(August 2) UPLAND –Belatedly, the Upland City Council will review and likely pass the city’s 2013-14 fiscal year budget on August 12.
This week the Upland Finance and Economic Development Committee reviewed city manager Stephen Dunn’s proposed spending plan for the ongoing fiscal year running from July 1 to June 30. That panel’s members, councilmen Brendan Brandt and Glenn Bozar, indicated they would recommend Dunn’s proposal to the entire city council.
Anticipating roughly $40 million in income over the entire year, Dunn had pressed the city’s department heads to budget for their divisions in such a way that the city would spend just $38.5 million through its general fund, which covers basic city operations. Dunn’s goal was to be able to salt away $1.5 million into a reserve account by the end of the fiscal year in June 2014.
After several goes at it in May and June, however, that goal was not achieved and Upland did not approve the 2012-14 budget prior to July 1, as is traditionally done. Twenty-two of San Bernardino County’s 24 cities had approved spending plans for the current fiscal year by or before June 30.
Ultimately, Dunn’s goal of preserving $1.5 million was not met. Instead, the city predicts it will take $39.37 million into the general fund while spending $38.6 million on basic operations, netting a reserve of $770,000.
Dunn acknowledged that a carryover miscalculation from last year hampered the city in meeting the $1.5 million reserve goal. He said that last year $980,000 in funding for the police department had been inadvertently withdrawn from the 2012-13 budget. That amount was restored to the baseline figures the police department had to work within in establishing its 2013-14 budget. Dunn said police chief Jeff Mendenhall succeeded in paring $300,000 of the $980,000 that had been returned to the police department budget.
Total operating funds for the city, including the general fund and spending outside the general fund such as Upland’s various enterprise and special funds, will total $106.23 million in expenditures.
The city will spend $8,759,670 on capital improvement projects.
The city will shell out $108,000 in merit increases, will increase its overtime budget by $130,490, increase fringe benefit payouts by $41,190, increase its contribution to the state employees retirement fund by $165,840, set another $164,780 aside for increases in retiree benefits, increase its outlay for fleet maintenance by $191,030, and up its contribution into its self-funded liability account by $300,000. The city will see its legal fees decrease by $1.5 million due to the settlement of litigation it had with the county over flood control issues at the Colonies Project,. The city also obtained, Dunn said, $1,047,950 in savings as a result of labor concessions.
While the city’s animal services division will generate $415,750 in income, its operating expenses will run to $895,540.
On the revenue side, while the city anticipates a $351,800 increase in property tax proceeds and a $569,850 increase in sales taxes due primarily to new retail outlets at the Colonies Crossroads Center, Dunn said the city will see a $69,890 decrease in fees due to the anticipated drop in fee-generating services provided by the police department and a $20,000 decrease in revenue from development services map and plan check activity.