HomeMy WebLinkAboutItem 4 - PresentationCity of Palm Springs
FISCAL YEAR 2025-26 & FISCAL 2026-27
MEASURE J FUND DRAFT BUDGET
MAY 22, 2025
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City of Palm Springs
Measure J Fund Budget Review
MEASURE J OVERSIGHT COMMISSION:
TIMELINE OF COMMUNITY INITIATED PROJECT ACTIONS
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City of Palm Springs
Measure J Fund Budget Review – Timeline
2024
9/19 Commission reviewed process recommendations. City Attorney
attended meeting to give an overview of conflict-of-interest rules
10/17 Overview of process for evaluating application
11/12 Initial ranking by all Commissioners of the 52 CIP applications
12/12 Request for supplemental financial support and data, request made
to Sustainability Commission for its ranking of applications
12/19 Revised timeline for final review of applications
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City of Palm Springs
Measure J Fund Budget Review 2025
1/7 Revised ranking system by Commissioners and deadlines created for application
revisions
1/30 Commission reviewed and voted on applications where majority of Commission
voted to “Deny Funding”
2/20 Commission reviewed and voted on applications where majority of Commission
voted to “Recommend Funding”
3/20 Commission reviewed and voted on applications where majority of Commission
voted to “Consider Later if Funding is Available”
4/17 Commission met with Director of Parks & Recreation and voted on applications
that were tabled pending review by Director or oral presentation by applicant
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City of Palm Springs
Measure J Fund Budget Review
HOW ARE COMMUNITY INITIATED PROJECTS EVALUATED AND SELECTED FOR FUNDING?
•Thoroughness of the application
•Overall alignment with the goals of Measure J funding
•Alignment with the City’s Strategic Plan and departmental plans
•Does this project require little to no ongoing costs?
•Does this project make Palm Springs a safe, desirable place to live, work, and visit?
•Does this project benefit the majority of residents, guests, and/or tourists in our city?
•Does this project improve the health and safety of our residents of Palm Springs?
•Does this project promote the growth of tourism in the city?
•Does this project provide a benefit to the community over a long period?
•Does the City have the staff resources to complete the project in a reasonable
timeframe. Or can the applicant implement the project without City resources?
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City of Palm Springs
Measure J Fund Budget Review
FY2025-26 & FY2026-27
BIENNIAL BUDGET REVIEW
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City of Palm Springs
Measure J Fund Budget Review
Audited Full Year Budget Budget
Fiscal Year Forecast Fiscal Year Fiscal Year
2023-2024 2024-2025 2025-2026 2026-2027
Beginning Fund Balance 39,070,323$ 43,505,623$ 6,997,936$ 2,693,255$
Measure J Sales Tax Revenue 21,490,339 21,500,000 21,822,500 22,149,838
Interest Income/Unrealized Gain/Loss 1,083,475 1,200,000 750,000 750,000
Miscellaneous Revenue 436,028
Transfer In 853,306
Debt Proceeds to repay CC and FS#1 design costs 11,500,000
Total Revenues 23,863,148 22,700,000 22,572,500 34,399,838
Annual Expenses
Street Repairs 4,042,288 6,198,650 8,500,000 9,500,000
Community Initiated Projects 516,574 6,000,000 1,000,000 2,000,000
Airport Reserve on Aviation Fuel Sales per FAA 516,594 500,000 500,000 500,000
Sub Total 5,075,456 12,698,650 10,000,000 12,000,000
Other Approved Projects and Expenses:
Debt Service (Downtown Revitalization Project)3,133,700 3,133,620 3,135,806 3,137,913
Debt Service (Library)
Debt Service/Design (Fire Station #1)3,000,000
Debt Service/Design (Convention Center)2,500,000 5,000,000
Debt Service/Design (Convention Center Connectors)1,000,000
Downtown Maintenance, Landscaping & Security 692,128 400,000
Adopted Capital Projects Expenditures 10,518,132 9,446,500 7,691,375 5,250,000
Cont Appropriations (Carryover) - Community Initiated Projects 2,248,789
Cont Appropriations (Carryover) - Capital Projects 31,258,222
Project Cost Over Runs 500,000 500,000
Project Completion Marketing and Communication 8,432 21,906 50,000 50,000
Total Expenditures 19,427,848 59,207,687 26,877,181 26,937,913
Surplus/Deficit 4,435,300 (36,507,687) (4,304,681) 7,461,925
Fund Balance Restricted for Measure J Capital 41,017,614 4,034,945 (769,736) 6,192,189
Fund Balance Restricted for Airport Projects 2,488,009 2,962,991 3,462,991 3,962,991
Total Fund Balance 43,505,623 6,997,936 2,693,255 10,155,179
MEASURE J FY26 & FY27 BUDGET
REVENUE
•Sales Tax Revenue - Projected grown at 1.5%
•Interest Income still strong – Fund has a lot of Cash
•Return of Design Costs in FY27
EXPENSES
•Streets budget increased to $8.5 million in FY26
and $9.5 million in FY27
•Community Initiated Projects $1 million in FY26
and $2 million in FY27
•$3.1 million in Debt Service payments. Debt was
for Downtown Revitalization, expires 2034.
•Fire Station #1 design - $3 million
•Convention Center design - $7.5 million over the
the next 2 years, additional $2.5 million in FY28
•$50k for Marketing as projects are completed
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City of Palm Springs
Measure J Fund Budget Review – Projects New Budget
Project Number Project Name Status Project Owner BEGINNING
BUDGET
FY25-26
Budget
FY26-27
Budget
TOTAL
PROJECT
BUDGET
18-10 PORTABLE VEHICLE BARRICADE SYSTEM Once budget approved, equipment purchased Public Works 500,000 941,375 1,441,375
19-28 RECREATIONAL LED LIGHTING UPGR Completed (one punch list item remains)Engineering 640,153 (640,153) (0)
19-24 DEMUTH PARK ADA ACCESS PH2 Combined with 21-16 RFP Awarded under design Engineering 1,893,363 1,893,363
21-16 DEMUTH DOG PARK Design 100% complete combined with 19-24 Engineering 202,000 1,545,828 1,747,828
22-21 PEDESTRIAN STREETS MASTER PLAN Two Projects under Preliminary Design (Racquet Club/S.Palm)Engineering 1,356,507 750,000 750,000 2,856,507
17-07 NPC PEDESTRIAN ENHANCEMENTS Completed Engineering 905,675 (905,675) 0
New SWIM CENTER RENOVATION NEW Engineering 650,000 4,000,000 3,000,000 7,650,000
New IN GROUND PEDESTRIAN SYSTEM NEW Engineering - 2,000,000 1,500,000 3,500,000
New CONVENTION CENTER DESIGN NEW VARIOUS - 2,500,000 5,000,000 7,500,000
New CONVENTION CENTER DESIGN-CONNECTORS NEW VARIOUS - 1,000,000 1,000,000
New FIRE STATION #1 DESIGN NEW Engineering - 3,000,000 3,000,000
New MARKETING COMMUNICATIONS Operating expense for Measure J promotion Communications/Finance - 50,000 50,000 100,000
•Project 19-24 and Project 21-16 will be combined and have a total budget of $3.6 million. Project will include
construction of a small and large dog park with shade structures, benches, and new landscaping. Additionally,
new restroom facilities will be constructed and new drinking fountains installed as well as drainage improvements
to the parking lot near the baseball fields.
•Swim Center building renovation will include improvements to the interior of the building, a new roof, and installation
of ADA accessible ramps. Currently, the expense is in the Measure J budget, however, it has been suggested this expense
be rolled into the Library debt issuance. The City’s Financial Advisor is aware and has agreed this to be beneficial
to Measure J for cash flow purposes. City Staff is recommending this strategy to the City Council.
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City of Palm Springs
General Fund Budget Review – Community Initiated Projects
•21 new projects have been moved forward
by the Commission and are being
recommended for City Council approval.
•$6 million in total project cost with $1.2
million set aside for cost overruns.
•Any grant issued will follow the City’s
recently established policies.