Community forum on City Finances & Measure A

1. Community forum on City Finances & Measure A Arcadia Chamber of Commerce May 22, 2019

2. Note: City Staff Cannot Take a Position on the Sales Tax Measure;must provide Unbiased Facts

3. general fund FORECAST

4. background • February 2018 – Citizens Financial Advisory Committee established • June 2018 – City Council Adopts FY 2018-19 Budget • $3.1 million General Fund Operating Budget Deficit • September 2018 – CFAC transmits preliminary findings and recommendation

5. background • December 2018 – CFAC transmits Final Report • January 2019 – City Council adopts CFAC recommendations • February 2019 – Midyear budget review and Fiscal Emergency Declaration • FY 2018-19 projected deficit increases to $4.5 million • March 2019 – City Council unanimously places ¾ cent sales tax measure on ballot

6. CFAC Recommendations • Maintain High Quality Service Levels • Declare Fiscal Emergency & Seek Sales Tax Measure • Pay Down Unfunded Pension Liability • Update User Fees • Increase Employee Cost Sharing for Pensions

7. CFAC Recommendations • Increase Overnight Parking Fees • Charge for Vacant Home Registry • Reduce City Pool Vehicles • Update Investment Policy • Maintain UUT Rate

8. Projected pers costs

9. Previous Cost saving measures

10. Community priorities • Maintaining 911, police and fire services • Maintaining police patrols around neighborhood schools and parks • Preventing and investigating property crimes like thefts and burglaries • Keeping fire stations operating at current levels

11. Without additional revenue • Potential cuts to important City services • Affect neighborhood police patrols • 911 emergency response times • Fire protection and life-saving services • Recreation and Library programs • Road quality • Infrastructure and maintenance

12. POTENTIAL SERVICE REDUCTIONS • Departments were asked to cut 12.5% out of their budgets • FY 18-19 General Fund Budget is $62.4 million • Cuts equal approximately $8.2 million • Eliminates 55.6 FTE positions • Performance Impacts: • Service Quality • Safety & Liability • Cycle Time • Customer Satisfaction

13. SERVICE REDUCTIONS Summary

14. police Eliminations Reductions Training and Professional Development Tuition Reimbursement/Advancement Program Patrol Overtime Racetrack Control Overtime Supplies and Equipment Investigative Resources • 13.0 FTE Police Officers • 3.0 FTE Community Services Officers • 3.0 FTE Records Technicians • LER Police Academy Program • Police Cadet Training Program • Media Communications Specialist Contract • Community Affairs Liaison Contract • Neighborhood Watch • Explorer Program

15. Fire • Close Fire Station 107 • Eliminate 10.0 FTE • 1.0 FTE Deputy Fire Chief • 3.0 FTE Fire Captains • 3.0 FTE Fire Engineers • 3.0 FTE Firefighter/Paramedics

16. Recreation & Community Services • Eliminate 6.35 FTE • 1.0 FTE Recreation Coordinator • 5.35 FTE Part-Time (185 positions) • Close Wilderness Park (Winter) • Eliminates Movies/Concerts, Snow Fest, Fall Fun Festival, and Letters to Santa, Senior Volunteer Lunch, Summer Dance Night, La Ja Ja Kids, City Bike Ride, Track Meets, School Based Programs, Egg Hunt • Printing and Mailing of Peacock Buzz

17. library & museum Eliminations Reductions Operating hours – Close Monday, Reduce Morning and Evening Hours Book, Resources, and Education Material Purchases Reduce Museum Education Coordinate by 0.25 FTE • 1.0 FTE Principal Librarian • 1.0 FTE Librarian • 2.0 FTE Library Technicians • 0.5 FTE Sr. Library Technician

18. development services • Eliminate 1.0 FTE Management Analyst • Economic Development Program • Eliminate 1.0 FTE Building Inspector • Eliminate 1.0 FTE Code Enforcement Officer • Eliminate 1.0 FTE Planner • Chamber of Commerce Funding

19. public works Eliminations Reductions Lengthen Tree Trimming From 4 to 8 Year Cycle Street Sweeping Every Other Week Reduce Sidewalk Grinding and Repairs • 1.0 FTE Public Works Inspector • 1.0 FTE Equipment Operator • 1.0 FTE Maintenance Worker

20. legislative and executive Eliminations Reductions City Attorney Special Legal Services Coyote Awareness Outreach Quarterly City Newsletter Official City Meetings (CA Cities Mayor/Council Workshop, Crystal Ball, Legislative Meetings) Reduces City Other Post Employment Benefit (OPEB) payments below the annual required contribution rate and returns to “pay-as-you-go” model • 1.0 FTE Records/Legal Technician • City Lobbying Services • Special Events (Mayor’s Breakfast, Silver Circle, Christmas Tree Lighting) • City Outreach (Hot Sheet) • City Manager’s Office Intern

21. Administrative services Eliminations Reductions Information Technology Services Contract • 1.5 FTE Accounting Technicians • 1.0 FTE Human Resources Analyst • 0.5 FTE Office Assistant • Investment Advisory Services • Employee Ergonomic Program • Employee Wellness Program

22. Service prioritization Cuts • If we don’t do an across the board cut what are some prioritized options?

23. How do arcadia taxes compare to other cities?

24. Current Sales Tax rate Included in 2.0% Local Cap

25. Comparable sales tax rates

26. Arcadia Vs other cities property tax burden ($1M property value)

27. Arcadia Vs other citiesHotel tax (TOT) BURDEN

28. Arcadia Vs other cities UTILITY USERS tax burden

29. Local control

30. Election information • Tuesday, June 4, 2019 • Vote by mail election • County of Los Angeles to administer • https://LAVOTE.NET

31. Questions? Thank you for your time!