1 / 37

FY 2009/10 Draft Budget General Fund Revenue Estimates

FY 2009/10 Draft Budget General Fund Revenue Estimates. Lodi City Council May 12, 2009. Poor job market. Unemployment rates in March Lodi 12.5% San Joaquin County 16.4% Stockton 19.7% California 11.2% 50,800 unemployed people looking for work in San Joaquin County

jaafar
Download Presentation

FY 2009/10 Draft Budget General Fund Revenue Estimates

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. FY 2009/10 Draft BudgetGeneral Fund Revenue Estimates Lodi City Council May 12, 2009

  2. Poor job market Unemployment rates in March Lodi 12.5% San Joaquin County 16.4% Stockton 19.7% California 11.2% 50,800 unemployed people looking for work in San Joaquin County Source: California Economic Development Department, March 2009 figures

  3. Poor job market

  4. Sales tax in decline • 16.8% year-over-year decline for fourth quarter of calendar year 2008

  5. Sales tax in decline

  6. Steep drop in retail sales

  7. Business closures • Geweke Chrysler/Dodge/Kia • Geweke RV • Plummer Cadillac/GMC • Mervyns • Ace Hardware • Carrow’s • Mr. Pickles • Party World • Frames & Fine Things • Flower Shop

  8. 13-year sales history Sales tax revenuenearly at 2001 levels

  9. Businesses hurting 13 quarter trend: Down 18.3 percent

  10. Property values declining • Down $640,800 year-to-year in property tax revenue • Value assessments back to 2003 and even earlier

  11. Little home buying

  12. The State’s a mess • Economic plunge • Housing market/mortgage crisis • Credit crunch • Chronic State budget problems

  13. ERAF shift continues • Annual amount diverted: $3,095,166

  14. ERAF shift continues Educational Revenue Augmentation FundFunds shifted to schools from City of Lodi

  15. FY 2009/10 Budget Fiscal sustainability

  16. FY 2009/10 Budget Source: Fiscal officers of California list serve poll (72 cities)

  17. FY 2009/10 Budget General Fund reserve history

  18. FY 2009/10 Budget General Fund reserve City policy:Minimum unrestricted General Fund reserve should equal 15% – $6 million for FY 2009/10 • Anticipated June 30, 2008 figure was $4.5 million (11.3%), actual was $4.2 million (10.5%). • Projected June 30, 2009: $3.8 million (9.6%). • City Council votes for June 30, 2010 reserve goal: • $3.8 million – 3 • $4.2 million – 2

  19. FY 2009/10 Budget General Fund by major sources

  20. FY 2009/10 Budget General Fund • Overall decrease of ~$2.4M or 5.6% • Decrease of ~$5.8M since 2007/08 budget • Many revenue sources are reflecting the economic downturn

  21. FY 2009/10 Budget General Fund history

  22. FY 2009/10 Budget General Fund – major sources

  23. FY 2009/10 Budget Property Tax Property tax

  24. FY 2009/10 Budget Property Tax Per Capita Comparison – Budget Amounts FY 2008/09

  25. FY 2009/10 Budget Property Tax • A government levy, on both real and personal property, based on the market value (as assessed by the County Assessor's office) of the property • Proposition 13 placed cities in a position of becoming more dependent on funds from the state. This transferred to the state more power over cities than it otherwise would have possessed • Proposition 8 allows the County Assessor to reduce assessed valuations when market values are lower than assessed values • County Assessor reduced values in 2008/09 and is also reducing assessed values for the 2009/10 fiscal year • 6.4% decrease

  26. FY 2009/10 Budget Property Tax Distribution

  27. FY 2009/10 Budget Sales and Use Tax

  28. FY 2009/10 Budget Sales Tax Per CapitaBudget Amounts FY 2008/09

  29. FY 2009/10 Budget In-lieu Franchise – Electric (PILOT)

  30. FY 2009/10 Budget In-lieu Franchise – Electric (PILOT) • Municipal utilities are extensions of state and local governments - as such, they are generally not subject to federal or state income taxes • Municipal utilities may provide payments in lieu of taxes (transfers to the general fund and contributions of services to state and local governments) • PILOT is set by formula adopted by the City Council in 2007 • Formula is $6,779,000 plus the annual growth in customers • FY 2009/10 amount includes $500,000 that was waived in 2005 due to difficult economic times for the Electric Utility

  31. FY 2009/10 Budget In-lieu Vehicle License Fees

  32. FY 2009/10 Budget Business License Tax

  33. FY 2009/10 Budget Business License Tax • Business tax is paid at a rate determined by the business classification established by resolution of the City Council • The tax rate for all businesses is set by Resolution of the City Council • The City is seeing a downturn in the number of businesses licensed • City actively searches for unlicensed businesses • Expected reduction of 6.5%

  34. FY 2009/10 Budget Transient Occupancy Tax

  35. FY 2009/10 Budget Cable TV Franchise

  36. FY 2009/10 Budget Natural Gas Franchise

  37. FY 2009/10 Budget

More Related