The City is benefiting from the continued strong economy resulting in significant property tax growth. The total Adopted Budget for Fiscal Year 2018-19 is $328.1 million in revenues and $359.2 million in expenditures. Expenditures are greater than revenues, as some expenditures such as capital projects, are funded from existing available resources. Continuing to focus on adding resources where most needed and to the extent the long-term budget will allow, additional positions are added for Fiscal Year 2018-19. A total of 12.5 net positions are ongoing positions and there are a net of 15.0 new positions. In addition, the Fiscal Year 2018-19 Adopted Budget details the supplements to reserves, continuing contributions to CalPERS, and two new reserves for Transportation and Sea Level Rise.
For the General Operating Fund (GOF), the Adopted Budget includes $1.7 million in new ongoing expenditures and $4.9 million in new limited period expenditures. These increases will support ongoing services and key priorities identified by the City Council. Including the recommendations for new spending, a positive ending balance of $3.7 million is projected for Fiscal Year 2018-19. Positive operating balances are projected through Fiscal Year 2020-21, in the GOF 10-year Financial Forecast, but assumes deficits will return with the next recession.
The Annual Budget, Water, Wastewater and Trash and Recycling Rates, and Various City Fees were presented to the City Council at a public hearing on Tuesday, June 12, 2018 and adopted at the second public hearing on Tuesday, June 19, 2018.
The Fiscal Year Annual Budget, Water, Wastewater and Trash and Recycling Rates and Various City Fees were presented to the City Council at a public hearing on Tuesday, June 13, 2017 and adopted at the second public hearing on Tuesday, June 20, 2017.
Message from City Manager Dan Rich:
We are fortunate the City of Mountain View is currently in a period of strong revenue growth. Based on our latest five-year forecast, we expect revenue growth to continue, but a downturn in the economy is projected to occur during the forecast period. Revenues are projected to begin being impacted in Fiscal Year 2018-19. Including the recommendations for new spending made in the Adopted Budget and assuming a slow-down in later years, a $2.3 million positive balance is projected at the end of Fiscal Year 2017-18, and deficits are projected in the last three fiscal years of the Five-Year Forecast.
The Adopted Budget recommendations include $2.2 million in net General Operating Fund (GOF) ongoing increases and $3.9 million in new limited period expenditures. These increases will support ongoing services and key priorities identified by the Council. As we are a service organization based on the work of our outstanding employees, these numbers include a net increase of 12.0 new staff to help with workload demands.
Copies of the Fiscal Year 2017-18 Adopted Budget Report are available for review at City Hall in the City Clerk's Office, 500 Castro Street, 3rd floor, Mountain View during normal business hours, and during public hours at the Mountain View Public Library, 585 Franklin Street, Mountain View.