HomeMy WebLinkAbout21102 - RESOLUTIONS - 9/22/2004 RESOLUTION NO. 21102
OF THE CITY COUNCIL OF THE
CITY OF PALM SPRINGS,
CALIFORNIA DECLARING ITS
INTENT TO ADOPT A
CONTINGENCY BUDGET FOR
FISCAL YEAR 2004-05
Whereas, the State of California, to compensate for its own unprecedented budget
deficit, has taken $1.2 billion dollars from local government including nearly $900,000
from the City of Palm Springs; and
Whereas, these raids on local revenues combined with the general downturn in the
economy and increased employee retirement and health costs have caused the City to
experience a $4.2 million budget shortfall; and
Whereas, through various budget cuts and other adjustments the City Council was able
to balance the current budget; and
Whereas, even though the City Council managed to balance the current budget, the City
is facing an ongoing budget shortfall estimated at $2.8 million in Fiscal Year 2005-06
and $2.6 million in Fiscal Year 2006-07; and
Whereas, on July 21, 2004, the Palm Springs City Council unanimously adopted a '
resolution declaring a fiscal emergency as a result of the budget shortfall; and
Whereas, in declaring this fiscal emergency the City Council voted to place a ballot
measure (Measure V) on the November Presidential Election to temporarily increase the
City's Utility Users Tax (UUT) by three percent (3%) for a total of eight percent (8%); and
Whereas, it is estimated that a 3% increase in the City's UUT will generate an additional
$1,159,000 in revenue per year; and
Whereas, without additional revenues from Measure V the City will have to make further
budget cuts and service reductions to offset the projected budget shortfall; and
Whereas, unless Measure V is approved by the voters the City may have to make
drastic cuts in vital public safety services including the elimination of police and
firefighter positions; and
Whereas, the City may also be forced to cut other positions and reduce funding for
public services including annual overseeding of parks and landscaped areas, reduced
library hours, and suspension of financial support for major annual events (Festival of
Lights Parade and the Palm Springs International Film Festival) and community
organizations; and
Whereas, combined these budget cuts and service reductions will negatively impact the ,
City's image to tourists and adversely effect the quality of life of its residents; and
Resolution 21102
Page 2
Whereas, the City Council has determined that passage of Measure V is essential to the
preservation of vital public services that contribute to the quality of life within our
community; and
Whereas, If Measure V fails the City Council will have to make immediate and drastic
cuts to reduce the projected budget shortfall; and
Whereas, the City Council believes that it is in the public's best interest to adopt a
contingency budget which describes the budget cuts that will have to be made in the
event Measure V fails.
NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Palm Springs
does order as follows:
Section 1. That the City Council adopts the findings set forth above and declares its
intention to adopt a contingency budget as set forth in Exhibit "A" and
attached hereto in the event voters fail to pass Measure V in November.
Section 2. That the City Council directs the Director of Finance and Treasurer to
amend the current year budget to reflect the changes noted in Exhibit "A"
in the event Measure V fails.
ADOPTED this 22"d day of September, 2004
AYES: Members Foat, McCulloch, Mills, Pougnet and Mayor Oden
NOES: None
ABSENTS: None
A7T CITY OF PALM SPRINGS, CALIFORNIA
B ���� �n �
City Clerk City Manager f�.
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EXHI BIT"A"
Contingency Budget Plan '
Potential Service Delivery Impacts of Proposed Budget Reductions
The following is a list from department heads of the proposed budget reductions that would be necessary to
balance the City's fiscal year 2005-06 budget should voters fail to pass Measure V in the November
Election. The potential impacts of the proposed budget reductions on public services are also provided. It
should be noted that the potential service impacts described herein are not conclusive. Additional impacts
may occur. Positions are based on full time equivalents (e.g., 2 part-time positions = 1 FTE position).
Savings estimate includes both salary and benefits.
City Manager (Positions: 2— 1 Executive Specialist, 1 Executive Assistant— Savings: $131,225)
Diminished ability to provide secretarial relief to various city departments due to sickness or
vacations.
• Increased use of voice mail for incoming telephone calls. No receptionist in the lobby to
answer phone calls or to provide information and directions to walk-in customers.
Channel 17 (Positions 1.5 —Broadcast Coord., 2 temp positions—Salary and Program Savings: $151,177)
• Elimination of televised public meetings and events.
• Diminished ability to promote city events, services and programs.
Human Resources (Positions: 1 -- Human Resources Specialist II -- Savings: $79,321) -vacant
■ Increased delays in filling job openings.
• Change in recruiting process. Elimination of follow up letters to applicants regarding status
of their application.
Police (Positions: 10—8 Police Officers, 2 CSO's-- Savings: $692,233) 2 Police Officer positions vacant
• Increased response time to businesses and residents.
• No longer respond or investigate misdemeanor crimes.
• No longer respond or investigate non-injury traffic accidents.
• No longer investigate most narcotic violations.
• Diminished ability to develop and maintain neighborhood watch programs.
• Diminished ability to provide staffing for community (e.g., Villagefest) and/or special events
(Parades of Palm Springs).
• Diminished ability to attend community meetings such as MainStreet, Uptown, and
Neighborhood Associations.
• Diminished ability to provide police services to Downtown.
Fire (Positions: 6 Firefighters — Rotating Station Closure — Salary and Program Savings: $615,316) 1
vacant
• Increased citywide response time for fire emergencies.
Strategic Planning (Positions: 1 - Assistant Planner—Savings: $71,997) -vacant
• Elimination of in-house Geographic Information Systems capability.
• Diminished General Plan research.
• Reduction in resource availability for historic preservation and intradepartmental requests.
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' Building and Safety (Positions: 1 — Community Preservation Officer— Savings: $77,740)
• Increased response time to complaints or requests for services.
• No proactive enforcement of City codes and regulations.
• Elimination of special programs such as "Recapture our Neighborhoods", weekend
enforcement and Mobile City Hall.
Public Works (Positions: 2-- Savings: $130,000)
Traffic (Traffic Engineering Coordinator-- $69,000)
• Elimination of Traffic Calming Program.
• Increased response time service requests for traffic maintenance.
Facilities (Maintenance Electrician -- $61,000)
• Increased response time to service requests.
• Deferral of some projects due to lack of staffing.
Parks and Recreation (Positions: 1 — Salary and Program Savings: $444,477)
Parks (Program Savings: $197,000)
• Elimination of annual overseeding of city parks.
• Suspension of nighttime lighting of ball fields.
Downtown Experience (Program Savings: $56,000)
' • Elimination of monthly downtown steam cleaning of sidewalks.
• Elimination of afternoon trash pickup in downtown area.
James O. Jessie Desert Highland Unity Center (Community Center Manager-- $83,477) - retiring
• Reduced hours of operation.
Special Events Assistance (Program Savings: $108,000)
• Elimination of City support of certain special events (e.g., Festival of Lights, Veterans Day
Parade, PSHS Homecoming Parade, etc.). Some events may cease to operate without
continued support.
Library (Positions: 2— 1 Librarian III, 2 part-time Library Assistants -- Savings: $164,878)
• Reduction in hours of operation from 55 to 48 hours per week.
• Elimination of Information Literacy Program.
• Reduction in Adult Literacy Program.
• Reduction in total amount of periodicals and materials.
TOTAL POSITIONS: 27.5 TOTAL BUDGET REDUCTION: $2,558,364