City Council

c. ADOPT A RESOLUTION AUTHORIZING APPROPRIATIONS FOR THE\nFISCAL YEAR 2022-23 GENERAL FUND OPERATING SURPLUS; CURRENT\nYEAR APPROPRIATION ADJUSTMENTS AND CAPITAL IMPROVEMENT\nPLAN BUDGET AND RELATED FUNDING; TRANSFERS FOR CAPITAL\nIMPROVEMENT PLAN PROJECTS, AND RELATED FUNDING TRANSFERS\nFOR PHASE 1 OF THE CIVIC CENTER MASTER PLAN BUDGET; AMENDING\nTHE FISCAL YEAR 2023-2024 BUDGET; AND APPROVAL OF THE CIVIC\nCENTER MASTER PLAN PHASE I BUDGET\nSummary:\nStaff presented the Annual Comprehensive Financial Report (ACFR) findings for\nFiscal Year 2022-23 at the December 12, 2023, City Council meeting. The\nACFR highlighted a General Fund operating surplus of approximately $8 million,\nwhich is a combination of revenues and operational savings. Staff recommends\na proportional share distribution of the surplus towards projects, programs, and\nreserves, further reinforcing the City's commitment to prudent fiscal\nmanagement. The City’s General Fund reserve target is estimated to be at\napproximately 76% of the current year FY 23-24 adopted budget expenditures\nafter netting out all proposed appropriations.\nAs discussed at the Special Council Meeting of December 5, 2023, there is a\nneed to finalize the amphitheater construction phase of the Civic Center Master\nPlan. Staff recommends allocating a portion of the surplus fund balance in the\namount of $4.4 million, to the Civic Center Master Plan Reserve Fund. This\nrecommendation will enable the City to begin pre-development activity\nassociated with the proposed amphitheater project.\nThis report will provide an overview of the financial results and a detailed list of\nproposed surplus appropriations towards reserve allocations and other critical\nprogram, operational, and project needs. In conjunction with and related to the\nreserve allocations, staff is also seeking approval to utilize the surplus to fund\nPhase 1 of the Civic Center Master Plan Project.\nStrategic Plan Goal(s):\nGoal No. 1 Financial Stability: Ensure the City’s long-term financial stability\nand resilience.\nGoal No. 4 Infrastructure: Maintain and improve the City’s physical\ninfrastructure, water system, and recreational spaces.\nGoal No. 5 High-Functioning Government: Strengthen internal communication,\nrecruitment, retention, systems, and processes to increase the\neffectiveness and efficiency of City services.\nRecommendations:\n1. Approve the proposed appropriations and reserve transfers from FY 2022-23\nto FY 2023-24 operating budget and reserve balances, utilizing the current\nFY 2022-23 General Fund operating surplus of $7,996,701.\n2. Approve the Civic Center Master Plan Phase I budget.\n3. Adopt a resolution, entitled:\nA RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SIGNAL HILL,\nCALIFORNIA, AUTHORIZING APPROPRIATIONS FROM THE FISCAL\nYEAR 2022-23 GENERAL FUND OPERATING SURPLUS, CURRENT\nYEAR APPROPRIATION ADJUSTMENTS, AND CAPITAL IMPROVEMENT\nPLAN BUDGET AND RELATED FUNDING TRANSFERS FOR PHASE 1 OF\nTHE CIVIC CENTER MASTER PLAN PROJECT, AMENDING THE FISCAL\nYEAR 2023-24 BUDGET