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Home My WebLink Aboutagenda updatesJoint Regular Meeting Agenda June 2n_ 2ni q 15. Knocked -Down Pole Replacement Services Award of Construction Contract to Sierra Pacific Electrical Recommendation: Adopt Resolution Ne. 2018 1 No. 2018-188 of the Mayor and City Council of the City of San Bernardino, California, approving a construction contract with Sierra Pacific Electrical of Jurupa Valley in the amount of $1,403,390 and authorizing a construction contingency in the amount $140,339, for a total contract amount of $1,543,729; authorizing the City Manager or designee to sign all necessary documents; authorizing the City Manager to expend the contingency fund, if necessary, to complete the project per Special Provisions No. 13193, and authorizing the Finance Director to amend FY 2018/19 budget to appropriate $244,000 from Gas Tax to complete the full funding of the Knocked -Down Street Light Pole Replacement Services. 16. Cooperative Agreement with the San Bernardino County Transportation Authority (SBCTA) for the Mount Vernon Bridge Replacement Project Recommendation: Adopt Resolution No. 2018-164 of the Mayor and City Council of the City of San Bernardino, California, approving Contract No. 16-1001477-01, Cooperative Agreement with the San Bernardino County Transportation Authority (SBCTA) for the Development of the Mount Vernon Avenue Grade Separation over the BNSF Railway Intermodal Yard Project (SSO4-12). 17. City of San Bernardino, Active Transportation Program (ATP) Cycle 4 - Safe Route to School (SR2S) Grant Application Recommendation: Adopt Resolution No. 2018-165 of the Mayor and City Council of the City of San Bernardino, California, approving a list of projects to apply for the Active Transportation Program (ATP) Cycle 4 - Safe Route to School (SR2S) grant application; authorizing the execution of a co-operative agreement with the City of Highland and the City of Rialto to submit a combined ATP application, and authorizing the City Manager or designee to sign all necessary documents. Mayor and City Council of the City of San Bernardino Page 6 Printed 6/15/2018 City of San Bernardino Request for Council Action Date: June 20, 2018 To: Honorable Mayor and City Council Members From: Andrea M. Miller, City Manager By: Brent A. Mason, Director of Finance Staff Report Subject: Approval of the Fiscal Year 2018/19 Proposed Operating Budget, Capital Improvement Program, Appropriations Limit Calculation, and Fiscal Year 2018/19 Salary Schedule Recommendation Adopt Resolution No. 2018-189 of the Mayor and City Council of the City of San Bernardino, California approving the City of San Bernardino's Operating Budget and Capital Improvement Program (CIP) for FY 2018/19 and establishing the City's Appropriations Limit as required by Article XIII of the California State Constitution, and adopt Resolution No. 2018-181 of the Mayor and City Council of the City of San Bernardino, California, establishing the classification and approving the job description for Neighborhood and Customer Service Operations Manager (U), and amending the salary schedule for full-time non -safety classifications of the City of San Bernardino for Fiscal Year 2018/19. Background Section 701 of the City Charter provides that the City Manager shall prepare and submit to the Mayor and City Council for the ensuing fiscal year, a proposed budget. The Budget provides a financial plan of all City funds and activities for the upcoming fiscal year and includes a multi-year capital plan. This year's budget process has been designed to be a thoughtful, interactive process. The goal has been that the Mayor and City Council, as the policy makers for the community, have an opportunity to explore issues and challenges and consider how the proposed Operating Budget and CIP further the collective vision for San Bernardino and make any adjustments to ensure alignment with those expectations. The meetings, which were held on May 14, 17 and 29 have encouraged robust discussion about the City's current financial position, the 20 -Year Financial Model and assessments of the City's infrastructure, which provided a context for review of the proposed Operating Budget and CIP. As a result of those discussions, several suggestions were made related to possible changes that will further enhance the efficiency of the organization and ensure the allocation of resources reflects the goals and objectives adopted by the Mayor and City Council. Changes previously directed by the Mayor and City Council have been incorporated. On June 6, a duly noticed Public Hearing was held relative to the FY 2018/19 Proposed Operating Budget and the CIP. Staff reviewed recommended changes to the preliminary Proposed Operating Budget which increased the General Fund budget surplus for FY 2018/19 to $742,801. Public comment was received, and the Mayor and City Council spent time further discussing the budget and proposed CIP. No additional changes were requested at that time although the Mayor and City Council did authorize the City Manager to make other adjustments to further improve the efficiency of the organization. Those changes are discussed below. Discussion FY 2018/19 Proposed Operating Budget The proposed changes identified below were generated subsequent to the Public Hearing on June 6, 2018 for consideration by the Mayor and City Council. If these adjustments are approved, the total General Fund expenditures would be reduced resulting in a revised net General Fund surplus of approximately $798,679. This improved operating position helps further address the anticipated deficits that are forecast beginning in FY 2019/20 based on the 20 -Year Financial Model. The proposed changes are: • Eliminate the Manager of Communication position and backfill with an increase in professional services — net annual savings to the General Fund of approximately $62,000 • Transfer one staff position from the Finance Department to the Public Works Department — cost neutral item to the General Fund, but increases organizational efficiency • Discontinue operating the in-house print shop function. Eliminating one position generates organizational savings to all funds of approximately $57,000. With these changes, the total Proposed Operating Budget (all City funds) is $166,238,728 and the General Fund represents $126,191,821 of that total. The original proposed budget is included with this report as Attachment 4. A summary of the final proposed budget totals by fund, General Fund department totals and a summary of staffing changes are included with an updated version of the City Manager's Transmittal Letter as Attachment 3. 2018/19 Capital Improvement Plan The proposed CIP was also considered at the Public Hearing on June 6, 2018. There were no further adjustments recommended by the Mayor and City Council at that time, and no further adjustments are proposed by staff. The FY 2018/19 CIP is a plan to utilize $46,064,277 in resources for projects in seven different categories — Buildings, Streets, Parks, Traffic Controls, Storm Drains, Police and Landfill. The CIP is included as Attachment 4. FY 2018/99 Appropriations Limit Calculation Article XIIIB of the California Constitution restricts the growth in appropriations for cities and other local jurisdictions to a combination of population and pricing growth percentages as calculated by the State's Department of Finance. The factors for making the calculation for the 2018/19 fiscal year are a 3.67% increase for the change in per capita income and 0.95% for population growth. Together, these factors create a combined change factor of 1.04654865 increasing the prior year's limit of $339,290,105 to a new limit for FY 2018/19 of $355,083,601. The budgeted Proceeds from Taxes number from the Proposed Operating Budget, subject to the limit, is $101,500,000, an amount under the limit by $253,583,601. FY 2018/19 Amended Salary Schedule and New Job Classification and Title As salaries are adjusted based on previously negotiated increases, the City is required to adopt a revised salary schedule in a public meeting reflecting the increases. This report accomplishes that for the Non -Safety employee groups. The noted changes go into effect July 1, 2018 per the terms of the existing negotiated employee labor agreements. These amounts have already been incorporated into the FY 2018/19 Proposed Operating Budget. The proposed Neighborhood and Customer Service Operations Manager (U) classification will replace the Assistant to the City Manager job classification within the Office of the City Manager for FY 2018/19. The new job classification more accurately reflects the role of the staff member assigned to support the neighborhood and customer service operations of the City. This position will be an unclassified management position in the Management/Confidential unit, responsible for managing the City's customer relationship management system and they city-wide customer service information/call center along with the assessment, evaluation and administration of neighborhood improvement programs designed to address the needs of the community. The salary range for the Neighborhood and Customer Services Operations Manager classification is below that of the Assistant to the City Manager classification and does not affect the FY 2018/19 Proposed Operating Budget. Anticipated savings in the future associated with reclassifying one employee from Assistant to the City Manager to Neighborhood and Customer Services Operations Manager is approximately $20,000 between the two positions' top salary ranges. Analysis The total FY 2018/19 Proposed Budget, which includes the Operating Budget and CIP, of $212,303,005 represents a $30 million increase over the FY 2017/18 Adopted Budget and CIP, or 16% growth. Similar to the FY 2017/18 Adopted Budget, the primary driver for the increase continues to be the CIP where significant investments are planned for 2018/19. The proposed Budget, including transfers, for FY 2018/19 is $166,238,728 (this includes $126,191,821 in the General Fund and $40,046,907 in other City funds that include Special Revenue, Enterprise Operations and Internal Services). The General Fund expenditure budget of $126,191,821 is a modest $6 million, or 5%, increase over the prior year budget. The proposed Budget includes a projected increase in revenues of $7 million, or 6%. The proposed Budget includes the reduction of 25 full-time positions, primarily eliminated through attrition or positions that have been unfilled for a number of years. However, there are 2 positions that had been proposed and have been eliminated to improve the efficiency of the organization and to better position it to address the uncertain fiscal challenges that are ahead. These changes reduce citywide staffing by 3% from the prior year (a reduction in General Fund staffing of 22 positions). Moderate maintenance and operation, as well as utility rate adjustments and minor program enhancements, are included in this budget in an effort to provide an improved level of maintenance and management of services and infrastructure to the community. These targeted increases were largely offset by reductions in other discretionary maintenance and operating costs. The FY 2018/19 proposed Budget is built to maintain existing levels of service, fund contractual/mandated obligations, and allocate available ongoing funding on a one-time basis to maintain flexibility to face uncertain fiscal impacts. The proposed Budget initially reflected a revenue gap of $5 million based largely on the anticipated increase in pension costs as well as increased operating costs. Through.the budget process and earlier discussions with the Mayor and City Council about potential opportunities, staff was able to identify operational changes to reduce costs including contracting for additional maintenance services rather than filling vacant positions; reducing costs for professional/contractual services by reprioritizing projects and planning to complete projects internally; reallocating costs to other funding sources; and restructuring operations. The goal was to ensure costs were contained to the extent possible to allow room for the Mayor and City Council and the staff to consider using the excess funds towards the emerging gap in funding for infrastructure and other priorities. 2018-19 Goals and Obiectives The adoption of the Budget and the CIP are consistent with Goal No. 3 Create, Maintain and Grow Jobs and Economic Value in the Cit , Goal No. 4 Ensure Development of a Well -Planned, Balanced and Sustainable City, and Goal No. 6 Operate in a Fiscally Responsible and Business -Like Manner. The development of these documents ensures that the City's limited resources are being allocated to the Mayor and City Council's highest priorities and sustains the economic value of the City's assets, creating a community that will attract further economic investment. Fiscal Impact The total FY 2018/19 Proposed Operating Budget is $166,238,728 with revenues estimated at $168,814,699. The General Fund component is balanced with a current anticipated surplus of $798,679; proposed expenditures are $126,191,821 with estimated revenues of $126,990,500 million. Adequate resources exist to fund all proposed budgetary items. The Proposed CIP for FY 2018/19 is $46,064,277 million. Projects included in the plan all have sufficient resources on hand or funds are anticipated to be generated in FY 2018/19 to meet those needs. All individual CIP projects will return to the Mayor and City Council individually for specific approvals, award of contracts and further discussions about funding. The Appropriation Limit calculation indicates the City's Appropriation Limit for the next fiscal year is $355,083,601. The City is comfortably below the limit with budgeted Proceeds from Taxes are of $101,500,000, or $253,583,601 under the allowed limit. Cnnclucinn It is recommended that the Mayor and City Council adopt the attached Resolution: 1) Approving the FY 2018/19 Operating Budget, 2) Approving the FY 2018/19 Capital Improvement Plan, and 3) Approving the FY 2018/19 Appropriations Limit. Attachments Attachment 1 Resolution Adopting the Annual Budget, Capital Improvement Program and the Appropriations Limit for FY 2018/19 (including Exhibits A and B) Attachment 2 Resolution Amending the Salary Schedule for FY 2018/19 for Non - Safety Personnel and Establishing the Classification and Job Description for the Neighborhood and Customer Service Operations Manager (including Exhibits A, B and C) Attachment 3 Transmittal Letter and Final Budget Summary Schedules Attachment 4 FY 2018/19 Original Proposed Operating Budget Attachment 5 FY 2018/19 Capital Improvement Program Ward: All This Page Is left Intentionally Blank 1 2 3 4 5 6 7 8 9 10 11''. 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING AND ADOPTING THE CITY OF SAN BERNARDINO'S OPERATING BUDGET AND CAPITAL IMPROVEMENT PROGRAM (CIP) FOR FISCAL YEAR 2018/19 AND ESTABLISHING THE CITY'S APPROPRIATION LIMIT AS REQUIRED BY ARTICLE XIII B OF THE CALIFORNIA STATE CONSTITUTION WHEREAS, the proposed FY 2018/19 Operating Budget and CIP provide for service levels necessary to respond to protect the health, safety and welfare of the community, which are deemed appropriate by the Mayor and City Council and provides a workforce to accomplish the service priorities; WHEREAS, the proposed FY 2018/19 Operating Budget and CIP establishes City priorities; WHEREAS, Article XIII B of the Constitution of the State of California as proposed by the initiative Measure approved by the people at the special statewide election held on November 6, 1979, provides that the total annual appropriations subject to limitation of each local government shall not exceed the appropriations limit of such entity for the prior year adjusted for changes in the cost of living and population except as otherwise specifically provided for in said Article; WHEREAS, Section 7910 of the Government Code provides that each year the ;overning body of each local jurisdiction shall, by resolution establish its appropriations limit :or the following fiscal year pursuant to Article XIII B at a regularly scheduled meeting or ioticed special meeting; // 1 1' 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 NOW THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. The Mayor and City Council hereby approve the FY 2018/19 Operating Budget and CIP, as detailed in Exhibit "A." Total Estimated Revenue included in the Operating Budget is $168,814,699 and the Appropriations are $166,238,728; the CIP allocates total resources of $46,064,277 for projects in FY 2018119. SECTION 2. The Appropriations Limit for the City of San Bernardino as established in accordance with Article XIII B of the Constitution of the State of California and detailed as Exhibit `B" is $355,083,601. SECTION 3. This Resolution shall take effect on July 1, 2018. 0) 1 2 3 4 5 6 7 8. 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA APPROVING AND ADOPTING THE CITY OF SAN BERNARDINO'S OPERATING BUDGET AND CAPITAL IMPROVEMENT PLAN (CIP) FOR FISCAL YEAR 2018/19 AND ESTABLISHING THE CITY'S APPROPRIATION LIMIT AS REQUIRED BY ARTICLE XIII B OF THE CALIFORNIA STATE CONSTITUTION I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and City Council of the City of San Bernardino at a meeting thereof, held on the day of , 2018, by the following vote, to wit: Council Members: MARQUEZ BARRIOS VALDIVIA SHORETT NICKEL RICHARD MULVIHILL AYES NAYS ABSTAIN ABSENT The foregoing Resolution is hereby approved this Approved as to form: Gary D. Saenz, City Attorney to 3 Georgeann Hanna, City Clerk day of , 2018. R. Carey Davis, Mayor City of San Bernardino This Page Is Left Intentionally Blank Wi co d L c �• _ x W � � m d m O 07 Q C > a aaa) U LL o � N v N N C d O. K W m d H O Q. 0 aL V-- 0 0 M O r O O CO CO O O O N O O ' w M O qT CO CO O O r� qT N r 0 0 0 O7 Imo- O N O CO M O O N O r 0 O M M It r CA M CO O to l- It .O O O O N O H C.00OONCO C` ' M 0 r M 0 0 0 O O O O N O Q> N O O N O O O O 10) M co N CO M CO d (M N CO N CO O O M O M N N N M I` CL m O r O C9 M 00 O N r V f` CO 66 O I- N N C d O. K W m d H O Q. 0 aL V-- 0 0 M O r O O CO CO O O O N O O ' w M O qT CO CO O O r� qT N r 0 0 0 O7 Imo- O N O CO M O O N O r 0 O M M It r CA M CO O to l- It 0 qr N O f,- O ar v C` ' M 0 r M 0 0 0 r O V M CO CV O N O O N O (10 O N CO M CO CO CO O T- N M U') r T- 0 0 N M O d' O O r O mt O O O O r OI'- I' O� N O C) N CO O C4 O O 14- O't O O O CO It r- O -It v- tl- 00 O LO ' N 117 O O M O O 00 I— O O O N f�- r 00 O m O r O C9 M 00 O N r- '4 V f` CO 66 O I- O V CA CO N O 0) r O N 00 CA CA f- O CA CO CO O O O II- Il• O N O Tr CA r N r- M I` O N M O O N CO co M it O M OD CO I- u7 CO qT r- N CO r r r N M CC7 r V- CO N r co M i cq W w D c W CL x x W c) ca 06 a. W N N (/� aM U C r z Cl) z o o N a) o Im W Na CD n'a E �� c o CDw rn (DCtS mcu0 •L E O ca c Q D �a�� Cc cnn�NL 0oai coco ` E LL Co tCD 0 N UU LU C U Q rL O p E L O 0 0 N E O O .0 cux CD N N U CO N (L1 E m C1 � � •� ch `� � � GOi -O O L � Q H CU w N m E O co 0 .O (U O E m cu (U M a D.� 4) 0 0 U' UQ< W IZZLLQQ cJLL� r- Fl- CO r MI,- M M O N M 11• O w m 1` v ti m O m O O Q O O O r r r r r N N N N N N N'qr O N N M I` ti V -- CN N N V) CO C9 CO CO f-- O LL E-- Capital Budget Summary Fund Description CDBG CDBG Total Gas Tax Gas Tax Total General Fund General Fund Total Integrated Waste Management Integrated Waste Management Total Local Circulation Local Circulation Total Measure I Measure I Total Parkland Fund Parkland Fund Total Regional Circulation Fund Regional Circulation Fund Total SB1 SBI Total Storm Drain Storm Drain Total Verdemont Capital Project Fund Verdemont Capital Project Fund Total All Funds Total Exhibit A Category FY 2018119 Buildings 1,000,000 Parks 3,044,000 Streets 1,170,077 5,214,077 Streets 3,700,000 Traffic Control 2,727,000 6,427,000 Buildings 8,150,000 Parks 150,000 Police 5,550,000 13,850,000 Buildings 500,000 Landfill 150,000 650,000 Traffic Control 606,500 606,500 Streets 5,709,000 5,709,000 Parks 464,700 464,700 Streets 2,855,000 Traffic Control 2,855,000 Streets 4,475,000 4,475,000 Storm Drain 5,050,000 Streets 500,000 5,550,000 Parks 263,000 263,000 46,064,277 Exhibit B CITY OF SAN BERNARDINO 2018-2019 APPROPRIATION LIMITATION COMPUTATION Article X111B of the California Constitution (enacted with the passage of Proposition 4 in 1979 and modified with the passage of Proposition 111 in 1990) restricts the appropriations growth rate for cities and other local jurisdictions. The growth rate is tied to changes in the population and the change in California Per Capita Personal Income. In May 2018 the State Department of Finance notified each city of the population changes and per capita personal income factor to be used in determining appropriation limits. Effective May 1, 2018, the change in the California Per Capita Personal Income is 3.67% and the change in the County of San Bernardino's Population is 0.95%. Using the population and per capita personal income data provided by the California Department of Finance, the City's appropriation limit for Fiscal Year 2018-19 is $355,083,601. Appropriations subject to the limitation in the 2018-19 Budget total $101,500,00 which is $253,583,601 less than the computed allowable limit. t&pprRpriatlions Limits FY 2017-2018 Appropriations Limit FY 2018-2019 Adjustment Factors Percentage Change in Per Capita Personal Income Percentage Change in Population Appropriations Change Factor (3.67% x 0.95%) FY 2018-2019 Appropriations Limit (Prior Year Appropriations Limit x Appropriation Change Factor) FY 2018-2019 APPROPRIATION LIMIT `TOTAL FY 2018-2019 APPROPRIATIONS SUBJECT TO LIMITATIONS ;(OVER)IUNbERAPPROPRIATION LIMIT 339,290,105 3.67% 0.95% 1.04654865 355,083,601 355,183,601 (101,500,010) 253,583,601 Exhibit B (f) (g) Appropriation City of San Bernardino Change Appropriation Factor Limit GANN Limit Calculation 288,220,388 1.0054821 289,800,429 1.0495164 For the years 2014-2018 1.0634994 323,463,662 1.0489280 339,290,105 (b) 355,083,601 (a) Percentage (c) (d) Appropriation Beginning Change in Percentage Percentage (e) Limit Appropriation Per Capita Change in Change in Greater of Year Limit Personal Income Courcy Pol. ulation Ci:, PoL-:ulation (c) or (d) 2013-2014 2014-2015 288,220,388 -0.23% 0.78% 0.41% 0.78% 2015-2016 289,800,429 3.82% 1.09% 0.65% 1.09% 2016-2017 304,150,298 5.37% 0.93% 0.76% 0.93% 2017-2018 323,463,662 3.69% 1.16% 0.60% 1.16% 2018-2019 339,290,105 3.67°x6 0.95% 0.49% 0.95% Exhibit B (f) (g) Appropriation Ending Change Appropriation Factor Limit 288,220,388 1.0054821 289,800,429 1.0495164 304,150,298 1.0634994 323,463,662 1.0489280 339,290,105 1.04654865 355,083,601 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 1s 19 20 21 22 23 24 25 RESOLUTION NO. RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SA BERNARDINO, CALIFORNIA, ESTABLISHING THE CLASSIFICATION AN APPROVING THE JOB DESCRIPTION FOR NEIGHBORHOOD AND CUSTOME SERVICE OPERATIONS MANAGER (U), AND AMENDING THE SALAR SCHEDULE FOR FULL-TIME NON -SAFETY CLASSIFICATIONS OF THE CITY C SAN BERNARDINO FOR FISCAL YEAR 2018/19 WHEREAS, The proposed Neighborhood & Customer Service Operatio Manager (U) classification will replace the Assistant to the City Manager classification within the Office of the City Manager in the FY 2018/19 budget. WHEREAS, The Neighborhood and Customer Service Operations Manager (U will be an unclassified management position in the Management/Confidential bargaining unit, responsible for managing the City's customer relationship management system and the city-wide customer service information/call center along with the assessment, evaluation and administration of neighborhood improvement programs designed t address the needs of the community. WHEREAS, on June 21, 2017, the City of San Bernardino established a salary schedule for Full -Time Non -Safety classifications of the City. WHEREAS, the City of San Bernardino met and conferred in good faith employee groups: General Unit, represented by IUOE Local 1932, Middle Manageme represented by Teamster Local 1932, and Management/Confidential employees of San Bernardino Confidential and Management Association a 2% Cost of Livi Adjustment effective July 1, 2017. BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY SAN BERNARDINO AS FOLLOWS: 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 SECTION 1. The Full-time Non -Safety classifications, attached hereto and incorporated herein as Exhibit "A", are approved, and employees shall be paid in accordance with the salary schedule and salary range table effective July 1, 2018. SECTION 4. The classification of Neighborhood & Customer Service Operations Manager (U), Range 4547, $6,794.00-$8,258.00/month, and the joie description for said position, attached hereto as Exhibit "B", is hereby established and approved; and SECTION 5. Fiscal Year 2018-2019 budget, as proposed for adoption, includeS, sufficient funding to pay employees based on the salary schedule, salary range table, attached hereto as Exhibit "C", and includes active classifications not funded in the Fiscal Year 2018-2019 Budget. ►a 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ESTABLISHING THE CLASSIFICATION AN APPROVING THE JOB DESCRIPTION FOR NEIGHBORHOOD AND CUSTOMER SERVICE OPERATIONS MANAGER (U), AND AMENDING THE SALARY SCHEDULE FOR FULL-TIME NON -SAFETY CLASSIFICATIONS OF THE CITY O SAN BERNARDINO FOR FISCAL YEAR 2018-2019 HEREBY CERTIFY that the foregoing Resolution was duly adopted by th(I Mayor and the City Council of the City of San Bernardino, California at a joint regular meeting thereof, held on day of , 2018, by the following vote, to wit: COUNCILMEMBERS: AYES NAYES ABSTAIN ABSENT MARQUEZ BARRIOS VALDIVIA SHORETT NICKEL RICHARD MULVIHILL Georgeann Hanna, City Clerk The forgoing Resolution is hereby approved this day , 2018. Approved as to form: Gary D. Saenz, City Attorney A 3 R. Carey Davis, Mayor City of San Bernardino This Page Is Left Intentionally Blank EXHIBIT "A" I City of San Bernardino Salary Schedule for Fiscal Year (FY) 2018-2019 J CODE* BARGAINING UNIT* GEN GENERAL MM MIDDLE MANAGEMENT C CONFIDENTIAL M MANAGEMENT ELECTED ELECTED OFFICIALS ** Amended salary range reflecting 2% Cost of Living Adjustment effective 7-1-18 Salary Schedule may be modified during the City budgetary process, and/or through reorganization or reclassification. CLASS CLASSIFICATION TITLE CODE 30011 ACCOUNTANT I (FLEX) 30012 ACCOUNTANT II 20013 ACCOUNTANT III 30023 ACCOUNTING ASSISTANT 10860 ACCOUNTING DIVISION MANAGER (U) 30019 (ACCOUNTING TECHNICIAN 10508 ADMINISTRATIVE ANALYST I (FLEX) 10506 ADMINISTRATIVE ANALYST I/ASSISTANT OF ELECTIVE OFFICER (FLEX) (U) 10510 ADMINISTRATIVE ANALYST 11 10507 ADMINISTRATIVE ANALYST II/ASSISTANT OF ELECTIVE OFFICER (U) 30709 ADMINISTRATIVE ASSISTANT 10081 ADMINISTRATIVE ASSISTANT TO CITY COUNCIL (U) 10094 ADMINISTRATIVE ASSISTANT TO CITY MANAGER (U) 10534 ADMINISTRATIVE CLAIMS SPECIALIST 10709 ADMINISTRATIVE SERVICES OFFICER (U) 20457 ADMINISTRATIVE SERVICES SUPERVISOR 20332 ANIMAL CONTROL MANAGER 30111 ANIMAL CONTROL OFFICER 30119 iANIMALSHELTER ATTENDANT 20338 ANIMAL SHELTER KENNEL SUPERVISOR 20335 ANIMAL SHELTER OFFICE SUPERVISOR 10619 APPLICATIONS DEVELOPMENT MANAGER 30894 ASSESSMENT DISTRICT/REAL PROP SPECIALIST 10448 ASSESSMENT DISTRICT/REAL PROPERTY MANAGER 10644 ASSISTANT CITY MANAGER (U) 30168 ASSISTANT PLANNER (FLEX) 10216 ASSISTANT TO THE CITY MANAGER (U) 10105 ASSISTANT TO THE MAYOR II (U) 10106 ASSISTANT TO THE MAYOR III (U) 20169 ASSOCIATE PLANNER 10062 BUDGET OFFICER 30072 BUILDING INSPECTOR I (FLEX) 30073 BUILDING INSPECTOR II 30502 BUSINESS REGISTRATION INSPECTOR 30599 BUSINESS REGISTRATION REPRESENTATIVE 20263 BUSINESS REGISTRATION MANAGER 30292 CEMETERY CARETAKER 10145 CHIEF ASSISTANT CITY ATTORNEY (U) 10501 CHIEF BUILDING OFFICIAL (CBO) AND BUILDING AND SAFETY DIVISION MANAGER (U) 10398 CHIEF DEPUTY CITY CLERK (U) 10381 CITY ATTORNEY (U) 10391 CITY CLERK (U) 601 CITY COUNCIL 10370 CITY MANAGER (U) 10411 CITY TREASURER (U) 10273 CODE ENFORCEMENT DIVISION MANAGER (U) 30455 CODE ENFORCEMENT OFFICER 11 30460 CODE ENFORCEMENT OFFICER III 10135 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) COORDINATOR 30132 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM ASSISTANT 30890 COMMUNITY DEVELOPMENT TECHNICIAN 30752 COMMUNITY ENGAGEMENT SPECIALIST 10100 COMMUNITY INTERVENTION PROGRAM MANAGER (U) 30754 COMMUNITY POLICING SPECIALIST 20923 COMMUNITY RECREATION MANAGER SALARY SCHEDULE FOR FISCAL YEAR 2018/2019 AMENDED SALARY SALARY BARGAINING RANGE 0A WIC ** UNIT* 452 456 GEN 472 476 G E N 492 496 MM 402 406 GEN 600 604 M 422 426 GEN 462 466 M 462 466 M 492 496 M 492 496 M 392 396 GEN 442 446 C 422 426 C 412 416 C 612 616 M 462 466 MM 502 506 MM 402 406 GEN 362 366 GEN 422 426 MM 422 426 MM 582 586 M 452 456 GEN 512 516 M 697 701 M 472 476 GEN 572 576 M 472 476 M 522 526 M 502 506 MM 572 576 M 452 456 GEN 472 476 G E N 432 436 G E N 392 396 GEN 522 526 MM 368 372 GEN 677 681 M 583 587 M 545 549 M 702 706 ELECTED 522 626 ELECTED FLAT FLAT ELECTED ELECTED 487 491 GEN 462 466 C 382 386 GEN 422 426 GEN 412 416 GEN 592 596 M 462 466 GEN 512 516 MM EXHIBIT "A" CLASSAMENDED CODE CLASSIFICATION TITLE SALARY RANGE SALARY RANGE'* BARGAINING UNIT* 30821 COMMUNITY RECREATION PROGRAM COORDINATOR 362 366 GEN 20925 COMMUNITY RECREATION PROGRAM SUPERVISOR 462 466 MM 20504 COMMUNITY SERVICES CENTER SUPERVISOR 432 436 MM 30755 COMMUNITY SERVICES OFFICER 1 372 376 GEN 30757 COMMUNITY SERVICES OFFICER II 402 406 GEN 30571 CONSTRUCTION INSPECTOR I (FLEX) 442 446 GEN 30573 CONSTRUCTION INSPECTOR II 472 476 GEN 20424 CONSTRUCTION MANAGER 532 536 MM 30635 COORDINATOR OF VOLUNTEERS (GRANT FUNDED) 332 336 GEN 10072 COUNCIL ADMINISTRATIVE SUPERVISOR (U) 492 496 C 30604 CRIME ANALYSIS SUPPORT ASSISTANT 392 396 GEN 30603 CRIME ANALYST 462 466 GEN 30602 CRIMINAL INVESTIGATION OFFICER 407 411 GEN 30621 CUSTODIAN 352 356 GEN 30222 CUSTOMER SERVICE REPRESENTATIVE 362 366 GEN 30010 DEPARTMENTAL ACCOUNTING TECHNICIAN 382 386 GEN 10651 DEPUTY CITY ATTORNEY I (U) 562 566 C 10661 DEPUTY CITY ATTORNEY II (U) 572 576 C 10659 DEPUTY CITY ATTORNEY III (U) 592 596 C 10658 DEPUTY CITY ATTORNEY IV (U) 612 616 C 10663 DEPUTY CITY CLERK (U) 482 486 C 10732 DEPUTY DIRECTOR OF PARKS/REC/COMM SVCS (U) 602 606 M 10803 DEPUTY DIRECTOR OF PUBLIC WORKS/CITY ENGINEER (U) 629 633 M 10397 DIRECTOR OF COMMUNITY DEVELOPMENT (U) 662 666 M 10711 DIRECTOR OF FINANCE (U) 684 688 M 10665 DIRECTOR OF HUMAN RESOURCES (U) 652 656 M 10625 DIRECTOR OF INFORMATION TECHNOLOGY (U) 652 656 M 10731 DIRECTOR OF PARKS/REC/COMMUNITY SERVICES (U) 652 656 M 10753 DIRECTOR OF PUBLIC WORKS (U) 662 666 M 30831 ELECTRICIAN I (FLEX) 422 426 GEN 30841 ELECTRICIAN 11 442 446 GEN 30432 ENGINEERING ASSISTANT I (FLEX) 442 446 GEN 30436 ENGINEERING ASSISTANT III 492 496 GEN 20441 ENGINEERING ASSOCIATE 522 526 MM 30439 ENVIRONMENTAL PROJECT SPECIALIST 402 406 GEN 20024 EQUIPMENT MAINTENANCE MANAGER 502 506 MM 20025 EQUIPMENT MAINTENANCE SUPERVISOR 472 476 MM 30921 EQUIPMENT MECHANIC I (FLEX) 412 416 GEN 30902 EQUIPMENT MECHANIC 11 432 436 GEN 30943 EQUIPMENT SERVICE WORKER 392 396 GEN 30707 EXECUTIVE ASSISTANT 422 426 GEN 10982 EXECUTIVE ASSISTANT TO DIRECTOR (U) 442 446 C 10981 EXECUTIVE ASSISTANT TO THE CITY ATTORNEY (U) 502 506 C 10976 EXECUTIVE ASSISTANT TO THE CITY MANAGER (U) 492 496 C 10951 EXECUTIVE STAFF ASSISTANT TO CITY COUNCIL (U) 542 546 C 10939 FACILITIES & FLEET MAINTENANCE DIVISION MANAGER (U) 583 587 M 30623 FACILITIES MAINTENANCE MECHANIC 412 416 GEN 20092 FACILITIES MAINTENANCE SUPERVISOR 492 496 MM 10512 FINANCIAL ANALYST 502 506 M 20066 FOOD SERVICE SUPERVISOR 11 452 456 MM 30165 FORENSICS SPECIALIST I (FLEX) 422 426 GEN 30166 FORENSICS SPECIALIST II 452 456 GEN 20167 FORENSICS SPECIALIST 111 462 466 MM 10624 GIS ADMINISTRATOR 572 576 C 30516 HAZMAT TECHNICIAN 432 436 GEN 30112 HEAVY EQUIPMENT OPERATOR 432 436 GEN 10129 HOUSING DIVISION MANAGER (U) 592 596 M 10657 HUMAN RESOURCES ANALYST 502 506 C 30207 HUMAN RESOURCES TECHNICIAN 402 406 GEN 30101 HVAC MECHANIC 452 456 GEN 20994 IEMG BROADCAST ENGINEERING COORDINATOR 482 486 MM 10627 IT ANALYST I (FLEX) 482 486 C 10626 IT ANALYST 11 512 516 C 10631 IT OPERATIONS SUPERVISOR 522 526 C 30982 IW FIELD INSPECTOR 442 446 GEN 30637 LANDSCAPE INSPECTOR I (FLEX) 422 426 GEN 30636 LANDSCAPE INSPECTOR II 442 446 GEN 30311 LEAD CUSTODIAN 362 366 GEN SALARY SCHEDULE FOR FISCAL YEAR 2018/2019 EXHIBIT "A" CLASSSALARY 9 AMENDED I BARGAINING CODE (CLASSIFICATION TITLE RANGE RANGEY UNIT" 30490 LEAD MAINTENANCE WORKER 432 436 GEN 30593 LEAD PARK CONSTRUCTION & MAINTENANCE WORKER 442 446 GEN 10319 LEGAL ADMINISTRATIVE ASSISTANT (U) 462 466 C 10322 LEGAL SECRETARY I (FLEX)(U) 422 426 C 10323 LEGAL SECRETARY II (U) 442 446 C 30366 LIBRARIAN II 452 456 GEN 30384 LIBRARY ADMIN TECHNICIAN/WEBMASTER 432 436 GEN 20388 LIBRARY CIRCULATION SUPERVISOR 442 446 MM 10401 ILIBRARY DIRECTOR (U) 622 626 M 20385 LIBRARY NETWORK ADMINISTRATOR 472 476 MM 30373 LIBRARY NETWORK ASSISTANT 402 406 GEN 20387 LIBRARY PROGRAM COORDINATOR 432 436 MM 30392 LIBRARY TECHNICIAN II 392 396 GEN 30215 LITERACY PROGRAM COORDINATOR 452 456 GEN 20484 MAINTENANCE SUPERVISOR 492 496 MM 30486 MAINTENANCE WORKER I (FLEX) 362 366 GEN 30487 MAINTENANCE WORKER II 392 396 GEN 30488 MAINTENANCE WORKER III 412 416 GEN 00502 MAYOR FLAT FLAT ELECTED 10503 MAYOR'S CHIEF OF STAFF (U) 572 576 M NEIGHBORHOOD & CUSTOMER SERVICE OPERATIONS MANAGER 543 547 M 1TBD 20550 NPDES COORDINATOR 512 516 MM 10109 OFFICE ASSISTANT (U) 342 346 C 10868 OPERATIONS & MAINTENANCE DIVISION MANAGER (U) 583 587 M 30581 PARKING ENFORCEMENT OFFICER 372 376 GEN 20601 PARKS MAINTENANCE SUPERVISOR 509 513 MM 30622 PARKS MAINTENANCE WORKER II 392 396 GEN 10069 PAYROLL MANAGER 532 536 M 10068 PAYROLL TECHNICIAN 422 426 C 10713 PLANNING DIVISION MANAGER (U) 573 577 M 30481 PLUMBER 442 446 GEN 20772 POLICE DISPATCH SUPERVISOR 472 476 MM 30767 POLICE DISPATCHER I (FLEX) 412 416 GEN 30768 POLICE DISPATCHER II 432 436 GEN 30848 POLICE FLEET MAINTENANCE EXPEDITOR 382 386 GEN 30218 POLICE P&T TECHNICIAN 422 426 GEN 20765 POLICE RECORDS SUPERVISOR 432 436 MM 30219 POLICE RECORDS TECHNICIAN I (FLEX) 342 346 GEN 30220 POLICE RECORDS TECHNICIAN II 362 366 GEN 30194 POLICE TRANSCRIBER 352 356 GEN 30585 POOL MAINTENANCE COORDINATOR 408 412 GEN 20019 PRINCIPAL ACCOUNTANT 542 546 MM 10182 PRINCIPAL CIVIL ENGINEER 582 586 M 10864 PROCUREMENT/CONTRACT SUPPORT SERVICES DIVISION MANAGER (U) 590 594 M 30975 PROGRAM MANAGER RSVP 402 406 GEN 30976 PROGRAM MANAGER SCP 412 416 GEN 30948 PROPERTY & EVIDENCE TECHNICIAN II 432 436 GEN 20166 PROPERTY EVIDENCE & SUPPLY SUPERVISOR 462 466 MM 10621 PUBLIC SAFETY IT MANAGER 572 576 M 10900 PUBLIC WORKS SAFETY & TRAINING OFFICER 502 506 M 30825 RECREATION THERAPIST 442 446 GEN 10505 REGULATORY COMPLIANCE ANALYST 502 506 M 30722 SB DIRECT CALL TAKER (BILINGUAL) 422 426 GEN 30600 SENIOR BUSINESS REGISTRATION REPRESENTATIVE 402 406 GEN 30223 SENIOR CUSTOMER SERVICE REP/DISPATCHER 382 386 GEN 10222 SENIOR CUSTOMER SERVICE REPRESENTATIVE (U) 392 396 C 10653 SENIOR DEPUTY CITY ATTORNEY (U) 622 626 M 10067 SENIOR FINANCE SPECIALIST 492 496 C 10632 SENIOR GIS ANALYST 522 526 C 10656 SENIOR HUMAN RESOURCES TECHNICIAN 422 426 C 10689 SENIOR HUMAN RESOURCES/RISK ANALYST 532 536 C 10622 SENIOR IT ANALYST 542 546 C 10385 SENIOR IT TECHNICIAN 452 456 C 10513 SENIOR MANAGEMENT ANALYST 548 552 M 10527 SENIOR NETWORK ADMINISTRATOR 572 576 C 30710 SENIOR OFFICE ASSISTANT 362 366 GEN 10223 SENIOR OFFICE ASSISTANT (U) 362 366 C 20369 STREET SIGNAULIGHTING SUPERVISOR 502 506 MM SALARY SCHEDULE FOR FISCAL YEAR 2018/2019 CLASS CLASSIFICATION TITLE CODE EXHIBIT "A" AMENDED SALARY BARGAINING SALARY RANGE ** UNIT 20336 TECHNOLOGY LIBRARIAN 1482 486 10443 ENGINEER 562 566 �MM M 20437 :TRAFFIC TRAFFIC ENGINEERING ASSOCIATE '522 526 MM 20438 TRAFFIC OPERATIONS & SYSTEMS ANALYST 532 536 :MM 30447 TRAFFIC SIGNAL TECHNICIAN I (FLEX) 442 446 GEN 30448 TRAFFIC SIGNAL TECHNICIAN II 462 466 GEN 30667 TREASURY ASSISTANT 372 376 GEN 20666 !TREASURY SUPERVISOR 462 466 MM 30470 'TREE TRIMMER ASSISTANT 392 396 GEN 30483 TREE TRIMMER 1 402 406 GEN 30484 TREE TRIMMER II ;412 .416 GEN SALARY SCHEDULE FOR FISCAL YEAR 2018/2019 CLASS CLASSIFICATION TITLE CODE CLASSIFICATION SALARY AMENDED SALARY BARGAINING RANGE ** UNIT* �w are classifications that are unfunded and/or not budgeted for FY 2098/2019 10848 ADMINISTRATION DIVISION MANAGER (U) 1582 586 fiA 10092 ADMINISTRATIVE ASSISTANT TO THE MAYOR I (U) 402 406 C 10093 ADMINISTRATIVE ASSISTANT TO THE MAYOR II (U) 422 426 C 10078 ADMINISTRATIVE SERVICES MANAGER 522 526 M 20339 ANIMAL LICENSE OFFICE SUPERVISOR 422 426 MM 30271 ASSISTANT BUYER 422 426 GEN 10146 ASSISTANT CITY ATTORNEY (U) 632 636 M 10390 ASSISTANT CITY CLERK (U) 522 526 M 10104 ASSISTANT TO THE MAYOR I (U) 422 426 M 10107 ASSISTANT TO THE MAYOR IV (U) 572 576 M 10116 BUDGET OFFICER/ASSISTANT TO THE CITY MANAGER (U) 572 576 M 20250 BUILDING INSPECTION SUPERVISOR 522 526 MM 30074 BUILDING INSPECTOR III 502 506 GEN 10500 BUILDING OFFICIAL 602 606 M 20271 BUYER 452 456 MM 30640 CEMETERY SERVICES SPECIALIST 412 416 GEN 10382 CITY ATTORNEY INVESTIGATIONS SUPERVISOR (U) 542 546 C 10383 CITY ATTORNEY INVESTIGATOR (U) 512 516 C 10158 CIVIL ENGINEER P.E. 542 546 M 30450 CODE ENFORCEMENT OFFICER 1 412 416 GEN 30451 CODE ENFORCEMENT PROCESSING ASSISTANT 362 366 GEN 10113 COMMUNITY RELATIONS SUPERVISOR/ASSISTANT OF THE CITY MANAGER (U) 512 516 M 20781 COMMUNITY SERVICES OFFICER SUPERVISOR 472 476 MM 30574 CONSTRUCTION INSPECTOR III 502 506 GEN 20600 CRIME FREE PROGRAM COORDINATOR 482 486 MM 20611 CUSTODIAL MAINTENANCE SUPERVISOR 452 456 MM 10157 DEPUTY CITY ENGINEER 592 596 M 10372 DEPUTY CITY MANAGER (U) 673 677 M 10066 DEPUTY DIRECTOR OF FINANCE/BUDGET MANAGER (U) 612 616 M 10802 DEPUTY DIRECTOR/CITY PLANNER (U) 612 616 M 10400 DEPUTY LIBRARY DIRECTOR (U) 562 566 M 10126 ECONOMIC DEVELOPMENT ANALYST (U) 492 496 C 10125 ECONOMIC DEVELOPMENT DIVISION MANAGER (U) 592 596 M 30434 ENGINEERING ASSISTANT II 462 466 GEN 20444 ENVIRONMENTAL PROJECT MANAGER 482 486 MM 10978 EXECUTIVE ASSISTANT TO MAYOR (U) 492 496 C 30513 FLEET FABRICATION WELDER 432 436 GEN 20940 FLEET OPERATIONS COORDINATOR 472 476 MM 30506 FLEET PARTS STOREKEEPER 382 386 GEN 30944 FLEET PARTS TECHNICIAN 422 426 GEN 10940 FLEET SERVICES DIVISION MANAGER (U) 552 556 M 10133 GRANTS ANALYST (U) 532 536 C 10672 HUMAN RESOURCES DIVISION MANAGER (U) 582 586 M 10388 IT TECHNICIAN I (FLEX) 422 426 C 10389 IT TECHNICIAN II 442 446 C 20602 LANDSCAPE INSPECTION SUPERVISOR 502 506 MM 30932 LEAD EQUIPMENT MECHANIC 462 466 GEN 30592 LEAD PARKS MAINTENANCE WORKER 452 456 GEN 30897 LEAD STREET SIGN WORKER 412 416 GEN 30335 LIBRARIAN I (FLEX) 432 436 GEN 10412 LIBRARY ADMINISTRATIVE SUPERVISOR 502 506 M 30341 LIBRARY ASSISTANT 352 356 GEN 20384 LIBRARY BRANCH MANAGER 1 462 466 MM 20214 LIBRARY BRANCH MANAGER II 472 476 MM 30255 LIBRARY COMPUTER LAB COORDINATOR 432 436 GEN 10410 LIBRARY IT MANAGER 512 516 M 20337 LIBRARY TECHNICAL SERVICES SUPERVISOR 482 486 MM 30391 LIBRARY TECHNICIAN 1 372 376 GEN 10110 MANAGEMENT ANALYST I/ASSISTANT OF THE CITY MANAGER (FLEX) (U) 462 466 M 10112 MANAGER OF COMMUNICATIONS (U) 612 616 M 30522 MESSENGER 322 326 GEN 10115 NEIGHBORHOOD SERVICES COORDINATOR/ASSISTANT OF THE CITY MANAGER (U) 522 526 M 10635 NETWORK SPECIALIST 452 456 C 30425 NPDES INSPECTOR I (FLEX) 442 446 GEN 30426 NPDES INSPECTOR II 472 476 GEN 30711 OFFICE ASSISTANT 342 346 GEN 10640 PARKS MAINTENANCE DIVISION MANAGER (U) 552 556 M SALARY SCHEDULE FOR FISCAL YEAR 2018/2019 CLASS. SALARY AMENDED BARGAINING CODE CLASSIFICATION TITLE RANGE SALARY UNIT* s..�� ** 30611 PARKS MAINTENANCE WORKER I (FLEX) 362 366 GEN 30632 PARKS MAINTENANCE WORKER III 412 416 GEN 10641 PARKS SUPERINTENDENT (U) 542 546 M 30691 PLANNING AIDE 442 446 GEN 30680 PLANS EXAMINER I (FLEX) 472 476 GEN 30682 PLANS EXAMINER II 502 506 GEN 20331 POLICE COMMUNICATIONS MANAGER 502 506 MM 20780 POLICE P&T MANAGER 492 496 MM 20761 POLICE RECORDS MANAGER 482 486 MM 30217 POLICE TRAINING COORDINATOR 432 436 GEN 10670 PRINCIPAL LIBRARIAN 542 546 M 10243 PRINCIPAL PLANNER 572 576 M 10446 PROFESSIONAL LAND SURVEYOR PLS 538 542 M 10132 PROJECT MANAGER OF COMMUNITY DEVELOPMENT PROGRAMS (U) 542 546 M 10131 PROJECT MANAGER OF HOUSING PROGRAMS (U) 542 546 M 10639 PROJECT MANAGER/COMMUNITY SERVICES 542 546 M 30947 PROPERTY & EVIDENCE TECHNICIAN I (FLEX) 402 406 GEN 30900 PUMP MECHANIC 446 450 GEN 30770 RANGEMASTER 442 446 M 10259 RECORDS MANAGEMENT SPECIALIST (U) 452 456 C 10403 REC/COMMUNITY SERVICES DIVISION MANAGER (U) 552 556 M 30568 REPROGRAPHICS & MAIL TECHNICIAN 382 386 GEN 10690 RISK DIVISION MANAGER (U) 582 586 G 10538 SAFETY OFFICER 522 526 GEN 30721 SB DIRECT CALL TAKER 372 376 M 10511 SENIOR ADMINISTRATIVE ANALYST 532 536 GEN 30708 SENIOR ADMINISTRATIVE ASSISTANT 412 416 M 10154 SENIOR CIVIL ENGINEER 562 566 M 10181 SENIOR CIVIL ENGINEER/DIVISION MANAGER (U) 589 593 MM 20446 SENIOR CODE ENFORCEMENT OFFICER 502 506 MM 20213 SENIOR LIBRARIAN 482 486 GEN 30393 SENIOR LIBRARY TECHNICIAN 432 436 C 10636 SENIOR NETWORK SPECIALIST 482 486 GEN 30582 SENIOR PARKING ENFORCEMENT OFFICER 392 396 MM 20243 SENIOR PLANNER 532 536 MM 20245 SENIOR PLANS EXAMINER 512 516 GEN 30720 SENIOR SB DIRECT CALL TAKER 402 406 GEN 30177 SENIOR SURVEY TECHNICIAN 452 456 GEN 20483 SEWER MAINTENANCE SUPERVISOR 502 506 MM 30494 SEWER MAINTENANCE WORKER 412 416 GEN 30898 STREET SIGN WORKER 402 406 GEN 20116 (SUPERVISING ANIMAL CONTROL OFFICER 462 466 MM 20450 SUPERVISING CODE ENFORCEMENT OFFICER 522 526 MM 20614 SUPERVISING CUSTODIAN 402 406 MM 20422 SURVEY SUPERVISOR 472 476 GEN 30175 SURVEY TECHNICIAN I (FLEX) 402 406 GEN 30176 SURVEY TECHNICIAN II 432 436 MM 20990 TELECOMMUNICATIONS COORDINATOR 462 466 GEN 304':7 TIRE MAINTENANCE MECHANIC 372 376 GEN 30449 TRAFFIC SIGNAL TECHNICIAN III 482 486 MM 20485 1TREE TRIMMER SUPERVISOR/ARBORIST 502 1452 506 MM 30000 i WEED ABATEMENT COORDINATOR j 456 IGEN SALARY SCHEDULE FOR FISCAL YEAR 2018/2019 PROPOSED EXHIBIT B Class Code: M/CC Date Adopted: City of San Bernardino Signature: Director, Human Resources Bargaining Unit: Management/Confidential Class Specification NEIGHBORHOOD & CUSTOMER SERVICE OPERATIONS MANAGER (U) JOB SUMMARY Under general direction of the City Manager, manages and coordinates the city-wide customer service information/call center; performs short- and long-term planning for information/call center development, operations and performance criteria; provides professional advice to executive management on systems and processes to ensure excellent customer service to City residents; coordinate neighborhood improvement efforts to address quality of life issues, evaluate needs, facilitate community meetings, and assists in administering programs to address the needs of the community. DISTINGUISHING CHARACTERISTICS The Neighborhood & Customer Service Operations Manager (U) is a program management position within the City Manager's Office. The incumbent is responsible for ensuring customer service capacity, quality and effectiveness to meet City goals and objectives and serves as a specialized liaison between community groups, City departments and elected officials in order to effectively implement neighborhood revitalization initiatives. Assignments are broad in scope to allow for a high degree of administrative discretion in their execution. ESSENTIAL DUTIES AND RESPONSIBILITIES The duties listed below are intended only as illustrations of the various types of work that may be performed. The omission of specific statements of duties does not exclude them from the position if the work is similar, related or a logical assignment to this class. 1. Manage and coordinate the organization, staffing, and operational activities for assigned programs and operations including the City's customer relationship management system, city-wide customer service information/call center and related activities and services. 2. Provide leadership and work with staff to develop and maintain a high performance, customer service-oriented work environment that supports achieving the City's mission, strategic goals and core values. 3. Plan and evaluate the performance of assigned staff; establish performance requirements and personal development targets; monitor performance and provides coaching for performance improvement and development; take disciplinary action, up to and including termination, to address performance deficiencies, subject to management concurrence, in accordance with the City's human resources policies and procedures, Personnel Rules and labor contract provisions. 4 Oversee and participate in the development and administration of assigned program budgets; in association with the City Manager or designee, participates in the Neighborhood & Customer Service Operations Manager (U) Page 1 PROPOSED EXHIBIT B development and administration of the department budget; approve the forecast of funds needed for staffing, equipment, materials and supplies; approve expenditures and implements budgetary adjustments as appropriate and necessary. 5. Respond to and resolve the most difficult and complex customer questions in-person and by telephone; assist the general public, outside groups and agencies, and City staff by providing information related to specific program area or City operations and activities in general; refer callers to appropriate City staff, department, or outside agency for further assistance as needed. 6. Maintain records concerning operations and programs; prepare reports on operations and activities. Gather and analyze statistical data and information and evaluate options for resolution. 7. Oversee and participate in the development and administration of the neighborhood services program in collaboration/coordination with existing neighborhood organizations, interested citizens, agencies and community stakeholders. 8. Participate on a variety of committees; prepare and present clear and concise staff reports and other correspondence as appropriate and necessary. 9. Attend and participate in professional group meetings; maintain awareness of new trends and developments in the field of community and customer relations; incorporate new developments as appropriate into programs. 10. Direct, coordinate and review the work plan for assigned services and activities; assign work activities, work with executive staff to implement strategies for the achievement of City goals. 11. Perform related duties as required. GENERAL QUALIFICATIONS Knowledge of: 1. Pertinent Federal, State and local laws, codes and regulations. 2. Principles and practices of public administration. 3. Operational characteristics, services, and activities of a customer service information/call center. 4. Organization, operation, and services of the City and of outside agencies as necessary to assume assigned responsibilities. 5. Principles and practices of program development and administration. 6. Principles of supervision, training, and performance evaluation. 7. Organizational and management practices as applied to the analysis and evaluation of programs, policies, and operational needs related to area of assignment. 8. Methods and techniques of effective technical, administrative, and financial record keeping, budgeting, report preparation, and presentation. 9. Pertinent federal, state, and local laws, codes, and regulations. 10. Principles of municipal budget preparation and control. 11.Office procedures, methods, and equipment including computers and applicable software applications such as word processing, spreadsheets, and databases. 12. Principles and applications of critical thinking and analysis. 13. Principles, trends, methods, and techniques used in customer service, public relations, public information, and program education and promotion. 14. English usage, spelling, grammar, and punctuation. Neighborhood & Customer Service Operations Manager (U) Page 2 PROPOSED EXHIBIT B 15. Advanced customer service techniques, practices, and principles including methods and techniques used in a customer service call center. Ability to: 1. Plan, organize, direct, coordinate, and evaluate assigned programs, projects, events, or technical areas. 2. Supervise, direct, train, evaluate and coordinate the work of lower level staff. 3. Define issues, analyze problems, identify alternative solutions, project consequences of proposed actions and implement recommendations in support of goals. 4. Recommend and implement goals, objectives, policies, and procedures for providing assigned services. 5. Understand, interpret, and apply administrative and departmental policies and procedures as well as pertinent federal, state, and local laws, codes, and regulations. 6. Effectively represent the City to outside individuals and agencies to accomplish the goals and objectives of the unit. 7. Operate a variety of office equipment, including computers and applicable software applications. 8. Exercise tact and diplomacy in dealing with sensitive and complex issues and situations. 9. Exercise sound independent judgement within general policies. 10. Communicate clearly and concisely, both orally and in writing. 11. Establish and maintain effective working relationships with those contacted in the course of work. MINIMUM QUALIFICATIONS Education, Training and Experience: A typical way of obtaining the knowledge, skills and abilities outlined above is the required graduation from an accredited college or university with a Bachelor's degree in public administration, business administration, or a related field; and three (3) years of increasingly responsible professional level administrative, community relations and call center experience preferably within a local government environment, including one (1) year in a supervisory capacity; or an equivalent combination of training and experience. Accreditation shall be by a national or regional accreditation body that is recognized by the Secretary of the United States Department of Education. Licenses; Certificates; Special Requirements: A valid California driver's license and the ability to maintain insurability under the City's vehicle insurance policy. PHYSICAL DEMANDS The physical and mental demands described here are representative of those that must be met by an employee to successfully perform the essential functions of this class. Reasonable accommodations may be made to enable individuals with disabilities to perform the essential functions. While performing the duties of this job, the employee is regularly required to sit; talk or hear, both in person and by telephone; use hands to finger, handle and feel computers and standard Neighborhood & Customer Service Operations Manager (U.) Page 3 PROPOSED EXHIBIT B business equipment; and reach with hands and arms. The employee is frequently required to stand and walk. Specific vision abilities required by this job include close vision and the ability to adjust focus. WORK ENVIRONMENT The work environment characteristics described here are representative of those an employee encounters while performing the essential functions of this class. Reasonable accommodations may be made to enable individuals with disabilities to perform the essential functions. Employees work under typical office conditions and the noise level is usually quiet. The employee may periodically be required to work in the field, exposed to dust, noise and inclement weather. Neighborhood & Customer Service Operations Manager (U) Page 4 CA-MIGO! en 10 t' Go 00'0001 C -4:Q4 ON1:01�Ot'pMt{"m� v X°0r 01;0011Ci1`O^ I-, t�'lQ01�Q1�Q1'O NIO .O`O:O O`N ^ IMiy Hg. t . 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Ln Ln Ln L n ! to tD ' tD %0 tD lD 110 - LORD SD lD 1lD t0 I t0 tD ! t0 , tD Ln t liN 00'm c:)) --i Nim V -'Ln to:N OO M, OI* 1 NM V-ILn tp;R 0001 0,.-•1 NIM ,r!Ln toir' Cpldh 0:1.1 N:M V1Ln-tplR ODIM in In. Ln Ln ' LnAD ILD to tD to I tD tD ! 16 to I lip R 1 R r-,: i R . RIR R , R R , R 001 Co co: 00 00 00 O 00 071 OD Si 101 0101 01,01 MIM 01 l 0 01 01;01 01!01 01'01 O1!O1'01;01'01;01 01;01 01101 01;01,01101 M1M MIM M'M 01101 07 01 01,01 Ol-01 O1t01'0101 01iO1 01101 01;01 t , June 20, 2018 San Bernardino Office of the City Manager I Andrea M. Miller, City Manager Subject: Fiscal Year 2018119 Proposed Budget Transmittal Letter Honorable Mayor and Members of the City Council: In accordance with Charter section 401(f) and the San Bernardino Municipal Code, it is my pleasure to present the City of San Bernardino's Proposed Operating Budget and Capital Improvement Program (CIP) totaling $212,303,005 million for Fiscal Year 2018/19. This Proposed Budget implements the policy direction provided by the Mayor and City Council through their 2018-2019 Goals and Objectives (Resolution No. 2018- 130; adopted March 5, 2018) and serves as a financial plan for the continued improvement of the quality of life for San Bernardino's residents and businesses. The Budget is comprised of two documents: Proposed Operating Budget and the Five - Year Capital Improvement Program (CIP) for the City of San Bernardino, excluding the City's Water Department. The Operating Budget provides an overview of each operational unit's activities and programs included in the budget for the upcoming year. The Operating Budget Detail includes detailed information at the revenue and expenditure account levels. The City's comprehensive capital spending plan for the forthcoming years is presented in the Five -Year CIP. The Proposed Operating Budget, including transfers, for FY 2018/19 is $166,238,728 (this includes $126,191,821 in the General Fund and $40,046,907 in other funds that include Special Revenue, Enterprise Operations, and Internal Services). The Total Proposed Budget, which includes the Operating Budget and CIP, of $212,303,005 represents a $30 million increase over the FY 2017/18 Adopted Budget and CIP, or 16% growth. Similar to the FY 2017/18 Adopted Budget, the primary driver for the increase continues to be the Capital Improvement Program where significant investments are planned for FY 2018/19. The General Fund represents $126 million, a modest $6 million, or 5%, increase over the prior year budget. This Proposed Budget includes a projected increase in revenues of $7 million, or 6%, which includes the anticipated $1.8 million in revenue from the County of San Bernardino as a result of the Amendment to the Vehicle License Fee (VLF) Swap Agreement between the City and the County reducing the share of VLF revenues transferred to the County for fire protection that was approved by the Mayor and City Council in April 2018. The Proposed Budget includes the reduction of 25 full - 290 North D St, San Bernardino, CA 92401 1 P: 909-384-5122 1 F: 909-384-5138 1 www.SBCity.org time positions, eliminated through attrition, the elimination of positions that have been unfilled for a number of years and a limited number associated with improving operating efficiency, which reduces citywide staffing by 3% from the prior year (a reduction in General Fund staffing of 22 positions). Moderate maintenance and operation as well as utility rate adjustments and minor program enhancements are included in this budget in an effort to provide an improved level of maintenance and management of services and infrastructure to the community. These targeted increases were largely offset by the elimination of positions and reductions in other discretionary maintenance and operating costs. In light of the economic environment, the FY 2018119 Proposed Budget is built to maintain existing levels of service, fund contractual/mandated obligations, and allocate available ongoing funding on a one-time basis to maintain flexibility to face uncertain fiscal impacts. An estimated $4.9 million in one-time and ongoing costs proposed by Departments for items such as new permitting and other updated software, replacement vehicles that have exceeded the useful life, tactical equipment, and program expansions were not included in this year's revenue projections. Throughout the budget process this year, we stressed with all departments and staff involved in budget development the need to examine the allocation and prioritization of existing resources before requesting additional funding. This was a critical step, as discussed in greater detail later in this correspondence, as the City's resources are limited and are expected to increase only modestly over the next few years and the demand for programs, services and maintenance remains high. At the same time, deferred maintenance and infrastructure needs are significant. The City is unable to meet the growing deferred maintenance and infrastructure needs into the future at the current funding levels. As a result, there are 25 positions proposed for elimination. There is 1 position being transferred within existing staffing to provide greater resources to meet this need. Full-time positions of 721 continue to be below peak levels of 1319 in FY 2007/08; and while significant restructuring has occurred, we are continuing to evaluate the workload and staffing in all Departments, in particular, those that supported the Fire Department and refuse division, to right size the organization given the changes to the operation as a result of the reduction in personnel. This Proposed Budget is balanced and includes adding $798,679 to General Fund reserves for emergencies, economic downturns, or unanticipated events. Further, the City's financial modeling reflects a deficit in future fiscal years without further structural changes, and revenue growth. Strategic Planning and 2018-2019 Goals and Objectives Successful cities focus on long-term goals, embrace change and transition, and position themselves to be successful into the future. San Bernardino is positioning itself among the successful cities throughout the state by engaging in meaningful discussions about the City's opportunities, setting a strong foundation of effective systems and policies, identifying long-term goals, and implementing change. Over the last several months, the Mayor, City Council and City Manager, with the guidance and support of an accomplished leader, have engaged in Strategic Planning sessions. The result is a shared vision of the future, a clear statement by the Mayor City of San Bernardino Page 2 of 21 and City Council about the job of the City and the paradigm under which we work and the expectations. The vision, job and operating paradigm adopted by the Mayor and City Council (Resolution No. 2018-130; adopted March 5, 2018) include: Vision WE ENVISION a world class city which capitalizes on its location, the diversity of its people and its economy to create a broad range of choices for its residents in how they live, work, and play. WE ENVISION a thriving city possessing a sustainable system of high- quality education, community health, public safety, housing, retail, recreation, arts and culture and infrastructure. WE ENVISION a vibrant economy with a skilled workforce that attracts employers who seek the unique opportunities the city has to offer and provide jobs that create citywide prosperity. WE ENVISION a model community which is governed in an open and ethical manner, where all sectors work collaboratively to reach shared goals. WE ENVISION a city that is recognized as the county's business and government center and a home for those seeking a sense of community and the best life has to offer. Job Statement The job of the City of San Bernardino is to create, maintain, and grow economic value in the community. Operating Paradigm The City of San Bernardino is a municipal corporation. The City Council functions as the elected Board of Directors of the corporation, the Mayor as the Chair of the Board, and the City Manager as the appointed CEO. The City needs revenue to pay for services and amenities to maintain the built environment. Income for the corporation comes directly or indirectly from anyone spending money in the City. They are investing in San Bernardino. Each of those investors has a choice whether to spend their money in City of San Bernardino Page 3 of 21 the City of San Bernardino or another jurisdiction. Therefore, the City is in competition for that investment. The level of service, the amenities, the breadth of choices of lifestyle and the quality of life help to determine where investors will choose to spend their money. Every single interaction we have is an opportunity to win or lose that investment. The 2018/19 Goals and Objectives that align with the vision were also adopted by the Mayor and City Council. These Goals and Objectives build upon the significant work that was undertaken in 2015 to engage the community in discussions about their vision for San Bernardino, service and infrastructure needs, and their expectations of local government, which resulted in 7 Priority Goals. More than 500 community members, neighborhood advisory groups, representative of organizations such as the school district and community college district, non -profits, and faith -based organizations participated in these meetings, and the Priority Goals that were established through these discussions served as the foundation and evolved, and the 2018/19 Goals and Objectives reflect the ideas, needs and perspectives obtained through this earlier work. The 2018/19 Goals and Objectives follow: San Bernardino Mayor and City Council 2098/99 Goals & Objectives 1. Implement the City Vision a. Ensure that all staff members are aware of the direction provided by the Mayor and City Council through the City Vision, Goals and Objectives, Paradigm and Job Statement. b. Develop programs and operating systems to publicize, promote, support and implement the guidance provided by the Mayor and Citv Council. 2. Provide for the Safetv of City _Resif ents and Businesses a. Utilize City programs to reduce crime and ensure that neighborhoods and business areas are safe. b. Recruit and retain the highest caliber public safety personnel. c. Maintain or improve emergency response times. 3. Create. Maintain and Grow Jobs and Economic Value in the City a. Provide clear policy direction, predictable decision-making, and efficient processing and program delivery to inspire confidence in investors and trust in the community. b. Emphasize business retention and expansion. City of San Bernardino Page 4 of 21 c. Utilize City resources to support the local economy and maximize job creation. 4. Ensure Development of a Well -Planned. Balanced. and Sustainable glu a. Provide infrastructure designed for long term economic growth. b. Support a wide range of housing types and levels of affordability c. Ensure that the City is clean and attractive. 5. Improve City Government Operations a. Implement the City Charter by maintaining clear roles and lines of authority. b. Develop and maintain consistent messaging. c. Ensure that employees know that they and their work are valued. d. Encourage collaboration by breaking down silos within the organization. e. Evaluate operations and performance through investment in the resources, technology and tools needed to continually improve organizational efficiency and effectiveness. s. Operate in a Fiscally Responsible and Business -Like Manner a. Continue to implement the Plan of Adjustment. b. Develop a long-term budget plan and assessment of the City's built environment which brings City operations into both fiscal and programmatic balance, including funding of reserves for infrastructure and equipment maintenance and replacement. c. Invest City resources in ways which create more ongoing revenue to reinvest in maintaining and improving services. 7. Pursue Citv Goa -is and Obiectives by -Wo kinpQther Aaencies a. Work with Federal, State and regional governments and organizations to ensure San Bernardino receives its fair share of resources. b. Maintain close working relationships with the county, tribes and other governmental agencies. The vision, job statement, operating paradigm and 2018/19 Goals and Objectives are being shared throughout the City organization, in group and individual meetings with employees, in the employee handbook and new hire materials, included on the employee intranet, and published in City correspondence and agenda reports. Adherence to the expectations is now being evaluated as part of the annual performance appraisal process. The Proposed FY 2018/19 Budget reflects the Goals and Objectives adopted by the Mayor and City Council, and program and services are being evaluated and analyzed in relation to the Goals and Objectives and adherence reflected as part of the agenda preparation process. We are working, and will continue to do so, to change the culture of the City organization to reflect the values and City of San Bernardino Page 5 of 21 expectations adopted by the Mayor and City Council and ensure that the City's limited resources are deployed strategically to achieve the expected outcomes. Economic Outlook As we focus on tomorrow, we are mindful of where we have been and how far we have come. Over the last several years, the City of San Bernardino has seen many changes. Filing for bankruptcy protection in 2012 provided the opportunity for the City to restructure debt and pension programs to reduce costs and reorganize the operating structure including annexing into the County Fire Protection District and franchising refuse service. One of the important outcomes of the bankruptcy was the development of the 20 -Year Financial Model which now serves as a backbone of the City's financial planning process. This planning document provides the framework to maintain a structurally balanced budget by requiring financial discipline in making policy and service level recommendations. Key components of the model include planning for ongoing costs, analysis of future financial impacts of decisions made today as well as the reserve that allows us to deal with unexpected events, emergencies and economic downturns. The 20 -Year Financial Model allows the City to take a balanced approach, evaluate decisions in a long-term fiscal context and plan ahead. Much remains to be done, and we are continually evaluating opportunities to reduce costs, increase efficiency and effectiveness and maximize the use of the City's limited resources while at the same time working to build, broaden and diversify the City's revenues. Like other cities in California and throughout the Nation, San Bernardino saw significant drops in retail sales and property taxes, increased unemployment rates, and a cessation of new construction during the Great Recession. As the Nation slowly recovered, San Bernardino also slowly began its recovery beginning in about 2014. FY 2016/17 was the first year that sales tax and property tax exceeded the pre -recession peak in FY 2008/09. Put another way, it has taken 8 years to recover what was lost in the recession. During that same time utility, contract costs and other fixed overhead costs continued to rise. Last year, the City recognized that the recession had ended; jobs were growing, unemployment was increasing, wages were on the rise, and the economy was showing positive growth. In San Bernardino, the unemployment rate decreased from 12.3% in 2013 to 5.1% in March 2018. It is expected that for the next five years, the City will see similar or lower rates of unemployment. Statistically, the City is seeing year -over -year employment growth. Over the last 5 years, employment generated by companies in San Bernardino increased by 9,500 jobs from 71,500 in 2013 to 81,000 in 2018. The average payroll for businesses in the City and median household income increased slightly and are expected to continue to experience modest growth. Looking forward, our economic development strategy will focus on specific target industries where there is a nexus between the City's assets and opportunities for strong future growth. Tremendous efforts are underway to modernize the City's Development Code and Municipal Code with a solid foundation and high degree of flexibility. A hallmark of a world class community is a world class education system, and City of San Bernardino Page 6 of 21 partnerships with our local schools will help to develop employees for these new and expanded industries. At the same time, the Proposed Budget aims to make key strategic investments with the limited funding currently available through things like improved maintenance, infrastructure investment, workforce development and technology, building those assets that will prove to be the most profitable in the community we are building and the investment we are seeking. Creating economic success today and into the future requires that we focus on the core elements of a world-class community such as our streets, sidewalks, parks and other public amenities and building a full spectrum of housing options that include amenities, public gathering areas, highly designed landscape and architectural aesthetics and walkable, pedestrian - friendly communities with nearby dining, retail and service establishments. These are and will continue to be the key to attracting the types of jobs and employment opportunities desired. San Bernardino is beginning to experience positive economic growth. We cannot anticipate however that growth will solve the City's fiscal challenges. Fiscal restraint and a continuing commitment to identifying and implementing ways to operate more efficiently, provide programs and services in non-traditional manners, leverage the resources that are available, eliminate duplicative services, and develop partnerships with outside agencies and the private sector are critical as we transition into an era of modest economic growth and equally robust operating cost increases coupled with the significant costs of deferred maintenance and the need for infrastructure investment. It is important that San Bernardino not balance its budget using one-time growth and development revenues which are not sustainable for ongoing costs like personnel. Maintaining a conservative approach to a balanced budget based on sustainable revenues is fundamental. Continued economic development and growth is also critical to the future of San Bernardino. As a City that annexed into the Fire Protection District, San Bernardino receives less property tax than neighboring cities. As a result, economic development will be of primary importance to the City in providing excellent public services and facilities. As the City experiences increased interest by developers and investors and opportunities to develop vacant and underutilized property emerge, it is critical that decisions are made strategically and we work to ensure that each project contributes more revenue to the overall City than it consumes in services and costs. These strategies are consistent with the Goals and Objectives adopted by the Mayor and City Council to Improve City Government Operations, Operate in a Fiscally Responsible and Business -Like Manner, Ensure Development of a Well -Planned, Balanced, and Sustainable City, and Pursue City Goals and Objectives by Working with Other Agencies. Budget Development and Policy Guidelines The development of the Annual Budget, which includes the Proposed Operating Budget and Capital Improvement Plan (CIP), begins in December of each year. The process City of San Bernardino Page 7 of 21 begins with the dissemination of the budget preparation guidelines, including the policies and procedures to ensure that the preparation of the budget conforms to fiscal policies and guidelines established by the Mayor and City Council. Following the distribution of the budget development guidelines, a budget "kick-off' meeting is held with Department Directors and other key City staff members to review the economic climate and the budget development guidelines. Subsequent meetings focus on the Goals and Objectives adopted by the Mayor and City Council. Each year, staff is tasked with reviewing the operations, programs and service in the context of the Goals and Objectives. Additionally, justifications and explanations are required for the following: a Staffing level changes Purchase of capital equipment ■ Contractual professional services ■ Travel and conferences. Before Department budget requests are submitted to the City Manager for review, the Finance Department reviews and analyzes the information and completes a comparative analysis of historical and current expenditure levels. The City Manager and the Finance Department staff then hold meetings with each Department to discuss the budget requests and obtain additional information to assist in the assessment of the requests. Requests are evaluated in the context of the larger City budget and the adopted Goals and Objectives and then presented to the Mayor and City Council for consideration at a series of public meetings. Thereafter, a Public Hearing is held, and the Proposed Budget is presented for adoption. All appropriations lapse at the end of the fiscal year. Outstanding encumbrance balances at fiscal year-end require re -approval by the Mayor and City Council early into the new fiscal year. Budget reports are presented to the Mayor and City Council and the public on a regular basis; however the Mayor and City Council may amend the budget at any time during the fiscal year. Budget reports include appropriation adjustments and revised revenue projections as needed. The following criteria (in no priority order) are used to evaluate future funding opportunities generated from budget savings. ■ Fund Balance Reserve - Establish a prudent General Fund balance reserve level of 20% of annual appropriations. ■ Equipment Replacement -- Establish and maintain adequate reserves to replace vehicles and equipment when they become obsolete. ■ Infrastructure - Provide the Mayor and City Council with a minimum of 5% of annual General Fund appropriations to be applied to discretionary infrastructure projects as defined in the Five -Year Capital Improvement Program. ■ Investment in Productivity Enhancing Equipment (Software, Tools, etc.) - Invest in new technology to promote maximum efficiency. City of San Bernardino Page 8 of 21 ■ Enhance Neighborhood and Commercial Programs - Invest in the general appearance of the City's neighborhoods and commercial areas. ■ Community Based Recreational and Cultural Services - Provide increased funding for recreational and cultural services that promote inclusiveness and strong sense of community. ■ Fully Fund Liabilities - Ensure sound fiscal health. Liabilities, such as accrued leave balances, must be fully funded. Budget Context and Significant Impacts The City's Proposed Budget is developed based on review of revenue and expenditure trends and projections. Within the policy framework set forth in the Charter, San Bernardino Municipal Code, Mayor and City Council policy and economic climate, this Proposed Budget maintains and strives to improve service levels and invest in strategic policy priorities and projects adopted by the Mayor and City Council. This Budget strives to have a long-term focus and, it is with that in mind, that the context and significant impacts addressed below are provided to add to a more robust conversation and long- term focus of the work that will need to continue to stabilize areas in our budget that require solutions and increase revenues. Key economic indicators are showing patterns that directly impact our budget projections. Below are additional topics that were considered when deliberating on this Proposed Budget and considering resource investment trade-offs against each other. Ca/PERS — The California State Public Employees Retirement System (CalPERS), the agency that manages the City's pension benefits, has taken steps to de -risk the system. There is no greater single factor of the City's budget impacting costs that we do not have policy control over, than retirement costs. In most cases, the City can control cost escalation by local policy actions to contain them. In this case, the management of this pension system is by a different board charged with managing the total fund, ensuring that CaIPERS members receive the vested pension benefit, and issuing actions that require participating agencies' compliance. After two consecutive years of virtually no return on investments (upon which benefit payments depend), the FY 2017/18 Adopted Budget included a significant increase in San Bernardino's cost for pensions totaling an additional $5 million with further increases scheduled over 20 years to make up for the plan's unfunded status. Soon after, the CalPERS Board implemented a reduction in the assumed rate of return on investments from 7.5% annually to 7%. This is projected to have an additional impact on the annual unfunded liability payment of $4 million in FY 2018/19 with further increases scheduled over 20 years. Combined, this year's proposed budget assumes another $9 million more, or approximately $14 million over the two fiscal years as compared to payments made in FY 2016/17. To simplify, in order to fund these increased mandated costs, the City is required to generate approximately $9 million of new revenue this year to support this benefit. With CaIPERS' long-term projections, this is equivalent to an additional investment of at least $400 million over the next 20 years. City of San Bernardino Page 9 of 21 CaIPERS is considerably underfunded. Further significant reforms to the system will be required to stabilize it in the short- and long-term. California public agencies that are CalPERS members will face additional corrections; however, given our the 20 -Year Financial Modeling and fiscal focus, which requires that we begin to plan for the inevitable fiscal impact and understand the fiscal conditions that result from absorbing additional costs, implemented as part of the Bankruptcy process, we have the opportunity to understand the significant constraint on operating budgets in future years, prepare, and work to manage services and resources in the long term. Unfunded Pension — This Proposed FY 2018/19 Budget projects the City's Unfunded Liability for pension costs at $348 million ($245 million Public Safety and $103 million Miscellaneous). This is up $68 million from last year due to poor investment returns. Additionally, the change in the discount rate lowers the project funded status of City's pension plans from the prior year's projection. The CalPERS actions discussed above are requiring that the City address the Unfunded Liability over time. For FY 2018/19, the pension Unfunded Liability payment totals approximately $20 million. This climbs to $40 million in 10 years. The cost is roughly split 70%/30% between public safety and miscellaneous employees, despite a much smaller number of safety employees. The CalPERS Plan for the City is currently 70% funded and projected to be nearly fully funded in 20 years. Unfunded Infrastructure/Deferred Maintenance — In the face of rising personnel cost challenges and increased demand for service, the City also faces continued challenges with unfunded or underfunded infrastructure and deferred maintenance. Infrastructure is aging across the City and maintenance has been deferred on most systems for more than 20 years. Especially troubling is that deterioration rates accelerate as the systems age. A list and assessment of unfunded projects based on the information available at the time of this correspondence is provided as part the Overview of the Capital Improvement Plan (CIP). As alarming as this issue may sound, infrastructure maintenance and replacement is a national issue and has been discussed significantly at a state and federal level. The City of San Bernardino's infrastructure is significantly outdated requiring an investment conservatively estimated at $9.7 million each year simply to preserve the current position and not fall further behind. The current backlog of deferred maintenance is projected conservatively at $182.2 million. This figure does not include the capital replacement costs related to buildings, equipment and other assets which have exceeded the useful lifespan and require replacement. Employee Attraction and Retention — As a service delivery organization, the majority of the operating expenditures are the salaries and benefits costs for our employees. Our ability to achieve the Mayor and City Council's Goals and Objectives, improve service delivery, address infrastructure and deferred maintenance challenges, and build a safer, more desirable community positioned for investment is directly related to our ability to attract and retain a capable, talented workforce. The City has focused on managing compensation costs and will continue this effort to ensure our financial sustainability over the long term while working to provide sustainable and competitive compensation. City of San Bernardino Page 10 of 21 Funding Challenges — The Proposed FY 2018/19 General Fund Budget initially reflected a revenue gap of $5 million; through the budget process and earlier discussions with the Mayor and City Council about potential opportunities, the City staff was able to identify operational changes to reduce costs including contracting for additional maintenance services rather than filling vacant positions; reducing costs for professional/contractual services by reprioritizing projects and planning to complete projects internally; and reallocating costs to other funding sources; and restructuring operations. Additionally, there was an increase in estimated revenues including the addition of $1.8 million in revenue from the County as a result of the Amendment to the VLF Swap Agreement reducing the share of VLF revenues transferred to the County for fire protection. The goal was to ensure costs were contained to the extent possible to allow room for the Mayor and City Council and the staff to consider using the excess funds towards the emerging gap in funding for infrastructure and other priorities. We will continue to prioritize operating and capital needs as we move forward to properly sequence the needs to available funding. Within these priorities, we will need to make key decisions on a number of projects programs and services that will have lasting impact. Based on the Financial Model, in the coming year, a deficit, which we were able to close, was initially projected based on the anticipated increases in pension costs and unfunded liabilities as well as increased operating costs. While we were able to close this gap in this year, the modeling anticipates this gap will grow to nearly $4.3 million in FY 2019/20 and to over $7 million in FY 2022/23. With an average deficit of $6 million per year, the City's current reserves of about $30 million would be depleted in 5 years, or by FY 2023/24. Further exacerbating the City's financial position, the CIP is currently proposed at $46 million; however, based on updated estimates and the desire to meet minimum standards, the emergent gap in necessary resources to address the backlog of deferred maintenance is conservatively estimated at $182.2 million. To simply preserve the current condition of the City's infrastructure and not fall further behind, the City will need to invest $9.7 million (conservative estimate) each year. As addressed previously, these figures do not include the capital replacement costs related to buildings, equipment and other assets which have exceeded the useful lifespan and require replacement. We are currently assessing the City's capital investment and determining replacement costs for future discussions. Strategies to address the gap and position the City to meet the ongoing operational needs and address the long-standing deferred maintenance and capital replacement will need to be developed over the next year. We are continuing to assess our resources and delivery of services. Programs such as animal control shelter and field service, fleet maintenance, print shop, graffiti abatement, payroll processing, library service and other programs will continue to be explored in the context of the Goals and Objectives and legal requirements, and opportunities to reduce costs presented for consideration by policy makers. Other opportunities such as consolidating functional City of San Bernardino Page 11 of 21 areas, eliminating duplicative services, and spreading administrative and overhead costs will also be explored in the context of the Charter and Municipal Code and opportunities presented for consideration. While the FY 2018/19 Proposed Budget reflects the longer-term goals of the Mayor and City Council, it highlights the need to continue to become more efficient in our service delivery and build a stronger, more diversified revenue base. FY 2018/19 Proposed Operating Bud et Highlights The FY 2018/19 Proposed Operating Budget totals $166 million and includes all City operations and project expenditures as well as transfers. Citywide budgeted expenditures are funded from multiple sources that include general taxes and revenues (the General Fund), restricted enterprise funds, restricted special revenue funds such as Housing and Gas Tax, and grant funding which include transportation related grants. Restricted funds comprise $22 million of the budget. The total City budget, including the CIP, is up 16% over FY 2017/18 primarily due to new and planned capital projects as well as increases in personnel costs. Citywide operations, which total $166 million are up 5% due primarily to increases in costs for employee pension and compensation costs. The total CIP budget is up $23 million, or twice that of the prior year. It is important to note that much of this increase was already planned in the FY 2017/18 Budget and reflects funding for further phases of the planned projects. The City's General Fund, which accounts for 76% of the citywide budget, has proposed expenditures of $126 million. FY 201.8119_Pro�)osed Budget There are three key elements to the City's operating budget and CIP that provide the financial picture of the City for both the short- and long-term: revenues, expenditures and reserves. The following sections discuss the highlights, key assumptions and changes included in this Proposed Budget for each of these elements. It is important to note these elements are budgeted into specific funds, such as the Gas Tax Fund, primarily to ensure that revenues restricted to specific purposes are spent for those purposes. City Revenues and Resources The City relies on many sources of revenues to fund services to the community at a stable and sustainable level. The largest revenue categories are taxes and service fees. The chart below reflects the estimated FY 2018/19 revenues by type. City of San Bernardino Page 12 of 21 FY 2018-19 Citywide Revenues Total $168,814,699 LY. Charges for services Fines and forfeitures Franchise Tax Impact fees Intergovernmental Licenses & permits Measure Z Sales Tax Miscellaneous Other Taxes Property Taxes Sales and Use Tax Transfers in Use of Money and Property Utility Users Tax Total Citywide Expenditures City of San Bernardino Citywide Revenues Charges for services Fines and forfeitures Franchise Tax Impact fees r Intergovernmental Investment income ■ Licenses & permits ■ Measure ZSales Tax ■ Miscellaneous ■ Other Taxes ■ Property Taxes Property Taxes in Lieu of Sales Tax Sales and Use Tax Taxes Transfers in Use of Money and Property Utility Users Tax 2016/17 Actual Amount 2017/18 Projected Budget FY 2018/19 Proposed Budget 24,475,868 20,700,000 19,852,569 2,360,243 2,100,000 1,995,000 10,407,926 9,000,000 9,915,000 2,690,413 2,500,000 - 36,433,638 19,500,000 18,853,922 10,645,486 11,000,000 10,105,000 8,559,046 8,400,000 8,600,000 8,024,491 8,500,000 9,962,208 8,292,312 7,500,000 8,521,926 12,983,755 15,000,000 16,399,074 33,959,397 35,300,000 36,750,000 7,411,103 1,000,000 1,300,000 1,360,701 2,500,000 1,310,000 23,591,923 25,000,000 25,250,000 191,196, 302 168,000,000 168,814,699 Taxes Taxes, imposed by a government for the purpose of raising revenue to support governmental activities, are distinctly different from fees in that a tax does not need to be levied in proportion to the specific benefit received by a person or property. City of San Bernardino Page 13 of 21 Therefore, almost all of the City's tax revenues are in the General Fund, the primary general purpose fund of the City. Taxes account for 67% of the total revenues in the General Fund, supporting many of the most visible and essential City services such as police, road maintenance, libraries and parks maintenance. The one major tax revenue accounted for in a separate fund is the Gas Tax, which is levied and distributed by the State. Gas Tax funds must be spent on maintenance and capital projects related to public streets and highways. The revenue projections for the top tax revenues in FY 2018/19 are included below. Taxes as a Percentage of Citywide Revenues 40,000,000 25% 35,000,000 22% 20% 30,000,000 25,000,000 r 15% 15% 20,000,000 15,000,000 - ' 9% 10'� 10,000,000,. 5,000,000 4%5% 5% 2% 101 0% day �ay� Rc aca4i �a45e�5 ��ayJc Property tax revenue has continued to experience strong growth. The increased revenue is due to property sales and new construction in both the residential and commercial real estate markets. San Bernardino home sales prices have increased with an average sale price of $251,750. Revenues from the residential sector increased 5.7% in FY 2017/18 while the commercial/industrial sector experienced 5.2% growth. As a result of the annexation of the City into the County Fire Protection District, the County retains the Ad Valorem portion of the property tax, which is used to fund fire protection services in the City, and the City retains a portion of the VLF. This City benefits from this growth as it impacts both the Ad Valorem tax and the VLF. Sales tax continues to provide stable returns, projected to increase modestly by 4% over the prior year. Transient occupancy tax (TOT) has shown significant growth over recent years, coming in above estimates for FY 2017/18 and anticipated to grow by 4% in FY 2018/19. City of San Bernardino Page 14 of 21 Utility Users tax (UUT) revenue, generated from the sale of electricity, telecom services, and the sale of gas, is forecasted to grow moderately in the FY 2018119 Budget. The forecast is driven by the increase in energy efficiency improvements. Measure Z revenues are projected to grow by only 2% because the State Board of Equalization, which administers the sales tax program, identified minor miscalculations that are being corrected in FY 2018/19. Gas tax, levied as a flat rate per gallon sold, is projected to increase substantially in FY 2018119 based on a full year of receipts since the State's new gas tax increases became effective. Service Fees Service fees represent 3.5% of the City's General Fund. A diverse set of fees are charged to recover all or a portion of the City's costs for providing a service or access to public property, or for mitigating the impacts of the fee payer's activities on the community. Intended for cost recovery, a fee may not exceed the estimated reasonable cost of providing the service or facility for which the fee is charged. Because of this basis and the legal restrictions related to the expenditure of many of the fees, many of the City's fees are accounted for in separate funds. Development -Related Fees include all development -related fees (e.g. plan check fees, inspection fees and permit application fees) and related expenditures. Development - related fee revenues are highly volatile and, as large development projects take many years to complete, expenditures related to specific fees can often occur in fiscal years later than the one in which the revenue was collected. Development Impact Fees are imposed to mitigate the impact of a development on the community. Impact fees have strict requirements, set by state government code, that require fees to be roughly proportional to the impacts of the project and imposed for purposes related to the impacts of the project. Therefore, each of these fees is accounted for separately in its own fund. The City collected $3 million in revenue from these fees in FY 2017118. Based on year-to-date figures and approved projects, we estimate collecting a similar amount in FY 2018/19. Other Revenue Sources The remaining revenue sources are varied including franchises, rents, fines, licenses and interest income. There are also one-time revenues in this category such as bond proceeds, federal and state grants and sale of property. Highlights of other revenue sources are discussed below. Debt Financing -- Debt financing is used as a tool to maintain long-term financial stability by paying for certain expenditures over time. Debt financing is a tool for managing cash flow when large, one-time outlays are required, generally for large infrastructure projects. The City currently carries limited General Fund debt for pension obligations, the City yard as well as small residual balances for equipment. City of San Bernardino Page 15 of 21 Sale of Property — One-time in nature, proceeds from the sale of property go to the fund that owned or purchased the property. Proposed Expenditures by Department and Type City expenditures fall into three broad categories: operating, projects and equipment, and debt service. Operating expenditures make up most of the City's expenditures. FY 2018-19 Cit«ride Expenditures Total $166,238,728 1l City of San Bernardino f'`iF�narirJn Cvr�nnrli4rrrnc w M&O / Contractual ■ Benefits Credit/billables ■ Debt Service Internal Service Charges Salaries Transfers Out 2016/17 2017/18 FY 2018/19 Actual Projected Proposed Amount Budget Budget Salaries 55,974,595 58,000,000 63,821,563 Benefits 21,650,233 31,000,000 35,301,323 M&O / Contractual 103,190,871 70,000,000 50,518,006 Capital Outlay 478,075 - - Credit/billable (77,475) (500,000) (2,231,249) Debt Service 12,937,586 3,000,000 3,166,870 Internal Service Charges 11,783,688 19,000,000 14,362,215 Transfers Out 7,411,103 1,000,000 1,300,000 Total City-wide Expenditures 213,348,675 181,500,000 166,238,728 City of San Bernardino Page 16 of 21 The City departments are becoming more integrated and are working more collaboratively to deliver services and achieve the goals, objectives and performance and service standards established by the Mayor and City Council, and this more collaborative, service-oriented .culture will continue to be developed and refined in the next year. The City is organized into 12 operating departments (including General Government which represents a budgetary mechanism to account for those costs that are not directly applicable to any one department) and the legislative offices of the Mayor and City Council. The table below summarizes the changes in the budget for each department. City of San Bernardino General Fund Summary Department Analysis FY 2017-18 FY 2017-18 Overall, the Proposed Operating Budget increased by 5% across all funds. The most significant change is related to pension cost increases as well as changes in employee base compensation related to negotiated salary increases which impacted all City departments. These costs were funded, in large part, through the elimination of the 25 positions that had been vacant for some time or through attrition. Additional highlights, by department, include: • General Government — the decrease is due to the redistribution of costs formerly in this departmental budget to the City department with primary responsibility for the contract or expenditure. This is intended to promote accountability and management of the functions. City of San Bernardino Page 17 of 21 FY 2017-18 Budget Projected Budget_ Proposed Budget Mayor 740,859 731,635 681,420 City Council 884,104 857,498 951,736 City Clerk 927,464 934,279 897,554 City Attorney 3,272,903 3,410,146 3,128,333 General Government 10,817,715 9,686,137 7,213,532 City Manager 2,742,985 2,656,438 3,266,754 Human Resource 1,069,888 1,010,569 1,080,077 Finance 4,116,262 3,830,143 3,719,035 Economic & Housing Development 1,419,461 1,124,146 1,022,563 Community Development 3,902,143 3,690,081 3,760,899 Police 75,750,496 72,756,530 81,101,386 Parks Recreation & Community 7,516,176 7,451,306 8,218,566 Public Works 8,701,907 8,433,347 9,304,091 Library 1,657,911 1,646,818 1,845,876 ;penses Total123,520,272 118,219,073 126,191,821 Overall, the Proposed Operating Budget increased by 5% across all funds. The most significant change is related to pension cost increases as well as changes in employee base compensation related to negotiated salary increases which impacted all City departments. These costs were funded, in large part, through the elimination of the 25 positions that had been vacant for some time or through attrition. Additional highlights, by department, include: • General Government — the decrease is due to the redistribution of costs formerly in this departmental budget to the City department with primary responsibility for the contract or expenditure. This is intended to promote accountability and management of the functions. City of San Bernardino Page 17 of 21 • Legislative Offices — the budgets related to the office of the Mayor and City Council have been consolidated to more appropriately reflect the legislative, policy making function of the City. Overall, the costs in this department have remained relatively stable and reflect pension cost increases and negotiated salary adjustments consistent with the operating departments. • City Clerk — reflects the elimination of one position through attrition. The increase is attributable to the November election. • City Attorney — the decrease reflects the reduction in positions. During the Proposed Budget development process, there had been discussions with the City Attorney related to the Organizational Assessment of the City Attorney's Office requested by the City Attorney and completed by Management Partners in May 2018. Initially, these discussions focused on the elimination of three positions in the City Attorney's Office that had been vacant since FY 2015/16 including the City Attorney Investigations Supervisor, Administrative Analyst I, and Office Assistant positions. Thereafter, two Deputy City Attorney positions became vacant. During the presentation of the assessment findings, the City Attorney suggested the intent was to begin transitioning the Department based on the recommendations in the Assessment and planned to engage an experienced municipal attorney from an outside firm on an interim basis of one-year with evaluation in subsequent years to modernize the office and expand the City prosecutor program through a contract with an outside law firm. Due to funding constraints, it was agreed the two additional positions would be eliminated and the funding allocated to contract services, with the expectation the modernization would result in a more cost effective approach to the provision of legal services. This was incorporated into the FY 2018/19 Proposed Budget and the expenditure levels reflect this change. Since then, the City Attorney has presented to the Mayor and City Council the City Attorney's Action Plan dated May 1, 2018, which reflects an implementation timeline into 2020. o The FY 2018/19 Proposed Budget for the City Attorney's Office as proposed is $3,128,333 and includes $1,327,235 in salary and benefit costs and $1,343,565 in maintenance and operations ($250,000 for the contract attorney responsible for modernization and $100,000 for the City Prosecutor services). o Given the changes to CaIPERS and negotiated salary adjustments, if the two vacant Deputy City Attorney positions are added and the contract attorney services (modernization and prosecution) are eliminated, the total FY 2018/19 Proposed Budget for the City Attorney's Office would decrease by $87,211, from $3,128,333 to $3,041,122. o If all five positions (3 extended vacancies and 2 recently vacated positions) are added and the contract attorney services (modernization City of San Bernardino Page 18 of 21 and prosecution) are eliminated, the total FY 2018/19 Proposed Budget for the City Attorney's Office would increase by $153,538, from $3,128,333 to $3,281,871. During the study session meetings, following the discussion related to the City Attorney's Office proposed budget, the Mayor and City Council requested that the City Manager issue a Request for Proposals for Municipal Services from qualified law firms. In May 2018, letters were issued to firms and the request was posted on the City's website. Proposals are anticipated and will be explored with the Mayor and City Council. Direction provided following the review and analysis of the proposals may positively affect the proposed budget and result in an increased contribution to the reserves for economic uncertainty, emergencies or unanticipated events. • City Manager — as noted above, the City Manager was on the receiving end of some of the costs redistributed from General Government. This was primarily related to the costs associated with the Violence Intervention Program approved by the Mayor and City Council in 2017. This department is also responsible for the recently approved contract for communications and public relations services. The costs related to these contract services are funded partially through the reallocation of funds budgeted for other outreach and marketing efforts. • Human Resources — the decrease is primarily due to anticipated savings related to the excess insurance and property insurance costs. • Finance Department — the decrease is due to a reduction in the professional services line item for management of the annual audit requirement and the transfer of one position to the Public Works Department. Economic Development and Housing — the major change in this activity is related to improved maintenance of City, Housing and Successor Agency owned properties. • Community Development — the increases are related to costs associated with the Downtown parking study and specific plan, environmental review of the anticipated Carousel Mall development and implementation of the new cannabis ordinance, Verdemont specific plan, and public outreach related to unreinforced masonry code updates as well as additional funding for inspection services to provide greater customer service. The Proposed Budget continues funding the archival of construction plans an, FEMA plan review of qualifying projects. • Police Department — the increase is essentially related to the increase in the costs paid to CalPERS for pension obligations and negotiated salary adjustments. City of San Bernardino Page 19 of 21 • Parks Recreation and Community Services — the department is expanding programming for youth sports; additionally, an increase in parks maintenance service is funded to heighten the level of service in all City parks. • Public Works — the increase is related to the transfer of one position from the Finance Department and increased funding for street maintenance and maintenance of the City's urban forest. • Information Technology — the costs have remained relatively stable and reflect increases in pension costs and negotiated salary increases which have largely been offset by reductions in other categories. Library — minor increases are provided for the funding of books and materials. The proposed budget continues full funding of the existing service levels at the Central Branch and three branch libraries. Detailed explanations of the proposed changes to each of the Departments and programs are included in the attached FY 2018/19 Proposed Budget Detail. City Reserves_ One of the most powerful aspects of the multi-year financial planning model implemented by the City through the Bankruptcy process is its capability to recognize trends over time and begin at an early point to consider the necessary steps to alter the long-term forecasted position of a particular fund through the establishment of a healthy reserve account in the City's General Fund. The City's General Fund Reserve at year- end is projected to be $32.8 million, or 25% of the City's FY 2017/18 Operating Budget. This is a reasonable reserve amount given the City only maintains one reserve account. A best practice is to establish and maintain multiple reserve accounts for circumstances such as economic uncertainty, capital investment, and equipment replacement. Over the next year, we will develop proposed reserve policies and reserve accounts based on industry standards and best practices for Mayor and City Council consideration. Total Reserves in the General Fund increase or decrease depending upon the relationship between the total current revenues and total current expenditures. Put simply, when revenues are greater than expenditures and transfers, money is put into the reserves, and when expenses are higher, money is taken out. Through the City's financial modeling, a deficit, which we were able to close in the FY 2018/19 Proposed Budget, was initially projected based on the anticipated increases in pension costs and unfunded liabilities as well as increased operating costs. The modeling anticipates this gap will grow to nearly $4.3 million in FY 2019/20 and to more than $7 million in FY 2022/23 without further adjustments. The reserves contained in the General Fund play a pivotal role in the City's multi-year planning strategy by allowing the City to make strategic, course adjustments when revenues fall short of anticipated expenses in a given year such as during economic downturns. Reserves are also vital in emergencies or natural disasters such as earthquakes or fires where extraordinary, City of San Bernardino Page 20 of 21 unexpected expenses are incurred and also position the City to be flexible enough to take advantage of unexpected opportunities that may arise. Conclusion In summary, the FY 2018/19 Proposed Budget focuses on deploying resources strategically to meet the increasing demands of the community and improve the City's infrastructure while continuing to maintain a sustainable financial position for the long- term. It supports San Bernardino's commitment to being strategic, prudent, and thoughtful in its long-term budgeting. It allows resources to continue advancing the policy priorities set by the Mayor and City Council and begins to invest in infrastructure to modernize and improve service to the community and encourage investment. While we will continue to be faced with challenges such as long-term compensation costs for our employees, rising pension and benefit costs, and deferred maintenance and underfunded infrastructure, with continued prudent fiscal planning and thoughtful deliberation in setting priorities and establishing service delivery models, the City is well positioned to address the financial issues and challenges and develop new solutions. With a continued focus on community engagement and collaboration, we will find solutions to the challenges presented and continue to build San Bernardino's reputation. This Proposed Budget presents a responsible, sustainable, conservative and balanced plan for the future San Bernardino, and like other cities throughout the state, more work is required to remain competitive and sustainable in future years. The FY 2018/19 Proposed Budget strives to achieve our priority — building a strong fiscal foundation to provide quality services, encourage investment, and provide a high quality of life for the community. Sincerely, CITY OF SAN BERNARDINO Andrea M. Miller City Manager City of San Bernardino Page 21 of 21 City of San Bernardino FY 2018-19 Summary of Revenues, Expenditures, and Transfers Assessment District Funds: 254 Assessment District: 25,000 1,221,926 Impact Fee Funds: 1,246,926 1,477,265 1,477,265 (230,339) 261 Law enforcement facilties DIF 420,000 Additions 420,000 Deductions - 420,000 263 Local regional circulation Estimated 1,365,200 - - Estimated 264 Regional circulation system Balance Transfers Total Transfers Total Balance Fund/Title 7/1/2018 Revenues In Available Expenditures Out Deductions 6/30/2019 001 General 32,000,000 126,990,500 158,990,500 124,891,821 1,300,000 126,191,821 32,798,679 Special Revenue Funds: 156,800 - 156,800 - - 156,800 107 Cable tv fund 818,400 295,000 1,113,400 210,500 210,500 902,900 108 Asset forfeiture 3,213,300 220,000 3,433,300 196,500 196,500 3,236,800 111 AB2766 air quality 617,600 260,000 877,600 - - 877,600 116 Emergency Solutions Grant 14.231 323,222 323,222 323,222 323,222 - 117 Home Improvement Part 14.239 - 788,568 788,568 788,568 788,568 - 118 Gang and street asset forfeiture 199,000 - 199,000 95,000 95,000 104,000 119 CDBG - 4,591,861 4,591,861 4,592,564 4,592,564 (703) 120 Neighborhood Stabil. Prog(NSP1) 600,000 277,360 877,360 277,360 277,360 600,000 122 Neighborhood Stabil Prog(NSP3) - 904,500 904,500 904,500 904,500 - 123 Federal grant programs 2,105,600 122,498 2,228,098 1,594,041 1,594,041 634,057 124 Animal control - 651,600 1,300,000 1,951,600 2,567,859 2,567,859 (616,259) 128 Traffic safety 1,900,000 330,000 2,230,000 600,000 600,000 1,630,000 Total Special Revenues: 9,453,900 8,764,609 1,300,000 19,518,509 12,150,114 - 12,150,114 7,368,395 Capital Projects Funds: 91,844,100 167,514,699 1,300,000 260, 658,799 164,938,728 1,300,000 166,238,728 94,480,071 126 Gas tax fund 130,000 9,065,621 9,195,621 6,266,744 6,266,744 2,928,877 129 Measure 11/2 Cent Sales & RdTax 12,114,100 3,800,000 15,914,100 1,650,000 1,650,000 14,264,100 208 Verdemont capital project 264,700 - 284,700 - - 284,700 242 Street construction fund 1,616,800 1,616,800 - - 1,616,800 243 Park construction fund 140,000 140,000 - - 140,000 246 Public improvement fund 1,075,600 1,075,600 - - 1,075,600 247 Cultural development constructio 4,165,000 4,165,000 300,000 300,000 3,865,000 248 Storm drain construction 7,724,900 7,724,900 - - 7,724,900 258 Prop 1 b - local street 46,500 - 46,500 - - 46,500 Total Capital Projects: 27,297,600 12,865,621 - 40,163,221 8,216,744 - 8,216,744 31,946,477 Assessment District Funds: 254 Assessment District: 25,000 1,221,926 Impact Fee Funds: 1,246,926 1,477,265 1,477,265 (230,339) 261 Law enforcement facilties DIF 420,000 420,000 - - 420,000 263 Local regional circulation 1,365,200 1,365,200 - - 1,365,200 264 Regional circulation system 12,783,400 - 12,783,400 - - 12,783,400 265 Library facilities and 70,200 - 70,200 - - 70,200 266 Public use facilities 530,200 - 530,200 - - 530,200 267 Aquatics facilities 156,800 - 156,800 - - 156,800 268 AB 1600 parkland and op 1,239,700 - 1,239,700 - - 1,239,700 269 Quimby act parkland 1,105,200 - 1,105,200 - - 1,105,200 Total Impact Fee Funds: 17,670,700 - 17,670,700 - - 17,670,700 Enterprise Funds: 527 Integrated waste Management 3,090,000 600,000 3,690,000 1,070,741 1,070,741 2,619,259 Internal Service Funds: 629 Liability insurance fund 2,100,000 2,354,179 4,454,179 2,354,179 2,354,179 2,100,000 635 Fleet services fund 206,900 3,829,807 4,036,707 3,829,807 3,829,807 206,900 678 Workers compensation - 5,606,044 5,606,044 5,606,044 5,606,044 0 679 Information technology - 4,682,940 _ 4,682,940 4,742,940 _ 4,742,940 Total Interal Service funds: 2,306,900 16,472,969 - 18,779,869 16,532,969 16,532,969 2,306,900 Agency Funds: 710 Succesor Agency - 599,074 599,074 599,074 599,074 Total All Funds 91,844,100 167,514,699 1,300,000 260, 658,799 164,938,728 1,300,000 166,238,728 94,480,071 City of San Bernardino General Fund Summary 2018-19 Proposed Budget General Fund Revenues Charges for services Fines and forfeitures Franchise Tax Intergovernmental Investment income Licenses & permits Measure Z Sales Tax Miscellaneous Other Taxes Property Taxes Sales and Use Tax Use of Money and Property Utility Users Tax Revenue Total FY 2018-19 Proposed Budget 4,532,000 1,696,000 9,645,000 1,780,000 440,000 9,925,000 8,600,000 4,512,500 7,300,000 15,800,000 36,750,000 760,000 25,250,000 126,990,500 Expenses 010 Mayor 681,420 020 City Council 951,736 030 City Clerk 897,554 050 City Attorney 3,128,333 090 General Government 7,213,532 100 City Manager 3,266,754 110 Human Resource 1,080,077 120 Finance 3,719,035 130 Economic & Housing Development 1,022,563 180 Community Development 3,760,899 210 Police 81,101,386 380 Parks Recreation & Community 8,218,566 400 Public Works 9,304,091 470 Library 1,845,876 Expenses Total 126,191,821 Surplus (Deficit) 798,679 F - z W g clF a a Ill D Z m 0 N dcdc Z zO w LU M a zaU- LL a 0 J J LL In In w N 0 x H a a� Q) U U_ N a� m O O O U c O Cc r C p N L6 a) C M T O N N 0 CL O U m O m u) 0 0 U t0) N 7 U U N r~ O O C O O m U _ O 01 O m C N O w N c s -0 3 L a) LL E O Z N 0 IN a l c ° tca C Q N ` to N o c m •V aD U X .5 !n y C o c ¢ L 0 v O c U v N O — � D U U m E E a) H y 7 — p _ N — O w C 3 in O o a En 0 c c'ZCL M �c�� aE acid m o Z.cm, cn N 4) y c c C cU0 E min a ��¢�, Q Q 0 c U m •� a)> ca � m n C CL a) a) a) c O C C C O G C C c d t N NUUQ o 2 0 N U `m H c O m❑ a d� y � •� .� <9 E � m MC >> oQ Cts o m c oi a c° o ° Y m'E'N co `-0 ca E CL CL 7, .o n c c Co y c o E O n a) m y E E c C. m•_'ImM O O O a) ? 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The growth rate is tied to changes in the population and the change in Califomia Per Capita Personal Income. In May 2018 the State Department of Finance notified each city of the population changes and per capita personal income factor to be used in determining appropriation limits. Effective May 1, 2018, the change in the California Per Capita Personal Income is 3.67% and the change in the County of San Bernardino's Population is 0.95%. Using the population and per capita personal income data provided by the California Department of Finance, the City's appropriation limit for Fiscal Year 2018-19 is $355,083,601. Appropriations subject to the limitation in the 2018-19 Budget total $101,500,00 which is $253,583,601 less than the computed allowable limit. Appropriations Limits FY 2017-2018 Appropriations Limit FY 2018-2019 Adjustment Factors Percentage Change in Per Capita Personal Income Percentage Change in Population Appropriations Change Factor (3.67% x 0.95%) FY 2018-2019 Appropriations Limit (Prior Year Appropriations Limit x Appropriation Change Factor) FY 2018-2019 APPROPRIATION LIMIT TOAL FY 2018-2019 APPROPRIATIONS SUBJECT TO LIMITATIONS F(OVER)lUNDER APPROPRIATION LIMIT 339,290,105 3.67% 0.95% 1.04654865 355,083,601 355,083,601 (101,500,000 253,583,601. City of San Bernardino GANN Limit Calculation For the years 2014-2018 Exhibit 8 (f) (9) (5) Ending Change Appropriation Factor (a) Percentage (c) (d) 289,800,429 Appropriation Beginning Change in Percentage Percentage (e) Limit Appropriation Per Capita Change in Change in Greater of Year Limit Personal Income Count. Po ulation Cl . Po ulation (c) or (d) 2013-2014 2014-2015 288,220,388 -0.23% 0.78% 0.41% 0.78% 2015-2016 289,800,429 3.82% 1.09% 0.65% 1.09% 2016-2017 304,150,298 5.37% 0.93% 0.76% 0.93% 2017-2018 323,463,662 3.69% 1.16% 0.60% 1.16% 2018-2019 339,290,105 3.67% 0.95% 0.49% 0.95% Exhibit 8 (f) (9) Appropriation Ending Change Appropriation Factor Limit 288,220,388 1.0054821 289,800,429 1.0495164 304,150,298 1.0634994 323,463,662 1.0489280 339,290,105 1.04654865 355,083,601 City of San Bernardino Request for Council Action Date: June 20, 2018 To: Honorable Mayor and City Council Members From: Andrea M. Miller, City Manager By: Brent A. Mason, Director of Finance Staff Report Subject: Approval of the Fiscal Year 2018/19 Proposed Operating Budget, Capital Improvement Program, Appropriations Limit Calculation, and Fiscal Year 2018/19 Salary Schedule Recommendation Adopt Resolution No. 2018-189 of the Mayor and City Council of the City of San Bernardino, California approving the City of San Bernardino's Operating Budget and Capital Improvement Program (CIP) for FY 2018/19 and establishing the City's Appropriations Limit as required by Article XIII of the California State Constitution, and adopt Resolution No. 2018-181 of the Mayor and City Council of the City of San Bernardino, California, establishing the classification and approving the job description for Neighborhood and Customer Service Operations Manager (U), and amending the salary schedule for full-time non -safety classifications of the City of San Bernardino for Fiscal Year 2018/19. Background Section 701 of the City Charter provides that the City Manager shall prepare and submit to the Mayor and City Council for the ensuing fiscal year, a proposed budget. The Budget provides a financial plan of all City funds and activities for the upcoming fiscal year and includes a multi-year capital plan. This year's budget process has been designed to be a thoughtful, interactive process. The goal has been that the Mayor and City Council, as the policy makers for the community, have an opportunity to explore issues and challenges and consider how the proposed Operating Budget and CIP further the collective vision for San Bernardino and make any adjustments to ensure alignment with those expectations. The meetings, which were held on May 14, 17 and 29 have encouraged robust discussion about the City's current financial position, the 20 -Year Financial Model and assessments of the City's infrastructure, which provided a context for review of the proposed Operating Budget and CIP. As a result of those discussions, several suggestions were made related to possible changes that will further enhance the efficiency of the organization and ensure the allocation of resources reflects the goals and objectives adopted by the Mayor and City Council. Changes previously directed by the Mayor and City Council have been incorporated. On June 6, a duly noticed Public Hearing was held relative to the FY 2018/19 Proposed Operating Budget and the CIP. Staff reviewed recommended changes to the preliminary Proposed Operating Budget which increased the General Fund budget surplus for FY 2018/19 to $742,801. Public comment was received, and the Mayor and City Council spent time further discussing the budget and proposed CIP. No additional changes were requested at that time although the Mayor and City Council did authorize the City Manager to make other adjustments to further improve the efficiency of the organization. Those changes are discussed below. Discussion FY 2018/99 Proposed Operating Budget The proposed changes identified below were generated subsequent to the Public Hearing on June 6, 2018 for consideration by the Mayor and City Council. If these adjustments are approved, the total General Fund expenditures would be reduced resulting in a revised net General Fund surplus of approximately $798,679. This improved operating position helps further address the anticipated deficits that are forecast beginning in FY 2019/20 based on the 20 -Year Financial Model. The proposed changes are: • Eliminate the Manager of Communication position and backfill with an increase in professional services — net annual savings to the General Fund of approximately $62,000 • Transfer one staff position from the Finance Department to the Public Works Department — cost neutral item to the General Fund, but increases organizational efficiency • Discontinue operating the in-house print shop function. Eliminating one position generates organizational savings to all funds of approximately $57,000. With these changes, the total Proposed Operating Budget (all City funds) is $166,238,728 and the General Fund represents $126,191,821 of that total. The original proposed budget is included with this report as Attachment 4. A summary of the final proposed budget totals by fund, General Fund department totals and a summary of staffing changes are included with an updated version of the City Manager's Transmittal Letter as Attachment 3. 2018/19 Capital Improvement Plan The proposed CIP was also considered at the Public Hearing on June 6, 2018. There were no further adjustments recommended by the Mayor and City Council at that time, and no further adjustments are proposed by staff. The FY 2018/19 CIP is a plan to utilize $46,064,277 in resources for projects in seven different categories — Buildings, Streets, Parks, Traffic Controls, Storm Drains, Police and Landfill. The CIP is included as Attachment 4. FY 2018/19 Appropriations Limit Calculation Article XIIIB of the California Constitution restricts the growth in appropriations for cities and other local jurisdictions to a combination of population and pricing growth percentages as calculated by the State's Department of Finance. The factors for making the calculation for the 2018/19 fiscal year are a 3.67% increase for the change in per capita income and 0.95% for population growth. Together, these factors create a combined change factor of 1.04654865 increasing the prior year's limit of $339,290,105 to a new limit for FY 2018/19 of $355,083,601. The budgeted Proceeds from Taxes number from the Proposed Operating Budget, subject to the limit, is $101,500,000, an amount under the limit by $253,583,601. FY 2018/19 Amended Salary Schedule and New Job Classification and Title As salaries are adjusted based on previously negotiated increases, the City is required to adopt a revised salary schedule in a public meeting reflecting the increases. This report accomplishes that for the Non -Safety employee groups. The noted changes go into effect July 1, 2018 per the terms of the existing negotiated employee labor agreements. These amounts have already been incorporated into the FY 2018/19 Proposed Operating Budget. The proposed Neighborhood and Customer Service Operations Manager (U) classification will replace the Assistant to the City Manager job classification within the Office of the City Manager for FY 2018/19. The new job classification more accurately reflects the role of the staff member assigned to support the neighborhood and customer service operations of the City. This position will be an unclassified management position in the Management/Confidential unit, responsible for managing the City's customer relationship management system and they city-wide customer service information/call center along with the assessment, evaluation and administration of neighborhood improvement programs designed to address the needs of the community. The salary range for the Neighborhood and Customer Services Operations Manager classification is below that of the Assistant to the City Manager classification and does not affect the FY 2018/19 Proposed Operating Budget. Anticipated savings in the future associated with reclassifying one employee from Assistant to the City Manager to Neighborhood and Customer Services Operations Manager is approximately $20,000 between the two positions' top salary ranges. Analysis The total FY 2018/19 Proposed Budget, which includes the Operating Budget and CIP, of $212,303,005 represents a $30 million increase over the FY 2017/18 Adopted Budget and CIP, or 16% growth. Similar to the FY 2017/18 Adopted Budget, the primary driver for the increase continues to be the CIP where significant investments are planned for 2018/19. The proposed Budget, including transfers, for FY 2018/19 is $166,238,728 (this includes $126,191,821 in the General Fund and $40,046,907 in other City funds that include Special Revenue, Enterprise Operations and Internal Services). The General Fund expenditure budget of $126,191,821 is a modest $6 million, or 5%, increase over the prior year budget. The proposed Budget includes a projected increase in revenues of $7 million, or 6%. The proposed Budget includes the reduction of 25 full-time positions, primarily eliminated through attrition or positions that have been unfilled for a number of years. However, there are 2 positions that had been proposed and have been eliminated to improve the efficiency of the organization and to better position it to address the uncertain fiscal challenges that are ahead. These changes reduce citywide staffing by 3% from the prior year (a reduction in General Fund staffing of 22 positions). Moderate maintenance and operation, as well as utility rate adjustments and minor program enhancements, are included in this budget in an effort to provide an improved level of maintenance and management of services and infrastructure to the community. These targeted increases were largely offset by reductions in other discretionary maintenance and operating costs. The FY 2018/19 proposed Budget is built to maintain existing levels of service, fund contractual/mandated obligations, and allocate available ongoing funding on a one-time basis to maintain flexibility to face uncertain fiscal impacts. The proposed Budget initially reflected a revenue gap of $5 million based largely on the anticipated increase in pension costs as well as increased operating costs. Through.the budget process and earlier discussions with the Mayor and City Council about potential opportunities, staff was able to identify operational changes to reduce costs including contracting for additional maintenance services rather than filling vacant positions; reducing costs for professional/contractual services by reprioritizing projects and planning to complete projects internally; reallocating costs to other funding sources; and restructuring operations. The goal was to ensure costs were contained to the extent possible to allow room for the Mayor and City Council and the staff to consider using the excess funds towards the emerging gap in funding for infrastructure and other priorities. 2018-19 Goals and Objectives The adoption of the Budget and the CIP are consistent with Goal No. 3 Create, Maintain and Grow Jobs and Economic Value in the City, Goal No. 4 Ensure Development of a Well -Planned Balanced and Sustainable City, and Goal No. 6 Operate in a Fiscally Responsible and Business -Like Manner. The development of these documents ensures that the City's limited resources are being allocated to the Mayor and City Council's highest priorities and sustains the economic value of the City's assets, creating a community that will attract further economic investment. Fiscal Impact The total FY 2018/19 Proposed Operating Budget is $166,238,728 with revenues estimated at $168,814,699. The General Fund component is balanced with a current anticipated surplus of $798,679; proposed expenditures are $126,191,821 with estimated revenues of $126,990,500 million. Adequate resources exist to fund all proposed budgetary items. The Proposed CIP for FY 2018/19 is $46,064,277 million. Projects included in the plan all have sufficient resources on hand or funds are anticipated to be generated in FY 2018/19 to meet those needs. All individual CIP projects will return to the Mayor and City Council individually for specific approvals, award of contracts and further discussions about funding. The Appropriation Limit calculation indicates the City's Appropriation Limit for the next fiscal year is $355,083,601. The City is comfortably below the limit with budgeted Proceeds from Taxes are of $101,500,000, or $253,583,601 under the allowed limit. Cnnr_h minn It is recommended that the Mayor and City Council adopt the attached Resolution: 1) Approving the FY 2018/19 Operating Budget, 2) Approving the FY 2018/19 Capital Improvement Plan, and 3) Approving the FY 2018/19 Appropriations Limit. Attachments Attachment 1 Attachment 2 Attachment 3 Attachment 4 Attachment 5 Resolution Adopting the Annual Budget, Capital Improvement Program and the Appropriations Limit for FY 2018/19 (including Exhibits A and B) Resolution Amending the Salary Schedule for FY 2018/19 for Non - Safety Personnel and Establishing the Classification and Job Description for the Neighborhood and Customer Service Operations Manager (including Exhibits A, B and C) Transmittal Letter and Final Budget Summary Schedules FY 2018/19 Original Proposed Operating Budget FY 2018/19 Capital Improvement Program Ward: All This Page Is left Intentionally Blank 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING AND ADOPTING THE CITY OF SAN BERNARDINO'S OPERATING BUDGET AND CAPITAL IMPROVEMENT PROGRAM (CIP) FOR FISCAL YEAR 2018/19 AND ESTABLISHING THE CITY'S APPROPRIATION LIMIT AS REQUIRED BY ARTICLE XIII B OF THE CALIFORNIA STATE CONSTITUTION WHEREAS, the proposed FY 2018/19 Operating Budget and CIP provide for service levels necessary to respond to protect the health, safety and welfare of the community, which are deemed appropriate by the Mayor and City Council and provides a workforce to accomplish the service priorities; WHEREAS, the proposed FY 2018/19 Operating Budget and CIP establishes City priorities; WHEREAS, Article XIII B of the Constitution of the State of California as proposed by the initiative Measure approved by the people at the special statewide election held on November 6, 1979, provides that the total annual appropriations subject to limitation of each local government shall not exceed the appropriations limit of such entity for the prior year adjusted for changes in the cost of living and population except as otherwise specifically provided for in said Article; WHEREAS, Section 7910 of the Government Code provides that each year the governing body of each local jurisdiction shall, by resolution establish its appropriations limit for the following fiscal year pursuant to Article XIII B at a regularly scheduled meeting or noticed special meeting; 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 NOW THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. The Mayor and City Council hereby approve the FY 2018/19 Operating Budget and CIP, as detailed in Exhibit "A." Total Estimated Revenue included in the Operating Budget is $168,814,699 and the Appropriations are $166,238,728; the CIP allocates total resources of $46,064,277 for projects in FY 2018/19. SECTION 2. The Appropriations Limit for the City of San Bernardino as established in accordance with Article XIII B of the Constitution of the State of California and detailed as Exhibit `B" is $355,083,601. SECTION 3. This Resolution shall take effect on July 1, 2018. 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA APPROVING AND ADOPTING THE CITY OF SAN BERNARDINO'S OPERATING BUDGET AND CAPITAL IMPROVEMENT PLAN (CIP) FOR FISCAL YEAR 2018/19 AND ESTABLISHING THE CITY'S APPROPRIATION LIMIT AS REQUIRED BY ARTICLE XIII B OF THE CALIFORNIA STATE CONSTITUTION I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and City Council of the City of San Bernardino at a thereof, held on the Council Members: MARQUEZ BARRIOS VALDIVIA SHORETT NICKEL RICHARD MULVIHILL day of , 2018, by the following vote, to wit: AYES NAYS ABSTAIN ABSENT The foregoing Resolution is hereby approved this Approved as to form: Gary D. Saenz, City Attorney lam 3 Georgeann Hanna, City Clerk meeting day of 12018. R. Carey Davis, Mayor City of San Bernardino This Page Is Left Intentionally Blank `; W N m sr c x M W 3 co d m O _ � a in0a 0 ' o0 U L o d N V U O O 0 0 0 0 N CO O OOOOCNCO a Q 4) Ln O 0 0 N In CL > O Ln O O M 00 O 0) O O N Co N 00 w C O) N NV M I- IL N r N T- Co 0 M O r 0 0 CO M O O O N O O ' 00 M Ln It co Co O O r r -'T N r Ln O O mI-ONLn0MO LnNCF) r00M00 lqt r O M O O M I` 't O qt O N O I-- O P V I-- m ' O O T- M O O O CO r O v O Co N O v N O Ln N O 00 m V- N co M 00 CO C4 Ln m r N M Ln V 00 Co r 4) r- O O N M O d' O O r M't 0 0 0 Ln r M I` %t O to N O O N CD O CD O O d Ln Nr O O O CO �r-- Olqt v ti = 00 Ln Ln I NLnOLoMLnOwI-000N I—rM O MO d jv- O CD- M 00 Ln N ti V d I~ C4 O O O ;` O V O C4 N M- o. V- N T- M r CA UO N(M LO co N CO CO M It O M CO O ti LO LU Cp 'fit r N Cfl -1 � N M LC) I-- -0 N a) r w O a O L. a C 3 LL U) W w H 0 z W CL x x Lu 04 r O O M N CL a LLJ rN� zCA � � Z Z 06 v> E LL! C o � o N o rn cai W N a 0' E c o rn a) tII m to 0 E- E O O C o Q 0 ... � O a) a) co m Q_ (� d N .� Q o a' >O O O C 0� N> 16 N E w LL L �, i N O O ca O C O r> O 2i N U O O U W �oCO CD oo�'CL �X�cD a��E-��L0 a� C N N a) E= m tT E u) iE M A ca rl- CA N N _Q a) L 0 Q F_ CD ca rn m E o ca ❑ 'a) 'a) a) c cc m cn a L� m ❑ 00uJ=C 0zzIiQCDQS.73Ei3: S�� t~ W r C4 I- 00 M O N M'T Co M O I-- 't r- Cly Ln 00 O O Q ^J O C� r r r r r N N N N N N N d' Ln N N M I- I` T- N N N Ln CO CO CO 0 I-- O H Exhibit A Capital Budget Summary Fund Description Category FY 2018119 CDBG Buildings 1,000,000 Parks 3,044,000 Streets 1,170,077 CDBG Total 5,214,077 Gas Tax Streets 3,700,000 Traffic Control 2,727,000 Gas Tax Total 6,427,000 General Fund Buildings 8,150,000 Parks 150,000 Police 5,550,000 General Fund Total 13,850,000 Integrated Waste Management Buildings 500,000 Landfill 150,000 Integrated Waste Management Total 650,000 Local Circulation Traffic Control 606,500 Local Circulation Total 606,500 Measure I Streets 5,709,000 Measure 1 Total 5,709,000 Parkland Fund Parks 464,700 Parkland Fund Total 464,700 Regional Circulation Fund Streets 2,855,000 Traffic Control Regional Circulation Fund Total 2,855,000 SBI Streets 4,475,000 SB1 Total 4,475,000 Storm Drain Storm Drain 5,050,000 Streets 500,000 Storm Drain Total 5,550,000 Verdemont Capital Project Fund Parks 263,000 Verdemont Capital Project Fund Total 263,000 All Funds Total 4fi3Ofi4,277 Exhibit B CITY OF SAN BERNARDINO 2018-2019 APPROPRIATION LIMITATION COMPUTATION Article XIIIB of the California Constitution (enacted with the passage of Proposition 4 in 1979 and modified with the passage of Proposition 111 in 1990) restricts the appropriations growth rate for cities and other local jurisdictions. The growth rate is tied to changes in the population and the change in California Per Capita Personal Income. In May 2018 the State Department of Finance notified each city of the population changes and per capita personal income factor to be used in determining appropriation limits. Effective May 1, 2018, the change in the Califomia Per Capita Personal Income is 3.67% and the change in the County of San Bemardino's Population is 0.95%. Using the population and per capita personal income data provided by the California Department of Finance, the City's appropriation limit for Fiscal Year 2018-19 is $355,083,601. Appropriations subject to the limitation in the 2018-19 Budget total $101,500,00 which is $253,583,601 less than the computed allowable limit. t&pprg0ations Limits FY 2017-2018 Appropriations Limit FY 2018-2019 Adjustment Factors Percentage Change in Per Capita Personal Income Percentage Change in Population Appropriations Change Factor (3.67% x 0.95%) FY 2018-2019 Appropriations Limit (Prior Year Appropriations Limit x Appropriation Change Factor) W 2018-2019 APPROPRIATION LIMIT `TOTAL FY 2018-2019 APPROPRIATIONS SUBJECT TO LIMITATIONS (0VER)111 D R APPROPRIATION LIMIT 339,290,105 3.67% 0.95% 1.04654865 355,083,601 356,083,601, (10115001000), 253,583,601 Exhibit B City of San Bernardino GANN Limit Calculation For the years 2014-2018 (b) (a) Percentage (c) (d) (f) (g) Appropriation Beginning Change in Percentage Percentage (e) Appropriation Ending Limit Appropriation Per Capita Change in Change in Greater of Change Appropriation Year Limit Personal Income County Population City Population (c) or (d) Factor Limit 2013-2014 288,220,388 2014-2015 288,220,388 -0.23% 0.78% 0.41% 0.78% 1.0054821 289,800,429 2015-2016 289,800,429 3.82% 1.09% 0.65% 1.09% 1.0495164 304,150,298 2016-2017 304,150,298 5.37% 0.93% 0.76% 0.93% 1,0634994 323,463,662 2017-2018 323,463,662 3.69% 1.16% 0.60% 1.16% 1.0489280 339,290,105 2018-2019 339,290,105 3.67% 0.95% 0.49% 0.95% 1.04654865 355,083,601 RESOLUTION NO. 1 2 RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN' BERNARDINO, CALIFORNIA, ESTABLISHING THE CLASSIFICATION AN 3 APPROVING THE JOB DESCRIPTION FOR NEIGHBORHOOD AND CUSTOMER SERVICE OPERATIONS MANAGER (U), AND AMENDING THE SALARY 4 SCHEDULE FOR FULL-TIME NON -SAFETY CLASSIFICATIONS OF THE CITY O SAN BERNARDINO FOR FISCAL YEAR 2018/19 5 6 WHEREAS, The proposed Neighborhood & Customer Service Operation Manager (U) classification will replace the Assistant to the City Manager job 8 classification within the Office of the City Manager in the FY 2018/19 budget. 9 WHEREAS, The Neighborhood and Customer Service Operations Manager (U 10 will be an unclassified management position in the Management/Confidential bargainin 11 unit, responsible for managing the City's customer relationship management system 12 and the city-wide customer service information/call center along with the assessment, 13 evaluation and administration of neighborhood improvement programs designed t 14 address the needs of the community. 15 WHEREAS, on June 21, 2017, the City of San Bernardino established a salary 16 schedule for Full -Time Non -Safety classifications of the City. 17 WHEREAS, the City of San Bernardino met and conferred in good faith with 18 employee groups: General Unit, represented by IUOE Local 1932, Middle Management 19 20 represented by Teamster Local 1932, and Management/Confidential employees of the 21 San Bernardino Confidential and Management Association a 2% Cost of Living 22 Adjustment effective July 1, 2017. 23 BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY O 24 SAN BERNARDINO AS FOLLOWS: 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 SECTION 1. The Full-time Non -Safety classifications, attached hereto an incorporated herein as Exhibit "A", are approved, and employees shall be paid i accordance with the salary schedule and salary range table effective July 1, 2018. SECTION 4. The classification of Neighborhood & Customer Service Operations Manager (U), Range 4547, $6,794.00-$8,258.00/month, and the jo description for said position, attached hereto as Exhibit "B", is hereby established an approved; and SECTION 5. Fiscal Year 2018-2019 budget, as proposed for adoption, include: sufficient funding to pay employees based on the salary schedule, salary range table attached hereto as Exhibit "C", and includes active classifications not funded in thf Fiscal Year 2018-2019 Budget. 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SA BERNARDINO, CALIFORNIA, ESTABLISHING THE CLASSIFICATION AN APPROVING THE JOB DESCRIPTION FOR NEIGHBORHOOD AND CUSTOMER SERVICE OPERATIONS MANAGER (U), AND AMENDING THE SALARY SCHEDULE FOR FULL-TIME NON -SAFETY CLASSIFICATIONS OF THE CITY O SAN BERNARDINO FOR FISCAL YEAR 2018-2019 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by tht-' Mayor and the City Council of the City of San Bernardino, California at a joint regular meeting thereof, held on day of , 2018, by the following vote, t wit: COUNCILMEMBERS: AYES NAYES ABSTAIN ABSENT MARQUEZ BARRIOS VALDIVIA SHORETT NICKEL RICHARD MULVIHILL Georgeann Hanna, City Clerk The forgoing Resolution is hereby approved this _ day , 2018. Approved as to form: Gary D. Saenz, City Attorney LM N R. Carey Davis, Mayor City of San Bernardino This Page Is Left Intentionally Blank EXHIBIT "A" City of San Bernardino Salary Schedule for Fiscal Year (FY) 2018-2019 CODE* BARGAINING UNIT* GEN GENERAL MM MIDDLE MANAGEMENT C CONFIDENTIAL M MANAGEMENT ELECTED ELECTED OFFICIALS ** Amended salary range reflecting 2% Cost of Living Adjustment effective 7-1-18 Note: Salary Schedule may be modified during the City budgetary process, and/or through reo CLASS 'CLASSIFICATION TITLE CODE I 30011 ACCOUNTANT I (FLEX) 30012 ACCOUNTANT II 20013 ACCOUNTANT III 30023 ACCOUNTING ASSISTANT 10860 ACCOUNTING DIVISION MANAGER (U) 30019 ACCOUNTING TECHNICIAN 10508 ADMINISTRATIVE ANALYST I (FLEX) 10506 ADMINISTRATIVE ANALYST I/ASSISTANT OF ELECTIVE OFFICER (FLEX) (U) 10510 'ADMINISTRATIVE ANALYST II 10507 ADMINISTRATIVE ANALYST II/ASSISTANT OF ELECTIVE OFFICER (U) 30709 ADMINISTRATIVE ASSISTANT 10081 ADMINISTRATIVE ASSISTANT TO CITY COUNCIL (U) 10094 ADMINISTRATIVE ASSISTANT TO CITY MANAGER (U) 10534 ADMINISTRATIVE CLAIMS SPECIALIST 10709 ADMINISTRATIVE SERVICES OFFICER (U) 20457 ADMINISTRATIVE SERVICES SUPERVISOR 20332 ANIMAL CONTROL MANAGER 30111 ANIMAL CONTROL OFFICER 30119 ANIMAL SHELTER ATTENDANT 20338 ANIMAL SHELTER KENNEL SUPERVISOR 20335 ANIMAL SHELTER OFFICE SUPERVISOR 10619 APPLICATIONS DEVELOPMENT MANAGER 30894 ASSESSMENT DISTRICT/REAL PROP SPECIALIST 10448 ASSESSMENT DISTRICT/REAL PROPERTY MANAGER 10644 ASSISTANT CITY MANAGER (U) 30168 ASSISTANT PLANNER (FLEX) 10216 ASSISTANT TO THE CITY MANAGER (U) 10105 ,ASSISTANT TO THE MAYOR II (U) 10106 ASSISTANT TO THE MAYOR III (U) 20169 ASSOCIATE PLANNER 10062 BUDGET OFFICER 30072 BUILDING INSPECTOR I (FLEX) 30073 BUILDING INSPECTOR II 30502 BUSINESS REGISTRATION INSPECTOR 30599 BUSINESS REGISTRATION REPRESENTATIVE 20263 BUSINESS REGISTRATION MANAGER 30292 CEMETERY CARETAKER 10145 CHIEF ASSISTANT CITY ATTORNEY (U) 10501 CHIEF BUILDING OFFICIAL (CBO) AND BUILDING AND SAFETY DIVISION MANAGER (U) 10398 CHIEF DEPUTY CITY CLERK (U) 10381 CITY ATTORNEY (U) 10391 CITY CLERK (U) 601 CITY COUNCIL 10370 CITY MANAGER (U) 10411 CITY TREASURER (U) 10273 CODE ENFORCEMENT DIVISION MANAGER (U) 30455 CODE ENFORCEMENT OFFICER 11 30460 CODE ENFORCEMENT OFFICER III 10135 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) COORDINATOR 30132 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM ASSISTANT 30890 COMMUNITY DEVELOPMENT TECHNICIAN 30752 COMMUNITY ENGAGEMENT SPECIALIST 10100 COMMUNITY INTERVENTION PROGRAM MANAGER (U) 30754 COMMUNITY POLICING SPECIALIST 20923 COMMUNITY RECREATION MANAGER SALARY SCHEDULE FOR FISCAL YEAR 2018/2019 n or reclassification. SALARY RANGE 452 472 492 402 600 AMENDED SALARY RANGE" 456 476 496 406 604 392 396 442 446 422 426 412 416 612 616 462 466 502 506 402 406 362 366 422 426 582 586 452 456 512 516 697 701 472 476 572 576 472 476 522 526 502 506 572 576 392 522 368 FLAT 552 462 487 462 382 422 412 592 512 476 436 396 526 372 681 587 549 706 626 FLAT 739 FLAT 556 386 426 416 596 466 516 BARGAINING UNIT* GEN GEN MM C C C M MM MM GEN GEN MM MM M GEN M GEN M M M MM M GEN GEN GEN GEN MM ELECTED ELECTED ELECTED M ELECTED M GEN GEN C GEN GEN GEN M GEN MM EXHIBIT "A" CLASSAMENDED CODE CLASSIFICATION TITLE SALARY Qetir_c BARGAINING RANGE SALARY UNIT* 30821 10072 30604 30603 30602 30621 30222 30010 10651 10661 10659 10658 10663 10732 10803 10397 10711 10665 10625 10731 10753 30831 30841 30432 30436 20441 30439 20024 10982 10981 10976 10951 10939 30623 20092 10512 20066 30165 30166 20167 10624 30516 30112 10129 10657 30207 30101 20994 10627 10626 10631 30982 30637 30636 30311 [COMMUNITY RECREATION PROGRAM COORDINATOR COMMUNITY RECREATION PROGRAM SUPERVISOR COMMUNITY SERVICES CENTER SUPERVISOR COMMUNITY SERVICES OFFICER I COMMUNITY SERVICES OFFICER II CONSTRUCTION INSPECTOR I (FLEX) CONSTRUCTION INSPECTOR II ;CONSTRUCTION MANAGER COORDINATOR OF VOLUNTEERS (GRANT FUNDED) COUNCIL ADMINISTRATIVE SUPERVISOR (U) CRIME ANALYSIS SUPPORT ASSISTANT ;CRIME ANALYST jCRIMINAL INVESTIGATION OFFICER CUSTODIAN CUSTOMER SERVICE REPRESENTATIVE DEPARTMENTAL ACCOUNTING TECHNICIAN DEPUTY CITY ATTORNEY I (U) DEPUTY CITY ATTORNEY II (U) DEPUTY CITY ATTORNEY III (U) DEPUTY CITY ATTORNEY IV (U) DEPUTY CITY CLERK (U) DEPUTY DIRECTOR OF PARKS/REC/COMM SVCS (U) DEPUTY DIRECTOR OF PUBLIC WORKS/CITY ENGINEER (U) DIRECTOR OF COMMUNITY DEVELOPMENT (U) DIRECTOR OF FINANCE (U) DIRECTOR OF HUMAN RESOURCES (U) DIRECTOR OF INFORMATION TECHNOLOGY (U) DIRECTOR OF PARKS/REC/COMMUNITY SERVICES (U) DIRECTOR OF PUBLIC WORKS (U) ELECTRICIAN I (FLEX) ELECTRICIAN 11 `ENGINEERING ASSISTANT I (FLEX) ENGINEERING ASSISTANT III ENGINEERING ASSOCIATE ENVIRONMENTAL PROJECT SPECIALIST EQUIPMENT MAINTENANCE MANAGER EQUIPMENT MAINTENANCE SUPERVISOR EQUIPMENT MECHANIC I (FLEX) EQUIPMENT MECHANIC II EQUIPMENT SERVICE WORKER EXECUTIVE ASSISTANT EXECUTIVE ASSISTANT TO DIRECTOR (U) EXECUTIVE ASSISTANT TO THE CITY ATTORNEY (U) EXECUTIVE ASSISTANT TO THE CITY MANAGER (U) EXECUTIVE STAFF ASSISTANT TO CITY COUNCIL (U) FACILITIES & FLEET MAINTENANCE DIVISION MANAGER (U) FACILITIES MAINTENANCE MECHANIC ,FACILITIES MAINTENANCE SUPERVISOR FINANCIAL ANALYST FOOD SERVICE SUPERVISOR 11 FORENSICS SPECIALIST I (FLEX) FORENSICS SPECIALIST II FORENSICS SPECIALIST III GIS ADMINISTRATOR HAZMAT TECHNICIAN HEAVY EQUIPMENT OPERATOR HOUSING DIVISION MANAGER (U) HUMAN RESOURCES ANALYST HUMAN RESOURCES TECHNICIAN HVAC MECHANIC IEMG BROADCAST ENGINEERING COORDINATOR IT ANALYST I (FLEX) IT ANALYST I I IT OPERATIONS SUPERVISOR IW FIELD INSPECTOR LANDSCAPE INSPECTOR I (FLEX) ;LANDSCAPE INSPECTOR II !LEAD CUSTODIAN SALARY SCHEDULE FOR FISCAL YEAR 2018/2019 372 532 332 492 392 12 602 629 662 684 366 GEN 466 MM 436 MM 376 GEN 406 GEN 446 GEN 476 GEN 536 MM 336 GEN 496 C 396 GEN 411 GEN 356 GEN 366 GEN 386 GEN 566 C 576 C 596 C 616 C 486 C 606 M 633 M ti5ti M 666 M 426 GEN 446 G E N 446 GEN 496 GEN 412 416 406 GEN 506 M M 522 526 MM 402 546 C 502 M 416 472 476 MM 412 416 GEN 432 436 G E N 392 396 GEN 422 426 GEN 442 446 C 502 492 542 583 412 492 502 462 572 432 432 592 362 506 C 496 C 546 C 587 M 416 GEN 496 M M 506 M 456 MM 426 GEN 456 GEN 466 MM 576 C EN EN 506 C 406 GEN 456 GEN 486 MM 486 C 516 C 526 C 446 GEN 426 GEN 446 IGEN 366 iGEN CLASS CLASSIFICATION TITLE CODE 30490 LEAD MAINTENANCE WORKER 30593 LEAD PARK CONSTRUCTION & MAINTENANCE WORKER 10319 LEGAL ADMINISTRATIVE ASSISTANT (U) 10322 LEGAL SECRETARY I (FLEX)(U) 10323 LEGAL SECRETARY II (U) 30366 LIBRARIAN II 30384 LIBRARY ADMIN TECHNICIAN/WEBMASTER 20388 LIBRARY CIRCULATION SUPERVISOR 10401 LIBRARY DIRECTOR (U) 20385 LIBRARY NETWORK ADMINISTRATOR 30373 LIBRARY NETWORK ASSISTANT 20387 LIBRARY PROGRAM COORDINATOR 30392 LIBRARY TECHNICIAN II 30215 LITERACY PROGRAM COORDINATOR 20484 MAINTENANCE SUPERVISOR 30486 MAINTENANCE WORKER I (FLEX) 30487 MAINTENANCE WORKER II 30488 MAINTENANCE WORKER III 00502 MAYOR 10503 MAYOR'S CHIEF OF STAFF (U) TBD NEIGHBORHOOD & CUSTOMER SERVICE OPERATIONS MANAGER 20550 NPDES COORDINATOR 10109 OFFICE ASSISTANT (U) 10868 OPERATIONS & MAINTENANCE DIVISION MANAGER (U) 30581 PARKING ENFORCEMENT OFFICER 20601 PARKS MAINTENANCE SUPERVISOR 30622 PARKS MAINTENANCE WORKER II 10069 PAYROLL MANAGER 10068 PAYROLL TECHNICIAN 10713 PLANNING DIVISION MANAGER (U) 30481 PLUMBER 20772 POLICE DISPATCH SUPERVISOR 30767 POLICE DISPATCHER I (FLEX) 30768 POLICE DISPATCHER II 30848 POLICE FLEET MAINTENANCE EXPEDITOR 30218 POLICE P&T TECHNICIAN 20765 POLICE RECORDS SUPERVISOR 30219 POLICE RECORDS TECHNICIAN I (FLEX) 30220 POLICE RECORDS TECHNICIAN II 30194 POLICE TRANSCRIBER 30585 POOL MAINTENANCE COORDINATOR 20019 PRINCIPAL ACCOUNTANT 10182 PRINCIPAL CIVIL ENGINEER 10864 PROCUREMENT/CONTRACT SUPPORT SERVICES DIVISION MANAGER (U) 30975 PROGRAM MANAGER RSVP 30976 PROGRAM MANAGER SCP 30948 PROPERTY & EVIDENCE TECHNICIAN 11 20166 PROPERTY EVIDENCE & SUPPLY SUPERVISOR 10621 PUBLIC SAFETY IT MANAGER 10900 PUBLIC WORKS SAFETY & TRAINING OFFICER 30825 RECREATION THERAPIST 10505 REGULATORY COMPLIANCE ANALYST 30722 SB DIRECT CALL TAKER (BILINGUAL) 30600 SENIOR BUSINESS REGISTRATION REPRESENTATIVE 30223 SENIOR CUSTOMER SERVICE REP/DISPATCHER 10222 SENIOR CUSTOMER SERVICE REPRESENTATIVE (U) 10653 SENIOR DEPUTY CITY ATTORNEY (U) 10067 SENIOR FINANCE SPECIALIST 10632 SENIOR GIS ANALYST 10656 SENIOR HUMAN RESOURCES TECHNICIAN 10689 SENIOR HUMAN RESOURCES/RISK ANALYST 10622 SENIOR IT ANALYST 10385 SENIOR IT TECHNICIAN 10513 SENIOR MANAGEMENT ANALYST 10527 SENIOR NETWORK ADMINISTRATOR 30710 SENIOR OFFICE ASSISTANT 10223 SENIOR OFFICE ASSISTANT (U) 20369 STREET SIGNAL/LIGHTING SUPERVISOR SALARY SCHEDULE FOR FISCAL YEAR 2018/2019 SALARY RANGE 432 72 362 412 FLAT 572 543 512 342 583 372 509 392 532 573 442 472 412 432 382 422 432 342 iE 462 572 502 442 502 422 402 382 392 622 492 522 532 542 548 572 362 362 502 ;HIBIT "A" AMENDED BARGAINING SALARY UNIT" RANGE" 136 GEN .46 GEN .66 C 26 ic 476 1 MM 406 GEN 436 MM 396 GEN 456 GEN 496 MM 366 GEN 396 GEN 416 GEN FLAT ELECTED 576 M 547 M 516 MM 346 C 587 M 577 M 446 GEN 476 MM 416 GEN 436 GEN 386 GEN 426 GEN 436 MM 346 GEN 366 GEN 356 GEN 412 GEN 546 MM 586 M 594 M 446 506 426 406 386 396 626 496 526 426 536 546 456 552 576 366 366 506 GEN M GEN GEN GEN C M C C C C C C M C GEN C IMM E 'CLASSIFICATION TITLE EXHIBIT "A" AMENDED SALARY BARGAINING SALARY RANGE I oewIr•e ** UNIT 20336 TECHNOLOGY LIBRARIAN 482 486 IMM 10443 TRAFFIC ENGINEER 562 566 M 20437 TRAFFIC ENGINEERING ASSOCIATE 522 526 IMM 20438 TRAFFIC OPERATIONS & SYSTEMS ANALYST 532 536 MM 30447 TRAFFIC SIGNAL TECHNICIAN I (FLEX) 442 446 GEN 30448 TRAFFIC SIGNAL TECHNICIAN II 462 466 GEN 30667 TREASURY ASSISTANT 372 376 GEN 20666 TREASURY SUPERVISOR 462 466 MM 30470 TREE TRIMMER ASSISTANT 392 396 GEN 30483 TREE TRIMMER 1 402 406 GEN 30484 TREE TRIMMER II 412 416 GEN SALARY SCHEDULE FOR FISCAL YEAR 2018/2019 EXHIBIT "A" CLASS CLASSIFICATION TITLE CODE SALARY RANGE AMENDED BARGAINING ' SALARY RANGE "" UNIT' Below classifications that are unfunded and/or not budgeted for FY 2018/2019 10848 JADMINISTRATION DIVISION MANAGER (U) 582 586 M 10092 ADMINISTRATIVE ASSISTANT TO THE MAYOR I (U) 402 406 C 10093 ADMINISTRATIVE ASSISTANT TO THE MAYOR II (U) 422 426 C 10078 ADMINISTRATIVE SERVICES MANAGER 522 526 M 20339 ANIMAL LICENSE OFFICE SUPERVISOR 422 426 MM 30271 ASSISTANT BUYER 422 426 GEN 10146 ASSISTANT CITY ATTORNEY (U) 632 636 M 10390 ASSISTANT CITY CLERK (U) 522 526 M 10104 ASSISTANT TO THE MAYOR I (U) 422 426 M 10107 ASSISTANT TO THE MAYOR IV (U) 572 576 M 10116 BUDGET OFFICERIASSISTANT TO THE CITY MANAGER (U) 572 576 M 20250 BUILDING INSPECTION SUPERVISOR 522 526 MM 30074 BUILDING INSPECTOR III 502 506 GEN 10500 BUILDING OFFICIAL 602 606 e.•t 20271 BUYER 452 456 MM 30640 CEMETERY SERVICES SPECIALIST 412 416 GEN 10382 CITY ATTORNEY INVESTIGATIONS SUPERVISOR (U) 542 546 C 10383 CITY ATTORNEY INVESTIGATOR (U) 512 516 C 10158 CIVIL ENGINEER P.E. 542 546 M 30450 CODE ENFORCEMENT OFFICER 1 412 416 GEN 30451 CODE ENFORCEMENT PROCESSING ASSISTANT 362 366 GEN 10113 COMMUNITY RELATIONS SUPERVISOR/ASSISTANT OF THE CITY MANAGER (U) 512 516 M 20781 COMMUNITY SERVICES OFFICER SUPERVISOR 472 476 MM 30574 CONSTRUCTION INSPECTOR III 502 506 GEN 20600 CRIME FREE PROGRAM COORDINATOR 482 486 MM 20611 CUSTODIAL MAINTENANCE SUPERVISOR 452 456 MM 10157 DEPUTY CITY ENGINEER 592 596 M 10372 DEPUTY CITY MANAGER (U) 673 677 M 10066 DEPUTY DIRECTOR OF FINANCE/BUDGET MANAGER (U) 612 616 M 10802 DEPUTY DIRECTOR/CITY PLANNER (U) 612 616 M 10400 DEPUTY LIBRARY DIRECTOR (U) 562 566 M 10126 ECONOMIC DEVELOPMENT ANALYST (U) 492 496 C 10125 ECONOMIC DEVELOPMENT DIVISION MANAGER (U) 592 596 M 30434 ENGINEERING ASSISTANT II 462 466 GEN 20444 ENVIRONMENTAL PROJECT MANAGER 482 486 MM 10978 EXECUTIVE ASSISTANT TO MAYOR (U) 492 496 C 30513 FLEET FABRICATION WELDER 432 436 GEN 20940 FLEET OPERATIONS COORDINATOR 472 476 MM 30506 FLEET PARTS STOREKEEPER 382 386 GEN 30944 FLEET PARTS TECHNICIAN 422 426 GEN 10940 FLEET SERVICES DIVISION MANAGER (U) 552 556 M 10133 GRANTS ANALYST (U) 532 536 C 10672 HUMAN RESOURCES DIVISION MANAGER (U) 582 586 M 10388 IT TECHNICIAN I (FLEX) 422 426 C 10389 IT TECHNICIAN II 442 446 C 20602 LANDSCAPE INSPECTION SUPERVISOR 502 506 MM 30932 LEAD EQUIPMENT MECHANIC 462 466 GEN 30592 LEAD PARKS MAINTENANCE WORKER 452 456 GEN 30897 LEAD STREET SIGN WORKER 412 416 GEN 30335 LIBRARIAN I (FLEX) 432 436 GEN 10412 LIBRARY ADMINISTRATIVE SUPERVISOR 502 506 M 30341 LIBRARY ASSISTANT 352 356 GEN 20384 LIBRARY BRANCH MANAGER 1 462 466 MM 20214 LIBRARY BRANCH MANAGER II 472 476 MM 30255 LIBRARY COMPUTER LAB COORDINATOR 432 436 GEN 10410 LIBRARY IT MANAGER 512 516 M 20337 LIBRARY TECHNICAL SERVICES SUPERVISOR 482 486 MM 30391 LIBRARY TECHNICIAN 1 372 376 GEN 10110 'MANAGEMENT ANALYST UASSISTANT OF THE CITY MANAGER (FLEX) (U) 462 466 M 10112 MANAGER OF COMMUNICATIONS (U) 612 616 M 30522 MESSENGER 322 326 GEN 10115 NEIGHBORHOOD SERVICES COORDINATOR/ASSISTANT OF THE CITY MANAGER (U) 522 526 M 10635 NETWORK SPECIALIST 452 456 C 30425 NPDES INSPECTOR I (FLEX) 442 446 GEN 30426 NPDES INSPECTOR II 472 476 GEN 30711 OFFICE ASSISTANT 342 346 GEN 10640 PARKS MAINTENANCE DIVISION MANAGER (U) 552 556 M SALARY SCHEDULE FOR FISCAL YEAR 2018/2019 CLASS CODE CLASSIFICATION TITLE SALARY RANGE AMENDED SALARY RANGE** BARGAINING 30611 PARKS MAINTENANCE WORKER I (FLEX) 362 366 GEN 30632 PARKS MAINTENANCE WORKER III 412 416 GEN 10641 PARKS SUPERINTENDENT (U) 542 546 M 30691 PLANNING AIDE 442 446 GEN 30680 PLANS EXAMINER I (FLEX) 472 476 GEN 30682 PLANS EXAMINER II 502 506 GEN 20331 POLICE COMMUNICATIONS MANAGER 502 506 MM 20780 POLICE P&T MANAGER 492 496 MM 20761 POLICE RECORDS MANAGER 482 486 MM 30217 POLICE TRAINING COORDINATOR 432 436 GEN 10670 PRINCIPAL LIBRARIAN 542 546 M 10243 PRINCIPAL PLANNER 572 576 M 10446 PROFESSIONAL LAND SURVEYOR PLS 538 542 M 10132 PROJECT MANAGER OF COMMUNITY DEVELOPMENT PROGRAMS (U) 542 546 M 10131 PROJECT MANAGER OF HOUSING PROGRAMS (U) 542 546 M 10639 PROJECT MANAGER/COMMUNITY SERVICES 542 546 M 30947 PROPERTY & EVIDENCE TECHNICIAN I (FLEX) 402 406 GEN 30900 PUMP MECHANIC 446 450 GEN 30770 RANGEMASTER 442 446 M 10259 RECORDS MANAGEMENT SPECIALIST (U) 452 456 C 10403 REC/COMMUNITY SERVICES DIVISION MANAGER (U) 552 556 M 30568 REPROGRAPHICS & MAIL TECHNICIAN 382 386 GEN 10690 RISK DIVISION MANAGER (U) 582 586 C 10538 SAFETY OFFICER 522 526 GEN 30721 SB DIRECT CALL TAKER 372 376 M 10511 SENIOR ADMINISTRATIVE ANALYST 532 536 GEN 30708 SENIOR ADMINISTRATIVE ASSISTANT 412 416 M 10154 SENIOR CIVIL ENGINEER 562 566 M 10181 SENIOR CIVIL ENGINEER/DIVISION MANAGER (U) 589 593 MM 20446 SENIOR CODE ENFORCEMENT OFFICER 502 506 MM 20213 SENIOR LIBRARIAN 482 486 GEN 30393 SENIOR LIBRARY TECHNICIAN 432 436 C 10636 SENIOR NETWORK SPECIALIST 482 486 GEN 30582 SENIOR PARKING ENFORCEMENT OFFICER 392 396 MM 20243 SENIOR PLANNER 532 536 MM 20245 SENIOR PLANS EXAMINER 512 516 GEN 30720 SENIOR SB DIRECT CALL TAKER 402 406 GEN 30177 SENIOR SURVEY TECHNICIAN 452 456 GEN 20483 SEWER MAINTENANCE SUPERVISOR 502 506 MM 30494 SEWER MAINTENANCE WORKER 412 416 GEN 30898 STREET SIGN WORKER 402 406 GEN 20116 SUPERVISING ANIMAL CONTROL OFFICER 462 466 MM 20450 SUPERVISING CODE ENFORCEMENT OFFICER 522 526 MM 20614 SUPERVISING CUSTODIAN 402 406 MM 20422 SURVEY SUPERVISOR 472 476 GEN 30175 SURVEY TECHNICIAN I (FLEX) 402 406 GEN 30176 SURVEY TECHNICIAN II 432 436 MM 20990 TELECOMMUNICATIONS COORDINATOR 462 466 GEN 30437 TIRE MAINTENANCE MECHANIC 372 376 GEN 30449 TRAFFIC SIGNAL TECHNICIAN III 482 486 MM 20485 TREE TRIMMER SUPERVISOR/ARBORIST 502 506 MM 30000 WEED ABATEMENT COORDINATOR 1452 1456 IGEN SALARY SCHEDULE FOR FISCAL YEAR 2018/2019 City of San Bernardino Signature: PROPOSED EXHIBIT B Class Code: M/CC Date Adopted: Director, Human Resources Bargaining Unit: Man agement/Confidential Class Specification NEIGHBORHOOD & CUSTOMER SERVICE OPERATIONS MANAGER (U) JOB SUMMARY Under general direction of the City Manager, manages and coordinates the city-wide customer service information/call center; performs short- and long-term planning for information/call center development, operations and performance criteria; provides professional advice to executive management on systems and processes to ensure excellent customer service to City residents; coordinate neighborhood improvement efforts to address quality of life issues, evaluate needs, facilitate community meetings, and assists in administering programs to address the needs of the community. DISTINGUISHING CHARACTERISTICS The Neighborhood & Customer Service Operations Manager (U) is a program management position within the City Manager's Office. The incumbent is responsible for ensuring customer service capacity, quality and effectiveness to meet City goals and objectives and serves as a specialized liaison between community groups, City departments and elected officials in order to effectively implement neighborhood revitalization initiatives. Assignments are broad in scope to allow for a high degree of administrative discretion in their execution. ESSENTIAL DUTIES AND RESPONSIBILITIES The duties listed below are intended only as illustrations of the various types of work that may be performed. The omission of specific statements of duties does not exclude them from the position if the work is similar, related or a logical assignment to this class. 1. Manage and coordinate the organization, staffing, and operational activities for assigned programs and operations including the City's customer relationship management system, city-wide customer service information/call center and related activities and services. 2. Provide leadership and work with staff to develop and maintain a high performance, customer service-oriented work environment that supports achieving the City's mission, strategic goals and core values. 3. Plan and evaluate the performance of assigned staff; establish performance requirements and personal development targets; monitor performance and provides coaching for performance improvement and development; take disciplinary action, up to and including termination, to address performance deficiencies, subject to management concurrence, in accordance with the City's human resources policies and procedures, Personnel Rules and labor contract provisions. 4. Oversee and participate in the development and administration of assigned program budgets; in association with the City Manager or designee, participates in the Neighborhood & Customer Service Operations Manager (U) Page 1 PROPOSED EXHIBIT B development and administration of the department budget; approve the forecast of funds needed for staffing, equipment, materials and supplies; approve expenditures and implements budgetary adjustments as appropriate and necessary. 5. Respond to and resolve the most difficult and complex customer questions in-person and by telephone; assist the general public, outside groups and agencies, and City staff by providing information related to specific program area or City operations and activities in general; refer callers to appropriate City staff, department, or outside agency for further assistance as needed. 6. Maintain records concerning operations and programs; prepare reports on operations and activities. Gather and analyze statistical data and information and evaluate options for resolution. 7. Oversee and participate in the development and administration of the neighborhood services program in collaboration/coordination with existing neighborhood organizations, interested citizens, agencies and community stakeholders. 8. Participate on a variety of committees; prepare and present clear and concise staff reports and other correspondence as appropriate and necessary. 9. Attend and participate in professional group meetings; maintain awareness of new trends and developments in the field of community and customer relations; incorporate new developments as appropriate into programs. 10. Direct, coordinate and review the work plan for assigned services and activities; assign work activities, work with executive staff to implement strategies for the achievement of City goals. 11. Perform related duties as required. GENERAL QUALIFICATIONS Knowledge of.• 1. Pertinent Federal, State and local laws, codes and regulations. 2. Principles and practices of public administration. 3. Operational characteristics, services, and activities of a customer service information/call center. 4. Organization, operation, and services of the City and of outside agencies as necessary to assume assigned responsibilities. 5. Principles and practices of program development and administration. 6. Principles of supervision, training, and performance evaluation. 7. Organizational and management practices as applied to the analysis and evaluation of programs, policies, and operational needs related to area of assignment. 8. Methods and techniques of effective technical, administrative, and financial record keeping, budgeting, report preparation, and presentation. 9. Pertinent federal, state, and local laws, codes, and regulations. 10. Principles of municipal budget preparation and control. 11. Office procedures, methods, and equipment including computers and applicable software applications such as word processing, spreadsheets, and databases. 12. Principles and applications of critical thinking and analysis. 13. Principles, trends, methods, and techniques used in customer service, public relations, public information, and program education and promotion. 14. English usage, spelling, grammar, and punctuation. Neighborhood & Customer Service Operations Manager (U) Page 2 PROPOSED EXHIBIT B 15. Advanced customer service techniques, practices, and principles including methods and techniques used in a customer service call center. Ability to: 1. Plan, organize, direct, coordinate, and evaluate assigned programs, projects, events, or technical areas. 2. Supervise, direct, train, evaluate and coordinate the work of lower level staff. 3. Define issues, analyze problems, identify alternative solutions, project consequences of proposed actions and implement recommendations in support of goals. 4. Recommend and implement goals, objectives, policies, and procedures for providing assigned services. 5. Understand, interpret, and apply administrative and departmental policies and procedures as well as pertinent federal, state, and local laws, codes, and regulations. 6. Effectively represent the City to outside individuals and agencies to accomplish the goals and objectives of the unit. 7. Operate a variety of office equipment, including computers and applicable software applications. 8. Exercise tact and diplomacy in dealing with sensitive and complex issues and situations. 9. Exercise sound independent judgement within general policies. 10. Communicate clearly and concisely, both orally and in writing. 11. Establish and maintain effective working relationships with those contacted in the course of work. MINIMUM QUALIFICATIONS Education, Training and Experience: A typical way of obtaining the knowledge, skills and abilities outlined above is the required graduation from an accredited college or university with a Bachelor's degree in public administration, business administration, or a related field; and three (3) years of increasingly responsible professional level administrative, community relations and call center experience preferably within a local government environment, including one (1) year in a supervisory capacity; or an equivalent combination of training and experience. Accreditation shall be by a national or regional accreditation body that is recognized by the Secretary of the United States Department of Education. Licenses; Certificates; Special Requirements: A valid California driver's license and the ability to maintain insurability under the City's vehicle insurance policy. PHYSICAL DEMANDS The physical and mental demands described here are representative of those that must be met by an employee to successfully perform the essential functions of this class. Reasonable accommodations may be made to enable individuals with disabilities to perform the essential functions. While performing the duties of this job, the employee is regularly required to sit; talk or hear, both in person and by telephone; use hands to finger, handle and feel computers and standard Neighborhood & Customer Service Operations Manager (U.) Page 3 PROPOSED EXHIBIT B business equipment; and reach with hands and arms. The employee is frequently required to stand and walk. Specific vision abilities required by this job include close vision and the ability to adjust focus. WORK ENVIRONMENT The work environment characteristics described here are representative of those an employee encounters while performing the essential functions of this class. Reasonable accommodations may be made to enable individuals with disabilities to perform the essential functions. Employees work under typical office conditions and the noise level is usually quiet. 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Ln LD ; %a %D ,1.D O .0 to ,1.D 1.D %6 %D LD 1.D , t0 %D .1.D Ln LD'h 0!01.0!,-'1 Nim d-ILn %D!h Oim Olri Nim chill Ip:N oo m c,. -i NIM vILn to h,d!Q1 OIv-1 41M !Ln tole 0!01 :Ln Ln, In In In %071,0 ID!%D LO IW %D!LD IDIW hIh nlh.n!N h:h n:n 00j00, 00;00 0 00 0000.0100 01 01 01;01 Mm O1 m MIM M m;p 01!01 01.01 01101,01;m milm 01101 01101 01:01,01101 01:01 01j!T 01!01 01!01 0101 01;01 01:01 0101'01'01 01101 01':01 01101 June 20, 2018 San Bernardino Office of the City Manager I Andrea M. Miller, City Manager Subject: Fiscal Year 2018119 Proposed Budget Transmittal Letter Honorable Mayor and Members of the City Council: In accordance with Charter section 401(f) and the San Bernardino Municipal Code, it is my pleasure to present the City of San Bernardino's Proposed Operating Budget and Capital Improvement Program (CIP) totaling $212,303,005 million for Fiscal Year 2018/19. This Proposed Budget implements the policy direction provided by the Mayor and City Council through their 2018-2019 Goals and Objectives (Resolution No. 2018- 130; adopted March 5, 2018) and serves as a financial plan for the continued improvement of the quality of life for San Bernardino's residents and businesses. The Budget is comprised of two documents: Proposed Operating Budget and the Five - Year Capital Improvement Program (CIP) for the City of San Bernardino, excluding the City's Water Department. The Operating Budget provides an overview of each operational unit's activities and programs included in the budget for the upcoming year. The Operating Budget Detail includes detailed information at the revenue and expenditure account levels. The City's comprehensive capital spending plan for the forthcoming years is presented in the Five -Year CIP. The Proposed Operating Budget, including transfers, for FY 2018/19 is $166,238,728 (this includes $126,191,821 in the General Fund and $40,046,907 in other funds that include Special Revenue, Enterprise Operations, and Internal Services). The Total Proposed Budget, which includes the Operating Budget and CIP, of $212,303,005 represents a $30 million increase over the FY 2017/18 Adopted Budget and CIP, or 16% growth. Similar to the FY 2017/18 Adopted Budget, the primary driver for the increase continues to be the Capital Improvement Program where significant investments are planned for FY 2018/19. The General Fund represents $126 million, a modest $6 million, or 5%, increase over the prior year budget. This Proposed Budget includes a projected increase in revenues of $7 million, or 6%, which includes the anticipated $1.8 million in revenue from the County of San Bernardino as a result of the Amendment to the Vehicle License Fee (VLF) Swap Agreement between the City and the County reducing the share of VLF revenues transferred to the County for fire protection that was approved by the Mayor and City Council in April 2018. The Proposed Budget includes the reduction of 25 full - 290 North D St, San Bernardino, CA 92401 1 P: 909-384-5122 1 F: 909-384-5138 1 www.SBCity.org time positions, eliminated through attrition, the elimination of positions that have been unfilled for a number of years and a limited number associated with improving operating efficiency, which reduces citywide staffing by 3% from the prior year (a reduction in General Fund staffing of 22 positions). Moderate maintenance and operation as well as utility rate adjustments and minor program enhancements are included in this budget in an effort to provide an improved level of maintenance and management of services and infrastructure to the community. These targeted increases were largely offset by the elimination of positions and reductions in other discretionary maintenance and operating costs. In light of the economic environment, the FY 2018/19 Proposed Budget is built to maintain existing levels of service, fund contractual/mandated obligations, and allocate available ongoing funding on a one-time basis to maintain flexibility to face uncertain fiscal impacts. An estimated $4.9 million in one-time and ongoing costs proposed by Departments for items such as new permitting and other updated software, replacement vehicles that have exceeded the useful life, tactical equipment, and program expansions were not included in this year's revenue projections. Throughout the budget process this year, we stressed with all departments and staff involved in budget development the need to examine the allocation and prioritization of existing resources before requesting additional funding. This was a critical step, as discussed in greater detail later in this correspondence, as the City's resources are limited and are expected to increase only modestly over the next few years and the demand for programs, services and maintenance remains high. At the same time, deferred maintenance and infrastructure needs are significant. The City is unable to meet the growing deferred maintenance and infrastructure needs into the future at the current funding levels. As a result, there are 25 positions proposed for elimination. There is 1 position being transferred within existing staffing to provide greater resources to meet this need. Full-time positions of 721 continue to be below peak levels of 1319 in FY 2007/08; and while significant restructuring has occurred, we are continuing to evaluate the workload and staffing in all Departments, in particular, those that supported the Fire Department and refuse division, to right size the organization given the changes to the operation as a result of the reduction in personnel. This Proposed Budget is balanced and includes adding $798,679 to General Fund reserves for emergencies, economic downturns, or unanticipated events. Further, the City's financial modeling reflects a deficit in future fiscal years without further structural changes, and revenue growth. Strategic Planning and 2018-2019 Goals and Objectives Successful cities focus on long-term goals, embrace change and transition, and position themselves to be successful into the future. San Bernardino is positioning itself among the successful cities throughout the state by engaging in meaningful discussions about the City's opportunities, setting a strong foundation of effective systems and policies, identifying long-term goals, and implementing change. Over the last several months, the Mayor, City Council and City Manager, with the guidance and support of an accomplished leader, have engaged in Strategic Planning sessions. The result is a shared vision of the future, a clear statement by the Mayor City of San Bernardino Page 2 of 21 and City Council about the job of the City and the paradigm under which we work and the expectations. The vision, job and operating paradigm adopted by the Mayor and City Council (Resolution No. 2018-130; adopted March 5, 2018) include; Vision WE ENVISION a world class city which capitalizes on its location, the diversity of its people and its economy to create a broad range of choices for its residents in how they live, work, and play. WE ENVISION a thriving city possessing a sustainable system of high- quality education, community health, public safety, housing, retail, recreation, arts and culture and infrastructure. WE ENVISION a vibrant economy with a skilled workforce that attracts employers who seek the unique opportunities the city has to offer and provide jobs that create citywide prosperity. WE ENVISION a model community which is governed in an open and ethical manner, where all sectors work collaboratively to reach shared goals. WE ENVISION a city that is recognized as the county's business and government center and a home for those seeking a sense of community and the best life has to offer. Job Statement The job of the City of San Bernardino is to create, maintain, and grow economic value in the community. Operating Paradigm The City of San Bernardino is a municipal corporation. The City Council functions as the elected Board of Directors of the corporation, the Mayor as the Chair of the Board, and the City Manager as the appointed CEO. The City needs revenue to pay for services and amenities to maintain the built environment. Income for the corporation comes directly or indirectly from anyone spending money in the City. They are investing in San Bernardino. Each of those investors has a choice whether to spend their money in City of San Bernardino Page 3 of 21 the City of San Bernardino or another jurisdiction. Therefore, the City is in competition for that investment. The level of service, the amenities, the breadth of choices of lifestyle and the quality of life help to determine where investors will choose to spend their money. Every single interaction we have is an opportunity to win or lose that investment. The 2018/19 Goals and Objectives that align with the vision were also adopted by the Mayor and City Council. These Goals and Objectives build upon the significant work that was undertaken in 2015 to engage the community in discussions about their vision for San Bernardino, service and infrastructure needs, and their expectations of local government, which resulted in 7 Priority Goals. More than 500 community members, neighborhood advisory groups, representative of organizations such as the school district and community college district, non -profits, and faith -based organizations participated in these meetings, and the Priority Goals that were established through these discussions served as the foundation and evolved, and the 2018/19 Goals and Objectives reflect the ideas, needs and perspectives obtained through this earlier work. The 2018/19 Goals and Objectives follow: San Bernardino Mayor and City Council 2018119 Goals & Objectives Implement the City Vision a. Ensure that all staff members are aware of the direction provided by the Mayor and City Council through the City Vision, Goals and Objectives, Paradigm and Job Statement. b. Develop programs and operating systems to publicize, promote, support and implement the guidance provided by the Mayor and Citv Council. 2. Provide for the Safety of City Residents and Businesses a. Utilize City programs to reduce crime and ensure that neighborhoods and business areas are safe. b. Recruit and retain the highest caliber public safety personnel. c. Maintain or improve emergency response times. 3. Create. Maintain and Grow Jobs and Erconomic Value in the Citv a. Provide clear policy direction, predictable decision-making, and efficient processing and program delivery to inspire confidence in investors and trust in the community. b. Emphasize business retention and expansion. City of San Bernardino Page 4 of 21 c. Utilize City resources to support the local economy and maximize job creation. 4. .Ensure Development of a Well -Planned. Balanced. and Sustainable a. Provide infrastructure designed for long term economic growth. b. Support a wide range of housing types and levels of affordability. c. Ensure that the City is clean and attractive. 5. Improve City Government Operations a. Implement the City Charter by maintaining clear roles and lines of authority. b. Develop and maintain consistent messaging. c. Ensure that employees know that they and their work are valued. d. Encourage collaboration by breaking down silos within the organization. e. Evaluate operations and performance through investment in the resources, technology and tools needed to continually improve organizational efficiency and effectiveness. 6. Operate in a Fiscally Responsible and Business -Like Manner a. Continue to implement the Plan of Adjustment. b. Develop a long-term budget plan and assessment of the City's built environment which brings City operations into both fiscal and programmatic balance, including funding of reserves for infrastructure and equipment maintenance and replacement. c. Invest City resources in ways which create more ongoing revenue to reinvest in maintaining and improving services. 7. Pursue City Goals and Obiectives by .Working with Other Agencies a. Work with Federal, State and regional governments and organizations to ensure San Bernardino receives its fair share of resources. b. Maintain close working relationships with the county, tribes and other governmental agencies. The vision, job statement, operating paradigm and 2018/19 Goals and Objectives are being shared throughout the City organization, in group and individual meetings with employees, in the employee handbook and new hire materials, included on the employee intranet, and published in City correspondence and agenda reports. Adherence to the expectations is now being evaluated as part of the annual performance appraisal process. The Proposed FY 2018/19 Budget reflects the Goals and Objectives adopted by the Mayor and City Council, and program and services are being evaluated and analyzed in relation to the Goals and Objectives and adherence reflected as part of the agenda preparation process. We are working, and will continue to do so, to change the culture of the City organization to reflect the values and City of San Bernardino Page 5 of 21 expectations adopted by the Mayor and City Council and ensure that the City's limited resources are deployed strategically to achieve the expected outcomes. Economic Outlook As we focus on tomorrow, we are mindful of where we have been and how far we have come. Over the last several years, the City of San Bernardino has seen many changes. Filing for bankruptcy protection in 2012 provided the opportunity for the City to restructure debt and pension programs to reduce costs and reorganize the operating structure including annexing into the County Fire Protection District and franchising refuse service. One of the important outcomes of the bankruptcy was the development of the 20 -Year Financial Model which now serves as a backbone of the City's financial planning process. This planning document provides the framework to maintain a structurally balanced budget by requiring financial discipline in making policy and service level recommendations. Key components of the model include planning for ongoing costs, analysis of future financial impacts of decisions made today as well as the reserve that allows us to deal with unexpected events, emergencies and economic downturns. The 20 -Year Financial Model allows the City to take a balanced approach, evaluate decisions in a long-term fiscal context and plan ahead. Much remains to be done, and we are continually evaluating opportunities to reduce costs, increase efficiency and effectiveness and maximize the use of the City's limited resources while at the same time working to build, broaden and diversify the City's revenues. Like other cities in California and throughout the Nation, San Bernardino saw significant drops in retail sales and property taxes, increased unemployment rates, and a cessation of new construction during the Great Recession. As the Nation slowly recovered, San Bernardino also slowly began its recovery beginning in about 2014. FY 2016/17 was the first year that sales tax and property tax exceeded the pre -recession peak in FY 2008/09. Put another way, it has taken 8 years to recover what was lost in the recession. During that same time utility, contract costs and other fixed overhead costs continued to rise. Last year, the City recognized that the recession had ended; jobs were growing, unemployment was increasing, wages were on the rise, and the economy was showing positive growth. In San Bernardino, the unemployment rate decreased from 12.3% in 2013 to 5.1% in March 2018. It is expected that for the next five years, the City will see similar or lower rates of unemployment. Statistically, the City is seeing year -over -year employment growth. Over the last 5 years, employment generated by companies in San Bernardino increased by 9,500 jobs from 71,500 in 2013 to 81,000 in 2018. The average payroll for businesses in the City and median household income increased slightly and are expected to continue to experience modest growth. Looking forward, our economic development strategy will focus on specific target industries where there is a nexus between the City's assets and opportunities for strong future growth. Tremendous efforts are underway to modernize the City's Development Code and Municipal Code with a solid foundation and high degree of flexibility. A hallmark of a world class community is a world class education system, and City of San Bernardino Page 6 of 21 partnerships with our local schools will help to develop employees for these new and expanded industries. At the same time, the Proposed Budget aims to make key strategic investments with the limited funding currently available through things like improved maintenance, infrastructure investment, workforce development and technology, building those assets that will prove to be the most profitable in the community we are building and the investment we are seeking. Creating economic success today and into the future requires that we focus on the core elements of a world-class community such as our streets, sidewalks, parks and other public amenities and building a full spectrum of housing options that include amenities, public gathering areas, highly designed landscape and architectural aesthetics and walkable, pedestrian - friendly communities with nearby dining, retail and service establishments. These are and will continue to be the key to attracting the types of jobs and employment opportunities desired. San Bernardino is beginning to experience positive economic growth. We cannot anticipate however that growth will solve the City's fiscal challenges. Fiscal restraint and a continuing commitment to identifying and implementing ways to operate more efficiently, provide programs and services in non-traditional manners, leverage the resources that are available, eliminate duplicative services, and develop partnerships with outside agencies and the private sector are critical as we transition into an era of modest economic growth and equally robust operating cost increases coupled with the significant costs of deferred maintenance and the need for infrastructure investment. It is important that San Bernardino not balance its budget using one-time growth and development revenues which are not sustainable for ongoing costs like personnel. Maintaining a conservative approach to a balanced budget based on sustainable revenues is fundamental. Continued economic development and growth is also critical to the future of San Bernardino. As a City that annexed into the Fire Protection District, San Bernardino receives less property tax than neighboring cities. As a result, economic development will be of primary importance to the City in providing excellent public services and facilities. As the City experiences increased interest by developers and investors and opportunities to develop vacant and underutilized property emerge, it is critical that decisions are made strategically and we work to ensure that each project contributes more revenue to the overall City than it consumes in services and costs. These strategies are consistent with the Goals and Objectives adopted by the Mayor and City Council to Improve City Government Operations, Operate in a Fiscally Responsible and Business -Like Manner, Ensure Development of a Well -Planned, Balanced, and Sustainable City, and Pursue City Goals and Objectives by Working with Other Agencies. Bud et Development and Policy, Guidelines The development of the Annual Budget, which includes the Proposed Operating Budget and Capital Improvement Plan (CIP), begins in December of each year. The process City of San Bernardino Page 7 of 21 begins with the dissemination of the budget preparation guidelines, including the policies and procedures to ensure that the preparation of the budget conforms to fiscal policies and guidelines established by the Mayor and City Council. Following the distribution of the budget development guidelines, a budget "kick-off' meeting is held with Department Directors and other key City staff members to review the economic climate and the budget development guidelines. Subsequent meetings focus on the Goals and Objectives adopted by the Mayor and City Council. Each year, staff is tasked with reviewing the operations, programs and service in the context of the Goals and Objectives. Additionally, justifications and explanations are required for the following: ■ Staffing level changes Purchase of capital equipment Contractual professional services ■ Travel and conferences. Before Department budget requests are submitted to the City Manager for review, the Finance Department reviews and analyzes the information and completes a comparative analysis of historical and current expenditure levels. The City Manager and the Finance Department staff then hold meetings with each Department to discuss the budget requests and obtain additional information to assist in the assessment of the requests. Requests are evaluated in the context of the larger City budget and the adopted Goals and Objectives and then presented to the Mayor and City Council for consideration at a series of public meetings. Thereafter, a Public Hearing is held, and the Proposed Budget is presented for adoption. All appropriations lapse at the end of the fiscal year. Outstanding encumbrance balances at fiscal year-end require re -approval by the Mayor and City Council early into the new fiscal year. Budget reports are presented to the Mayor and City Council and the public on a regular basis; however the Mayor and City Council may amend the budget at any time during the fiscal year. Budget reports include appropriation adjustments and revised revenue projections as needed. The following criteria (in no priority order) are used to evaluate future funding opportunities generated from budget savings. ■ Fund Balance Reserve - Establish a prudent General Fund balance reserve level of 20% of annual appropriations. ■ Equipment Replacement -- Establish and maintain adequate reserves to replace vehicles and equipment when they become obsolete. ■ Infrastructure - Provide the Mayor and City Council with a minimum of 5% of annual General Fund appropriations to be applied to discretionary infrastructure projects as defined in the Five -Year Capital Improvement Program. ■ Investment in Productivity Enhancing Equipment (Software, Tools, etc.) - Invest in new technology to promote maximum efficiency. City of San Bernardino Page 8 of 21 Enhance Neighborhood and Commercial Programs - Invest in the general appearance of the City's neighborhoods and commercial areas. Community Based Recreational and Cultural Services - Provide increased funding for recreational and cultural services that promote inclusiveness and strong sense of community. ■ Fully Fund Liabilities - Ensure sound fiscal health. Liabilities, such as accrued leave balances, must be fully funded. Budget Context and Significant Impacts The City's Proposed Budget is developed based on review of revenue and expenditure trends and projections. Within the policy framework set forth in the Charter, San Bemardino Municipal Code, Mayor and City Council policy and economic climate, this Proposed Budget maintains and strives to improve service levels and invest in strategic policy priorities and projects adopted by the Mayor and City Council. This Budget strives to have a long-term focus and, it is with that in mind, that the context and significant impacts addressed below are provided to add to a more robust conversation and long- term focus of the work that will need to continue to stabilize areas in our budget that require solutions and increase revenues. Key economic indicators are showing patterns that directly impact our budget projections. Below are additional topics that were considered when deliberating on this Proposed Budget and considering resource investment trade-offs against each other. Ca1PERS — The California State Public Employees Retirement System (CalPERS), the agency that manages the City's pension benefits, has taken steps to de -risk the system. There is no greater single factor of the City's budget impacting costs that we do not have policy control over, than retirement costs. In most cases, the City can control cost escalation by local policy actions to contain them. In this case, the management of this pension system is by a different board charged with managing the total fund, ensuring that CalPERS members receive the vested pension benefit, and issuing actions that require participating agencies' compliance. After two consecutive years of virtually no return on investments (upon which benefit payments depend), the FY 2017/18 Adopted Budget included a significant increase in San Bernardino's cost for pensions totaling an additional $5 million with further increases scheduled over 20 years to make up for the plan's unfunded status. Soon after, the CalPERS Board implemented a reduction in the assumed rate of return on investments from 7.5% annually to 7%. This is projected to have an additional impact on the annual unfunded liability payment of $4 million in FY 2018/19 with further increases scheduled over 20 years. Combined, this year's proposed budget assumes another $9 million more, or approximately $14 million over the two fiscal years as compared to payments made in FY 2016/17. To simplify, in order to fund these increased mandated costs, the City is required to generate approximately $9 million of new revenue this year to support this benefit. With CaIPERS' long-term projections, this is equivalent to an additional investment of at least $400 million over the next 20 years. City of San Bernardino Page 9 of 21 CaIPERS is considerably underfunded. Further significant reforms to the system will be required to stabilize it in the short- and long-term. California public agencies that are CaIPERS members will face additional corrections; however, given our the 20 -Year Financial Modeling and fiscal focus, which requires that we begin to plan for the inevitable fiscal impact and understand the fiscal conditions that result from absorbing additional costs, implemented as part of the Bankruptcy process, we have the opportunity to understand the significant constraint on operating budgets in future years, prepare, and work to manage services and resources in the long term. Unfunded Pension — This Proposed FY 2018/19 Budget projects the City's Unfunded Liability for pension costs at $348 million ($245 million Public Safety and $103 million Miscellaneous). This is up $68 million from last year due to poor investment returns. Additionally, the change in the discount rate lowers the project funded status of City's pension plans from the prior year's projection. The CaIPERS actions discussed above are requiring that the City address the Unfunded Liability over time. For FY 2018/19, the pension Unfunded Liability payment totals approximately $20 million. This climbs to $40 million in 10 years. The cost is roughly split 70%/30% between public safety and miscellaneous employees, despite a much smaller number of safety employees. The CaIPERS Plan for the City is currently 70% funded and projected to be nearly fully funded in 20 years. Unfunded Infrastructure/Deferred Maintenance — In the face of rising personnel cost challenges and increased demand for service, the City also faces continued challenges with unfunded or underfunded infrastructure and deferred maintenance. Infrastructure is aging across the City and maintenance has been deferred on most systems for more than 20 years. Especially troubling is that deterioration rates accelerate as the systems age. A list and assessment of unfunded projects based on the information available at the time of this correspondence is provided as part the Overview of the Capital Improvement Plan (CIP). As alarming as this issue may sound, infrastructure maintenance and replacement is a national issue and has been discussed significantly at a state and federal level. The City of San Bernardino's infrastructure is significantly outdated requiring an investment conservatively estimated at $9.7 million each year simply to preserve the current position and not fall further behind. The current backlog of deferred maintenance is projected conservatively at $182.2 million. This figure does not include the capital replacement costs related to buildings, equipment and other assets which have exceeded the useful lifespan and require replacement. Employee Attraction and Retention — As a service delivery organization, the majority of the operating expenditures are the salaries and benefits costs for our employees. Our ability to achieve the Mayor and City Council's Goals and Objectives, improve service delivery, address infrastructure and deferred maintenance challenges, and build a safer, more desirable community positioned for investment is directly related to our ability to attract and retain a capable, talented workforce. The City has focused on managing compensation costs and will continue this effort to ensure our financial sustainability over the long term while working to provide sustainable and competitive compensation. City of San Bernardino Page 10 of 21 Funding Challenges — The Proposed FY 2018/19 General Fund Budget initially reflected a revenue gap of $5 million; through the budget process and earlier discussions with the Mayor and City Council about potential opportunities, the City staff was able to identify operational changes to reduce costs including contracting for additional maintenance services rather than filling vacant positions; reducing costs for professional/contractual services by reprioritizing projects and planning to complete projects internally; and reallocating costs to other funding sources; and restructuring operations. Additionally, there was an increase in estimated revenues including the addition of $1.8 million in revenue from the County as a result of the Amendment to the VLF Swap Agreement reducing the share of VLF revenues transferred to the County for fire protection. The goal was to ensure costs were contained to the extent possible to allow room for the Mayor and City Council and the staff to consider using the excess funds towards the emerging gap in funding for infrastructure and other priorities. We will continue to prioritize operating and capital needs as we move forward to properly sequence the needs to available funding. Within these priorities, we will need to make key decisions on a number of projects programs and services that will have lasting impact. Based on the Financial Model, in the coming year, a deficit, which we were able to close, was initially projected based on the anticipated increases in pension costs and unfunded liabilities as well as increased operating costs. While we were able to close this gap in this year, the modeling anticipates this gap will grow to nearly $4.3 million in FY 2019/20 and to over $7 million in FY 2022/23. With an average deficit of $6 million per year, the City's current reserves of about $30 million would be depleted in 5 years, or by FY 2023/24. Further exacerbating the City's financial position, the CIP is currently proposed at $46 million; however, based on updated estimates and the desire to meet minimum standards, the emergent gap in necessary resources to address the backlog of deferred maintenance is conservatively estimated at $182.2 million. To simply preserve the current condition of the City's infrastructure and not fall further behind, the City will need to invest $9.7 million (conservative estimate) each year. As addressed previously, these figures do not include the capital replacement costs related to buildings, equipment and other assets which have exceeded the useful lifespan and require replacement. We are currently assessing the City's capital investment and determining replacement costs for future discussions. Strategies to address the gap and position the City to meet the ongoing operational needs and address the long-standing deferred maintenance and capital replacement will need to be developed over the next year. We are continuing to assess our resources and delivery of services. Programs such as animal control shelter and field service, fleet maintenance, print shop, graffiti abatement, payroll processing, library service and other programs will continue to be explored in the context of the Goals and Objectives and legal requirements, and opportunities to reduce costs presented for consideration by policy makers. Other opportunities such as consolidating functional City of San Bernardino Page 11 of 21 areas, eliminating duplicative services, and spreading administrative and overhead costs will also be explored in the context of the Charter and Municipal Code and opportunities presented for consideration. While the FY 2018/19 Proposed Budget reflects the longer-term goals of the Mayor and City Council, it highlights the need to continue to become more efficient in our service delivery and build a stronger, more diversified revenue base. FY 2018/19 Proposed Operating Budget Highlights The FY 2018/19 Proposed Operating Budget totals $166 million and includes all City operations and project expenditures as well as transfers. Citywide budgeted expenditures are funded from multiple sources that include general taxes and revenues (the General Fund), restricted enterprise funds, restricted special revenue funds such as Housing and Gas Tax, and grant funding which include transportation related grants, Restricted funds comprise $22 million of the budget. The total City budget, including the CIP, is up 16% over FY 2017/18 primarily due to new and planned capital projects as well as increases in personnel costs. Citywide operations, which total $166 million are up 5% due primarily to increases in costs for employee pension and compensation costs. The total CIP budget is up $23 million, or twice that of the prior year. It is important to note that much of this increase was already planned in the FY 2017/18 Budget and reflects funding for further phases of the planned projects. The City's General Fund, which accounts for 76% of the citywide budget, has proposed expenditures of $126 million. FY 2018119 Pro osed Bud et There are three key elements to the City's operating budget and CIP that provide the financial picture of the City for both the short- and long-term: revenues, expenditures and reserves. The following sections discuss the highlights, key assumptions and changes included in this Proposed Budget for each of these elements. It is important to note these elements are budgeted into specific funds, such as the Gas Tax Fund, primarily to ensure that revenues restricted to specific purposes are spent for those purposes. City Revenues and Resources The City relies on many sources of revenues to fund services to the community at a stable and sustainable level. The largest revenue categories are taxes and service fees. The chart below reflects the estimated FY 2018/19 revenues by type. City of San Bernardino Page 12 of 21 FY 2018-19 Citywide Revenues Total $168,814,699 Charges for services Fines and forfeitures Franchise Tax Impact fees Intergovernmental Licenses & permits Measure Z Sales Tax Miscellaneous Other Taxes Property Taxes Sales and Use Tax Transfers in Use of Money and Property Utility Users Tax Total Citywide Expenditures 1% 0% City of San Bernardino Citywide Revenues 2016117 Actual Amount 24,475,868 2,360,243 10,407, 926 2,690,413 36,433,638 10,645,486 8,559,046 8,024,491 8,292,312 12,983,755 33,959,397 7,411,103 1,360,701 23,591,923 191,196,302 Charges for services it Fines and forfeitures Franchise Tax n Impact fees ■ Intergovernmental Investment income w Licenses & permits a Measure Z Sales Tax w Miscellaneous ■ Other Taxes ■ Property Taxes w Property Taxes in Lieu of Sales Tax Sales and Use Tax • Taxes Transfers in Use of Money and Property a Utility Users Tax 2017118 FY 2018/19 Projected Proposed Budget Budget 20, 700,000 19, 852, 569 2,100,000 1,995,000 9,000,000 9,915,000 2,500,000 - 19, 500, 000 18, 853, 922 11,000,000 10,105,000 8,400,000 8,600,000 8,500,000 9,962,208 7,500,000 8,521,926 15, 000,000 16,399,074 35,300,000 36,750,000 1,000,000 1,300,000 2,500,000 1,310,000 25,000,000 25,250,000 168,000,000 168,814,699 Taxes Taxes, imposed by a government for the purpose of raising revenue to support governmental activities, are distinctly different from fees in that a tax does not need to be levied in proportion to the specific benefit received by a person or property. City of San Bernardino Page 13 of 21 Therefore, almost all of the City's tax revenues are in the General Fund, the primary general purpose fund of the City. Taxes account for 67% of the total revenues in the General Fund, supporting many of the most visible and essential City services such as police, road maintenance, libraries and parks maintenance. The one major tax revenue accounted for in a separate fund is the Gas Tax, which is levied and distributed by the State. Gas Tax funds must be spent on maintenance and capital projects related to public streets and highways. The revenue projections for the top tax revenues in FY 2018/19 are included below. Taxes as a Percentage of Citywide Revenues 22% 25% 20.3/0 15% 15% 10•/0 S% 5% r 2°r° `a+ A ab c� \ey day �eay� Property tax revenue has continued to experience strong growth. The increased revenue is due to property sales and new construction in both the residential and commercial real estate markets. San Bernardino home sales prices have increased with an average sale price of $251,750. Revenues from the residential sector increased 5.7% in FY 2017/18 while the commercial/industrial sector experienced 5.2% growth. As a result of the annexation of the City into the County Fire Protection District, the County retains the Ad Valorem portion of the property tax, which is used to fund fire protection services in the City, and the City retains a portion of the VLF. This City benefits from this growth as it impacts both the Ad Valorem tax and the VLF. Sales tax continues to provide stable returns, projected to increase modestly by 4% over the prior year. Transient occupancy tax (TOT) has shown significant growth over recent years, coming in above estimates for FY 2017118 and anticipated to grow by 4% in FY 2018119. City of San Bernardino Page 14 of 21 Utility Users tax (UUT) revenue, generated from the sale of electricity, telecom services, and the sale of gas, is forecasted to grow moderately in the FY 2018/19 Budget. The forecast is driven by the increase in energy efficiency improvements. Measure Z revenues are projected to grow by only 2% because the State Board of Equalization, which administers the sales tax program, identified minor miscalculations that are being corrected in FY 2018/19. Gas tax, levied as a flat rate per gallon sold, is projected to increase substantially in FY 2018/19 based on a full year of receipts since the State's new gas tax increases became effective. Service Fees Service fees represent 3.5% of the City's General Fund. A diverse set of fees are charged to recover all or a portion of the City's costs for providing a service or access to public property, or for mitigating the impacts of the fee payer's activities on the community. Intended for cost recovery, a fee may not exceed the estimated reasonable cost of providing the service or facility for which the fee is charged. Because of this basis and the legal restrictions related to the expenditure of many of the fees, many of the City's fees are accounted for in separate funds. Development -Related Fees include all development -related fees (e.g. plan check fees, inspection fees and permit application fees) and related expenditures. Development - related fee revenues are highly volatile and, as large development projects take many years to complete, expenditures related to specific fees can often occur in fiscal years later than the one in which the revenue was collected. Development Impact Fees are imposed to mitigate the impact of a development on the community. Impact fees have strict requirements, set by state government code, that require fees to be roughly proportional to the impacts of the project and imposed for purposes related to the impacts of the project. Therefore, each of these fees is accounted for separately in its own fund. The City collected $3 million in revenue from these fees in FY 2017/18. Based on year-to-date figures and approved projects, we estimate collecting a similar amount in FY 2018/19. Other Revenue Sources The remaining revenue sources are varied including franchises, rents, fines, licenses and interest income. There are also one-time revenues in this category such as bond proceeds, federal and state grants and sale of property. Highlights of other revenue sources are discussed below. Debt Financing -- Debt financing is used as a tool to maintain long-term financial stability by paying for certain expenditures over time. Debt financing is a tool for managing cash flow when large, one-time outlays are required, generally for large infrastructure projects. The City currently carries limited General Fund debt for pension obligations, the City yard as well as small residual balances for equipment. City of San Bernardino Page 15 of 21 Sale of Property — One-time in nature, proceeds from the sale of property go to the fund that owned or purchased the property. Proposed Expenditures by Department and Type City expenditures fall into three broad categories: operating, projects and equipment, and debt service. Operating expenditures make up most of the City's expenditures. ■ 37% FY 2018-19 Cit«vide Expenditures Total $166,238,728 a M&O /Contractual * Benefits Credit/billables Debt Service E Internal Service Charges Salaries Transfers Out City of San Bernardino ` Citywide Expenditures I 2016117 2017/18 FY 2018/19 Actual Projected Proposed Amount Budget Budget Salaries 55,974,595 58,000,000 63,821,563 Benefits 21,650,233 31,000,000 35,301,323 M&O / Contractual 103,190,871 70,000,000 50,518,006 Capital Outlay 478,075 - - Credit/billable (77,475) (500,000) (2,231,249) Debt Service 12,937,586 3,000,000 3,166,870 Internal Service Charges 11,783,688 19,000,000 14,362,215 Transfers Out 7,411,103 1,000,000 1,300,000 Total City-wide Expenditures 213,348,675 181,500,000 166,238,728 City of San Bernardino Page 16 of 21 The City departments are becoming more integrated and are working more collaboratively to deliver services and achieve the goals, objectives and performance and service standards established by the Mayor and City Council, and this more collaborative, service-oriented .culture will continue to be developed and refined in the next year. The City is organized into 12 operating departments (including General Government which represents a budgetary mechanism to account for those costs that are not directly applicable to any one department) and the legislative offices of the Mayor and City Council. The table below summarizes the changes in the budget for each department. City of San Bernardino General Fund Summary Department Analysis FY 2017-18 FY 2017-18 Overall, the Proposed Operating Budget increased by 5% across all funds. The most significant change is related to pension cost increases as well as changes in employee base compensation related to negotiated salary increases which impacted all City departments. These costs were funded, in large part, through the elimination of the 25 positions that had been vacant for some time or through attrition. Additional highlights, by department, include: • General Government— the decrease is due to the redistribution of costs formerly in this departmental budget to the City department with primary responsibility for the contract or expenditure. This is intended to promote accountability and management of the functions. City of San Bernardino Page 17 of 21 FY 2017-18 Budget Projected Budget Proposed Budget Mayor 740,859 731,635 681,420 City Council 884,104 857,498 951,736 City Clerk 927,464 934,279 897,554 City Attorney 3,272,903 3,410,146 3,128,333 General Government 10,817,715 9,686,137 7,213,532 City Manager 2,742,985 2,656,438 3,266,754 Human Resource 1,069,888 1,010,569 1,080,077 Finance 4,116,262 3,830,143 3,719,035 Economic & Housing Development 1,419,461 1,124,146 1,022,563 Community Development 3,902,143 3,690,081 3,760,899 Police 75,750,496 72,756,530 81,101,386 Parks Recreation & Community 7,516,176 7,451,306 8,218,566 Public Works 8,701,907 8,433,347 9,304,091 Library 1,657, 911 1,646,818 1,845,876 Expenses Total 123,520,272 118,219,073 126,191,821 Overall, the Proposed Operating Budget increased by 5% across all funds. The most significant change is related to pension cost increases as well as changes in employee base compensation related to negotiated salary increases which impacted all City departments. These costs were funded, in large part, through the elimination of the 25 positions that had been vacant for some time or through attrition. Additional highlights, by department, include: • General Government— the decrease is due to the redistribution of costs formerly in this departmental budget to the City department with primary responsibility for the contract or expenditure. This is intended to promote accountability and management of the functions. City of San Bernardino Page 17 of 21 • Legislative Offices — the budgets related to the office of the Mayor and City Council have been consolidated to more appropriately reflect the legislative, policy making function of the City. Overall, the costs in this department have remained relatively stable and reflect pension cost increases and negotiated salary adjustments consistent with the operating departments. • City Clerk — reflects the elimination of one position through attrition. The increase is attributable to the November election. • City Attorney — the decrease reflects the reduction in positions. During the Proposed Budget development process, there had been discussions with the City Attorney related to the Organizational Assessment of the City Attorney's Office requested by the City Attorney and completed by Management Partners in May 2018. Initially, these discussions focused on the elimination of three positions in the City Attorney's Office that had been vacant since FY 2015/16 including the City Attorney Investigations Supervisor, Administrative Analyst I, and Office Assistant positions. Thereafter, two Deputy City Attorney positions became vacant. During the presentation of the assessment findings, the City Attorney suggested the intent was to begin transitioning the Department based on the recommendations in the Assessment and planned to engage an experienced municipal attorney from an outside firm on an interim basis of one-year with evaluation in subsequent years to modernize the office and expand the City prosecutor program through a contract with an outside law firm. Due to funding constraints, it was agreed the two additional positions would be eliminated and the funding allocated to contract services, with the expectation the modernization would result in a more cost effective approach to the provision of legal services. This was incorporated into the FY 2018/19 Proposed Budget and the expenditure levels reflect this change. Since then, the City Attorney has presented to the Mayor and City Council the City Attorney's Action Plan dated May 1, 2018, which reflects an implementation timeline into 2020. o The FY 2018/19 Proposed Budget for the City Attorney's Office as proposed is $3,128,333 and includes $1,327,235 in salary and benefit costs and $1,343,565 in maintenance and operations ($250,000 for the contract attorney responsible for modernization and $100,000 for the City Prosecutor services). o Given the changes to CaIPERS and negotiated salary adjustments, if the two vacant Deputy City Attorney positions are added and the contract attorney services (modernization and prosecution) are eliminated, the total FY 2018/19 Proposed Budget for the City Attorney's Office would decrease by $87,211, from $3,128,333 to $3,041,122. o If all five positions (3 extended vacancies and 2 recently vacated positions) are added and the contract attorney services (modernization City of San Bernardino Page 18 of 21 and prosecution) are eliminated, the total FY 2018/19 Proposed Budget for the City Attorney's Office would increase by $153,538, from $3,128,333 to $3,281,871. During the study session meetings, following the discussion related to the City Attorney's Office proposed budget, the Mayor and City Council requested that the City Manager issue a Request for Proposals for Municipal Services from qualified law firms. In May 2018, letters were issued to firms and the request was posted on the City's website. Proposals are anticipated and will be explored with the Mayor and City Council. Direction provided following the review and analysis of the proposals may positively affect the proposed budget and result in an increased contribution to the reserves for economic uncertainty, emergencies or unanticipated events. City Manager — as noted above, the City Manager was on the receiving end of some of the costs redistributed from General Government. This was primarily related to the costs associated with the Violence Intervention Program approved by the Mayor and City Council in 2017. This department is also responsible for the recently approved contract for communications and public relations services. The costs related to these contract services are funded partially through the reallocation of funds budgeted for other outreach and marketing efforts. • Human Resources — the decrease is primarily due to anticipated savings related to the excess insurance and property insurance costs. • Finance Department — the decrease is due to a reduction in the professional services line item for management of the annual audit requirement and the transfer of one position to the Public Works Department. Economic Development and Housing — the major change in this activity is related to improved maintenance of City, Housing and Successor Agency owned properties. • Community Development — the increases are related to costs associated with the Downtown parking study and specific plan, environmental review of the anticipated Carousel Mall development and implementation of the new cannabis ordinance, Verdemont specific plan, and public outreach related to unreinforced masonry code updates as well as additional funding for inspection services to provide greater customer service. The Proposed Budget continues funding the archival of construction plans an, FEMA plan review of qualifying projects. • Police Department — the increase is essentially related to the increase in the costs paid to CalPERS for pension obligations and negotiated salary adjustments. City of San Bernardino Page 19 of 21 • Parks Recreation and Community Services — the department is expanding programming for youth sports; additionally, an increase in parks maintenance service is funded to heighten the level of service in all City parks. • Public Works — the increase is related to the transfer of one position from the Finance Department and increased funding for street maintenance and maintenance of the City's urban forest. • Information Technology — the costs have remained relatively stable and reflect increases in pension costs and negotiated salary increases which have largely been offset by reductions in other categories. • Library — minor increases are provided for the funding of books and materials. The proposed budget continues full funding of the existing service levels at the Central Branch and three branch libraries. Detailed explanations of the proposed changes to each of the Departments and programs are included in the attached FY 2018/19 Proposed Budget Detail. City Reserves One of the most powerful aspects of the multi-year financial planning model implemented by the City through the Bankruptcy process is its capability to recognize trends over time and begin at an early point to consider the necessary steps to alter the long-term forecasted position of a particular fund through the establishment of a healthy reserve account in the City's General Fund. The City's General Fund Reserve at year- end is projected to be $32.8 million, or 25% of the City's FY 2017/18 Operating Budget. This is a reasonable reserve amount given the City only maintains one reserve account. A best practice is to establish and maintain multiple reserve accounts for circumstances such as economic uncertainty, capital investment, and equipment replacement. Over the next year, we will develop proposed reserve policies and reserve accounts based on industry standards and best practices for Mayor and City Council consideration. Total Reserves in the General Fund increase or decrease depending upon the relationship between the total current revenues and total current expenditures. Put simply, when revenues are greater than expenditures and transfers, money is put into the reserves, and when expenses are higher, money is taken out. Through the City's financial modeling, a deficit, which we were able to close in the FY 2018/19 Proposed Budget, was initially projected based on the anticipated increases in pension costs and unfunded liabilities as well as increased operating costs. The modeling anticipates this gap will grow to nearly $4.3 million in FY 2019/20 and to more than $7 million in FY 2022/23 without further adjustments. The reserves contained in the General Fund play a pivotal role in the City's multi-year planning strategy by allowing the City to make strategic, course adjustments when revenues fall short of anticipated expenses in a given year such as during economic downturns. Reserves are also vital in emergencies or natural disasters such as earthquakes or fires where extraordinary, City of San Bernardino Page 20 of 21 unexpected expenses are incurred and also position the City to be flexible enough to take advantage of unexpected opportunities that may arise. Conclusion In summary, the FY 2018119 Proposed Budget focuses on deploying resources strategically to meet the increasing demands of the community and improve the City's infrastructure while continuing to maintain a sustainable financial position for the long- term. It supports San Bernardino's commitment to being strategic, prudent, and thoughtful in its long-term budgeting. It allows resources to continue advancing the policy priorities set by the Mayor and City Council and begins to invest in infrastructure to modernize and improve service to the community and encourage investment. While we will continue to be faced with challenges such as long-term compensation costs for our employees, rising pension and benefit costs, and deferred maintenance and underfunded infrastructure, with continued prudent fiscal planning and thoughtful deliberation in setting priorities and establishing service delivery models, the City is well positioned to address the financial issues and challenges and develop new solutions. With a continued focus on community engagement and collaboration, we will find solutions to the challenges presented and continue to build San Bernardino's reputation. This Proposed Budget presents a responsible, sustainable, conservative and balanced plan for the future San Bernardino, and like other cities throughout the state, more work is required to remain competitive and sustainable in future years. The FY 2018/19 Proposed Budget strives to achieve our priority — building a strong fiscal foundation to provide quality services, encourage investment, and provide a high quality of life for the community. Sincerely, CITY OF SAN BERNARDINO Andrea M. Miller City Manager City of San Bernardino Page 21 of 21 Fund / Title City of San Bernardino FY 2018-19 Summary of Revenues, Expenditures, and Transfers Estimated Balance 7!1!2018 Additions Revenues Transfers Total In Available 001 General 32,000,000 126,990,500 158,990,500 Special Revenue Funds: 3,236,800 - - 107 Cable tv fund 818,400 295,000 1,113,400 108 Asset forfeiture 3,213,300 220,000 3,433,300 111 AB2766 air quality 617,600 260,000 877,600 116 Emergency Solutions Grant 14.231 277,360 323,222 323,222 117 Home Improvement Part 14.239 - 788,568 788,568 118 Gang and street asset forfeiture 199,000 - 199,000 119 CDBG - 4,591,861 4,591,861 120 Neighborhood Stabil. Prog(NSP1) 600,000 277,360 877,360 122 Neighborhood Stabil Prog(NSP3) - 904,500 904,500 123 Federal grant programs 2,105,600 122,498 2,228,098 124 Animal control - 651,600 1,300,000 1,951,600 128 Traffic safety 1,900,000 330,000 2,230,000 Total Special Revenues: 9,453,900 8,764,609 1,300,000 19,518,509 Capital Projects Funds: - 7,724,900 - 126 Gas tax fund 130,000 9,065,621 9,195,621 129 Measure 11/2 Cent Sales & RdTax 12,114,100 3,800,000 15,914,100 208 Verdemont capital project 284,700 - 284,701) 242 Street construction fund 1,616,800 - 1,616,800 243 Park construction fund 140,000 - 140,000 246 Public improvement fund 1,075,600 - 1,075,600 247 Cultural development constructio 4,165,000 - 4,165,000 248 Storm drain construction 7,724,900 - 7,724,900 258 Prop lb - local street 46,500 - _ 46,500 Total Capital Projects: 27,297,600 12,865,621 - 40,163,221 Assessment District Funds: 254 Assessment District: 25,000 1,221,926 1,246,926 Impact Fee Funds: 261 Law enforcement facilties DIF 420,000 - 420,000 263 Local regional circulation 1,365,200 - 1,365,200 264 Regional circulation system 12,783,400 - 12,783,400 265 Library facilities and 70,200 - 70,200 266 Public use facilities 530,200 - 530,200 267 Aquatics facilities 156,800 - 156,800 268 AB 1600 parkland and op 1,239,700 - 1,239,700 269 Quimby act parkland 1,105,200 _... - ... .......- ... 1,105,200 Total Impact Fee Funds: 17,670,700 - 17,670,700 Deductions Transfers Expenditures Out 124,891,821 1,300,000 Estimated Total Balance Deductions 6/3012019 126,191,821 32,798,679 210,500 210,500 902,900 196,500 196,500 3,236,800 - - 877,600 323,222 323,222 - 788,568 788,566 - 95,000 95,000 104,000 4,592,564 4,592,564 (703) 277,360 277,360 600,000 904,500 904,500 - 1,594,041 1,594,041 634,057 2,567,859 2,567,859 (616,259) 600,000 600,000 1,630,000 12,150,114 - 12,150,114 7,368,395 6,266,744 6,266,744 2,928,877 1,650,000 1,650, 000 14,264,100 - - 284,700 1,616,800 - 140,000 - 1,075,600 300,000 300,000 3,865,000 - - 7,724,900 - - 46,500 8,216,744 - 8,216,744 31,946,477 1,477,265 1,477,265 (230,339) Enterprise Funds: 527 Integrated waste Management 3,090,000 600,000 3,690,000 1,070,741 420,000 - 1,365,200 - 12,783,400 - 70,200 - 530,200 - 156,800 - 1,239,700 - 1,105,200 17,670,700 1,070,741 2,619,259 Internal Service Funds: 629 Liability insurance fund 2,100,000 2,354,179 4,454,179 2,354,179 2,354,179 2,100,000 635 Fleet services fund 206,900 3,829,807 4,036,707 3,829,807 3,829,807 206,900 678 Workers compensation - 5,606,044 5,606,044 5,606,044 5,606,044 0 679 Information technology - 4,682,940 4,682,940 4,742,940 4,742,940 Total Interal Service funds: 2,306,900 16,472,969 - 18,779,869 16,532,969 - 16,532,969 2,306,900 Agency Funds: 710 Succesor Agency 599,074 599,074 599,074 599,074 Total All Funds 91,844,100 167,514,699 1,300,000 260,658,799 164,938,728 1,300,000 166,238,728 94,480,071 City of San Bernardino General Fund Summary 2018-19 Proposed Budget Expenses 010 FY 2018-19 681,420 Proposed General Fund Revenues Budget Charges for services 4,532,000 Fines and forfeitures 1,696,000 Franchise Tax 9,645,000 Intergovernmental 1,780,000 Investment income 440,000 Licenses & permits 9,925,000 Measure Z Sales Tax 8,600,000 Miscellaneous 4,512,500 Other Taxes 7,300,000 Property Taxes 15,800,000 Sales and Use Tax 36,750,000 Use of Money and Property 760,000 Utility Users Tax 25,250,000 Revenue Total 126,990,500 Expenses 010 Mayor 681,420 020 City Council 951,736 030 City Clerk 897,554 050 City Attorney 3,128,333 090 General Government 7,213,532 100 City Manager 3,266,754 110 Human Resource 1,080,077 120 Finance 3,719,035 130 Economic & Housing Development 1,022,563 180 Community Development 3,760,899 210 Police 81,101,386 380 Parks Recreation & Community 8,218,566 400 Public Works 9,304,091 470 Library 1,845,876 Expenses Total 126,191,821 Surplus (Deficit) 798,679 F - z W Y. 0. 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C m 0 O 0 N r - O O O n O O 0 3 0 m O00 0 OO OOO O O 0 O N L O C14 N Q ti OO 00 O 0 O O`O (p O O O O O O 0 O 0 0 0 (O (D ai r C6 vi P O 0 0 M N 3 a y 0 U (D U) N EO ar 0 CL E O a>i U C atm C m 0 U CL O) O N UEO O 'y d C C O U O y >p L U C y FE y -C O 0 m Y C* U 6- 0 O > a' .O. d (p 0 0 m E E O UC m M E M of ui 0 V G C m E ��_' +T > O 0 C 7 y.2 N O 7 C U U U U U U w lL = J J IL LL a O 0 N r - O O O n O O 0 3 0 Exhibit B CITY OF SAN BERNARDINO 2018-2019 APPROPRIATION LIMITATION COMPUTATION Article XIIIB of the California Constitution (enacted with the passage of Proposition 4 in 1979 and modified with the passage of Proposition 1 f f in 1990) restricts the appropriations growth rate for cities and other local jurisdictions. The growth rate is tied to changes in the population and the change in California Per Capita Personal Income. In May 2018 the State Department of Finance notified each city of the population changes and per capita personal income factor to be used in determining appropriation limits. Effective May 1, 2018, the change in the Califomia Per Capita Personal Income is 3.67% and the change in the County of San Bernardino's Population is 0.95%. Using the population and per capita personal income data provided by the California Department of Finance, the City's appropriation limit for Fiscal Year 2018-19 is $355,083,601. Appropriations subject to the limitation in the 2018-19 Budget total $101,500,00 which is $253,583,601 less than the computed allowable limit. Appropriations Limits FY 2017-2018 Appropriations Limit FY 2018-2019 Adjustment Factors Percentage Change in Per Capita Personal Income Percentage Change in Population Appropriations Change Factor (3.67% x 0.95%) FY 2018-2019 Appropriations Limit (Prior Year Appropriations Limit x Appropriation Change Factor) FY 2018-2019 APPROPRIATION LIMIT TOAL FY 2018-2019 APPROPRIATIONS SUBJECT TO LIMITATIONS r-(OVER)IUNDER APPROPRIATION LIMIT 339,290,105 3.67% 0.95% 1.04654865 355,083,601 355,083,601 (101,500,000 253,583,601. City of San Bernardino GANN Limit Calculation For the years 2014-2018 Exhibit B (f) (g) (b) Ending Change Appropriation Factor (a) Percentage (c) (d) 289, 800,429 Appropriation Beginning Change in Percentage Percentage (e) Limit Appropriation Per Capita Change in Change in Greater of Year Limit Personal Income Count, Po ulation q Po. ulation (c) or (d) 2013-2014 2014-2015 288,220,388 -0.23% 0.78% 0.41% 0.78% 2015-2016 289,800,429 3.82% 1.09% 0.65% 1.09% 2016-2017 304,150,298 5.37% 0.93% 0.76% 0.93% 2017-2018 323,463,662 3.69% 1.16% 0.60% 1.16% 2018-2019 339,290,105 3.67% 0.95% 0.49% 0.95% Exhibit B (f) (g) Appropriation Ending Change Appropriation Factor Limit 288,220,388 1.0054821 289, 800,429 1.0495164 304,150,298 1.0634994 323,463,662 1.0489280 339,290,105 1.04654865 355,083,601 Joint Regular Meeting Agenda June 20, 2018 33. Final Reading - General Plan Amendment 16-07 and Development Code Amendment (Zoning Map Amendment) 16-08, Conditional Use Permit 16-17 and Public Convenience or Necessity Letter 17 -01 Recommendation: 1) Accept for final reading and adopt Ordinance No. MC -1495, approving General Plan Amendment 16-07 and Development Code Amendment (Zoning Map Amendment) 16-08 to change the General Plan Land Use Designation from Single - Family Residential to Commercial and the Zoning District Classification from Residential Suburban (RS) to Commercial General (CG -1) of one (1) parcel containing a total of approximately 10,000 square feet; and 2) Adopt Resolution No. 2018-158 of the Mayor and City Council of the City of San Bernardino, California, adopting the Mitigated Negative Declaration, approving Conditional Use Permit 16- 17 to allow a service station, a convenience store and an express drive-thru carwash facility on two (2) parcels containing a total of approximately 0.75 acres located at 841 S. Inland Center Drive (APNs: 0141-222-15, and 26) within the Commercial General (CG -1) Zone, and approving Public Convenience or Necessity Letter 17-01 to allow an Alcoholic Beverage Control Type -21 (Off - Sale General) License in connection with the proposed convenience store. STAFF REPORTS 34. Conditional Funding Commitment for National Core to Develop Phase 2 of Arrowhead Grove Housing Project Recommendation: Adopt Resolution No. 2018 of the Mayor and City Council of City of San Bernardino, California, approving a conditional funding commitment for phase two of the Arrowhead Grove project. 35. League of California Cities Annual Conference Delegate and Alternates Recommendation: Approve the selection of a delegate and up to two alternates for the League of California Cities Annual Conference September 12-14, 2018 in Long Beach, California. Mayor and City Council of the City of San Bernardino Page 11 Printed 611512018 Joint Regular Meeting Agenda June 20, 2018 36. City of San Bernardino's Animal Sheltering, Field and Licensing Services Recommendation: Review and discuss the City's animal control program and service delivery alternatives and direct the City Manager to develop a proposed agreement with the County of Riverside to provide animal sheltering, field and licensing services. 37. Discussion Regarding Potential Cannabis Tax Measure — November 2018 Ballot Recommendation: Discuss and provide direction to staff regarding a potential cannabis tax ballot measure for the November 2018 general election. 38. Fiscal Year 2018/19 Proposed Operating Budget, Capital Improvement Program, Appropriations Limit Calculation, and Fiscal Year 2018/19 Salary Schedule Recommendation: Adopt Resolution No. 2018-189 of the Mayor and City Council of the City of San Bernardino, California, approving the City of San Bernardino's Operating Budget and Capital Improvement Program (CIP) for FY 2018/19, establishing the City's Appropriations Limit Consistent with Article XIII of the California State Constitution, and FY 2018/19 Salary Schedule. Adopt Resolution No. 2018-181 of the Mayor and City Council of the City of San Bernardino, California, establishing the classification and approving the job description for Neighborhood and Customer Service Operations Manager (U), and amending the salary schedule for full-time non -safety classifications of the City of San Bernardino for Fiscal Year 2018/19. 39. Calling of a General Municipal Run -Off Election and Requesting the San Bernardino County Registrar of Voters to Conduct Said Election Recommendation: Adopt Resolution No. 2018-187 of the Mayor and City Council of the City of San Bernardino, California, calling and giving notice of the holding of a General Municipal Run -Off Election to be held on Tuesday, November 6, 2018, requesting the Board of Supervisors of the County of San Bernardino to consolidate said Election with the November 6, 2018 Statewide General Election and permit the San Bernardino County Registrar of Voters to render Election services to the City of San Bernardino for said Election, and authorizing the City Manager to pay the invoice for the costs of the Election. Mayor and City Council of the City of San Bernardino Page 12 Printed 6/15/2018 is Joint Regular Meeting Agenda June 20, 2018 33. Final Reading - General Plan Amendment 16-07 and Development Code Amendment (Zoning Map Amendment) 16-08, Conditional Use Permit 16-17 and Public Convenience or Necessity Letter 17 -01 Recommendation: 1) Accept for final reading and adopt Ordinance No. MC -1495, approving General Plan Amendment 16-07 and Development Code Amendment (Zoning Map Amendment) 16-08 to change the General Plan Land Use Designation from Single - Family Residential to Commercial and the Zoning District Classification from Residential Suburban (RS) to Commercial General (CG -1) of one (1) parcel containing a total of approximately 10,000 square feet; and 2) Adopt Resolution No. 2018-158 of the Mayor and City Council of the City of San Bernardino, California, adopting the Mitigated Negative Declaration, approving Conditional Use Permit 16- 17 to allow a service station, a convenience store and an express drive-thru carwash facility on two (2) parcels containing a total of approximately 0.75 acres located at 841 S. Inland Center Drive (APNs: 0141-222-15, and 26) within the Commercial General (CG -1) Zone, and approving Public Convenience or Necessity Letter 17-01 to allow an Alcoholic Beverage Control Type -21 (Off - Sale General) License in connection with the proposed convenience store. STAFF REPORTS 34. Conditional Funding Commitment for National Core to Develop Phase 2 of Arrowhead Grove Housing Project Recommendation: Adopt Resolution No. 2019 1 No_ 21 of the Mayor and City Council of City of San Bernardino, California, approving a conditional funding commitment for phase two of the Arrowhead Grove project. 35. League of California Cities Annual Conference Delegate and Alternates Recommendation: Approve the selection of a delegate and up to two alternates for the League of California Cities Annual Conference September 12-14, 2018 in Long Beach, California. Mayor and City Council of the City of San Bernardino Page 11 Printed 6/15/2018 s Joint Regular Meeting Agenda June 20, 2018 36. City of San Bernardino's Animal Sheltering, Field and Licensing Services Recommendation: Review and discuss the City's animal control program and service delivery alternatives and direct the City Manager to develop a proposed agreement with the County of Riverside to provide animal sheltering, field and licensing services. 37. Discussion Regarding Potential Cannabis Tax Measure — November 2018 Ballot Recommendation: Discuss and provide direction to staff regarding a potential cannabis tax ballot measure for the November 2018 general election. 38. Fiscal Year 2018/19 Proposed Operating Budget, Capital Improvement Program, Appropriations Limit Calculation, and Fiscal Year 2018/19 Salary Schedule Recommendation: Adopt Resolution No. 2018-189 of the Mayor and City Council of the City of San Bernardino, California, approving the City of San Bernardino's Operating Budget and Capital Improvement Program (CIP) for FY 2018/19, establishing the City's Appropriations Limit Consistent with Article XIII of the California State Constitution, and FY 2018/19 Salary Schedule. Adopt Resolution No. 2018-181 of the Mayor and City Council of the City of San Bernardino, California, establishing the classification and approving the job description for Neighborhood and Customer Service Operations Manager (U), and amending the salary schedule for full-time non -safety classifications of the City of San Bernardino for Fiscal Year 2018/19. 39. Calling of a General Municipal Run -Off Election and Requesting the San Bernardino County Registrar of Voters to Conduct Said Election Recommendation: Adopt Resolution No. 2018-187 of the Mayor and City Council of the City of San Bernardino, California, calling and giving notice of the holding of a General Municipal Run -Off Election to be held on Tuesday, November 6, 2018, requesting the Board of Supervisors of the County of San Bernardino to consolidate said Election with the November 6, 2018 Statewide General Election and permit the San Bernardino County Registrar of Voters to render Election services to the City of San Bernardino for said Election, and authorizing the City Manager to pay the invoice for the costs of the Election. Mayor and City Council of the City of San Bernardino Page 12 Printed 6/15/2018 CITY OF SAN BERNARDINO HUMAN RESOURCES INTEROFFICE MEMORANDUM TO: Andrea M. Miller, City Manager FROM: Helen Tran, Director of Human Resources SUBJECT: Correction to Consent Item #23 — Establish a Vehicle Reimbursement Allowance for Eligible City Employees and Elected Officials and Repeal Resolution No. 2006-428 DATE: June 18, 2018 COPIES: Teri Ledoux, Assistant City Manager; Amory Arnette, Executive Assistant to the City Manager, Tanya Romo, Assistant to the City Manager Department Directors were inadvertently omitted from the Resolution attachment establishing a vehicle reimbursement allowance for eligible City employees and elected officials. Section 1 has been amended to read as follows: SECTION 1. The monthly amount of vehicle reimbursement allowance authorized for each employee category as of July 1, 2018 is listed below: City Manager: $775 Assistant City Manager, Mayor, City Council and Department Directors: $725 Division Heads: $575 All individuals who are eligible to receive a vehicle reimbursement allowance will be designated by the City Manager. HT 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. 2018-171 RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ESTABLISHING A SET VEHICLE REIMBURSEMENT ALLOWANCE FOR ELIGIBLE CITY EMPLOYEES AND ELECTED OFFICIALS AND REPEALING RESOLUTION NO. 2006-428 WHEREAS, the Mayor and City Council adopted Resolution No. 2006-428, authorizing vehicle reimbursement allowance for eligible City employees and elected officials effective January 1, 2007; and WHEREAS, the monthly vehicle allowance was to be increased by $25 each July 1St thereafter; and WHEREAS, a survey of neighboring cities found the City's allowance is significantly higher than those found in other cities; and WHEREAS, eliminating the automatic increase will result in an annual savings of $8,400.00. NOW, THERFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. The monthly amount of vehicle reimbursement allowance authorized for each employee category as of July 1, 2018 is listed below: City Manager: $775 Assistant City Manager, Mayor, City Council and Department Directors: $725 Division Heads: $575 All individuals who are eligible to receive a vehicle reimbursement allowance will be designated by the City Manager. SECTION 2. Resolution No. 2006-428 is hereby repealed. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ESTABLISHING A SET VEHICLE REIMBURSEMENT ALLOWANCE FOR ELIGIBLE CITY EMPLOYEES AND ELECTED OFFICIALS AND REPEALING RESOLUTION NO. 2006-428 1 HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and City Council of the City of San Bernardino at a . meeting thereof, held on the day of , 2018, by the following vote, to wit: Council Members: AYES NAYS ABSTAIN ABSENT MARQU EZ BARRIOS VALDIVIA SHORETT _. NICKEL RICHARD MULVIHILL Georgeann Hanna, City Clerk rhe foregoing Resolution is hereby approved this day of 2018. Approved as to form: Gary D. Saenz, City Attorney By: 2 R. Carey Davis, Mayor City of San Bernardino