resources • Updated and presented annually • Adopted and remain a "living document" (cont'd) Referred to Administration, Public Safety and Finance Committee for review, direction, finalization and recommended to City Council Committee met twice in Q1 2024 to review and finalize LTFP. Long -Term Financial Plan Assumptions Assumptions are the most important element of any LTFP Ability to project into the future Assumptions —Population Growth City of Moorpark Population Changes —1990 to 2021 $ 4,500,000 $ 4,000,000 $ 3,500,000 $ 3,000,000 $ 2,500,000 $ 2,000,000 $ 1,500,000 $ 1,000,000 $ 500,000 $0 Property Taxes O rH N m It Ln �.D r, m m O r-I N M It Ln t.0 r- W M 0 r-i N M d O O O O O H -1 r-i N N cV cV N m O c N M Ln .6 I, w m O r-I N M � 1 l0 n o0 c O N M m O O O O O O O O O r -I -1 H � —i —I N N N f V m O O O O O O O O O O O O O O O O O O O O O O O O ri cV N fV N N N N N r4 r14 N N N N N N N rV N N N fV f'V N $ 0.3350 Unified School General Moorpark $ 0.1707 County General Fund $ 0.1640 Fire Protection District $ 0.0884 E.R.A.F. 93-94 Shift $ 0.0837 Moorpark General Fund $ 0.0581 Ventura Community College General $ 0.0430 E.R.A.F. $ 0.0257 CO SUPT of Schools $ 0.0i255 CountyFlood : ore 03 $ 0.00899 Calleguas Municipal'Water $ 0.00707 Moorpark Vector Control $ 0.00202 County Flood Zone Abm $ 0.00030 Ventura College Child Center $1.0000 Assumptions —Sales tax (7.25%) CITY OF MOORPARK - 10 YEARS SALES TAX HISTORY 1 $4,000,000 $3,000,000 - - $2,000,000 - $1,000,000 $0 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 WXWEIM $3,679,295 $3,992,211 $3,967,466 $4,088,872 $4,336,676 $4,040,141 $4,575,526 $5,219,884 $4,948,566 $1,800,000 $1,600,000 $1,400,000 $1,165,975 $1,200,000 v $1,000,000 $999,787 r' $800,000 $600,000 $400,000 $200,000 GF Transfer $1,360,393 --\ $1, 335,666 $1,202,407 $1,685,621 $1,469,077 —' $1,495,638 $1,340,430 $1,154,621 $1,196,027 $1,060,5 06/30/2013 06/30/2014 06/30/2015 06/30/2016 06/30/2017 06/30/2018 06/30/2019 06/30/2020 06/30/2021 06/30/2022 06/30/2023 06/30/2024 GF Transfer $999,787 $1,165,975 $1,202,407 $1,360,393 $1,469,077 $1,335,666 $1,685,621 $1,495,638 $1,340,430 $1,154,621 $1,196,027 $1,060,566 d Assumptions — Employee Compensation HISTORICAL COLA ADJUSTMENTS- MOORPARK 10 1 11 1 12L13 13 1 14 1 5 6 17 1 18 1 19 2 0 2 2212A 4 2 COLA 0.00% 0.009/ 0.00% 1OT' i.00% 1.001/ 1.00°/ 2.0C:' 2M% 1.00°/ 0.00o 2.00% 2.00' 7.00 CPI - LA Mar s jq 0 1.3M/ !M-N' a.soi 1.70i 2.7M 3.80a/ 2.70- 1.90°i 2.20r 8sor 3.70 Cost of Living Adjustment vs. Consumer Price Index (LA Area) by Fiscal Year 10,/11 11/P 12/13 11/14 14(15 15/16 16117 17/18 18119 19/20 2011 21/22 22123 23/24 24125 —CDIA —CPI-IA NU, 3 Public Safety CostsTrend 10 Year Public Safety Historical Cost Trend 5s,aoo 57,0DO $6,000 c $S,OOD O F Se,000 S3,000 S2,000 51,000 i 5o 2613-14 2014-15 201SS-16 2016-17 2017-16 2018-19 201420 2Q20-21 2021-22 Est. 2022-23 Nec :•fir �'�'�� • No General Fund Contributions to: — Capital Improvements • Street maintenance ($1.5M per year target per Pavement Management Program) • Facility replacement — No Service Enhancements DETAILED OVERVIEW REVENUES Property Taxes Sales Taxes Other Taxis Licenses and Permits Fines and Forfeitures Use of Eloney and Property Revenue fsam Other Annlaies Charges for Services Misea-ilaassn, Rarmue Int erfund Revenue Transfers In IOTAL RIIINL7F EXTENDITIIRES Salaries and Benefits 'Mmatenance and Operations Capital Charges -Other Depts. Or Funds Tratsfers To Other Funds TOTAL: ENTEnDIIURE S 10-IZ4R FI.VINCL4L PROJECTION' GENERAiL FIEND SLTAIP4IARF Actual Actual R OET 2021-22 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-2030 2030-31 2031-32 2032-33 2033-34 (5 9,759,621) (5 10.163:7116) (5 9:635,4441 (S 10;2451) (S 10,454,0%) (S 10:659.000) 5 10;172,000) (S 11:0991000) (S 11,310im) (5 11,536;000k (S 11,766,000)(S 12,0011000) (5 12,241,000)J (5219;884) (494$;566) (5296,4001 (5,4421400) (5,510,000) (5,620,000) __. (5,732;0(0} (5;847;000) (59640)ft} (60831000} (61205,000) (6-:329,40)) (6,456,000)1 (4,840;l93) {4:78l,044) (4,877,000) (4:975,000)( (5,075,000) (5,177,000) (5 283,000) (5:391;000) (%501,000} (5,61__.5,000) (5,732000) (5:853:000}' (2512803) (214,69)) (308,4001 (250,044) (253,000} T (25b.400) (?b0,0(0:} (264,000) (268-M) _ (2?2,004), (276,044:} 84,49)} (84:440) (l612+)9) , ,0 . (1i 8,0001 800(YO'416} (7 (178:000) {236127) (1269? 9) (5S0,848j { 52;000) (65,04G} (7?8-000) (792:0(0) {SOb,000) (8201000) (83i,000? (150,000) _. {8651000) (880:000) (101..556) (83,951) (515;000) - - (8600q (8 7;00(�) (88.900) --(1,428,04C) (89,000) (90,000) (91 000) (92,000? (93,000) (94i 00)) (95;004) (89,854) (13 ,122,12) (1,380,839), (1,.d04:004) 1; t52,000) (1,477,0{0} (1,502;000) (1:528:000) (1:5541000y (L.381,000.) (12608,003) (1,636:000)' - (130,967) - I - 1 - - - - - - - (S 1.2,83 4I1}' (S 23,134,939) (:522,674,731) (S 23,194,000) (5 23,646,00C)" (S 14, 06,00fl) (S 24,577,0(0) (525,059,0010) (S 25,5R,000) (5 261051,000} {S .15;564:'100,, (S 27,087100)) (S -17,623:000)' S 4,880,945 S 5,314300 S 5,996,519 $ 6 205,199 S 6,421,138 S b 644.594 S 6,875,822 S 7,115,101 S 7,362,707 S 7,618 927 S 7,384.066 5 8,158 431 S 8,442,345 10,464385 11,140;392 12,345,275 12,622,702 13,073,948 13.341,396 14,027,182 14,330,460 13,052,421 13,59377 76 16,133,259 16,73 7:636 17 341705 127,361 566,899 1,235,321 432,973 443,695 454,787 466,157 477,910 499,756 502,000 514,550 527A14 540,599 2,51024 21516,420 2,794,604 2,987.665 3,072,136 3,159,101 3,248,573 3,340,646 3435,399 3,532,913 3,633269 3-736;552 3;342,850 S 17,485,215 S 19,333:010 $ 22,361 719 S 2y,248,439 S 23010,937 $23,800,373 S 24,617,734 $23,464,017 S 26,340,233 S 27,247,616 S 28,187,144 S 29,160,033 S 30;167:499 SURPLUS or (DEFICIT) 5 4,842j% S 3.596,929 S 313,012 S 945,561 S 635,063 S 305,622 ($ 40,734) ($ 405,417) (5790,233) �S 1,156,b16) (5 1,623,144) (5 2;073,033) (5-:544:499) BEGINNING FUNDS AVAIL.3<BLE SO S 4 342;196 S 8.430.121 S 1,724A52 S 2,670.813 S 3305,076 S 3 G10;693 S 3;564,964 S 3;164,947 S 21374;664 S 1,173 048 (S 445 0%) (S 2.518,129) • ENDLNG FUNDS AVARMLE 5 4,942:196 S 8.439,125 S 1724:452 S 2,670,013 $ 3305,076 S3,610,698 S 3569,964 S 31164,947 S 2,374,664 S 1,1 i3,048 (5 445,Wl (S 2,518,129) (S 5:062:628) $35,000,000 $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 Fiscal Year Revenues EHpefffeT SUFPlusi [deficit] 2023 10-Year Financial Plan Projected Deficit (FY 27 28 -GF Revenues -GF Expenses AcW Actual EiJDGET PFOJECTED PROJECTED PROJECTED PROJECTED PROJECTED PROJECTED PROJECTED PROJECTED PROJECTED=ROJECTED 2021-22 2022-23 2023.24 2024-25 2025-23 202E-27 2CQ7-23 2025-29 2029.'0 2035-31 2031-22 2032-33 2033.34 22.831,411 23.134,938 22,674,731 23,134,0[0 23,646000 24J06,000 24.577000 25,059.000 25.550.000 26,651.000 26,564.000 27,037.000 27,623,000 17,3&3,21i 1 5ADID 22,381713 22,2 0'O 23,g1R,337 23,904,373 2E,&17,734 25,484,017 2&,340233 27,24.7,6i6 2&,197,144 29.130,013 30,1'7,489 4,9t2,193 3,59029 313,012 945.591 635M 305,622 I40234 1,3%OOG,OM &MOWIQM sn,waw 2023 10-Year Financial Plan : Projected Deficit -, icit (FY 28 �Gr Revenw; —GF EYD*rdm .ate. Projected / Deficit(FY 27 28) SLa,8�15 ��F pt�etr�uas GF EIS 'a1S,.=,ow i SQ 2021- -ze 2as3.24 200.4-26 -Ied 2aI64;, f-2n 2dz®-2!jt -ti 2n,31 M32-35 20s5.3 *ear I wm,j I'l! PkIl, Projected Deficit (FY 27/28) SMPW.MCP smow,aao —GF Nercmim --GF Ewtodes 1 2UI,22 2022.23 WZ3-24 W24�25 M2S-26 IW6.27 Xa7ln 2028%29 —., : ,- s .,': ., ': ..—, �l Projected / Deficit(FY 27 28) i S2S,lCl+,Dtxl - 5219-DQD,D00 -GF F&Ve wlt -GF Expen '.35SCOp,000 :.7D,OCD,DD� so Wn-22 l0n-23 2023-:24 2OW2S 102-26 2026-27 M-t-2e 20211-A R129-30 2MO-31 2031-32, 2=-33 2033-34 Projected Sy:b Deficit (FY 27 28) �i�'P.9QQ44� 2W2-27 2=3-29 M25-24, 2024-n MrA: 2b 202b-2r 2027-2Y 2019r^29 21379:0 2OW-57. IW3-43 ZU32- 1 7i3 -3+B *Direct staff to integrate plan into budget annually for City Council review and adoption 'r� C it of Moorpark